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Business Standard

Rapido enters food aggregation with 'Ownly' platform, partners NRAI

Ride-hailing platform Rapido is set to foray into the food delivery segment with the launch of a new online platform called Ownly, which will allow customers to browse and order from restaurants. The mobility startup has also entered into a non-exclusive partnership with the National Restaurant Association of India (NRAI), which represents over 50,000 eateries across the country. The pilot for Ownly is expected to begin in select areas of Bengaluru by the last week of June or the first week of July. The new platform will operate on a zero-commission model, charging restaurants a flat subscription fee. Under the agreement, restaurants will not be permitted to add packaging charges separately, and pricing across online and offline channels will be kept uniform. This means customers will pay only the listed price plus GST—no platform or restaurant mark-ups. 'The price of a dish (excluding GST) is the final price the customer pays. There is no other addition from us or a restaurant partner,' the terms and conditions (T&C) state. Business Standard has reviewed a copy of the T&C between the two platforms. As per the agreed terms, restaurant partners will bear the delivery fee for all orders within a standard radius of 4 km. For orders valued at ₹100 or less, the delivery cost will be ₹10, of which the customer will pay ₹20. For orders above ₹100 and below ₹400, the delivery cost will be ₹25 plus applicable GST. For orders exceeding ₹400, the cost rises to ₹50. Welcoming more players in the food delivery space, Sagar Daryani, president of NRAI, said, 'From what we feel, Rapido has shared a proposal with us that is economically viable and democratic. In principle, they have even agreed to share the consumer database with us. The market will only grow if food becomes cheaper. When food is more affordable, our pricing comes down, and we get more business.' Daryani added that the NRAI will continue engaging with other platforms such as Swiggy, Zomato, and ONDC. An NRAI executive, speaking on condition of anonymity, said that the Ownly model could reduce the total fee (including discounts, delivery, and commissions) from up to 30 per cent—as levied by incumbents like Zomato and Swiggy—to nearly half. Rapido, which already has a network of over 2 million two-wheeler riders, may also allow restaurants to opt for self-delivery if they have their own logistics capabilities. The company did not respond to Business Standard's queries till press time. Amit Bagga, co-founder and CEO of Daryaganj Restaurants, said the initiative could be particularly beneficial for small and independent restaurants. 'This move could be truly beneficial for small, independent restaurants by offering them more options and potentially better margins. However, much will depend on how effectively Rapido executes its logistics. Timely deliveries, especially during peak hours, and consistent rider availability are critical. The success of this initiative will ultimately rely on how well Rapido can manage end-to-end logistics and maintain service standards,' Bagga said.