Swiggy, the leading food delivery platform in India, has permanently shut down its hyperlocal delivery service, Genie, citing weak performance and shifting focus to more profitable platforms such as Instamart and Bolt. The company is also expanding its new professional services platform, Pyng
Swiggy, one of India’s leading food delivery platforms, has permanently shut down its hyperlocal delivery service, Genie, across multiple cities. The decision to phase out Genie marks the end of a vertical that struggled to generate significant returns despite being launched in 2020. The company is now focusing on higher-margin platforms like Instamart and Bolt as part of a strategic shift towards quick commerce and professional services.
Genie, which allowed users to send parcels and arrange shop pickups within the same city, was initially launched with the goal of tapping into the growing demand for hyperlocal logistics. At its peak, the service was available in around 60 cities. However, it struggled to scale and failed to generate meaningful revenue, which eventually led to the permanent shutdown. Swiggy’s response to customer inquiries on social media initially described the move as a temporary suspension, but sources close to the matter confirmed the shutdown is final.
The company stated that the decision was driven by the desire to focus on higher-performing segments. “Genie was not contributing significantly to Swiggy’s revenues,” sources said. Instead, Swiggy is reallocating its resources to its more profitable platforms – Instamart, a quick commerce service, and Bolt, an express food delivery service. Bolt is now operational in over 500 cities and contributes to 10% of Swiggy’s total food orders.
Swiggy’s shift in strategy comes amid growing competition in the hyperlocal delivery space, with players like Uber, Rapido, and Porter expanding their offerings. Despite Genie’s failure to gain traction, Swiggy has shown resilience by doubling down on services with stronger unit economics. Food delivery, especially quick food services like Bolt, offers better margins, making it a logical area for the company to focus on.
In addition to its food delivery and commerce services, Swiggy is also venturing into professional services with the launch of Pyng. Currently live in Bengaluru, Pyng connects users with professionals such as fitness trainers, tarot card readers, and event planners, adding another dimension to Swiggy’s expanding ecosystem.
The company had previously paused Genie operations in Mumbai, Bengaluru, and Hyderabad in 2022 due to increased demand for food delivery and Instamart. However, this latest move appears to be a more decisive step in phasing out the underperforming service.
As Swiggy continues to adapt to the evolving market dynamics, its focus will remain on quick commerce and food delivery, with a significant push towards expanding Instamart and Bolt and exploring new growth avenues through platforms like Pyng.
