Uber to fight for its place in the Indian market

Uber will not cut down its food delivery services, Uber Eats in India despite lacking behind in the market because of the growth of Zomato and Swiggy. “It's very early days for food, and I don’t think anyone has figured it out globally. Solving for a three-sided marketplace is a complex problem, and it will take a few cycles for the market to mature," said Manik Gupta, chief product officer of Uber. Since India is the fastest-growing market for food delivery services, they will try hard to sustain. Uber eats still attains the third position in India when it comes to food delivery services.

India provides 12% of trips or transactions of Uber's global volume. thus uber eats can grow substantially in India they believe. Uber as of now has a market of $53.4 billion and now it plans to invest in grocery delivery business. the company is soon expected to evaluate the local market. “We haven’t made any decisions in terms of when we are going to do it, but it is definitely an area we are looking at, at the corporate level,” Gupta said.

After the retails giants like Amazon and Flipkart, Uber will be the next to size up its plan in selling groceries and fresh food to Indian Consumers. Since food is the only segment where online retailers are allowed to sell directly to consumers. 

Uber is battling against Ola as well. Over the last year, it has been trying hard to continue in its loss-making business. in India, this has come to investing back in the food delivery business and cutting discounts of the customers. However, from an engineering and technology perspective, the company is hiring 500 executives, including designers, product managers and engineers for its technology centre in Hyderabad. in the second quarter, Uber’s global revenue stood at $3.16 billion on losses of $5.2 billion.

while Ola reported that they are close to reaching their break-even this financial year. “We don't look at what our competition is doing, as long as we are building mobility options at all price points. For Uber, we are playing the long game,” Gupta said.