Swiggy, Magicpin and Zomato See Food Delivery Growth Rebound in Q3FY26

India’s food delivery sector showed signs of renewed momentum during the October–December quarter of FY26. After a phase of relatively slower expansion, leading platforms experienced an improvement in order volumes supported by festive demand and wider consumer participation.

Companies also focused on affordability-led offerings and product initiatives, which helped attract new users and encourage repeat ordering across both large cities and emerging urban markets.

Growth Returns to Food Delivery Platforms

Major food delivery platforms such as Swiggy, magicpin and Zomato recorded an improvement in growth during the third quarter of FY26.

Industry participants indicated that higher order volumes during the festive period, combined with value-focused offers and marketing initiatives, contributed to the improved performance. Executives also noted that ongoing investments in technology, promotions and product development are expected to support continued order growth in the coming quarters.

Strong Performance Across Key Urban Markets

While established markets such as the Delhi-NCR region remained stable, several large metropolitan areas recorded notable expansion in order values.

Cities including Bengaluru, Hyderabad and Mumbai reported more than 40% growth in gross order value (GOV). This suggests that demand remained active in major urban centres, supported by a combination of convenience-driven consumption and promotional offerings.

Affordability Emerges as a Key Demand Driver

Executives across the sector highlighted affordability as an important factor behind rising order volumes. Lower average order values have encouraged users to place orders more frequently.

According to leadership at magicpin, a typical order value ranging between ₹150 and ₹300 has made food delivery accessible to a wider customer base. This pricing structure has also supported repeat purchases, particularly among younger consumers and users in developing urban markets.

Swiggy Reports Improvement in Key Metrics

According to its shareholder communication for Q3 FY26, Swiggy reported a 20.5% year-on-year increase in gross order value, reaching ₹8,959 crore.

The company attributed this growth to stronger adoption of new offerings centred on delivery speed, wider food selection and value-oriented deals. Swiggy’s average monthly transacting users (MTUs) rose 22% year-on-year to 24.3 million, compared with 17.8 million during the same quarter the previous year.

Total orders also increased to 294 million, up from 234 million during the corresponding period.

Zomato Also Shows Improving Growth Trends

Zomato also reported stronger growth in its food delivery business during the December quarter.

The company recorded 16.6% year-on-year growth in net order value (NOV), reaching ₹9,846 crore. This translated into 21.3% growth in gross order value, indicating a higher level of activity on the platform.

The company’s average monthly transacting users increased 21% year-on-year to 24.9 million, reflecting broader consumer engagement with food delivery services.

Tier-II and Tier-III Cities Contribute to Expansion

Industry executives also pointed to growing participation from smaller cities as a contributing factor to the sector’s growth.

Affordability-focused offers and wider restaurant partnerships have helped platforms expand their reach in tier-II and tier-III markets. Consumers in these regions are increasingly adopting online food delivery services as digital payments, logistics networks and smartphone penetration continue to expand.

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Conclusion

The October–December quarter of FY26 indicated a recovery in growth for India’s food delivery sector. Higher festive demand, affordability-led offerings and an expanding user base supported improved order volumes across leading platforms. 

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