Business

Ownly launches in H’bad, bets on profitability

By Sohail Khan 26 September 2026, 9:47 am

Benchmarks
Nifty23,140.5077.41

FEATURED FUNDS★★★★★

Motilal Oswal Midcap Fund Direct-Growth

5Y Return
20.4 %

Invest Now

Enter search text:

Business News›Industry›Cons. Products›Food›Ownly launches in Hyderabad, bets on lower-cost food delivery model

Read Today's Paper

Ownly launches in Hyderabad, bets on lower-cost food delivery model
Synopsis

Rapido’s food delivery venture Ownly, which launhed in Hyderabad, is targeting profitability despite an average order value of around Rs 250, nearly half the Rs 400-420 seen at listed rivals Swiggy and Zomato. Co-founder Aravind Sanka said delivery accounts for 85-90% of industry costs, while Ownly is leveraging Rapido’s existing technology, teams and logistics network to keep costs lower.

Rapido’s Ownly bets smaller orders and existing logistics can make food delivery profitable

Hyderabad: Rapido’s newly launched food delivery business Ownly is seeing an average order value (AOV) of around Rs 250, nearly half that of listed rivals Swiggy and Zomato (Rs 400-420). Yet, Rapido co-founder Aravind Sanka is betting that a cost structure built around smaller-ticket orders can still make its food delivery business profitable.

Sanka said 85-90% of the cost of running the food-delivery business for existing aggregators is delivery, making logistics the biggest cost for the industry. The company is leveraging Rapido’s existing technology, teams and logistics network rather than building these capabilities separately.

The company is also betting that lower prices can bring new consumers into online food delivery with 15% of Ownly's new orders in Bengaluru coming from users who had never ordered food online before, Sanka said.

The mobility startup, backed by Prosus and WestBridge Capital, on Friday launched Ownly in Hyderabad, its second market after Bengaluru.

Ownly currently has 10,000 restaurants on board in Hyderabad, which it plans to scale up to 30,000.

By the next quarter, Ownly will further expand across all major metros and tier 1 cities including Delhi NCR, Mumbai, Pune, Kolkata, Ahmedabad and Surat.

Ownly runs on a zero-commission model and instead plans to primarily recover the cost of delivery through fees paid by consumers.

However, Ownly has not yet started charging delivery fees in Bengaluru, meaning Rapido is yet to start making money on Ownly. Sanka says the company will soon start levying delivery fee as its order volume gains traction in Bengaluru. Ownly is doing more than 50,000 orders a day in the city, around five months after its full-scale launch.

Sanka added that Ownly will not be chasing 10-minute delivery, though about 25% of its Bengaluru orders are delivered within 20 minutes. Rapido is also staying away from quick commerce for now, with Sanka saying food delivery is a more natural extension of its marketplace and asset-light logistics model.

On the overall business, Sanka said Rapido expects to turn profitable at the company level in the next financial year, while an IPO is “not on the radar,” he said.

Add as a Reliable and Trusted News Source
Add Now!

(You can now subscribe to our WhatsApp channel)

(Catch all the Business News, Breaking News and Latest News Updates on The .)

…moreless

(You can now subscribe to our WhatsApp channel)

Read More News on
OwnlyRapidofood deliveryHyderabadonline food orderingrestaurant delivery serviceswiggyBengaluruownly hyderabad launchonline food delivery in my city

(Catch all the Business News, Breaking News and Latest News Updates on The .)

…moreless

Enter search text:

Continue reading with one of these options:
Limited Access
Free
Login to get access to some exclusive stories

& personalised newsletters
Login Now

Unlimited Access
Starting @ Rs120/month
Get access to exclusive stories, expert opinions &

in-depth stock reports
Subscribe Now

Unlock Access to All Exclusives with ETPrime FREE TRIAL

15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers

Trial offer expiring in00 : 05 : 00

I'd rather pay ₹2599 now

Uh-oh! This is an exclusive story available for selected readers only.

Worry not. You’re just a step away.

Prime Account Detected!

It seems like you're already an ETPrime member with

Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.

Unlock ETPrime's Exclusive Stories Today!

Subscribe to gain powerful insights on business, stock market and industry trends.

Big Price Drop! Flat 40% Off

Student Only Offer

Already a Member? Sign In now

Already a Member? Sign In now
Already a Member? Sign In now

Offer Exclusively For You

Save up to Rs. 700/-

ON ET PRIME MEMBERSHIP

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get Flat 40% Off

Then ₹ 1749 for 1 year

Avail Offer

Offer Exclusively For You

ET Prime at ₹ 49 for 1 month

Then ₹ 1749 for 1 year

Avail Offer

Special Offer

Get flat 40% off on ETPrime

Avail Offer
Avail Offer

Claim NowAlready a Member? Sign In now

Need Assistance?

Connect with an ETPrime expert for personalized support and guidance

+91 9484700004

' + h3 + '

' + h4 + '

' + listing + '

What’s Included with

ETPrime Membership

1Exclusive Insights That Matter

Uncover the truth with our investigative stories

Make strategic moves using the real-world case studies

Read industry-specific stories to identify emerging trends

Spot opportunities with in-depth insights that matter

Trump temper on H-1B visas is forcing Indians to do these things to stay put in US

What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.

Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?

The problem with lab grown diamonds
Why a falling rupee is a better option for the economy

A list of top 20 momentum stocks that have delivered massive returns in one year