Ola to scale food business and join with instant grocery service
- ByStartupStory | May 19, 2022
Ola foods, a food-first company once again plans to scale down its development aspirations, may merge its services with Ola Dash, its 10 min grocery delivery service. Bowl Some, Khichdi Experiment, Gulp, and more brands are currently operated by the cloud kitchen service.
From a low of 50 outlets in 2020, the cloud kitchen business aimed to expand to more than 500 outlets in the future. However, Ola Foods was unable to create a successful business model for expansion due to the difficulty in managing these operations, as well as management’s concentration on Ola Electric.
The corporation is trying to consolidate its food industry with its fast grocery subsidiary, Ola Dash. Last month, it was disclosed that Ola was testing a re-entry into the instant grocery delivery service with Dash, and Ola Foods’ Bengaluru operations have been merged since last week.
Ola Foods companies have already withdrawn their service from Zomato and Swiggy to stop paying their fees, the app is presently unavailable in various upscale areas in Bengaluru.
Founded in 2009, Ola foods has launched a food company before abandoning it. It established Ola Cafe, a 20-minute delivery service, in 2015, it was later shut down. Ola bought the food delivery company FoodPanda India in 2017, however they reduced their operations in 2019.
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