How are restaurants able to give 60% discount on Swiggy and survive?

MRP on menu in restaurants is much lesser than MRP on Swiggy.

Firstly, the restaurents with 60% off are again cloud kitchen startups or subsidiaries of the app company itself.

Funding from investors. Starts with seed funding, then series A,B,C funding.

The plan for all these start-ups, is, stay alive till we get profitable or sell out.

And since investors look at DAU and prop algos to throw money at you, the more you have of those two, the more funding, and the more cash burn.

There are a lot more profitable means to launder money, i don't think that's what's happening though.

Each item on swiggy is at the least 30inr more than what they are available at the restaurant. 🤫

The 60% comes with a maximum cap of 100-125 and a minimum order value. Only a small percentage of the orders hurt their margins.