Restaurants on Swiggy, Zomato get helping hand in Covid recovery with this new Instagram feature

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Updated: Jun 04, 2020 3:55 PM

Technology for MSMEs: Instagram has launched its food order sticker in India to help Covid-hit restaurants listed on Swiggy and Zomato recover.

India is the second-largest market for Instagram with 88 million users after the US.

Technology for MSMEs: Facebook-owned photo and video sharing app Instagram has launched its food order sticker in India to help small businesses in the restaurant sector leverage the platform’s user base in India. Instagram, which has 88 million users in India – its second-largest market after the US — as per Statista, will allow restaurants to share the food order sticker on the Stories. Tapping onto the sticker will redirect users to Zomato or Swiggy. Instagram has partnered with the two food delivery portals for the initiative. The move is likely to help restaurants bruised and battered due to the Covid and lockdown in recovering their sales even as they try to regain consumer confidence with respect to safety mechanisms in preparing and delivering food.

“At Facebook, we understand that small businesses are the backbone of local communities and bring people together. We want to do our part in helping them stay open, keep in touch with customers, and be informed on how to navigate this crisis,” said Nitin Chopra, Industry Head – E-commerce & Retail, Facebook India in a statement. Restaurants will be able to add either Zomato or Swiggy link to their Instagram profiles and can then share the link using the sticker on their profiles itself with the ‘Order Food’ button.

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The tie-up would also serve as an engagement channel and consequently may help with more orders for Zomato and Swiggy that have been looking to improve sales with ease in lockdown guidelines. Even though the government had exempted the online delivery services including food, Zomato and Swiggy along with other e-commerce players have reported challenges in delivering orders due to police and local authority actions.

Food sticker will “aid engagement between customers and their favourite food businesses, and ideally have a positive impact on increasing online food delivery order volumes,” said Srivats TS, VP Marketing, Swiggy.

Hospitality industry body Federation of Hotel & Restaurant Associations of India (FHRAI) had last month cautioned the government that without any stimulus package for the industry, nearly 70 per cent hotels and restaurants are staring at “definite closure,” according to a statement. The hospitality and tourism sector has a share of 12.75 per cent employment — 5.56 per cent direct and 7.19 per cent indirect – in India’s overall workforce. Due to covid impact, the industry is looking at a potential job loss of around 38 million — 70 per cent of the total workforce, FHRAI had said.

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