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In today’s newsletter: 

• How Swiggy fared against Zomato in FY24
• Fintechs get a boost against fraud
• BBdaily to be integrated into BigBasket app

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The rivalry between Swiggy and Zomato has intensified, and one of them seems to be gaining a clear advantage, at least for now.

IPO-bound Swiggy, despite staging a strong growth in revenue, is behind Zomato on all metrics. 

• Swiggy clocked a revenue of Rs 11,247 crore and incurred a loss of Rs 2,350 crore in FY24, the company’s annual report show
  
  
• Zomato, on the other hand, had a revenue of Rs 12,114 crore and generated a profit of Rs 351 crore in FY24
   
• Even on a gross order value (GOV) basis, Swiggy with Rs 24,700 crore was behind Zomato which had a GOV of Rs 32,224 crore 

To be sure, Zomato’s public market debut in 2021 required the company to show profits, thanks to retail investors. In contrast, Swiggy enjoyed more flexibility as it remains private and plans to go public later this year.

• Swiggy chief Sriharsha Majety had in fact pointed out earlier that being compared constantly is one of the downsides of having a publicly listed rival

The two companies do not compete just in food delivery, but also in quick commerce where Swiggy is again a laggard. 

• Swiggy Instamart's GOV was $1 billion, but Zomato-owned Blinkit was way ahead at $1.6 billion in FY24

• Swiggy Instamart's average order value at Rs 460 was behind Blinkit's Rs 614

Across the two businesses, Zomato had more monthly transacting users, putting it ahead of Swiggy in the run-up to the latter's IPO.

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The Digital Lenders Association of India (DLAI) is taking a significant step forward in the fight against financial fraud.

The industry body is in the advanced stages of developing a 'fraud repository' aimed at helping its fintech members—ranging from lenders and financial service providers to payment firms—gain a comprehensive understanding of the various types of fraud plaguing the ecosystem.  

Jaitinder Handoo, CEO of DLAI, highlighted the collaborative effort behind this initiative, noting that they are in discussions with a leading tech service provider to finalise the development of this crucial resource.

• Currently, individual fintech players operate in silos, each with its own exposure to fraudulent activities
  
  
• The new repository will break down these silos, organising the information in compliance with the DPDP Act

This move by DLAI aligns with the growing demand from the Reserve Bank of India (RBI) and the government to curb financial fraud and enhance compliance. 

Prime Minister Narendra Modi during his address at the Global Fintech Fest in August said that the regulators need to take bigger steps to prevent cyber frauds.

• The Indian Cyber Crime Coordination Centre (I4C) reported earlier this year that agencies managed to block about Rs 1,127 crore of fraudulent transactions.

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Tata’s e-grocery platform BigBasket is revamping its entire app as it prepares to become a key quick commerce player and ditches the slotted delivery model.

BBdaily, the company’s subscription service, that runs as a separate app currently will be integrated into the main BigBasket app by December.

• The idea is to reduce friction and paint an accurate image of BigBasket’s scale, CEO Hari Menon told us in an interview
   
• BBdaily is a key part of BigBasket. While it is the smallest and the third-largest vertical it still accounts for about Rs 150 crore of the company’s business in a month
   
• BigBasket Supersaver (slotted delivery) is the largest division and accounts for Rs 700 crore of monthly revenue
  
  
• Its quick commerce arm – BBnow – brings in the remaining Rs 350 crore each month 

While it is preparing to bring BBdaily under its fold, the company is making other changes as well. 

• The BigBasket main app is also doing away with its fragmented approach and removing different windows
   
• In the coming months, BigBasket will have just one offering – quick commerce
  
  
• The decision comes at a time when the industry is growing at a rapid pace and new entrants like Blinkit, Swiggy Instamart and Zepto are all making strides 

Analysts at Kotak estimated that quick commerce in India is already a $5.5 billion market and competition is only set to increase further.

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India has a new digital backbone, and it's powered by blockchain! The National Blockchain Framework (NBF) is here to ensure our online services are as solid as they are transparent.

• The NBF promises secure, transparent governance by leveraging permissioned blockchain across government services.

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• Meta has partnered with the Telangana government to empower public officials and citizens with AI technologies to enhance e-governance and citizen services, while Nazara Technologies has signed an MoU with the state government for an AI centre of excellence focused on gaming and digital entertainment.
  
  
• The first legally binding international AI treaty, negotiated by 57 countries, will soon be open for signing by participating nations, including the EU, US and Britain, to address AI risks and promote responsible innovation.

In a year where big-budget Bollywood movies have struggled to find their footing, a medium-budget horror-comedy has emerged as the unexpected champion. 

• Stree 2 has not only become the most profitable Hindi film of 2024 but has also breathed new life into the struggling box office

• The film, starring Shraddha Kapoor and Rajkumar Rao, has raked in over Rs 520 crore 

It has not only outperformed big-ticket films like Jawan and Animal but has also delivered a staggering return on investment—a whopping 767%.

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