Swiggy launches premium grocery quick commerce vertical Handpicked

Foodtech unicorn Swiggy has launched Handpicked, an organic, farm-fresh, and locally sourced premium grocery vertical, as it tries to take on gourmet joints and premium delicacies. 

The 'Handpicked' section appears at the bottom right corner of the Swiggy Instamart app and features curated labels across multiple items. The quick commerce vertical offers locally sourced products such as homemade paneer, freshly baked breads, and cookies from local players including Iyengar’s and Brik Oven. It also offers niche items such as spices for global cuisines and oriental sauces. 

In March, Swiggy scaled back InsanelyGood, a similar premium grocery service available on a separate app, and merged it with Instamart. It had rebranded InsanelyGood from SuprDaily in March last year, while trying to launch operations in Bengaluru. 

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In May 2023, Swiggy shut down its premium grocery delivery service, also called Handpicked, wherein the products could only be delivered the next day. It featured premium products, either imported or locally made, like Cherry Coke and locally made kombucha, and were not a part of Swiggy’s quick commerce vertical. 

Commenting on the launch, Phani Kishan, CEO of Swiggy Instamart, said, “We work closely with local partners to rigorously evaluate products for quality and consistency, and only then list them as Handpicked on Instamart. These products are the best in their segment in terms of freshness, originality, and authenticity. The icing on the cake is it will be delivered on-demand for the first time, and that too in just ten minutes."

Swiggy has piloted Handpicked's operations in Bengaluru and plans to expand to Delhi and Mumbai. The vertical will feature more than 500 brands including Sweet Karam Coffee, The Whole Truth, and Blue Tokai.

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Swiggy Instamart, which faces competition from Zomato’s Blinkit and Zepto, is innovating to hold its place in the quick commerce race. Zomato-owned Blinkit turned adjusted EBITDA positive in March and Zepto is looking for a fundraise.

US-based Baron Capital recently marked up Swiggy’s valuation to $15.1 billion, ahead of the company’s public debut.