Mint Explainer: Will Swiggy eat Urban Company’s lunch with Pyng?

While Swiggy has launched several apps, such as SNACC (a quick snack delivery app), SwigL (a learning app for delivery partners to perform their daily tasks effectively), Instamart (a quick grocery and essentials delivery app), Scenes (a ticketing and events platform), and Swiggy Minis (a marketplace for small businesses), among others, all of them have stayed within the boundaries of its core food delivery proposition. 

Its latest bet, Pyng, marks a significant shift.

Pyng will connect users to a wide range of professionals—therapists, DJs, photographers, fitness trainers, developers, beauticians, and even astrologers. The move seems to be part of Swiggy’s diversification strategy as it looks to leverage its logistics and consumer base to tap into the growing services market in the country. 

Mint looks at the nuances behind the move and challenges in the space.

What prompted Swiggy's plunge into professional services?

The newly launched app is currently live in Bengaluru. It uses artificial intelligence (AI) to recommend relevant professionals to users.

Also Read: Swiggy Instamart picks up pace but still lags Zomato's Blinkit

According to experts, it is a natural expansion. When you add a layer of higher-margin services on top of the existing business, it can improve the company's value basket. Verified service providers and credibility would be a differentiator. 

Swiggy’s Pyng bet is on full-stack ownership and margin expansion: demand, fulfilment, and now services, according to Angad Singh, founding member of Zippee, a quick-commerce logistics platform. “It’s not just about what you consume or how fast, but becoming the trusted platform for everyday needs across consumption and services," he said.

Who would it compete with?

While Urban Company is a leader in the professional services segment, it’s heavily focused on blue-collar gig workers like plumbers, electricians, carpenters, etc. Urban Company, however, has been making inroads into white-collar professional services space through services like interior design consultations. A quick look at Pyng suggests that Swiggy is trying to clearly break into the white-collar space—plumbers, electricians, and carpenters are not available on the app as of now.

While there are business-to-business gig workforce platforms for enterprises such as Awign and Taskmo, where people can list their services as sellers, or niche professional services platforms such as Practo, where customers can get healthcare-related advice/consultations, there are no popular platforms where customers can avail a wide range of specialized services on one platform.

Can it become a big revenue centre?

The Bengaluru-based startup launched its seller app earlier this year and has already onboarded over 1,000 professionals across over 100 specializations. Within a day of the announcement on Tuesday, the company gained over 1,000 downloads on the Google app store. In a clear effort to grow the application, Swiggy is offering a money-back guarantee in case users do not find value in the service.

Also Read: Quick commerce is a cash-guzzler, but Swiggy is unfazed

“The customers are using services mainly through references. In the case of Swiggy, it would be verified. Hence, there will be some comfort for customers to try out. In today's fast-moving environment, the only factor that matters for the customer is time, and this service extension from Swiggy can help solve this. It can be bigger provided it is executed well," said Anil Joshi, managing partner of Unicorn India Ventures.

Moreover, experts note that Pyng will have healthy margins because of the white-collar premium and lower customer acquisition costs.

What’s the challenge?

As a listed company with multiple high-intensity bets, Swiggy faces some critical risks. According to Singh, fragmented focus, operational strain, rising burn, and no clear path to profitability are all clear challenges for the company.

In its last earnings report, the company said it expected its business to achieve adjusted earnings before interest, taxes, depreciation, and amortization (Ebitda) profitability on a consolidated level in the third quarter of 2025-26. Swiggy’s consolidated net loss widened to ₹799 crore for the third quarter of 2024-25 from ₹574 crore a year ago. Another fundamental challenge would be to get good service providers on the platform and maintain a standard quality of experience.

Also Read: Swiggy eyes multi-app strategy with rollout of 3 standalone apps

As Singh pointed out, whether Pyng becomes a revenue engine or an expensive distraction will depend entirely on Swiggy’s execution muscle.