Faasos Online Food-on-Demand Firm Shifting to App-Only Model in India

The platform has 800,000 downloads and the company expects to hit a million downloads in a couple of weeks, the company said in a statement.

"Faasos has built a niche place for itself in the food ordering space across top 10 cities in India. Surprisingly, even tier-II cities have shown tremendous traction for ordering via the app which led to 97 percent of our delivery sales coming from the mobile app," said Revant Bhate, head of marketing at Faasos.

The company believes that being app only lends itself well to the changing menu over breakfast, lunch, snacks and dinner, along with location-based delivery times, and location.

In terms of the products on offer, the business has recently expanded its offerings, and is among a limited list of breakfast delivering services across India.

The company has recently started delivering tea with snacks in Mumbai, a service that will soon be rolled out in Pune and Bengaluru as well.

In terms of expansion in tier-II cities, Faasos has made inroads in Indore and Baroda, the statement added. Faasos has a strong offline supply chain and distribution coupled with the technology to connect all loose ends together, which has enabled them to generate revenues with bigger margins, Bhate said, adding, "all this is not possible when someone orders via a phone call or through a website."