The bright lights of India’s restaurant scene aren’t just illuminating tables—they’re casting their glow on a quiet revolution brewing behind the scenes. In a market long dominated by tech titans like Zomato and Swiggy, who extract a hefty 20–30% commission from each order, a new champion has quietly emerged. Reelo, an Indian startup led by the Sanghvi brothers, is boldly helping restaurants reclaim control, and in doing so, may be redefining hospitality itself.
The Problem: Aggregator-Heavy Chains
Step inside nearly any Indian eatery and you’ll hear the same story: “Aggregators bring us new customers, but at a steep cost.” Platforms like Swiggy and Zomato, once hailed for expanding reach, now take sizable cuts from every meal. Many restaurant owners feel trapped—forced to cede margins and data for the sake of digital visibility. Margins are squeezed, consumer-brand bonds are frayed, and price wars have become commonplace.
Reelo’s Mission: Return Control to Restaurants
Enter Reelo, a loyalty and marketing solution designed to turn first-time guests into devoted regulars. Instead of handing over their profits to third-party platforms, restaurants using Reelo can:
- Build comprehensive customer profiles from every visit—no extra work required.
- Automate feedback capture and flag issues (anything from a poorly rated dish to service complaints) to the right teams, instantly.
- Run laser-targeted campaigns—like sending soup-and-bread offers to those who haven’t dined in months, or personalized birthday deals to valued guests.
- Integrate seamlessly with more than 35 leading point-of-sale systems, capturing a treasure trove of data without requiring staff to lift a finger.
- Experiment with prepaid memberships, inspired by international models like Amazon Prime or Panera’s US coffee subscriptions, giving customers perks such as free drinks, VIP menus, or exclusive access, all while providing upfront revenue to restaurant owners.
Reelo’s secret sauce isn’t just technology—it’s a new way to think about customer relationships. “Aggregators might deliver the first order. We secure the hundredth visit,” said co-founder Sanghvi in a statement to YourStory. The focus isn’t just on filling seats once but on fostering a loyal community, driving repeat visits and brand love.
The Numbers: Loyalty Pays Off
- 28,000+ restaurants now use Reelo
- Some users see a 40% repeat customer rate, generating over ₹4 lakh a month by tapping into data-driven engagement
- Retention, not just customer acquisition, drives real, sustainable restaurant growth
A New Revenue Stream: Memberships
The boldest move yet? Restaurant memberships—monthly passes loaded with perks that drive habitual visits and offer steady, upfront income for restaurant partners. Nutcracker Café in Mumbai, for instance, offers a ₹2,000 pass for 30 cups of coffee—a win-win for both customer and eatery. By making “membership revenue” a standard line item, Reelo hopes to fundamentally change how restaurants think about cash flow and loyalty.
Challenges and the Road Ahead
As inspiring as Reelo’s rise has been, the journey isn’t without obstacles. India’s restaurant market is fragmented and many small establishments remain hesitant to invest in retention tech. Proving the return-on-investment of loyalty tools takes time and patience. And, with aggregators feeling regulatory heat, the battle for restaurant relationships is only heating up.
The Competitive Table: Other Startups in the Loyalty Game
Reelo is not alone in its quest. The field is lively, with several innovative startups working to help restaurants escape the aggregator trap and build direct customer ties:
| Startup | Focus | Unique Features |
|---|---|---|
| Xeno | CRM and loyalty automation | AI-powered personalized campaigns, integrated with delivery and e-commerce platforms |
| EasyRewardz | Omni-channel loyalty | Digital rewards, customer journey tracking across online and in-person visits |
| Clozerr | User-friendly loyalty apps | Simple app-based offers, targeted mainly at small and local eateries, affordable tech |
| Vaffle | Customer retention | Customizable perks, real-time engagement tools for restaurants |
| uEngage Edge | End-to-end loyalty suite | Robust loyalty modules for small and mid-sized chains, real-time insights |
| LimeTray | Loyalty and ordering | Combines loyalty with direct online ordering, aiming to cut out aggregators |
Some global brands and even aggregators themselves have started to experiment. Zomato rolled out “Infinity Dining,” a buffet-style, all-you-can-eat scheme at partner restaurants—a sign they, too, sense the need for deeper connection and direct loyalty offerings. Yet, unlike Reelo and its cohort, their focus often straddles both restaurant and consumer interests, a balancing act that has yet to fully satisfy either.
Why This Revolution Matters
In an age where consumer loyalty is fluid and diners are spoilt for choice, the real winners will be the restaurants that know—truly know—their customers. Reelo’s vision, if it pans out, turns restaurants from transactional experiences into habitual havens for daily rituals, personal celebrations, and authentic connection.
For the restaurant industry, the shift from discount-driven, aggregator-dependent business towards data-driven loyalty could make the difference between surviving and thriving in the years to come. As more eateries embrace tools like Reelo’s, the Indian dining experience may well become richer, more personal, and—ironically—just a little bit less digital.
