Instant Househelp Services Boom, But Economics Face Investor Scrutiny

• Instant househelp segment, led by Urban Company, Snabbit, and Pronto, crossed 2 million monthly orders in February, a 45-50% increase.
• Aggressive incentives like Re 1 per hour services and free appliances drive customer acquisition and micro-market expansion.
• Despite order growth, the three platforms' combined burn rate surged to $10-11 million in February from $7-8 million in December.
• Investors scrutinize long-term unit economics and profitability; Urban Company's stock is down 40% since listing.
• Average order values remain low (Rs 120-172), though analysts see potential for expansion into higher-value home services.