Zomato is a google of food.
Business Model of Zomato
Zomato is an Indian restaurant aggregator and food deliverystart-up founded by Deepinder Goyal and Pankaj Chaddah in 2008. Zomato provides information, menus and user-reviews of restaurants as well as food delivery options from partner restaurants in select cities
|Type of company||Private|
|Founded||in July 2008|
|Founders||Mr.Deepender Goyal and Mr. Pankaj Chaddah|
|Area served||In 24 Countries like Australia, Brazil, Canada, Chile, Czech Republic, India, Indonesia, Ireland, Italy, Lebanon, Malaysia, New Zealand, Philippines, Poland, Portugal, Qatar, Singapore, Slovakia, South Africa, Sri Lanka, Turkey, UAE, United Kingdom, United States|
|Industry||Online Food ordering retail|
|Revenue||1,530 crore (US$210 million) (H1-FY 2020)|
|Users||8 crore ( 80 million) monthly active users|
English, Turkish, Portuguese, Indonesian, Spanish, Czech, Slovak, Polish, Italian, Vietnamese
Firstly i will tell you some basic things about how Zomato formed?
we all heard about zomato right, but do you know how Zomato started there business and what was the reason behind it?
so, today i will you some basic thing about Zomato and letter we will discuss about some main points like-
- The knowledgeable story behind Zomato
- Zomato business model, and revenue model
- Marketing strategy
- Zomato controversy
How Zomato formed?
Do you know? Zomato is an Indian restaurant and discovery service founded in 2008 by Mr. Deepinder Goyal and Mr.pankaj Chaddha.
and the great thing about zomato is it is currently operates in 24 countries.
It provides information and review of restaurants, including images of menus where the restaurant does not have its own website.
It’s also provide online delivery.
The restaurant search and discovery platform began it’s operations under the name, foodie-bay.
In November 2010, the brand was renamed as Zomato.
By 2011, Zomato also launched in Delhi NCR, MUMBAI, Bangalore, Chennai, pune, and kolkata.
with the introduction of .xxx domains in 2011, Zomato also launched Zomato.xxx, a sit dedicated to food porn.
The company launched a print version of the website content named,”Citibank Zomato restaurant Guide.”
so, in collaboration with Citibank in may 2012, but it has been discontinued.
now, in 2012, Zomato expanded overseas to the United Arab Emirates, Sri Lanka, Qatar, the united kingdom, the Philippines, and South Africa.
and in 2013 they launched in new Zealand, turkey, Brazil, and Indonesia with it’s website.
Zomato’s app available in Turkish, Brazilian Portuguese, Indonesian and English.
in April 2014, Zomato launched its service in Portugal, followed by a launch in Canada, Lebanon, and Ireland in the same year.
The knowledgeable story behind Zomato
Mr. panjak chaddha (CO- founder) of Zomato said ”Build what you believe will turn into a healthy business.”
gone are the days when ordering food from restaurants meant going through a stack of menus and calling up the restaurant repeatedly for a single meal.
initially, you’d know of limited number of tried-and-tested place you could order from.
now i will tell you about there
Ideation process for Zomato.
So, when MR. Deepinder AND Mr. Pankaj Chadha were working at the ban, they don’t know cooking actually so they always used to order food from outside.
In their office’s cafeteria, they use to have a stake of menu cards which would be the sound of popular places around the place from where they can order.
and their thoughts refresh the menu scan them, and put them in the microsites.
and this was the point from where this idea germinated.
then they create one microsite very basic like only the scan menus, the address, the phone number, that’s all nothing of the content, rating and all of that what you see right now and then they shared with their colleagues and everyone loved them.
the great feedback was which pushed them to travel around the city and collecting more and more menus from places that were delivered to your doorstep.
and then they created one website called foodie-bay.com. which was the first version of zomato.
now let’s talk about the interesting thing that
How they did come up with the name Zomato?
The reason behind changing the name because their investors quite disappointed foodie-bay actually has an e-bay tread mark as the last four characters of the name.
then they thought about it more and they found that foodie-bay was very restrictive to food customers can’t speel it right.
So, they found a name that made sense in different countries as well. they came across Zomato because it was one of the sites which kept good domine names.
Zomato centered around because that sounds the same as a tomato.
and the good thing was it has only three sound zo-ma-to, and six letters very easy to spell, very easy to pronounce, everyone easily gets to know what the correct spelling is.
What are key things that an investor looks for in a start-up?
Now i gonna tell you that key points which you can use for YOUR BUSINESS START-UP
The first most important part will be your team. more than anything else, the team has a goal-oriented.
There would be a hunger for success because you need to make the right calls on your way in the whole journey.
Even you have to start up with a bad idea or a bad model if you are able to make the right calls at the right time. then you able to succeed at the right time.
The second part would be the execution of the team.
you know, idea doesn’t matter as much as the execution does.
The third key thing is ‘Business idea’ or ‘business plan’
the thing is, starting point always must, make sense or must feel a gape.
so,basically it’s order be like –
- The team
- The execution
- Then idea
Marketing strategy of Zomato
The very unique thing about Zomato is that they are mostly using internet media to promote. lets see what are the strategy zomato use.
1.They always use unconventional or unexpected mediums.
The main target customer of Zomato is the youth who are between the ages of 18-35 and people who often want to eat out with their friends and colleagues.for that they started doing advertisement in youth language.
2. Zomato always use low cost marketing medium
Zomato not do much focus on traditional marketing platforms like T.V instant of these Zomato use cheap and effective mediums like posters, social media, websites, and their official app.
3.Providing beat service and better experience to there customers
they give voice to there customers.they always take there feedback and work o it.
they can anything for providing customer services.
like they charge more commission from the restaurant who provide bad customer services and they take less commission from the restaurant who gives the best services.
this is the best technique for motivating the restaurant to provide the best customer services.
another thing they do to maintain good relations with the customers is they don’t use their same standard messages. they always give a response in a very friendly manner.
4.Give heavy discounts for customers attraction
zomato always give discount for making new customers. they give up-to 50% off just for customer attraction.
they always keep trying to engage customers.
like by creating funny memes or by posting very unique content on their own every social media.
Zomato business model, revenue model, and future strategies
Many of the people don’t know about what business model is?
so, I will tell you about my business model definition in simple words. ‘The business model has to clearly define how do you create, capture, and deliver the value.
i divide it into five major factors for better understanding of Zomato’s business model it is simply like A B C D and E.
And as my best of knowledge you have to first Analyze your customers in detail.you have to go in the shoes of your customers for well-knowing.
Then come on the second point and Brainstorm its contain, co-create your products, and your services with the customers.
in the business, you have to co-create your values.so. you have to go bake and do bake and forth lots of process orientations with your customers.
for co-creation you have to understand there need by doing following points.
- Market survey
- Ask question
Now, after Analyze and Brainstorm the third point is Create, now you have to start creating your products with Manpower, factory, team, resources,.
always remember, first products never give success. it’s always make for testing.
Now, you are ready to Deliver your value in the market. and then Evaluate it for improvement. and your main motive should be customer delight. In case, if you are not able to achieve customer delight then you have to continuously keep improving.
mainly Zomato revenue generated from
- advertisements of restaurants
- food delivery
- cloud kitchen
- White label
Mr. Deepinder Goyal is Founder of Zomato
Revenue for the financial year ended March 31 2020 more than doubled to $394 million, even as losses widened to $293 million from $277 million in the previous fiscal year
Yes, Zomato is an Indian restaurant aggregator and food delivery start-up
Yes, Zomato is open to giving franchise opportunities to the public. But Zomato only chooses those restaurants to be a part of the Zomato Kitchen franchise that enjoys a good reputation and provides high-quality food and satisfactory customer service to its customers.
Zomato to go public by first half of 2021, as Tiger Global, others join financing round. MUMBAI: Zomato has roped in New York-based investment fund Tiger Global as part of its current fundraising round, the online food delivery platform’s cofounder and CEO Deepinder Goyal said in an email to employees on Thursday.
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