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Zomato Business Model | What is The Zomato Business Revenue Model?

Table of Contents

  • 1 Power and Use of the Internet
  • 2 Introduction of Zomato
  • 3 Ordering from Zomato App is Very Easy
  • 4 Zomato a Very Wide Network and Reliable Customers
  • 5 How Foodie Bay Reincarnated to Zomato?
  • 6 Large Data Files and Setup of Zomato
  • 7 What is Zomato’s revenue model? Zomato Business Model
    • 7.1 Online Advertisement
    • 7.2 Online Order for Food
    • 7.3 Pre-booking of The Table
    • 7.4 Other Software Tools
    • 7.5 Business Page for The Restaurant
    • 7.6 Organizing Events
    • 7.7 The Restaurant Guide for People
  • 8 Wrapping Up on Zomato Business Model

Zomato, almost every person who lives in cities knows about Zomato. Zomato an online website and mobile app to order food, search for restaurants and even you can book a table there. I sure you know about Zomato and even you had ordered something in your life. But have you thought how Zomato makes money? So today, in this article I am going to tell you about Zomato Business Model.

Power and Use of the Internet

Connecting with the people and business has become a very common phenomenon nowadays with the venture of the internet in our lives. Gone are those days when you have to drive through each service independently and utilize your resources for even a single piece of work. Now, what cannot be done through the applications that run on the internet? Starting from the online shopping of clothes and other merchandise to the exclusive online portals that give us various applications that help us to get the best food out of your locality that too with the free delivery services. These applications not only gives you the best and delicious food but also allures us with the exciting offers and discount on each dish you offer from any of the prescribed restaurants.

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Introduction of Zomato

Zomato.com is such a restaurant search application and an efficient platform for ordering the best food of your choice from the restaurant you like. The best thing is that you can multiple options at one site and the comparison becomes a bit easy to make the best choice out of all. This app mostly lessens the gap between the restaurants and the customers. As the service becomes quite handy to people, they order in a minute without much hassle. The restaurants who run on digital demand of the people through these apps are much far away from those traditional restaurants who believe only in the dine-in facility of the people. This not only widens the gap but also make them stand a strong competition in front of them.

Ordering from Zomato App is Very Easy

One need not have any technical knowledge to get through these apps. Any naïve person user-friendly with the smartphone can order any kind of food from these apps. The cash on delivery is a very alluring option as one need not pay initially for the food that you have ordered. But, at the time of delivery, one can make the payment. Also, the work of paying through cards and all is being resolved. Zomato provides various offers also to their customers. Several discount codes are given to the regular customers and even the referral code users are given extra benefit on order, which makes quite a long chain of users connected to it.

Zomato a Very Wide Network and Reliable Customers

The company Zomato is renowned worldwide for its services and alluring offers to its reliable customers. It has made quite a receptive chain of people around the country. It was founded in 2008 by two Indian entrepreneurs and now it is running successfully in approximately 23 countries of the world. Its worldwide chain is remarked for its excellent services and timely delivery of the food at the prescribed destinations. Think about the business model of Zomato.

Moreover, the Zomato application gives you the best of the review of any particular restaurant and any particular dish of it. The true feedback of the mass is given to you that can actually give you an honest review for the same. Well, one can also have the proper menus for each of restaurant along with the price details which one may be able to even find on the official websites of any restaurant. This full-fleshed information makes us order the food from this very site only rather than the official sites of the eating junction. You can also start your company but you need a strong business model as like Zomato Business Model.

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How Foodie Bay Reincarnated to Zomato?

This very name was initially originated as Foodie Bay in 2008 while in November 2010, it was reincarnated to Zomato. The company business made the other competitors mad over it. The whole of the business enthusiasts noticed its remarkable increasing demand in the market and with a very rapid speed it reached to one of the most earning businesses of the world. everyone is curious to know the business model idea of this very company. people tend to get to the point answers to their detailed keyword. Whenever a user enters some keyword, they expect the specific answers only but not a long list surrounding it. The very specific feature of the app impresses its users a lot and makes them visit this app all over again to make some buy. Something one questing raise in my mind that what is business model of Zomato? Click Here to read more about Zomato on Wikipedia.

Large Data Files and Setup of Zomato

Almost every restaurant chain, may it be local or a foreign chain restaurant falls under this app. They cover every restaurant in your town. In fact, it shows which are the nearest restaurants to your prescribed location on the app and will give you the best out of them. They have a perfect data structure that can store in multiple data items and give you the most accurate answer out of it when a user asks for. It can also help a newbie to judge their success rate in a particular area.

If a person wants to start up a new eating joint, they can get the success rate of that business in a particular locality they want to rely on. This will give a great idea for the return of the business. it will also help the owners that what kind of food do people like to eat and what are their likings and disliking of the people of that particular area. That means, it contains data sets not only for the users who order the food but also helps a lot to the owners who sell the food.

This complementing service helps the owners to maintain a good business idea for their successful career. One can also book a table in any of their favorite restaurants. This helps the users as well as the restaurants as they can have a structured process of dine-in of the people.

What is Zomato’s revenue model? Zomato Business Model

One thought that comes to everyone’s mind is that Zomato is earning from this very business and generating income source from this restaurant research business. How does Zomato earn money? Think about the Zomato Business Revenue Model. Here are few sources explained briefly about the same:

Online Advertisement

Zomato basically advertises the restaurant brands and showcase their specialties in a very sophisticated way. Most of the revenue, we can say around 75% comes from this advertisement only. it is somewhat similar to the Google app as whenever we enter our locality, we come across the various restaurants that are located nearby along with their all the details. These are basically given the restaurants only to the Zomato so as to make it appear in their search. This form of advertisement is obviously not free for any of the restaurant merchandise.

Online Order for Food

Whenever some orders online for the food through the Zomato app, the implicit fee is charged to the restaurant but not to the users for using their platform to make the orders. Well, it is the duty of the Zomato to make the delivery at their doorsteps and this is what they will be charging for. This nominal fee is also added to the revenue of the company.

Pre-booking of The Table

If some customer wishes to book a table in advance in any of the restaurants for the dine-in, then this could be done through the Zomato app as this facility is also available in the some of the countries but not all. The Zomato charges nominal fees to the restaurant for using the Zomato platform to book a table in their respective restaurant. Zomato Whitelabel is the exact platform that manages all these tasks such as booking of the table by giving a prior notification to the specific restaurant only that one has booked for.

Other Software Tools

The other tools used by people such as billing, search history, restaurant information, reviews, and feedback are also getting through the Zomato app. Each and every tool used by the people to search for a particular restaurant is chargeable but not free.

Business Page for The Restaurant

The restaurant can claim a particular page on Zomato by giving a preferable link in their cards or other receipts. Well, the management of reviews and replies on this restaurant page also generates a good amount of revenue for the company, Zomato.

Organizing Events

Restaurants organize various events on Zomato so as to allure the maximum mass to their brand and engage them in various interesting activities. This event organization and offers and discount coupons are chargeable by the company. on some eve, parties are organized at the restaurants with the venture of Zomato and ample of tickets and passes are being sold. This is the undoubtedly the great form of revenue generation for any company and eating point too.

The Restaurant Guide for People

Zomato started a new innovative idea of launching the restaurant guidebook for the people so that they can know every nook of the restaurant in their localities and also know the minutest details of each one of them. The book contains all the specialties of that particular restaurant and also acknowledges you with the approximate cost for the dine-in for two people. This actually gives you an idea for your expenses which may tell you if a certain eating junction fits your budget or not. This s quite a practical knowledge but very important also for one to know before their visit any place.

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Wrapping Up on Zomato Business Model

Well, this online food merchandise business is no doubt worth investing but one must have a strong base and software to deal with all the masses. As dealing with all of them with such strong rivalries in the market is not as easy as it seems to be. One must invest time in giving something new as newer is also better and impressive to the people. Also, you need a good business model as Zomato Business Model. So, any such is entertained only if a better version arrives.

Categories: Business
Deepak Kansal: Deepak Kumar Kansal has smart insights on digital marketing, advising on more effective blogging approaches. He is a passionate blogger, loves to travel, enjoys different continental food and is a fashion lover. He is rich in experience in SEO, PPC, affiliate marketing and content optimization.

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