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Zomato Expands Its Meal Service ‘Zomato Everyday’ To Mumbai

Zomato To Seek Board Approval To Raise INR 8,500 Cr
SUMMARY

As per the foodtech major, the service will be currently available in Malad and Goregaon, and will soon be expanded into more areas across the financial capital

This comes two weeks after the Zomato Everyday announced its foray into Pune

Earlier in May this year, Zomato’s counterpart Swiggy also relaunched its homestyle meal delivery offering Swiggy Daily in Bengaluru

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After largely making it available in Delhi NCR, Bengaluru, Hyderabad and Pune, Zomato has now expanded its home-cooked meal service ‘Zomato Everyday’ to Mumbai.

As per the foodtech major, the service will be currently available in Malad and Goregaon, and will soon be expanded into more areas across the financial capital.

Saurabh Patel, a marketing professional at Zomato Everyday, said in a LinkedIn post, “After Delhi NCR, Bengaluru, Hyderabad and Pune, Zomato Everyday is now live in the City of Dreams! Currently serving in Malad and Goregaon, coming soon in more locations.”

This comes two weeks after the Zomato Everyday announced its foray into Pune

Earlier in May, Inc42 reported that Zomato is eyeing to scale up Zomato Everyday in Bengaluru and Mumbai. 

During Zomato’s earnings call for Q4 FY24, a company spokesperson said, “We want to continue expanding ‘Everyday’. Right now it’s largely in Gurugram, but over the next few months, we’ll see maybe Mumbai and Bengaluru being added as cities where we will launch ‘Everyday’ and then we’ll take it from there in terms of other cities that we want to expand in.”

Zomato launched this service in early 2023, which was a remodelled version of its earlier similar offering, Zomato Instant. With ‘Zomato Everyday’, the company offers fresh home-cooked meals starting at INR 89. 

The remodeling was reportedly due to low daily order volume, and the inability to scale the segment and pay fixed costs.

Initially, Zomato Everyday was piloted in select areas of Gurugram in February last year. Since then, the service has expanded to multiple cities across locations, underscoring that demand for affordable, homestyle food still exists.

With Zomato Everyday, the foodtech aggregator intends to target a new set of consumers, including working professionals residing away from their homes and looking for affordable home-cooked meal options.

Earlier in May this year, Zomato’s counterpart Swiggy also relaunched its homestyle meal delivery offering Swiggy Daily in Bengaluru. 

Swiggy introduced Daily in 2019 but had to shut down this offering following the slump in demand due to Covid-induced lockdowns. 

While Zomato witnessed some degrowth in the GOV of its core food delivery business in Q4 FY24 with its GOV falling 0.6% QoQ to INR 8,439 Cr, the company continues to remain profitable. 

Riding on the back of its quick commerce vertical, Blinkit, Zomato reported its fourth consecutive profitable quarter with profit after tax (PAT) rising almost 27% quarter-on-quarter (QoQ) to INR 175 Cr in Q4.

The development comes on the same day of Zomato’s shares touching an all time high of INR 209.80 apiece during the intraday trading following the shareholders’ approval to create a new employee stock option pool of 18.26 Cr shares.

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