Zomato currently aims for a slow and gradual expansion of its home-cooked meal service ‘Zomato Everyday’
Its biggest competitor Swiggy also relaunched its homestyle meal delivery service, Swiggy Daily, recently in Bengaluru
Zomato witnessed some degrowth in the GOV of its core food delivery business in Q4 FY24, which was its fourth consecutive profitable quarter
After largely making it available in Gurugram, foodtech major Zomato
is now aiming to expand and scale its home-cooked meal service ‘Zomato Everyday’ in Bengaluru and Mumbai.
Speaking during the company’s Q4 FY24 earnings call, 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.”
However, the company aims for a slow and gradual expansion of the vertical.
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 offering has also been already piloted in a few localities in Bengaluru.
Zomato said that after trying to develop the offering over the last one and a half year, the company has finally gathered good confidence to scale it.
It is pertinent to note that Zomato’s biggest competitor Swiggy also relaunched its homestyle meal delivery service, Swiggy Daily, recently in Bengaluru, four years after discontinuing it.
Meanwhile, Zomato witnessed some degrowth in the GOV of its core food delivery business in Q4 FY24 where its quick commerce vertical, Blinkit led the show.
Zomato’s food delivery GOV grew 28% year-on-year (YoY) but fell 0.6% QoQ to INR 8,439 Cr in the reported quarter.
Overall, the company reported its fourth consecutive profitable quarter with profit after tax (PAT) rising almost 27% quarter-on-quarter (QoQ) to INR 175 Cr in Q4. Its operating revenue grew only 8% QoQ and over 73% YoY to INR 3,562 Cr in the quarter.
