Decoding Zomato’s Blinkit Acquisition To Take On The Big Boys In The Quick-Delivery Market
2 years, 6 months ago

Decoding Zomato’s Blinkit Acquisition To Take On The Big Boys In The Quick-Delivery Market

ABP News  

Mumbai: Zomato Ltd, an Indian food-delivery service, has agreed to buy local grocery-delivery start-up Blinkit for Rs 4,447 crore in an all-stock deal, as competition in the quick-delivery market heats up. Deepinder Goyal, founder, and chief executive of Zomato, believes that quick commerce has been the company’s strategic priority since last year when it first invested in Blinkit. Zomato’s capacity to spend resources to gain market share in this area remains restricted, as food delivery struggles to generate appealing unit economics. “We continue to believe that unit economics, market consolidation, and delivery lead times are key monitors here for Zomato, as the latter lacks any first-mover or scale advantage, unlike in delivery which was dominated by smaller players and was also fragmented,” Karan Taurani, an analyst at Elara Securities told ABP LIVE.

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History of this topic

Zomato’s losing steam and the Blinkit drag
Trending News
23 hours, 17 minutes ago

Zomato’s losing steam and the Blinkit drag

Live Mint  

Zomato has been a poster child of startup success. For perspective, Zomato’s food-delivery business turned profitable as early as the second quarter of FY23, but owing to the drag by Blinkit, Zomato as a whole turned profitable only in FY24. Food delivery: From strength to strength Even as Blinkit grows as a share of Zomato’s business, food-delivery has remained the …

Zomato share price tumbles 3% today as poor market run continues. What's next?
Trending News
1 day, 7 hours ago

Zomato share price tumbles 3% today as poor market run continues. What's next?

India Today  

Shares of food delivery giant Zomato extended their decline for the fourth consecutive session, falling over 3% in early trade on Wednesday. The ongoing slide in Zomato’s stock was triggered by a downgrade from foreign brokerage Jefferies, which changed its rating from “buy” to “hold.” The brokerage also slashed its target price by 18% to Rs 275, down from Rs …

Is Zomato's dream stock market run over?
2 days, 7 hours ago

Is Zomato's dream stock market run over?

India Today  

Shares of Zomato fell over 5% in early trade on Tuesday, extending its weak market run after a period of strong gains. The brokerage also reduced its target price for the food delivery giant by 18% to Rs 275, down from Rs 335, reflecting concerns over intensified competition in the quick commerce segment. Jefferies cited heightened competition from Swiggy’s Instamart, …

Zomato’s Blinkit launches Bistro app: How does it compare with Zepto Cafe? All we know about ’new growth frontier’
3 weeks, 6 days ago

Zomato’s Blinkit launches Bistro app: How does it compare with Zepto Cafe? All we know about ’new growth frontier’

Live Mint  

Zomato's Blinkit launches Bistro app: Food aggregator and delivery platform Zomato's grocery arm Blinkit has lauched its new food delivery app called Bistro. Available on Google Play Store and with plans for roll-out on Apple's iOS soon, the new app challenegs the lucrative quick food delivery space just as Zepto announced the separate launch of Zepto Cafe app. Next Growth …

Can Swiggy’s Instamart spice it up in quick commerce?
1 month ago

Can Swiggy’s Instamart spice it up in quick commerce?

Live Mint  

For the September quarter, both companies saw about 5% and 24% growth in their respective gross order values of the food delivery and quick-commerce businesses. In Q2FY25, Swiggy’s GOV was ₹10,600 crore against ₹15,800 crore of Zomato in both the main businesses, i.e., food delivery and quick commerce together. Its adjusted Ebitda in Q2FY25 in the two businesses was ₹333 …

Motilal Oswal initiates coverage on Swiggy, sees 16% upside; here’s what the brokerage says
1 month, 2 weeks ago

Motilal Oswal initiates coverage on Swiggy, sees 16% upside; here’s what the brokerage says

Live Mint  

Swiggy, the recently-listed food tech company, has garnered significant attention from leading domestic brokerage firms. While Zomato currently holds a leadership position in both food delivery and quick commerce, Swiggy’s user base appears more mature and loyal. “Although Zomato has captured more market share in food delivery, Swiggy’s cohorts demonstrate higher stickiness and better GOV/MTU ratios,” the brokerage stated. Motilal …

FMCG Firms Embracing Quick Commerce: A Shift in Urban Consumer Preferences
2 months, 1 week ago

FMCG Firms Embracing Quick Commerce: A Shift in Urban Consumer Preferences

Live Mint  

FMCG firms are embracing quick commerce amid a shift in urban consumer preferences. This has led to increased traction from quick commerce channels, with companies like Adani Wilmar Limited seeing a significant rise in their business on q-commerce platforms. However, traditional stores are also facing a decline as consumers shift their shopping habits towards online platforms. This trend is particularly …

Zomato Surges 8% After JPMorgan Hikes Target Price; Check Details
4 months ago

Zomato Surges 8% After JPMorgan Hikes Target Price; Check Details

News 18  

Shares of food delivery platform Zomato surged 8 per cent to Rs 261.50 on the BSE in Thursday’s intra-day trade amid heavy volumes in an otherwise lacklustre market. For Blinkit, the company’s quick commerce arm, revenues surged 145 per cent year-on-year to Rs 942 crore, though adjusted EBITDA for the same period stood at Rs -3 crore. The gross order …

Zomato stock price up 112% in 2024; should investors buy now?
5 months ago

Zomato stock price up 112% in 2024; should investors buy now?

Live Mint  

Global brokerage firm Nomura has increased its target price for Zomato to ₹280 from ₹225 while maintaining a ‘buy’ recommendation. Q1 Earnings Zomato’s consolidated net profit for Q1FY25 skyrocketed to ₹253 crore, up from ₹2 crore a year ago, driven by increased gross order value across its food delivery, quick commerce, and going-out verticals. Investment Rationale Food Delivery Growth: Nomura …

Zomato Q1 Result: Food Delivery Platform's Net Profit Surges To Rs 253 Crore
5 months, 1 week ago

Zomato Q1 Result: Food Delivery Platform's Net Profit Surges To Rs 253 Crore

ABP News  

Zomato Q1 Result: Food delivery platform Zomato announced a beyond-expected rise in quarterly profit, driven by robust demand for its food and grocery delivery services. On Thursday, the company reported a consolidated net profit surged to Rs 253 crore for the April-June quarter of the fiscal year 2024-25, up from Rs 2 crore in the same period last year. The …

Quick Commerce Boom! Zepto, Swiggy, Instamart, and Blinkit Redefine Retail Trends | Paisa Live
5 months, 2 weeks ago

Quick Commerce Boom! Zepto, Swiggy, Instamart, and Blinkit Redefine Retail Trends | Paisa Live

ABP News  

With the rapid increase in internet usage, the Quick Commerce sector has witnessed substantial growth, significantly altering consumer buying behavior. Apps such as Zepto, Swiggy, Instamart, and Blinkit have become integral to this shift, providing swift access to everyday necessities and reshaping how Indians shop. These quick commerce platforms have led to a notable change in purchasing patterns, with consumers …

Quick commerce firms expanding ops beyond groceries, food delivery
7 months, 3 weeks ago

Quick commerce firms expanding ops beyond groceries, food delivery

New Indian Express  

NEW DELHI: The quick commerce segment is heating up as many firms are now entering quick delivery and looking beyond groceries and food delivery. Earlier this month, Swiggy Instamart started delivering movie merchandise, marking a new category in the quick commerce industry. When players such as Zepto and Blinkit pivoted the quick commerce segment, experts questioned the model, safety of …

Deepinder Goyal's plan for Zomato's Blinkit that may worry Amazon, Flipkart
10 months, 3 weeks ago

Deepinder Goyal's plan for Zomato's Blinkit that may worry Amazon, Flipkart

Hindustan Times  

Zomato's Blinkit could reportedly add more brands across new categories as it aims to compete with ecommerce marketplaces like Amazon and Flipkart. As the company aims to push into the fast-growing direct-to-consumer area it could build its own supply chain to directly source branded products as well as manage stock, Economic Times reported. Zomato would deliver these through Blinkit as …

Zomato Q2 Result: Net profit at ₹36 crore, revenue rises 72%, stock surges 7%
1 year, 2 months ago

Zomato Q2 Result: Net profit at ₹36 crore, revenue rises 72%, stock surges 7%

Hindustan Times  

Online food delivery platform Zomato on Friday reported a consolidated profit after tax of ₹36 crore for the second quarter ended September 2023, driven by strong revenue growth. Food delivery company Zomato as seen on its app The company had reported a loss of ₹251 crore for the corresponding quarter of the previous financial year. The company also announced that …

Blinkit not working? Here are other grocery delivery apps you can use
1 year, 8 months ago

Blinkit not working? Here are other grocery delivery apps you can use

India Today  

Blinkit, the grocery delivery app owned by Zomato, is currently experiencing functionality issues for numerous users in the Delhi NCR region. In 2017, Dunzo received funding from Google, which helped the company to grow and become one of the most promising grocery delivery apps in India. Jio Mart Jio Mart is another reliable grocery shopping app that can get you …

Seeing ‘temporarily unavailable’ message on Blinkit? The reason could be…
1 year, 8 months ago

Seeing ‘temporarily unavailable’ message on Blinkit? The reason could be…

Hindustan Times  

Food delivery firm Zomato's grocery unit, Blinkit has become ‘temporarily unavailable’ after 50 of its stores were closed in different parts of Delhi-NCR. Formerly known as Grofers, Blinkit was acquired by food delivery app Zomato for ₹ 4,447 crore. According to the revised pay structure of Blinkit, its delivery executives would receive a minimum fee of ₹15 per delivery, instead …

Zomato hopeful of turning profitable within one year
2 years, 4 months ago

Zomato hopeful of turning profitable within one year

Live Mint  

Zomato is likely to turn profitable within a year, the company’s management said at its first annual general meeting post-listing on Tuesday. Akshant Goyal, chief financial officer, Zomato told shareholders: “At the company level we should break even in six months to a year…without Blinkit which will take a bit longer,” Moneycontrol report said quoting Goyal. With the $1.6 billion …

Zomato to focus on Hyperpure, expects it to be larger than food business
2 years, 4 months ago

Zomato to focus on Hyperpure, expects it to be larger than food business

Live Mint  

Online food delivery firm Zomato has decided to narrow its focus on three key areas of food ordering and delivery; supplies to restaurants through 'Hyperpure' and quick commerce, Kaushik Dutta, chairman of the company's board of directors, told shareholders on Tuesday. Subsequently, he said Zomato would narrow its focus to three crucial areas – food ordering and delivery; Hyperpure and …

Zomato edges past Swiggy in India’s food delivery market, finds report
2 years, 4 months ago

Zomato edges past Swiggy in India’s food delivery market, finds report

Firstpost  

Zomato’s acquisition of Blinkit has helped it close the gap with Swiggy and race ahead of it in terms of market share Food delivery platform Zomato is edging ahead of its competitor Swiggy, as per a report by brokerage firm Bernstein India. However, that has started to change with Zomato expanding share to around 55 per cent in food delivery,” …

Zomato to acquire grocery delivery platform Blinkit for ₹4,447 Cr
2 years, 6 months ago

Zomato to acquire grocery delivery platform Blinkit for ₹4,447 Cr

Hindustan Times  

Zomato, the popular online food delivery platform is going to acquire online grocery delivery firm Blinkit, news agency Bloomberg reported on Friday. > Blinkit - known for quick deliveries of groceries and essentials - is owned & managed by ‘Blink Commerce Private Limited’ which was formerly known as Grofers India Private Limited. Grofers essentially rebranded itself as ‘Blinkit’ as its …

Zomato to acquire Blinkit for ₹4,447 crore in all-stock deal
2 years, 6 months ago

Zomato to acquire Blinkit for ₹4,447 crore in all-stock deal

Live Mint  

Food delivery platform Zomato has agreed to acquire instant grocery startup Blinkit for ₹4,447 crore in an all-stock deal, as it seeks to exploit a fast-growing market for quick grocery delivery. Japan’s SoftBank, the biggest shareholder in Blinkit with a 46% stake, will get around 3.2% stake in Zomato as part of the transaction, as per VCCircle estimates. Other investors …

Zomato to Swiggy: In Internet’s Winner Takes All Model, We End up as Losers
2 years, 9 months ago

Zomato to Swiggy: In Internet’s Winner Takes All Model, We End up as Losers

News 18  

The internet model of a single winner that controls everything from supply chains to payment systems is creating fragile, monopolistic ecosystems that can potentially harm society. Investors in delivery firms also follow the WTA model that has resulted in consolidation – only one strong player will stand, not multiple players. The Zomato-Blinkit Case Study Even the latest acquisition of Blinkit …

Zomato to start 10-minute food deliveries, says founder Deepinder Goyal
2 years, 9 months ago

Zomato to start 10-minute food deliveries, says founder Deepinder Goyal

Live Mint  

As quick services catch up with food aggregator platforms, Ant Group-backed Zomato Ltd plans to deliver food in 10-minutes, the company’s founder Deepinder Goyal said in a blogpost on Monday. “After becoming a frequent customer of Blinkit, I started feeling that the 30-minute average delivery time by Zomato is too slow, and will soon have to become obsolete. And here …

What does the merger with Blinkit mean for Zomato and its shareholders?
2 years, 9 months ago

What does the merger with Blinkit mean for Zomato and its shareholders?

Business Standard  

Less than a year after investing $100 million in Blinkit for a 9.3% stake, Zomato is reportedly in talks to merge with the online grocery company in an all-stock deal. Blinkit shareholders will get a 10% stake in Zomato A Business Standard report said that Blinkit would be valued at around $750-800 million dollars, which is much lower than the …

Zomato vs Swiggy: How Blinkit merger deal adds a new chapter in growing rivalry
2 years, 9 months ago

Zomato vs Swiggy: How Blinkit merger deal adds a new chapter in growing rivalry

India Today  

A new chapter has been added to the growing corporate rivalry between online food-delivery platforms Zomato and Swiggy. ZOMATO-BLINKIT DEAL Zomato said in a statement that it would loan as much as $150 million to Blinkit for the start-up's near-term capital needs. Earlier this year, Zomato said it would invest as much as $400 million in the Indian quick commerce …

Zomato nears all-stock takeover for Blinkit
2 years, 9 months ago

Zomato nears all-stock takeover for Blinkit

Hindustan Times  

India’s online food delivery platform Zomato Ltd. is nearing an all-stock deal to take over instant grocery delivery service Blinkit, according to people familiar with the matter. Zomato The companies are at an advanced stage discussing the deal structure, said the people, who asked not to be identified as the information is private. The proposed takeover would come soon after …

Know How Blinkit Aims To Push 10-Minute Grocery Delivery Amid Competition
3 years ago

Know How Blinkit Aims To Push 10-Minute Grocery Delivery Amid Competition

ABP News  

Bengaluru: Betting on the 10-minute instant delivery of grocery, e-commerce company Grofers’ Founder and Chief Executive Officer Albinder Dhindsa announced rebranding of the platform as Blinkit on Monday. In a move to push its quick commerce offering across Indian cities, the company has partnered with local store owners and following a ‘dark store strategy’ dedicated towards online e-commerce deliveries. Blinkit …

Zomato to stop grocery delivery service from September 17
3 years, 3 months ago

Zomato to stop grocery delivery service from September 17

The Hindu  

Online food delivery platform Zomato has decided to stop its grocery delivery service from September 17 mainly on account of gaps in order fulfillment, leading to poor customer experience. Hence, we intend to stop our pilot grocery delivery service effective 17 September, 2021". Earlier Zoamto had said that it had invested USD 100 million for acquiring a minority stake in …

Ant Financial-led funding boost may put Zomato back in the saddle in race with Swiggy
5 years, 3 months ago

Ant Financial-led funding boost may put Zomato back in the saddle in race with Swiggy

Live Mint  

Online food ordering and discovery platform Zomato could not have earned its fat cheque at a more opportune time. Just like e-commerce or ride hailing apps, food delivery is a two-player game now,” said Harish H.V., managing partner, ECube, an environmental, social and governance fund. The largest-ever fundraise by Zomato comes at a time when the Gurugram-headquartered firm, along with …

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