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Swiggy’s late delivery policyis mostly the 100% refund to the buyer with attributable cause. Zomato has revolutionized foodie life. This platform has enabled delivery at the doorstep from a takeout option. The food has no boundaries. Likewise, this food and technology intermingled platform has developed beyond boundaries.
Zomato has solved the biggest problems in food delivery operations with its major initiatives. With much effort, they have expanded their hand to various countries and cities to give the solution-oriented approach.
They have all in one place for a foodie to look for, restaurant information, food ordering, table reservations, and many additional features to add to the list.
What happened then? Are they still serving all those extensions? Let’s have a close journey to know what actually happened.
Segments Involved with Zomato
If you are parting it in a geographical way, the segments are India, UAE and US, UK, Singapore, Lebanon, and others.
Their main focus is always on their biggest market place which is none other than India and the UAE. Obviously, the reason is the profit increase in these regions.
The Countries that Have Zomato Available
Zomato has decided to pull all of its services into many segments, including the United States of America, the United Kingdom, Lebanon, and Singapore.
This food business is still operating in the United Arab Emirates, but it only has the dining out option right now. No delivery services are attached to the UAE by Zomato.
The Chief executive officer of Zomato, Mr. Deepinder Goya, stated that after shutting down most of the international operations, they are going to shut down the Lebanon operations, which are the only international services they provide. This statement was given in 2021.
Now, Zomato has pulled out all its strings from international operations except the United Arab Emirates.
Their services are currently operating only in India, in which they have a massive response. In India, they provide both delivery and dining services.
Reason Behind the Pulling Out
The revenue of Zomato in these countries during the period 2020 and 2021 is given below.
Country
In 2020
In 2021
India
389.7 crore
981 crore
United Arab Emirates
25 crore
33 crore
Other countries
11 crore
9.7 crore
You can see the difference in their revenue from this Zomatos financial statement. That is the main reason they have shut down the last operations in the Lebanese.
After these results, the company had to shut down the Zomato branch in Singapore, the United Kingdom-based Zomato UK Limited company, and the United States-based branch subsidiary Nextable Inc. during the last quarter period of the same year.
The company’s spokesperson mentioned these actions as a clean-up procedure. Even the United Arab Emirates seemed to be a profitable market for them at that time. But that was until they paid the taxes. The tax deductions for the duration of July to September 2020 and 2021 are given below from their financial statement.
Country
In 2020
In 2021
India
-103 crore
-443 crore
United Arab Emirates
-92 crore
-15.8 crore
Other countries
-30.6 crore
-7.7 crore
Present Situation with Zomato Outside India
After all the negative revenue generation, Zomato has decided to invest and focus on the geographies with growth, which made them concentrate their operations in India.
Also, they have many plans to invest billions of dollars in Indian start-ups over the next few years. This will expand their e-commerce network.
This motive intends to create a network similar to that of the Chinese business conglomerate Alibaba and Sanjeev Bikhchandani-led InfoEdge.
They do this by placing bets on the small businesses that are just start-ups.
Final Words!
Zomato is the go-to option for any foodie who doesn’t want to get ready to enjoy their favorite meal.
Yes! They bring it to our doorstep. Their delivery and dining services have been extended to various countries and small regions beyond the boundaries.
However, the growth of their progress was not as they had expected.
So, they were in a position to shut down international operations except the United Arab Emirates. Do you think this could stop them from growing?
But they have chosen a different path to explore and expand!
Elizabeth Hartley
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