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Zomato to become the Uber of food home delivery service starting with India

Zomato is planning to start a food home delivery service in India, which will rival existing services like Justeat and Foodpanda. The delivery service will be introduced directly from Zomato's platfor

Zomato-New-Spoon-Logo

Zomato is planning to start a food home delivery service in India, which will rival existing services like Justeat and Foodpanda. The delivery service will be introduced directly from Zomato’s platform that will enable users to place orders, which will be confirmed only when the restaurant manually accepts the order. Zomato has tied up with 2,000 restaurants in its first phase with all of them equipped with iPads to receive and confirm orders, Techcrunch reports. The idea is not very different from how Uber works, which too provides drivers with smartphones loaded with its app and allows drivers to accept pick up requests.The company plans to reach out to 10,000 restaurants across India, Zomato’s founder and CEO, Deepinder Goyal told the publication. Currently there are no immediate plans to extend the services to other countries. Zomato currently operates in almost two dozen countries and has been aggressively acquiring international services, with American brand Urban Spoon being its most high profile acquisition. It is also looking at raising another $100 million.

Zomato’s latest project is a proactive food on demand service wherein restaurants have to manually accept each order and only then it will be placed. Zomato will be equipping participating restaurants with iPads with a app so that any order that comes through Zomato will pop up on a real time basis. Zomato will make money by levying a commission fee on the restaurants, which will start from 7.5 percent for the highly rated restaurants and can go all the way up to 15 percent for ones with lower customer rating.

Zomato is moving beyond the traditional tag of restaurant search engine and it has already started a wallet feature for cashless dining in Dubai that allows customers to pay the bill via the app. It is also considering moving into table reservation space and also trying to integrate their services directly into the restaurants PoS (Point of Sale) system so that they can become the intermediate channel of communication between the users and the restaurants.

 

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  • Published Date: February 12, 2015 4:11 PM IST
  • Updated Date: February 12, 2015 4:15 PM IST