20 Mar 2020
Zomato forays into grocery delivery, in talks to partner with Grofers & BigBasket

    Food-delivery and restaurant discovery app Zomato is jumping on to the grocery bandwagon as the category sees a major uptick amid the Covid-19 outbreak.This is a major step towards diversification and a move to keep demand high at a time when most businesses are registering a slowdown.

     The Gurugram-based food tech major is also talking to online grocery retailers Grofers and Bigbasket for a partnership to sell grocery essential products on its platform and the pilot service will be launched in Delhi-NCR.

    Zomato’s foray into the grocery segment comes at a time when online grocers are witnessing high volume growth in orders largely due to panic buying taking place post stay at home orders issued by the authorities. Meanwhile Online food ordering has taken a hit in the past week with order numbers falling by as much as 20%.

    Deepinder Goyal-led Zomato has been contemplating for the past few months over getting into the grocery segment, especially after its rival Swiggy started grocery delivery early last year and has been ramping up its diversified delivery services.

    Last year, Swiggy launched Stores to deliver groceries, medicines, vegetables, meat and everyday essentials by aggregating local stores across cities. Later in September, Swiggy tied up with Jumbotail to set up dark stores to facilitate hyperlocal deliveries.

    Offline stores which work with Grofers will be listed on Zomato’s app. Consumers can then place an order on Zomato and deliveries will be fulfilled by them.

    Besides its own efforts to expand beyond food-delivery, the Naspers-backed company acquired subscription-based delivery business under Supr Daily in 2018, which is largely used to ordering milk, breads and everyday essentials.

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