CASE STUDY ON

ZOMATO
By: Akshata Bhutada (M05)
Ekta Bhutra (M06)
Poonam Heda (M25)
Abhijeet Jhanwar (M30)
Mahima Lakhotia (M41)
Divya Mundra (M45)
Introduction
Background
◦ Zomato initially named as Foodiebay was started in 2008
by Mr. Deepinder Goyal.
◦ Foodiebay, the initial name was changed to Zomato in
November 2010
Life story
◦ Deepinder Goyal worked in a consulting firm
◦ Lot of time he noticed in his company's cafeteria that
people were standing in a queue to check menu and this
experience of deepinder Ghoyal led to an innovative idea.
◦ Deepinder and his friend and colleague Pankaj
Chaddha came up with website – foodiebay.com which is
now Zomato
◦ Deepinder Goyal was born and raised in Punjab.
◦ Goyal joined Bain & Company where he worked for
almost 3 years
The Birth Of Zomato
◦ He started a website called Foodiebay.com with his
colleague Chaddha.
◦ The first restaurant menu they had uploaded in their portal
was from HausKhas, Delhi.
◦ Goyal went to expand to major cities like Kolkata,
Mumbai and Bangalore after exploring Delhi.
◦ In October 2015, Goyal had to face difficult times that
Zomato, which had operations in 22 countries was
readying to dismiss 250-300 employees, many of them in
the US as part of global restructuring exercise.
Business
◦ To differentiate themselves from their competitors, Zomato
concentrated on adding approx. 18,000 new places to eat from.
◦ Between 2010 and 2013, Zomato received its biggest funding of
approximately USD 16.7 million (INR 167, 000, 00) from “Info
Edge India”.
The Ups:
◦ Zomato acquired MapleOS in 2015 to expand operations and
build a new customer database.
◦ In 2017, the online ordering service of Zomato also crossed the
milestone of 3 million orders in one month.
The Downs:
◦ 2015 came in with the need of Zomato laying off 300
employees in order to curb losses.
◦ Another setback in the States happened when Zomato
acquired Urbanspoon and rebranded the company as
their own. This rebranding did not work out and the
venture failed in a mammoth manner.
Objectives
◦ To know the advantages of first moving.
◦ To understand how social media can be used as a weapon
to penetrate the market.
◦ To know the benefits of credit rating.
◦ To know the importance of having funds from experienced
sources.
VISION
◦ To expand their business to more 50 countries
across the globe.
SUCCESS STORY
◦ The key factor for Zomato success is its marketing
strategy and in-depth knowledge of their competitors.
◦ The company has spread in 20 countries with its
headquarter in New Delhi, India providing service to over
35 million values customers per month.
◦ Facebook, Twitter and Pinterest are the 3 main platforms
which made the base for the success of Zomato .
◦ Pankaj Chaddah, the co-founder of Zomato agreed, “ads
on the mobile app have changed the revenue game for
them”
SUCCESS FACTORS
◦ First mover advantage
◦ Strong content platform
◦ Efficient employees
◦ Good rating mechanism and social platform
◦ Funding from experienced source
MILESTONES
◦ Number of listed restaurants: in 2008 it was 4000
restaurants which increase to 94000 in 2013 and currently
384,100 in Q1 of 2015.
◦ Monthly visitors of Zomato increases to 35 million in
2014 which was 11 million in 2013 and 0.015 million in
2008.
◦ Yearly revenue of Zomato in 2008 was 0.06 crores which
increased to 11.3 crores in 2013.
◦ Spread in 23 countries worldwide.
STRATEGY OF ZOMATO
◦ Financial Strategy
◦ Marketing Strategy
◦ Growth Strategy
◦ Globalization Strategy
◦ Marketing Strategy
◦ Acquire the competitors
◦ Sales promotion
◦ Direct Marketing
INFLUENCE THROUGH
SOCIAL MEDIA
◦ Zomato uses different platforms to engage their customers
with them
◦ Facebook : Zomato has more than 600k strong Facebook
community.
◦ Twitter :more than 114 k followers
◦ Blog
◦ Pinterest
◦ Instagram
LEARNING OUTCOMES
◦ Great use of social networking sites of reach out
customers.
◦ Implementation of good digital marketing strategy can
help a company in faster growth.
◦ Consumers often make quick decisions based on the result
of Smartphone searches.
◦ Zomato sends out messages with the right kind of image.
◦ Zomato not only preaches to be different, but they have
also proved it with their work. They deliver the same
message but in a new avatar. This makes their social
media updates unique, even though the concept is nothing
new.
◦ For a marketing strategy to be successful one should know
how to engage customers. Zomato’s social media posts are
always simple sans industry jargons. It helps them cater to
all kind of audience. This is the main reason that their
posts are truly engaging.
◦ One should be clear about who they are catering to.
THANK YOU