Zomato Business Model – Ways Through Which Zomato Makes Money!

Today there’s hardly anyone in India, who claims to be the biggest food lover and doesn’t know about zomato food ordering app. You will be surprised to know How Zomato earns huge profits only after listing several restaurants in its mobile app and online portal. Right now zomato is one of the biggest online food ordering portals trusted by several diners in India and operating smoothly in 22 other countries in the world.

Zomato’s online ordering and table reservation system which is one of the varied sources of income continuously adding more and more profits in Zomato revenue. Also with the help of customer reviews, zomato helps every user to maximize their dining fun. People worldwide prefer zomato and search for best dining places to eat over 90 million times every month which simply explains how does zomato earn money from restaurants and several advertisements, only for its reputation and goodwill amongst worldwide users.

Zomato Business Model

With its presence in almost 23 countries in the world, zomato is growing at a steady pace and continually adding many more restaurants in its online portal. But this question always revolves in everyone’s mind how does zomato earn money by just listing the restaurants on its online portal. Founded in 2008 this restaurant discovery app is basically first which came out with an idea like this.

Zomato is now focusing on the mobile app because the majority of users which is over 1 million users across 22 countries now using smartphones for ordering food online, search for nearby restaurants and of course for the cuisines they wanna enjoy. With the help of zomato mobile app, through advertisements, consulting services and online ordering system zomato is earning money and also helping all the users in finding the restaurants of their choice. Even zomato offers best prices, cuisines, deals and discounts which is favorable for both customer and restaurant owners.

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How Zomato Works?

Started as an informative directory for restaurants in India, everybody is curious to know How does zomato work? Actually, the main work of zomato is to suggest nearby restaurants to customers and collect reviews from them to post on their website. So that other users can know about that restaurant in their nearby locality.

Anyone who likes to dine in best restaurants can search on zomato for that, then zomato suggests them the list of best restaurants as per their criteria of search that is location, timings or may be as per the cuisine they want to enjoy. Now zomato has also started online food ordering services and table booking services in restaurants so that anyone can order food online or reserve the table in one of their favorite restaurants with just a tap of a finger.

How Zomato Makes Money?

Zomato has generated lots of income sources and some of them are mentioned below, which helps you to know how Zomato earns the profit or how zomato makes money just by listing restaurants on their zomato page. Right now zomato is one of the leading online food and restaurants discovering portal and mobile app which is used and preferred in almost 22 countries worldwide. That’s why restaurant owners are more interested in listing their restaurants to increase the flow of customers which maximize their earnings as well.

  • Through Advertisements

Advertisements are one of the main sources of income for zomato, as zomato offers hyper local advertising criteria that makes it highly profitable for restaurant owners and customers as well.  When someone searches for good dining place in a nearby place then zomato suggests perfect restaurants as per location and timings which is actually advertisement spaces purchased by restaurants similar to Google ads you have seen before.

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  • Through Online Orders

Especially the restaurants who deliver food doorsteps has to pay a nominal fee to activate their online ordering system directly from their zomato page, so the user can order some tasty meals through zomato page and get the delivery on their doorsteps. But it differs from other online food delivery apps like swiggy because zomato doesn’t as its own delivery system and have to rely on restaurants to fulfill the customer’s demand.

  • Through Consultation

After getting proper help from zomato through its consulting services any new restaurant owner can explore the possibilities of business in the specific area where they’re going to start their restaurant, actually what makes zomato superior from others is a pile of data and information.

So zomato can easily find out the hidden possibilities and chances of success or failure in any particular location, zomato perfectly understands the initial need of business and will help in building a successful one.

  • Through several events

In collaboration with several restaurants, zomato hosts many events within the whole year like New Year’s Eve, Valentine’s Day, Christmas Eve or other important festivals. They create some exclusive events and introduce a sale, so that people can buy tickets to attend those events which prove to be highly profitable for zomato.

  • Through Zomato Book

Actually, through zomato book anyone can reserve a table in their favorite restaurants as per their choice, so that they can save their last-minute run and especially on weekends enjoy dining in the restaurants of their choice. Every diner can first see the menu, pricing, specialties and location and book the table with full assurance after analyzing everything.

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After reading and knowing about all the sources of income of zomato, we hope that you now understand How does Zomato make money and have explored Zomato revenue model deeply. In India, zomato is the first online portal which came out with an idea like this amongst Indian citizens who actually don’t know which is the best restaurant in their locality. Zomato helped them in finding restaurants of their choice and then people always prefer zomato while searching the best restaurants online.

Conclusion

Well, the concept of online food ordering system is new in India, but in the rest of the world online food ordering is what they prefer over visiting restaurants or dining out anywhere in the nearby locality. Zomato business model is perfect for them as it saves more time, convenient and saves you from the hassles of waiting for your turn in restaurants.

Sometimes you have very bad dining experience and can’t tell anyone but incase if you have booked your table through zomato you can simply provide your feedback and that’s how zomato works, from next time zomato will take care of your likings and disliking which is the best part and enhance the pleasure of dining out with your loved ones. Check more blogs here.