Building an App Like Zomato: Unveiling the Business and Revenue Model

Quick Summary: The need for on-demand food delivery apps is on the rise. With various brands entering the market, keeping up with customer demands has become challenging. But brands like Zomato have succeeded with their exceptional services. Do you want to build an app like Zomato that makes it easy and quick for its users to place their orders? Read the blog to understand Zomato’s business model and how it makes money.

Food delivery apps have become a popular business model. Not just the urban cities, but its presence can be seen even in the rural areas. Seeing its potential, several companies have tried their luck with on-demand food delivery apps.

One such name is Zomato. Founded in 2008 as FoodieBay, the brand provides services in around 20 countries. Over the 15 years, Zomato has built its reputation and various startups look forward towards building an app like Zomato.

Are you also one of the entrepreneurs wanting to enter the online food industry with a robust food delivery app like Zomato? Before you begin with it, you need to get answers to the following questions:

• What is Zomato’s business model?
• What is Zomato’s revenue model?
• How does Zomato work?

Once you have the detailed answers to the above questions, creating an app like Zomato and getting started with food delivery services will be easier and quicker. This blog is aimed to provide you with a clear picture of Zomato. From understanding the business model to its revenue methods and working, you will know everything about the app by the end of this blog.

Let us start with a little history of this on-demand food delivery app.

Zomato History- When and How The App Was Launched?

In 2008, Zomato was founded as FoodieBay by Deepinder Goyal and Pankaj Chaddah. The website started as a restaurant-listing and recommendation portal. The founders renamed it to Zomato in 2010 to avoid name conflict with eBay and also because they were unsure if they would only stick with the food services. 

In 2011, Zomato expanded across various states in India. In the following years, it extended its services to other countries, including UAE, Sri Lanka, Qatar, the UK, and many more. In 2017, Zomato acquired UberEats in India, making it the largest food delivery company in the world.

In 2020, it went public on the National Stock Exchange of India, and this IPO turned out to be one of the most successful in Indian history. 

The app works towards connecting customers, restaurants, and delivery partners to fulfill their multiple needs. Users can quickly locate their favorite restaurants nearby and place their orders whenever they want.

Further, in August 2022, Zomato acquired the quick commerce company Blinkit along with its warehousing and ancillary services business for the value amount of Rs. 4,447 crores.

Is Zomato profitable? The section below will give you a glance at how much money Zomato makes.