 "Zomato-owned Blinkit to deliver printouts at your home in 10 minutes")
Zomato, known primarily for its food delivery services, is gearing up for a significant expansion into the fast-growing direct-to-consumer (D2C) space through its 10-minute delivery platform, Blinkit, according to a report by the Economic Times (ET). This move places Zomato in direct competition with established e-commerce giants like Amazon and Flipkart, signalling a strategic shift in the company's business model.
To facilitate its foray into the D2C market, Zomato plans to add brands across various categories to its Blinkit platform. This ambitious endeavour would involve building a dedicated supply chain infrastructure to source branded products directly and manage inventory. By doing so, Zomato aims to offer a diverse range of products for swift delivery through Blinkit.
Zomato's expansion into the D2C space mirrors a broader trend among food delivery firms, including its competitor Swiggy, which has launched its own e-commerce marketplace. With both companies venturing beyond their core food delivery services, the landscape of the food delivery sector is rapidly evolving, driven by the pursuit of new revenue streams and market opportunities.
With a focus on expanding into new categories, particularly in the D2C space, Blinkit aims to enhance its average order value (AOV) and drive revenue growth. In the October-December quarter (Q3FY24), Blinkit's gross order value (GOV) grew 103 per cent to Rs 3,542 crore, compared to Rs 1,749 crore registered during the same period last year. Sequentially, Blinkit reported a 28 per cent increase in GOV. The company also stated that its ad revenue grew by 220 per cent year-on-year.
