News Karnataka
Sunday, February 05 2023
Industry

Zomato is to shut its grocery delivery service

Zomato to shut its grocery delivery service
Photo Credit :

New Delhi: Food tech major Zomato is to shut its grocery delivery service for the second time amid growing competition in the segment.

The company is of the view that its investment in Grofers will generate better outcomes than its in-house grocery effort.

Zomato has informed its grocery partners through a mail that it plans to stop its pilot service with effect from September 17.

“We have decided to shut down our grocery pilot and as of now, have no plans to run any other form of grocery delivery on our platform,” a Zomato spokesperson said.

“Grofers has found high quality product market fit in 10 minute grocery and we believe our investment in the company will generate better outcomes for our shareholders than our in-house grocery effort,” the spokesperson added.

The recently-listed company had started its grocery service pilot in select markets offering delivery within 45 minutes to its customers.

Last month, the Competition Commission of India (CCI) approved the proposed acquisition of 9.3 per cent stake in e-grocer Grofers by Zomato.

The acquisition involves an investment of $100 million by Zomato in the online grocer.

Share this:
MANY DROPS MAKE AN OCEAN
Support NewsKarnataka's quality independent journalism with a small contribution.

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Leave a Reply

Your email address will not be published. Required fields are marked *

Rohan City Corp
Rohan City Corp

Find the best odds at 10Cric and IPL Betting 2023! Signup today and get up to a 100% deposit bonus.

To get the latest news on WhatsApp