Online food delivery platform Zomato is shutting down its grocery service from 17 September 2021. The company has decided to discontinue its grocery service mainly due to low orders and poor consumer experience. For the second time, it has been announcing to discontinue the grocery service on the side of Zomato.
- Zomato to pull the plug on grocery delivery service from Sept 17.
- This is apparently done due to gaps being present in the order fulfillment process.
- Zomato will now focus on its express delivery model.
The pilot grocery delivery service was launched by Zomato during the covid pandemic. At that time the company had announced to deliver grocery service to the customer in just 45 minutes in the selected market.
The company did not get benefits:
The company did a grocery service delivery service last year when the lockdown period was going on across the country. Zomato believed that there could be a huge demand for groceries from the consumer side in the lockdown. But this could not happen. In such a situation, the company has announced the closure of the grocery service. Zomato says that it wants to move out of the grocery delivery business and focus on its food delivery business.
In an email to its grocery partners, Zomato said:
“At Zomato, we believe in delivering best in class services to our customers and largest growth opportunities to our merchant partners. We don’t believe that the current model is the best way to deliver these to our customers and merchant partners. Hence, we intend to stop our pilot grocery delivery service effective 17 September 2021”.
“The store catalogs are very dynamic and inventory levels change frequently. This has led to gaps in order fulfillment, leading to a poor customer experience. We have realized that it is extremely difficult to pull off such a delivery promise with high fulfillment rates consistently, in a marketplace model.”
Zomato Food delivery will be done at a cheap price in just 15 minutes
Zomato will now focus on its express delivery model, under which the company is promising to deliver food in just 15 minutes.
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