Revenue Model of Zomato-This is How Zomato makes revenues in millions

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The revenue model of Zomato is very distinct from other food suppliers like Swiggy and Foodpanda. Zomato’s main partners are Uber and London & Partners, who are set to launch Zomato in the UK.

On their website and smartphone, they run commercials. Zomato’s advertising is to the point; as users check for particular keywords, commercials for restaurants are shown. As a result, it’s extremely targeted. This is also a hyper-local case.

How Zomato Works: Revenue Model of Zomato

Zomato’s Brief History:

Zomato is a quest, exploration, and online food delivery service for Indian restaurants. Deepinder Goyal and Pankaj Chaddah created the Food tech unicorn in 2008. Zomato is well-known around the world, and it has successfully expanded into several foreign markets over the years. It currently services 10,000 cities in 25 continents, including the United States, India, Australia, Brazil, New Zealand, Singapore, and Qatar in the Middle East.

Zomato founders Deepinder Goyal and Pankaj Chaddah



The firm has continued to retain its position as an industry leader due to its unique and long-term sales and revenue model of Zomato. Zomato has grown in popularity as a result of factors such as affordability, convenience, and variety, and has earned people’s confidence over the years. Zomato is also searching for fresh and creative ways to serve its clients.

Revenue Model-Explained

Through its growth over the last year, the firm has expanded its footprint in Tier 2/3/4 countries, but it is still fighting a long-running struggle with restaurants to reform its discount-happy ways. It remains to be seen if this has a significant effect on Zomato’s overall business, but the fact remains that the revenue model of Zomato diversification has opened up several more sales sources.

So, what is the revenue model of Zomato and how does it make money?

Zomato does not market goods to consumers, but it raises a lot of income. Zomato isn’t just a food company; it’s still in the advertisement industry. The Zomato company is divided into two parts: one is the distribution business, and the other is the advertisement business. Apart from online shopping, which most people are familiar with, Zomato now has many revenue sources. The following are examples of revenue-generating methods for the revenue model of zomato:

Zomato revenue Model

Apart from online ordering, which most customers are familiar with, Zomato has a variety of revenue streams.

  1. Advertisement / Listings for Restaurants
  2. Subscription Programs for Food Delivery
  3. Live Events
  4. Zomato Kitchens White Label Access
  5. Zomato Kitchens
  • Advertisement / Listings for Restaurants:

Business Model of Zomato – StudiousGuy

Zomato was originally just a listing website and a restaurant directory. Restaurants who entered the network were able to earn promotional money as a result of this. Zomato is also charging restaurants commissions to be featured prominently on the feed, following the announcement of food delivery and restaurant reservations. Restaurants will pay to get their activities or promotional deals advertised alongside their overall banner, increasing exposure and conversions for Zomato users.

  • Subscription Programs for Food Delivery:


Zomato charges restaurants a commission based on the number of orders placed by its food delivery service. Restaurants pay the company a commission on each order, which is divided between the delivery partners and the company. Due to the high level of competition and the need to provide deep discounts, online food distribution contributes a small number of sales relative to other revenue sources.

Zomato opened up a steady source of sales with Zomato Pro for customers and users, as well as payment options for restaurants. Restaurants pay a monthly charge to be part of Zomato’s bouquet of deals, and customers pay a premium fee to join the Zomato Pro loyalty service, which has exclusive offers. Restaurants also pay Zomato a monthly charge for features including live monitoring, tamper-proof packaging with the Zomato logo, and more.

  • Live Events:

In 2018, Zomato entered the branded live events business with Zomaland. Zomato charges a fee to access Zomaland, where visitors can see live musical shows and other acts in addition to dining. In 2018, it hosted an entertainment carnival in Delhi, Pune, and Bengaluru, with over 100,000 people attending, according to Zomato. Zomaland will tour Pune, Delhi, Bangalore, Hyderabad, Mumbai, Jaipur, Pune, Chandigarh, and Kolkata this year.

Zomato All Set To Launch Its Own Food Carnival Zomaland

Learn more about India’s largest Food Carnival!-Zomaland and its upcoming activities by visiting this website.

  • Zomato Kitchens White Label Access:

Zomato also provides offerings like Zomato Whitelabel, which allows restaurants to create their own personalized food delivery software. It also offers advisory services to cloud kitchens and restaurants. Zomato collaborates with a small group of restaurant owners to find potential expansion sites at a low fixed cost, but with more choices for the customer. It provides these restaurant partners with the required licenses and operating capability.

  • Zomato Kitchens:

Zomato offers a kitchen infrastructure program in which they partner with restaurant owners who want to extend their company to more locations at a low cost. It means that developers can comfortably open a restaurant in the perfect location at a low fixed and running cost.


Future for Zomato:

Mid-COVID report for India recently released by Zomato. With some ethnic flavors, the food supply industry has revived. In this revival, certain wealthier suburban areas are the precursors. In the food industry, the continuing IPL and festive season have boosted progress.

By making the notion of equal access a reality, Zomato has revolutionized the entire food industry. You can trust our Yelo tool fearlessly if you are thinking about creating an online marketplace like Zomato. Within one day no coding, no setup charge & starts! And there are not all the mysteries stopping. Yelo is a leading producer with features ideally built to manage an all-embracing multinational online marketplace. Yelo takes care of everything from surfing to payment and all the basic detail that goes inside.

Final thoughts:

Any single entrepreneur who is new to the food distribution industry will learn from Zomato’s success story. Zomato’s workflow and revenue model of zomato is ideal for those looking to enter the industry at an early point. It saves the consumer time and provides convenience at any point, from online shopping to payment to doorstep delivery. Do you want to make an app similar to Zomato? Or do you have any better suggestions? If so, please email us right away, and we will supply you with the best and most creative solutions.

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