Thanks to visit codestin.com
Credit goes to www.scribd.com

0% found this document useful (0 votes)
252 views58 pages

Zomato vs Swiggy: A Student Analysis

The document provides an overview of Swiggy, an Indian food delivery startup, and compares it to Zomato. Some key points: 1. Swiggy was founded in 2014 in Bangalore and has expanded across India, offering food delivery from restaurants through its app. 2. It has its own fleet of delivery personnel who pick up orders and deliver them, allowing for reliable and fast deliveries. 3. In addition to food delivery, Swiggy offers services like Swiggy POP for single-serve meals and Swiggy Go for delivery of other items. 4. Swiggy earns revenue through delivery charges, commissions from restaurants, advertisements, and partnerships.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
252 views58 pages

Zomato vs Swiggy: A Student Analysis

The document provides an overview of Swiggy, an Indian food delivery startup, and compares it to Zomato. Some key points: 1. Swiggy was founded in 2014 in Bangalore and has expanded across India, offering food delivery from restaurants through its app. 2. It has its own fleet of delivery personnel who pick up orders and deliver them, allowing for reliable and fast deliveries. 3. In addition to food delivery, Swiggy offers services like Swiggy POP for single-serve meals and Swiggy Go for delivery of other items. 4. Swiggy earns revenue through delivery charges, commissions from restaurants, advertisements, and partnerships.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 58

Competitive Analysis of Zomato and Swiggy

Personal Details

NAME- Eshika Das

CLASS- TYBMS (Marketing)

ROLL NO.- TYMS108

SEMESTER VI

YEAR- THIRD

REGISTERED MOBILE NUMBER- 8697765818

INSTITUTIONAL EMAIL ID- [email protected]


GUIDING PROFESSOR- Ma'am Mansi Ranawat and

Sir Rahul Kushwaha

College Details

COLLEGE NAME- Bhavan's College

COLLEGE ADDRESS- Azad Nagar, Andheri West,

Mumbai, Maharashtra, 400 058

February, 2022
INDEX
INTRODUCTION
Food is one of the most important needs among the basic needs of living. Food industry has evolved from small
shops that provides food covered by leaves in early period to ordering desired food by a single touch from a
comfortable spot at house or office. Digital platforms have become potential attraction especially post Covid.
People are interested to buy clothes, groceries and food without even stepping out of their homes. Zomato and
Swiggy are the dominating players in food industry of India. In a highly populated country like India, people
could see delivery executives with red and orange t-shirts, rushing towards their destination on regular basis. In
the following bunch of words, a comparative analysis between Zomato and Swiggy are prepared with respect to
the customers’ ratings, reviews and preferences.

INTRODUCTION OF SWIGGY

 Swiggy is a food ordering and delivery company based out of Bangalore, India.

 Swiggy was inspired by the thought of providing a complete food ordering and delivery solution from
the best neighborhood restaurants to the urban foodie.

 A single window for ordering from a wide range of restaurants, Swiggy has their own exclusive fleet of
delivery personnel to pick up orders from restaurants and deliver it to customers. Having their own fleet
gives us the flexibility to offer customers a no minimum order policy on any restaurant and accept online
payments for all partner restaurants that they work with.

 Their delivery personnel carry one order at a time which ensures they get reliable and fast deliveries
HISTORY OF SWIGGY

 It all started back in 2014 when two BITS Piilani graduates, Sriharsha Majety and Nandan Reddy
decided they wanted to make life easier by changing the way India eats - all with just a tap! With their
idea of “hyperlocal food delivery”, all they needed was the tech to power it and were introduced to
Rahul Jaimini, who brought this vision to life with the first website. And with this, Swiggy was launched
as a food ordering & delivery platform.

 In August of 2014, Swiggy began operations by signing up a few restaurants in Koramangala,


Bengaluru. Soon enough, the first team of Hunger Saviors came into action to deliver food within 40
minutes. Shortly after, Swiggy raised its first round of funding and launched the app in May of 2015.
Fun fact: The technology that delivers great food right to your doorstep was completely developed in-
house!

 With love and support from consumers, Swiggy expanded far and wide, first through the entire city of
Bengaluru and then across the entire country. As they say, the rest is history.

 Today, Swiggy is the leading food ordering and delivery platform in India. The innovative technology,
large and nimble delivery service, and exceptional consumer focus at Swiggy enabled a host of benefits
that includes lightning-fast deliveries, live order tracking and no restrictions on order amount, all while
having the pleasure of enjoying your favorite meal wherever you'd like it

Services offered by Swiggy :-

As the food ordering and delivering food giants, they are now growing more digitally by launching various
platforms and increasing their services because of the conditions like “when you don’t want to go out to the
restaurant, then they bring the restaurant to you.

Swiggy has multiple offerings and services for its clients- Swiggy Pop, a single-serve meal delivery service in
30-35 minutes. A selection of items like Indian Thalis, bowl meals, biryanis, burgers, and Asian combos is
included in the Swiggy POP menu. All the single-serve meals that come between ranges Rs.99-200 will be
delivered in a short time.

The other categories of services that come under Swiggy are Swiggy Cloud, the cloud kitchen service and
Swiggy Stores.

Recently, Swiggy has just launched a platform for partners known as ‘Swiggy Partners’ where they can request
for the premium packaging material. It will help them get the service at a reasonable price and will ensure a
better customer experience.

The start-up initially started with delivering basic food items and perishables from nearby stores. In September
2019, it propelled a new service ‘Swiggy Go’ (very Similar to Donzo Business Model) which is used to pick
and drop a wide array of items such as clothing, forgotten keys, documents, or deliveries to business persons
and other customers. Swiggy Go is currently accessible just in Bangalore, however, said it will expand the
service in more than 300 urban cities in a year or so.

The start-up initially started with delivering basic food items and perishables from nearby stores. In September
2019, it propelled a new service ‘Swiggy Go’ (very Similar to Dunzo Business Model) which is used to pick
and drop a wide array of items such as clothing, forgotten keys, documents, or deliveries to business persons
and other customers. Swiggy Go is currently accessible just in Bangalore, however, said it will expand the
service in more than 300 urban cities in a year or so.

Swiggy Business Model: How Swiggy earns?

Swiggy is growing its business at a rapid scale and the revenue generation model of the company is
simultaneously expanding.

Delivery Charges: The main sort of income stream Swiggy acquired is from its customers. The company
collects delivery charges from customers on the order that costs less than their minimum order of Rs. 250. A
charge of 20 to 40 rupees is charged on per order.

Commissions: Swiggy acquires another major part of the revenue stream from commissions. It collects
commissions from restaurants to generate sales leads and to deliver their food items through Swiggy’s
application. Restaurants have to pay 15% to 25% on every order placed from Swiggy’s site.

Advertisement: Swiggy also procures advertising income in different ways. It shows advertisements of
different restaurants on its app and charges address cost to get them promoted in various regions. Also, some
restaurants and cafes pay premium rates to Swiggy to get prioritized on the app from the list of accessible
eateries.

Swiggy Access: The start-up has come up with the most innovative idea i.e., cloud kitchen idea. It gives its
restaurant partners a ready-to-use kitchen area in those zones where they don’t work. It brings food closer to its
customers and empowers restaurants to set up their kitchen in new areas. Swiggy expects to get 25% of income
from Swiggy access facility and incorporated 30 partners with 36 kitchens.

Swiggy earns subsidiary income as well by collaborating with different financial institutions such as Citibank,
HSBC and ICICI Bank. It gives both the parties mutual benefit. It permits clients to get few charges card offers
from these organizations.

The business model canvas of Swiggy is based on a hyperlocal on-demand food delivery business operation.
Working as a bridge between restaurants and customers, Swiggy utilizes an innovative technology platform that
works as a single point of contact.

Their app allows urban foodies to order food from nearby restaurants and get it delivered at their doorstep. A
broad list of restaurants and their menus with prices are exhibited in the app to choose and order from.

Apart from accumulating restaurants, Swiggy also has its own fleet of delivery partners. They pick up orders
from partner restaurants and deliver it on-demand in less than 30 minutes.

Because Swiggy operates as a dual-partnership model, it also benefits restaurants that can receive more orders
from customers using their own Swiggy app.

Once the order is placed, they will know the order details, prepare the order and deliver it to Swiggy drivers.
This way, restaurants don’t need to use their own delivery personnel, saving costs and efforts.
All the Swiggy drivers in the vicinity receive a broadcast signal on their own Swiggy drive app when the order
is placed. After they accept the order, they deliver it right on the customer’s doorsteps.

1. Customer Segments of Swiggy

The customer segments of Swiggy include those people who do not wish to go out to restaurants and eateries to
buy food. People who want to order food online and want to get it delivered at their doorsteps are the principal
customers of Swiggy.

After its recent business expansion, people who want to buy and get other products delivered from nearby shops
and stores of groceries, pharmacies, electronics, flower shops and gift shops in the city are also Swiggy’s
customers.

Few examples of stores currently available on Swiggy platform are Sodhi Super Marche, Garg Dastak, Best
Basket and V.M Retail.

2. Value Propositions of Swiggy

The main value proposition of Swiggy is its no-restriction order policy and efficient online payment system.

Swiggy has no minimum order requirement for delivery which is why it often receives orders amounted to less
than Rs. 100. It is the reason for Swiggy scaling up to 14 million orders per month.

Easy access to customers on Swiggy’s app is the main value proposition offered to restaurant partners on the
platform. Also, partner restaurants that join Swiggy’s Access can save up to 25% of their operational costs.

Swiggy Stores deliver groceries, flowers, medicines, and other things to the doorstep of its customers within an
hour.
Swiggy Go – It offers instant pick & drop services used by customers to send packages, lunch boxes to their
kids, documents to the office, and parcels anywhere across the city. Also, customers can use Swiggy Go
services to drop laundry or fetch forgotten keys.

Swiggy provides 8 different payment methods for its customers to pay conveniently for Swiggy orders. These
can be categorized in 3 ways:

Digital Wallets

Paytm – Pay through your Paytm account and enjoy plenty of wonderful offers and food deals.

PhonePe – Get the ultimate convenience by paying through PhonePe, the simplest digital wallet for online
payment.

Freecharge – Swiggy has also included Freecharge as an online payment method to facilitate its customers
efficiently.

Mobikwik – Now you can collect SuperCash through Mobikwik’s offers. So, get ready to avail amazing
benefits on many services.

Cards

Credit and Debit Cards – Via Swiggy’s net banking facility, you can use any debit and credit card. Plus, you can
also avail great offers on them, and you can even save your card details for your future payments.

Sodexo Meal, Ticket Restaurants Meal & Zeta Food Card – Got these meal cards? Great! Use them on Swiggy
for your food orders.
Others

LazyPay – Pay now or pay later for your meals, LazyPay is here on Swiggy for you to handle your lazy moods
of payments!

Cash-On-Delivery – Old is gold, isn’t it? Pay for your Swiggy orders in cash if that is more convenient for you.

Another value proposition is its delivery competency. Its fleet size increased to 45,000 delivery personnel. It has
over 20,000 active restaurant partners on its platform.

It’s operating in 8 cities and has even launched a central kitchen base facility for various restaurants. Swiggy has
more than a million app downloads.

3. Customer Relationships of Swiggy

Swiggy has positive customer relationships. It provides 24/7 active customer support to help customers anytime,
anywhere. It uses ‘Customer Support Chat’ services.

It also has active social media pages where it responds promptly. To stay in touch with its customers and
partners, it has developed excellent rating, review, and feedback systems.

4. Channels of Swiggy

The channels of Swiggy are mobile app, websites, and digital marketing. Its mobile app is available on both
Android and iOS.
In 2019, Swiggy launched Swiggy Stores and Swiggy Go to expand beyond food delivery.

5. Key Resources of Swiggy

As it has partnerships with local restaurant and shops, its main resources are local partners.

To name a few, Biryani Blues, Keventers, BombayKery, Wok Paper Scissors, and Yogisthaan are the
bestselling restaurants at Swiggy.

Other key resources are delivery providers and its own human resources to manage administrative and technical
operations. Technology is another resource it uses to operate its apps.

6. Key Activities of Swiggy

Its key activities include:

Building partnerships with eateries and retail shops

Hiring delivery providers and suppliers (full-time/part-time/freelancers)

Acquiring customers and managing their orders

Managing delivery and payment process


Managing technical operations

Updating system and building IT infrastructure

Handling queries and concerns of customers and partners

Picking and delivering items for customers via Swiggy Go

7. Key Partners of Swiggy

The key partners of Swiggy are:

Restaurants and shops – Restaurants who wish to have food delivery services to provide customers with food
on-demand. Other than eateries, key partners of Swiggy are shops (like pharmacies, groceries, etc.) who wish to
offer their own products and services as Swiggy’s partner.

Grocery Stores like Sodhi Super Marche, Garg Dastak, and Best Basket are few of the Swiggy partners. While it
is now on the exploratory talks with many online pharma players like MedPlus, Medlife, PharmEasy, and Myra
to partner with them.

Instagram – Swiggy recently partnered with Instagram allowing businesses to share Instagram’s food order
sticker on their stories with customers. Users can tap on the stickers to place similar orders using Swiggy’s
website.
Delivery providers – These are the delivery suppliers. They can be full-time or freelancers who wish to work
and earn some extra money. For the first 4 km, Swiggy pays delivery boys Rs. 4 per km. It then pays Rs. 6 per
km after they have traveled 4 km. Besides, they are paid an additional Rs.20 in unseasonal weather like rainy
days. Also, Incentives are given on the basis of productive performance.

8. Cost Structure of Swiggy

Swiggy has to incur costs and expenditures for its day-to-day functions. Its major cost sources are:

Payroll expenses for its employees and delivery partners. It also includes incentives and benefits which Swiggy
offers to restaurants. For example, giving a commission of about 2- 3%.

Costs of application and website development

Running costs and maintenance charges

Administrative, advertising, and marketing costs

Additional costs in terms of promotional offers and benefits given to customers

Kitchen base-like facility setup and maintenance costs

Returns, refunds, and miscellaneous expenses

9. Revenue Streams of Swiggy

Now, comes the most critical question:

How does Swiggy make money?

To get a definitive answer, we need to analyze Swiggy’s Revenue Model. As its expanding its business strategy
and operations day by day, the revenue streams of Swiggy are also considerably increasing.
There are mainly 6 revenue streams at present through which Swiggy makes money:

1. Delivery charges

The first type of revenue stream Swiggy obtained is from its customers. A nominal delivery fee of Rs. 20 to Rs.
40 is charged from customers on orders below a threshold value of Rs. 250. Swiggy raises the charges during
high order demands or unusual weather conditions.

2. Commissions

Swiggy acquires another major part of the revenue stream from commissions. It collects commissions from
restaurants to generate sales leads and to deliver their food items through Swiggy’s fleet. Restaurants have to
pay 15% to 25% on every order placed from Swiggy’s website.

3. Advertising

Swiggy earns advertising revenue in the following ways:

Banner Promotions – Swiggy promotes and displays ads of various restaurants on its app. Restaurants, related to
different regions, receive greater visibility via banner promotion and pay price for the displayed page.

Priority listing of restaurants – Swiggy charges restaurants premium rates to give them priority in the list of
available restaurants. A restaurant has to pay high if it wants to be displayed higher on the list.
4. Swiggy Access

An entirely new idea based on the cloud kitchen concept, Swiggy came up with its Swiggy Access facility. It
provides ready-to-use kitchen spaces to its restaurant partners in those areas where they don’t operate.

With the aim of bringing food nearer to its customers, Swiggy enables restaurants to set up their kitchens in new
locations and let the food delivered to them at the fastest speed.

Expecting around 25% of revenues in 2 years, Swiggy expands its cloud kitchen model to include 30 restaurants
onboard with 36 kitchens to four new cities.

5. Swiggy Super

Swiggy has launched a membership program called ‘Swiggy Super’ for customers. This program offers
unlimited free delivery on all orders above ₹99. After subscribing to this program, customers don’t have to pay
surge pricing during excessive demands.

6. Swiggy Go

Another revenue stream for Swiggy is a concierge service Swiggy Go that was launched in 2019 to offer instant
pick & drop service.

Through Swiggy Go, the company earns by helping customers to send, pick, and drop anything to and from
different locations anywhere across the city.
7. Affiliate Income

Swiggy earns revenue by partnering with various financial institutions like Citibank, HSBC, and ICICI Bank.
This affiliate income is a new yet successful revenue stream where both parties benefit.

It also allows

Swiggy Partnerships

Swiggy has joined hands with the fastest-growing fast-food outlet, Burger King, Goli Vada Pav, Cafe Coffee
Day for giving delivery services.

It additionally has cooperated with Google Local Guide to encourage client reviews and with Sodexo to
empower clients for paying through metal cards.

It banded together with Indifi Technologies to encourage a financing program for restaurant partners.
Swiggy launched its own payment wallet ‘Swiggy Money’ in partnership with ICICI bank. The customers who
don’t possess a bank account with ICICI can also avail the benefits of these services.

Swiggy Most Popular Digital Campaign

Swiggy initiated a new promotional campaign and explored a novel food combo. The campaign has a slogan
‘Ghar ka Khana, Saath Mein Thoda Swiggy’! The company draws this idea by observing that Indian
purchasers like to supplement their home-prepared the food with some ordered dishes from Swiggy.

Swiggy makes the customer eating experience delightful where shoppers can complement their preferred food
with the food, they love ordering from outside. The Start-up advertised the campaign through TV plugs and
digital platforms and tried to connect emotionally with their customers.
More about Swiggy
Swiggy currently stands with a net worth of 3.6 billion at the end of the financial year 2020.
From 2019, Swiggy underwent its expansion from 17 cities to 245 locations and is planning to expand it
furthermore.

Another vision of the company is the transformation into an AI (Artificial Intelligence) first product.

Swiggy recently acquired the Kint.io on 4 February, 2019,

INTRODUCTION OF ZOMATO: -

Founded in 2008, Zomato is a leading platform for restaurant search & discovery, online food ordering, and
restaurant table reservations. The company was founded by Deepinder Goyal and Pankaj Chaddha and is
headquartered in Gurgaon (officially Gurugram). Zomato has been a pioneer in food ordering and restaurant
discovery in India, which has benefitted both restaurants and customers. Featuring a robust review system,
Zomato allows foodies to find the best meals and restaurants in their neighborhood. A notable aspect about
Zomato is that it is among the few companies that have gone global after starting operations in India. Zomato
currently features more than 1 million restaurants globally on its platform.

History:

The story of Zomato started when the founders noticed that people did not even knew the restaurants that were
functional in their neighborhood. The founders thought that it would be a great idea to list all the restaurants on
the web and provide their menus as well. This idea eventually led to the launch of Foodie Bay in 2008. The
startup initially catered to the Delhi-NCR region and after the service gained popularity, the founders decided to
implement the idea across the country. The founders decided to go for a rebranding exercise, which led to the
transformation of Foodie Bay into Zomato in 2010. Since then, Zomato has expanded operations to several new
locations in the country. It has also launched international operations and now covers more than 10,000
locations across 24 countries globally. Millions of people across the globe use Zomato every day to find the best
places to dine in their neighborhood.

Business model:

ZOMATO provides information of all restaurants about their food menu, detailed analysis of restaurant, its
branches and locations, service hours and reviews & comments from other users who have already experience
of having food on respective restaurant. The business model of ZOMATO is affiliate marketing model which
work with website and mobile apps. The website enables user to search for food in different ways. Such as by
name of food, general search in a specific location, search for available restaurant open in particular time of a
day and even they can find out if the restaurant has a bar, buffet, live music, happy hours and other services.
This is a great platform for people who love to eat and very choosy in terms of choice of food.

During the initial phase of the company, Zomato used to scan the menu of the restaurants, keep it on the site and the
menu was received by people. It still follows the same formula, but has also added other services to its operation. The
business model of Zomato is quite different from that of other food delivery company such as Swiggy and Foodpanda.
The key partners of Zomato are Uber and London & Partners that could launch Zomato in UK within expected timeline.

While the key resource of the company is that it has a large database of restaurants across 10,000 cities in 24
different countries. The business model is based on providing local restaurants search services and collecting
data on food menus, contacts and providing relevant information to their customers. The main channels for
Zomato are the mobile applications and its online website. The target audience of the company are the users
who try to find local restaurants of various cuisine and restaurants who want their name to reach a large number
of people.

Zomato also caters to customers that prefer home delivery, it helps out database and market research companies.
While the online service is built with mandatory rating mechanism. The business model of Zomato has
revolutionized the food business industries by incorporating various restaurants and making it convenient for
people to find restaurants, provide feedback, check listings, and availability according to their choice of cuisine.

Zomato - Revnue Model


Zomato in itself does not offer the products to customers but the revenue is massive. Zomato is not just a food
business, as it also into the advertising business. Zomato business has two parts, one is the delivery business and
two is that they are in the advertising business. Today, Zomato has multiple revenue channels besides online
ordering, which most consumers would be familiar with. The revenue generating ways are:

Revenue FY18 FY19

Delivery $38 million $115 million

Dining out $30 milion $49 million

Sustainability $0 million $2 million

Restaurant Listings and Advertising

Zomato first started out as a restaurant search and rating services. This brought in the advertising revenues from
restaurants who joined the platform. They further extended this feature to food delivery and restaurant
reservations, for this Zomato charges commissions from restaurants that want to be placed on the feed.
Advertising is the major source of revenue for Zomato. The restaurants can promote their banner on the site in
order to get better visibility and appeal to a large section of the audience via Zomato.

Food Delivery

Through the food delivery business, Zomato charges a commission to the restaurants on the basis of orders. The
company earns through restaurants who pay a commission for each delivery, which is then spilt among the
delivery partners and the company. However, the online food delivery only contributes a low percentage of
income compared to other revenue streams because of the huge competition and the need to provide deep
discounts etc.

Subscription programs

The next major source of revenue for Zomato is a subscription fee. Restaurants pay a certain amount of fee
monthly and in return, Zomato offers them the analytical tools. Zomato has huge amount of databases that
knows what a customer wants to eat, where he/she wants to eat, what the consumers is searching for and knows
all this information through the cookies. It has a tool called Zomato order and is given to restaurants, which
helps them know about the consumers interest. The restaurants then use this tool to flash their discount offers on
food.

Live Events

Zomato has forayed into events space by partnering with restaurants and creating limited events. By which they
made a sale through the price of the tickets. Zomato recently introduced Zomaland, and entered the live event
market in 2019. Zomato charges users an entry fee to attend zomaland where besides food, they can witness live
musical performances and other acts. Zomato also organized an entertainment carnival in 2018, in Delhi, Pune
and Bengaluru, where more than 100 thousand people showed up.

White Label Access

The next source of revenue is app development. Zomato launched the service called Zomato Whitelabel under
which they give offers to the restaurants to develop and customized food delivery app. It also works with cloud
kitchens and restaurants for consultancy services. Zomato works with select restaurant operators to help in
identifying locations for expansions at a minimal fixed cost, but with increased options for the user. It provides
the requisite licenses and operational enablement for such restaurant partners.

Zomato Kitchens

Zomato also provides kitchen infrastructure services to select restaurant operators, it works with entrepreneurs
to set up and operate Zomato kitchen under various other labels. This helps entrepreneur’s fund restaurant in the
right location with an investment of Rs. 35 lakhs. It also claims to offer returns in the range of Rs. 2 lakh to Rs.
4 lakh per month to the investors and has so far completed with more than 180 affiliated kitchens.

Zomato Gold

Zomato Gold is a premium subscription based service which is offered by Zomato. It started in 2018 and is a
paid service that allows customers with Gold memberships get complimentary food and drinks at the time of
ordering form partner bars or restaurants. However, the Gold service is only applicable to dine in orders and not
available for deliveries and can be used only once at each partner restaurant in a day. Zomato Gold offers either
1 + 1 on food or 2 + 2 on drinks when the customers visit their partner restaurants.

Zomato - Value Proposition

Zomato business model offers a variety of value to its customers. Zomato's revenue model focus has been on
creating something new and extra which the customers cannot get anywhere else. Zomato is one stop shop for
dinners and offers a way for restaurants to differentiate themselves. Restaurants have an option to create
differentiation by keeping the listing updated, responding to criticism positively and also by being accountable
to their action.

Zomato believes in creating value for its customers in order to sustain its business operation. The company tries
to bridge the gap between the customers and restaurants by providing efficient technology application, which
has helped them reduce its delivery time.

Strengths in the SWOT analysis of Zomato

First mover advantage – One of the best competitive advantages of Zomato is that it is the first mover in many
of the nations where it is establishing itself. Directories and other forms of restaurant ratings might exist. But as
an app Zomato is excellent and many countries (like India) have loved the usability of the Zomato app.

Evergreen industry – The restaurant industry is an evergreen industry. Sure, there may be recessions and other
downturns which might affect the industry. But overall, this industry is going to stick around at all times and is
only going to grow with rising disposable income.

Fast Expansion – It is appreciative that Zomato has expanded so fast. It is already in 24 countries and is
expanding year on year.
Fantastic design of the app – Zomato has regularly won awards for its app design and for its user-friendliness.
The App design is fantastic and it helps you discover restaurants nearby as well as in an area you are going to
visit.

Number of users – Zomato has a huge number of users using their app. At the same time, the site also has 90
million visitors a month approximately. With so many users following the app and site, there are more reviews
and hence more chances to find better restaurants.

Focused approach – The brand has a very focused approach and has always tried to bring the most of out of its
unique offering. It is well connected with restaurants and regularly takes feedback from customers as well as
restaurants. This focused approach has also helped the brand image and reputation of the firm.

Excellent funding available – Zomato has picked multiple rounds of funding over the years and because it is
now so well established in many countries, there is a lot of funding available for the app.

Multiple acquisitions – Zomato has acquired multiple companies most of which are software or technology
related.

Already turning profits – In April 2017, Zomato was profitable in all 24 countries it was operating in. For a
company which is a start-up and has so much funding, it is a big thing to turn profitable because many funded
organizations are still declaring losses even after a decade of establishment.

Brand Equity – Zomato is valued at $1.4 billion within 7 years of inception. That says volumes about the
popularity and love for the brand.
Fantastic marketing – You can find Zomato working for its own marketing offline as well as online. Its print ads
are hilarious and make an immediate connect with the audience. It is strong on Social media marketing and uses
a combination of ATL and BTL strategies to attract and retain customers.

Weaknesses in the SWOT analysis of Zomato

Security issues for the app – A major issue for Zomato in the past has been some security issues due to which
the app was hacked and at least 17 million users data was copied. Such security issues are a nightmare for
internet companies.

Still a lot of expansion required – Considering that the app has established in 24 countries, there is good
expansion. But at the same time, the app has been started 7 years back and with the amount of funding available
for Zomato, the expansion can be much faster. It is allowing other services to establish themselves in this niche
before it reaches their country.

Word of mouth and Facebook check-ins – Besides such apps, in many places word of mouth still trumps apps
and at the same time, Facebook check-ins are a strong competitor wherein people might not need Zomato. Thus,
it is an app for early adopters but definitely not for laggards.

Opportunities in the SWOT analysis of Zomato

Further expansion – The number 1 opportunity for Zomato is to expand to more countries and establish its base
faster. Service industry has a major problem that services can be copied very fast and very easily. As a result, it
is critical for Zomato to establish and expand itself faster.

More acquisitions – There are and were many small players in this space. Zomato can acquire several of its
competitors and at the same time, it has to keep an eye on the tech industry and acquire any tech innovation it
can get its hands on to keep on rising.

Cloud restaurants – Zomato is coming up with the concept of Cloud restaurants wherein restaurants will not
have to get a physical space to actually sell their food products. Instead, they can sell from Zomato.
Creating a community – Zomato does have a huge following but the users do not interact with each other.
Creating a forum and a community out of the users already following Zomato can be a huge benefit for the
brand.

Adoption of the internet and Smartphones – There is a huge increase in the adoption of Internet across
developing and underdeveloped countries as well. Similarly, adoption of smartphone has also increased. Thus
more and more orders and research about restaurants can happen online instead of through physical visits.

Threats in the SWOT analysis of Zomato

Google’s schema module – One of the major threats Zomato faces right now is the Schema module of Google
wherein google locations itself is getting in restaurant recommendations. Even google homepage shows the
google maps page where you can search for restaurants within your locality. Google being such a big brand,
zomato faces huge competition from them.

Market followers and challengers – In the service industry, it is very easy to replicate the success of another
service product or offering. Similarly, marketing followers and challengers can slowly take away the market
share of Zomato.

customers to receive several credit card offers from those financial companies.
Products of ZOMATO:

1.Advertisement/ Banner ads


Advertise on ZOMATO.

2.ZOMATO for business app:


ZOMATO's app for restaurant businesses – puts the power in the hands of the business owner. With an easy-to-
use interface and powerful features, it helps a business get the most out of ZOMATO. Business can connect and
engage with their patrons by replying to their reviews, and keep them coming back.

3.ZOMATO base
ZOMATO Base is a cloud-based POS system to help you manage your restaurant operations from a single
platform

4.ZOMATO book
Table & reservation management.

5.ZOMATO order
Online ordering.

6.ZOMATO whitelable
Custom apps for restaurant.
Search & discovery services don’t charge for listing an entity with them.
Operational Model:
The main reason behind the success of ZOMATO was the listing of 1.4 million restaurants across 10,000 cities
& 22 countries with an exclusive/extensive range of food menus/customizes food menus and up to date
information about restaurants. The incarnation of smart phones & internet penetration plays the leading role in
its success. The business model & and the operation of ZOMATO is very unique & creative. Sustainable price
of the products & expansion of operation in a calibrated (standardized manner) has put ZOMATO the Global
Map. It rebranded its logo to go beyond cultures. Geographic boundaries & languages.

Revenue Model:

According to Deepinder Goyal, ZOMATO has four revenue streams:

1. Restaurant advertising:

Banner ads of restaurant on the website accounts for 70% of ZOMATO’s revenue.

2. Event advertising:

When specific events promote an event on ZOMATO and it comes from restaurant-based advertiser. It accounts
for 5% of their revenue
.

3. Event ticket sale:

Commission of ticket sale through ZOMATO, primarily for restaurant venues accounts for 15% of revenue.

4. Consulting service:

Account for 5% of revenue.


5. Food order commission:

New addition of ZOMATO which account for 5% of revenue.

Financial Model:

Fund Raising:

ZOMATO’s business model is based on acquiring funds. In order to achieve its goal to hit the billion dollars
plus valuation, ZOMATO has raised a total of $225 million in eight rounds
Of funding since its launch in 2008.Its five rounds of funding have been as follows:

Fund allocation and utilization:

§ As an online company it uses its fund strategically on technological development to ensure a strong and
smooth network through website and mobile app.

§ It also focuses on building strong, energetic talented Zomans to create an unmatched network for
information flow.

§ Mostly they use these funds to strengthen its aggressive international rollout and invest in newer
segments like online food delivery and cashless payments among others. It's worth noting that
ZOMATO had spent most of its $60 million funding on the Urban Spoon acquisition, which it had
acquired for $52 million.

§ In February2015, ZOMATO allocated $50 million (Rs 300 crore) to launch an online food ordering
business, taking on existing players like Food Panda and TinyOwl among others.
§ ZOMATO spent Rs. 76 lakhs on the delivery of food orders in FY 2016.

§ It also spent Rs.44.1 crore on advertising and sales promotion in FY 2016 which is double of Rs.22.3
crore from previous year.
A glimpse of fund allocation and utilization is given below:

Shareholding Pattern :

Info Edge (India) Limited is the largest shareholder in ZOMATO with 45.3%. The founders own 19.92%
shares in the company. The shareholding pattern is as below:
Shareholders %age Shares Held
Founders 19.92 %
Info Edge (India) 45.30 %
Sequoia Capital 17.02 %
Naukri Internet Services 4.80 %
VY Investments 3.6 %
Others 9.36 %

Technological Model:
As ZOMATO is India’s best online restaurant discovery guide it use Superior technology in the form of :

· Featured and user-friendly website.


· Global personalized Mobile app.
· Digital marketing channels.
· Business app for table management, POS system, online ordering.

ZOMATO app review:


1. ZOMATO, the popular online and mobile restaurant guide, has iOS app, Android app completely
overhauling the user interface and has added new features.

2. They have more than 5 million downloads of their app.

3. More than 50 percentage of access to ZOMATO has been through mobile platform and seems to be a
perfect strategy in a country with increasing GPS enabled-smart phones like India

4. The ZOMATO app offers a much simpler user interface, in line with the redesign of the ZOMATO
website, with the home screen offering large swappable images of nearby restaurants that lead to their
respective listings, in addition to options to browse restaurants and search for them by entering keywords
for name, location, cuisine or dish.

5. The Browse Restaurants option takes one to a menu that offers mood-based recommendations. So, one
can select if you're looking to get food home delivered, going out for a meal, going out for drinks or just
catching up with friends. Selecting the location is the next step, following which, the app offers a list of
restaurants that match the criteria.

6. There's a separate screen for location-based restaurants search through which one can sort restaurants
based on the distance from one’s current location. One can apply additional filters such as ratings,
whether the restaurant is open at the time of the search, cuisine, budget and other aspects.

7. There's also a 'Featured Content' section that offers lists such as top 25 restaurants, foodie leader board
(for regular users), and featured reviews, among other content.

8. Users can also post pictures for restaurants they've visited in case they just want to post picture reviews.
Pictures can be posted through the restaurant's listing page or through a section within the app that
allows users to upload reviews and pictures of restaurants.

9. Users can also add restaurants to their Wish list or mark them as 'been there' and favorites from their
respective listings page.
10. For the uninitiated, ZOMATO provides information such as scanned menus, mapped coordinates,
pictures, ratings, contact details and user reviews for restaurants across a number of locations in India,
New Zealand, UK, South Africa, Philippines, and Dubai.

11. The app is available in the App Store and Google play store.

ZOMATO Business App:

1. ZOMATO for business app


ZOMATO's app for restaurant businesses – puts the power in the hands of the business owner. With an easy-to-
use interface and powerful features, it helps a business get the most out of ZOMATO. Business can connect and
engage with their patrons by replying to their reviews, and keep them coming back.

2. ZOMATO base
ZOMATO Base is a cloud-based POS system to help you manage your restaurant operations from a single
platform

3. ZOMATO book

Table & reservation management.

4. ZOMATO order

Online ordering.

5. ZOMATO whitelable

Custom apps for restaurant.


Search & discovery services don’t charge for listing an entity with them.
Payment Model:

· ZOMATO has introduced online payments for ordering food in select restaurants in India. The latest
version of the iOS and Android application allows users to pay for their orders through debit cards,
credit cards and net banking.

· In addition, it has partnered with PayPal to enable online payments.

· Users can either scan their card details or enter them manually.

· The company also introduced ZOMATO Credits where users can get referral points and refunds.

· It also launched ZOMATO Order, a separate app for ordering food. In app & online payment options do
not show up on it as yet.

· This is along the lines of the company’s expansion and intentions internationally. Dubai was the first city
to receive its ‘Pay with Cashless 'system. This online payment product allows a user to open a tab by
visiting the Cashless integrated restaurant’s page on the ZOMATO app and tapping on ‘Pay with
ZOMATO Cashless’.

· ZOMATO also has also partnered with Paytm on September 2015. This would let users pay for their
online orders using the Paytm Wallet, in addition to the existing payment options of credit/ debit cards,
net banking, and cash on delivery. Paytm's Wallet is the first mobile wallet to be integrated into
ZOMATO. Through this customer would experience smooth, seamless payment.

· Recently Mobi Kwik also integrated with ZOMATO.

· In August 2016, Free charge, India’s fastest growing digital payments platform, has partnered with
restaurant search and discovery platform ZOMATO to offer swift and secure digital payment option to
food lovers.
· Customers across 10 cities can now seamlessly pay for their Online Food orders, in less than 10 seconds
using the Freecharge digital wallet - across all the platforms on ZOMATO. Through this partnership
Freecharge will enable thousands of consumers who place an average of 32,000 orders a day, across over
11,000 restaurants on ZOMATO, to adopt digital wallet.

SWOT OF SWIGGY

1. Fast Delivery

Swiggy is famous for its quick delivery service. Its technical platform is prepared in such a way that it accepts
orders from customers based on its location, and the food would be taken from the nearest hotel of the
customers.

The customers would get the hotels that are near to them in their interface. With this model, Swiggy can
efficiently process the orders for every customer.

2. Neat User Interface

For customers to view comfortably, Swiggy has maintained an excellent interface to take their orders. Its user
interface is neatly arranged in a way that the hotels are listed, and its menu and rates can be seen on clicking the
hotel.

When the customers choose their hotel and food, its payment gateways are also simple, and all the offers that
the customers are eligible are listed. Then it takes to the payment process, and the transaction gets completed.
Once the order is done, customers can also check the live update of their order.
3. Trained Employees

One main strength of the brand is its trained employees. The front and the back-end teams are well-trained and
get the service delivered for the customers.

4. Wide Selection

Yet another strength of the brand is the wide selection it has of the eateries. It provides various selection of
eateries at the nearby location and with an extensive menu available there. It would also show you the eateries
based on your preference, whether vegetarian and non-vegetarian.

5. Neat Packing

Swiggy delivers food to its customers with a neat pack. The hygiene part is also well-maintained.

Weaknesses

1. Targets Zonal Restaurants

Swiggy takes orders that are only from the restaurants located within the zone of the customers. Many
competitors increase the customer’s requirement and expand to more restaurants.

2. Increase in Brand Name

Currently, Swiggy’s brand awareness is less, and it needs to pay more attention to branding. Swiggy should
create more marketing strategy to have the right brand image.

3. Delivery Charges
The brand incurs some delivery and packing charges from the customer wherein the total bill amount would
increase. So, this is a great weakness for the brand because some customers might hesitate to order through the
platform as it might cost an extra amount.

Opportunities

1. Innovator of this Idea

Swiggy was the first online platform for food delivery and the first to get this service to the market. They have
shown new methods to deliver food and sees more opportunities to serve the customers.

2. Growing Marketplace

Swiggy sees a vast opportunity in the market as there are many potential customers. They have many people and
likely to increase so that it would benefit the brand. When customers increase, the brand also increases.

3. Increase in Market Share

Swiggy can increase its position in the market by showing its place more in the market. It can improve its
market share by focusing more on its branding. Swiggy should invest more in branding so that it can be
reachable to many.

4. More Service

Swiggy should find ways to incorporate more service in its operations. It should also try ways to cut down on
the delivery charges so that there would be more customers flowing in.

Threats
1. Fewer Customers

Currently, Swiggy has few customers, and this is a significant threat to the brand. When there are fewer
customers, it would be tough to increase their sales that would impact its profit.

2. Increasing Competitors

Swiggy sees many competitors from a small scale. When new competitors arise, they will give new offers, and
at times people might tend to switch to the new brand. So, this way, it is a significant threat to the brand.

3. Increase in Health-Conscious People

Nowadays, people are more health-conscious and prefer less of outside food. Not seeing the restaurant location
and cleanliness of the place, people would hesitate to order food online. This is a big threat to the brand.

Marketing Model:

The key factor for ZOMATO is its marketing strategy and it's featured & user-friendly website. They also have
a Global mobile application for Google Android operating system, Windows phone, IOS and Blackberry
devices as people using smart phones are increasing day by day and people are more likely to do the search from
their mobile.

Marketing tools:

Online Tools:

Search Engine Optimization (SEO), Search Engine Marketing (SEM).

Offline Tools:

Attractive, colorful and good Quality pamphlets, Word of mouth, OOH, B2B Marketing, Press etc.

Broadcasting Tool:
Occasionally use TV advertising during high activity period like DIWALI, NEW YEAR & other festivals.

Social Media:

ZOMATO uses different platforms to engage user with them as on-

a. ZOMATO use blog as a mouthpiece to share & update all latest Updates.
b. Share the food experience with 457 followers in Pinterest with great content to attract customers.
c. Share foodie photographs in Instagram by using #ZOMATO and it has 39.9 k followers.

Direct Marketing:

a. SMS: 6 SMS per day for one month to 6 lakh unique customer at first stage.
b. Direct Mail: Effectively reached corporate in bulk & professional employees which are primary target.
c. Sales Promotion: Coupon and price offer.
d. Simple review and rating systems
e. Print Media: City Bank ZOMATO restaurant guide 2012.

Cross tie-up: Uber, City Bank.

Collaborations:
ü Paytm
ü Uber
ü Food Bloggers
ü Mobiwik
ü Delivery
ü Freecharge.
ü Restaurants

Online Offline Social Media Direct Marketing

SEO Pamphlets Facebook SMS


SEM Word of mouth Twitter Direct Mail

OOH Pinterest

B2B Advertising Instagram

Press Blog

SWOT analysis of Zomato


Business Timeline:

Business Growth:
ZOMATO has been through a significant growth in the way of their journey of being India ‘s best startup
company and Global best restaurants discovery platform.

Financial growth:
Revenue Growth:

ZOMATO Media Private Limited, the owner company of ZOMATO, has filed its latest revenue figures with the
Registrar of Companies. It has reported revenue of Rs. 95 crores in FY 2014-15. This is more than 2.5 times
the previous year’s revenue of INR 36 crores. Out of the reported revenue of Rs. 95 crores in FY 2014-15, Rs.
78 crores have been reported as ‘Revenue from advertisements ‘. Remaining Rs. 16 crores are reported to be
from other sources, these include Rs. 14.7 crores from ‘Net gain on sale current investment’ and Rs. 1.4 crores
from bank deposits. The company incurred expenses of Rs. 166 crores in FY 2014-15, thus making a loss of Rs.
72 crores as compared to a loss of INR 37 crores in the previous fiscal.

Employee growth:
ZOMATO has over 2000 passionate Zomans strong across 23 countries, and they are growing by the day. At
last count, the team represents 32 nationalities, and speaks twice as many languages.

Global Expansion:
ZOMATO has acquired nine companies since July 2014 in countries as far apart as in Czech Republic Turkey
and USA glimpse of its acquisition is given below:
Customer Acquisition:
ZOMATO.com is largely used by internet –savvy people with high disposable incomes who look for dining or
delivery options. A significant number of their visitors are from corporate sector-a lot of people use the website
to order in food at work. Their server statistics show that ZOMATO receives maximum traffic just before lunch
or dinner time, confirming the fact that the website caters to a highly targeted audience.

For acquiring customer, along with some macro-level indicators, they do on ground research across several
metrics like data collection, merchant, partnerships, user engagement etc. before entering a new market. For
example, Colombo had fit in into the expansion plans, as it required limited product customization for local
market, allowing ZOMATO to replicate their business model seamlessly.

ZOMATO is a revolutionary online restaurant guide, which brings millions of customers and tens of thousands
of restaurant businesses together. what makes them better than others are that they have all the information
needed for a customer to decide their next place to eat-out or order in from-i.e., menus, photos, maps, reviews,
contact information and restaurant features.

OBJECTIVE

 The objective of this study is to find out the best online food ordering and delivering company i.e. ;
Swiggy or Zomato
 To know the centennials perception about Swiggy and Zomato.
 To find the best company who gives maximum level of satisfaction to the customer.
 To understand the factors influencing by people order food online.

LIMITATIONS OF THE STUDY


Common methodological limitations
Limitations due to methodological problems can be addressed by clearly and directly identifying the potential
problem and suggesting ways in which this could have been addressed—and SHOULD be addressed in future
studies. The following are some major potential methodological issues that can impact the conclusions
researchers can draw from the research.
Issues with samples and selection
Sampling errors occur when a probability sampling method is used to select a sample, but that sample does not
reflect the general population or appropriate population concerned. This results in limitations for your study
known as “sample bias” or “selection bias.” For example, if you conducted a survey to obtain your research
results, your samples (participants) were asked to respond to the survey questions. However, you might have
had limited ability to gain access to the appropriate type or geographic scope of participants. In this case, the
people who responded to your survey questions may not truly be a random sample.

Insufficient sample size for statistical measurements


When conducting a study, it is important to have a sufficient sample size in order to draw valid conclusions. The
larger the sample, the more precise your results will be. If your sample size is too small, it will be difficult to
identify significant relationships in the data.

Normally, statistical tests require a larger sample size to ensure that the sample is considered representative of a
population and that the statistical result can be generalized to a larger population. It is a good idea to understand
how to choose an appropriate sample size before you conduct your research by using scientific calculation tools
—in fact, many journals now require such an estimation to be included in every manuscript that is sent out for
review.

 Lack of previous research studies on the topic


Citing and referencing prior research studies constitutes the basis of the literature review for your thesis or
study, and these prior studies provide the theoretical foundations for the research question you are investigating.
However, depending on the scope of your research topic, prior research studies that are relevant to your thesis
might be limited.

When there is very little or no prior research on a specific topic, you may need to develop an entirely new
research typology. In this case, discovering a limitation can be considered an important opportunity to identify
literature gaps and to present the need for further development in the area of study.

Methods/instruments/techniques used to collect the data


After you complete your analysis of the research findings (in the discussion section), you might realize that the
manner in which you have collected the data or the ways in which you have measured variables has limited your
ability to conduct a thorough analysis of the results. For example, you might realize that you should have
addressed your survey questions from another viable perspective, or that you were not able to include an
important question in the survey. In these cases, you should acknowledge the deficiency or deficiencies by
stating a need for future researchers to revise their specific methods for collecting data that includes these
missing elements.

Limited access to data


If your research involved surveying certain people or organizations, you might have faced the problem of
having limited access to these respondents. Due to this limited access, you might need to redesign or restructure
your research in a different way. In this case, explain the reasons for limited access and be sure that your finding
is still reliable and valid despite this limitation.

Time constraints
Just as students have deadlines to turn in their class papers, academic researchers might also have to meet
deadlines for submitting a manuscript to a journal or face other time constraints related to their research (e.g.,
participants are only available during a certain period; funding runs out; collaborators move to a new
institution). The time available to study a research problem and to measure change over time might be
constrained by such practical issues. If time constraints negatively impacted your study in any way,
acknowledge this impact by mentioning a need for a future study (e.g., a longitudinal study) to answer this
research problem.
1. Formulation of research aims and objectives. You might have formulated research aims and objectives too
broadly. You can specify in which ways the formulation of research aims and objectives could be narrowed so
that the level of focus of the study could be increased.

2. Implementation of data collection method. Because you do not have an extensive experience in primary data
collection (otherwise you would not be reading this book), there is a great chance that the nature of
implementation of data collection method is flawed.

3. Sample size. Sample size depends on the nature of the research problem. If sample size is too small, statistical
tests would not be able to identify significant relationships within data set. You can state that basing your study
in larger sample size could have generated more accurate results. The importance of sample size is greater in
quantitative studies compared to qualitative studies.

4. Lack of previous studies in the research area. Literature review is an important part of any research, because it
helps to identify the scope of works that have been done so far in research area. Literature review findings are
used as the foundation for the researcher to be built upon to achieve her research objectives.

However, there may be little, if any, prior research on your topic if you have focused on the most contemporary
and evolving research problem or too narrow research problem. For example, if you have chosen to explore the
role of Bitcoins as the future currency, you may not be able to find tons of scholarly paper addressing the
research problem, because Bitcoins are only a recent phenomenon.

5. Scope of discussions. You can include this point as a limitation of your research regardless of the choice of
the research area. Because (most likely) you don’t have many years of experience of conducing researches and
producing academic papers of such a large size individually, the scope and depth of discussions in your paper is
compromised in many levels compared to the works of experienced scholars.

SIGNIFICANCE OF THE STUDY

Startups in India become a talk of the town in world business scenario.

Youngsters are coming up with innovative concepts to counterpart untouched concerned area of consumers.
Currently Indian Online food market is $ 350billion. Food technology in broad area, online food delivery apps
are just part of it. This conceptual study will give more insight about emerging innovative technologies in
restaurant industry and strategies followed by online food startups Zomato, Swiggy.

From this research paper we would understand drivers of online food sites. Different services given by
application that makes consumers happy and satisfied.

Comfort and Convenience which makes consumer more inclined towards online food ordering. The research
concluded that due to urbanization in Indian landscape, online food delivery applications are growing with
flying colors. Future of online food ordering website is bright.

Facilities, Comfort, User friendliness are the key features of online websites success.

RESEARCH METHODOLOGY

•Research design: Descriptive research design

•Research Approach: Survey method through questionnaires.


•Sample Unit: Students

•Data Collection Method: This survey is done through primary data collection method with the help of
questionnaires.

•PRIMARY DATA

•Students from different colleges.

•Personnel who continuously use zomato and swiggy app to order their food

•SECONDARY DATA

•Company database

•Internet

•Online advertisement sites

Consumer s Perception on Online FoodOrdering

•In this research paper, two objectives were set for study. The first onewas to identify the factors which
influence the consumer to orderfood online and the other one was to know the consumer preferenceson online
food ordering services provider.

•The study highlights the fact that youngsters are mostly poised to useonline food ordering services. The study
also reveals that the price ofthe products, discounts and special offers have the most influencingfactor on online
food ordering. The second most influencing factorwas the convenience, the next most influencing factor was on-
timedelivery.

Demand Drivers
1.Encouraging Demographics

2.Promising Income & Consumption Levels

3.FavourableLifestyle Changes

4.Rising Number of Working Women

Supply Drivers

1.Expanding Variety of Cuisines

2. Upgrading of Retail Formats

3. Rising of Contract Cultivation

4. Emerging of Logistics Providers

5.Growing of Delivery -dedicated Formats

Challenges of Online Food Delivery Business

•Chef’s Onboard

•Retaining Customers

•Food Standardization

•Pricing

•Earning Higher Profits

•Managing Logistics

•Freshness of Food
CONCLUSION
The food delivery industry has emerged as one of the biggest online platforms, specially in lockdown. The
shape of the market is changing with a breakneck speed with food tech companies like Swiggy, Zomato and
many more.
As the decade draws to a close, we have started to see some signs of consolidation in a market which has
undergone several shifts in terms of strategies and operating procedures. The decade certainly belonged to the
two top startups in the space, Swiggy and Zomato.
I stated, I would choose ONE food delivery company, at last, however studying both, despite the fact that they
thrive to be on top, their business model, strategies, and working system are all not the same. They are both
great in their own specific manner.
Where Zomato’s specialty is marketing and offers, concocting these insane ideas, online competitions, promo
ads, and games for their users to be involved in and win amazing cash back prices, Swiggy doesn’t hold back
either, with their efficient user experience. Truly, I’ve cherished more things with how the designers aim for
problem solving, by changing seemingly little details on their app. Every time the app is updated, I’m blown at
the intensity, wondering, what better they’d come up with the next time.
In the event that Swiggy chips away at their advertising techniques a bit more it is set for days I can’t count, and
its equivalent for Zomato, a little focus on User experience, can bring their users back every time and viola! you
just made it to the user’s heart.
Case studies often shed light on aspects of the work and behavior of a person, group or event. There is no doubt
that it is a valuable and important form of research for all of the people who are in some or the other way
involved with the brand.
It has helped in understanding the system and produce groundbreaking thoughts on the presumptions we make
based on the user perspective and market research.
With the work on the case study, I can see the anticipated change in ‘Swiggy Design’ regardless of whether it’s
wasn’t pitched, but I’m glad for the path that I chose in the entire contextual analysis, well, some of it worked
and I plan on continuing in with more improvements in my next one.
Swiggy has undoubtedly become a leading online food ordering and delivery company. Having changed the
entire landscape of how India eats, its innovative business model has made the life of every foodie easier,
tastier, and more fun.

With its fast deliveries, live order tracking, and no restrictions on order amount, Swiggy is not far from taking a
huge chunk of India’s food-tech market. It has been demonstrated through Swiggy’s business model. Swiggy's
growth over the time has been phenomenal. It aims to raise more funds to strengthen and expand its services to
more places. Despite being a late comer into the industry, Swiggy was able to gain its deserving position
through strategic planning and stable expansion.

Our brief research clearly shows that there is a positive outlook for online food delivery apps in terms of
satisfaction level and it is independent of factors like age, education level, and gender.
•If we talk about the difference in satisfaction level between Swiggy and Zomato we do not find much
difference in that so it clearly implies that there is cutting edge competition between the industry leaders.
•So, it will now all depends on their future strategies-that may include expanding in new cities, deploying high
tech technology that may include use of drones and chat bots for reducing operational cost and increasing
responsiveness.

·
1. The perception of the consumer varies according to various similarities and
difference based on their personal opinions,
2. The study reveals that mostly the youngsters / Gen Z are attached to the online
food ordering.
3.The study also reveals that the price of the products, discounts and special offers have the most Influencing
factor on online food ordering.

Have you ever heard of?


In response to the question that have you ever heard of zomato, swiggy, 66 people responded out of 66 people
60 people have heard of both. Then while going through the survey I have realized that actually 1 person have
heard of both but rather choosing the ‘both’ option choose to tick Zomato, and Swiggy separately. That means
61 of them is aware of the fact that companies like Zomato and Swiggy exists only 5 of them responded that
they are aware of only Swiggy’s existence and the don't know about Zomato.
So with this response it is clear that Swiggy’s marketing is actually reaching to more audiences than that of
Zomato.
This responses actually changed my perception.
To the question that how did you got to know about Zomato 44 out of the 63 responses I got said that social
media is the reason that they know Zomato. Of Course more or less each and everyone have seen Zomato's
advertisements while scroll through Instagram, YouTube, Facebook and Twitter, Snapchat and all the other
social media platforms. Only 20 person have seen the Zomato television advertisement.
And got educated about Zomato from friends and family.
With the question asked where do you mostly order your meals from 60% of the responses where to the option
50-50 that is sometimes from Zomato and sometimes from Swiggy .
16.9% of the responses were only for Swiggy that is they are Swiggy's loyal customer, and 26.2% of the
responses were only for Zomato that is they are loyal for Zomato. And they are not ready to Swiggy.

This question and it's responses lead to another question that What makes the 40% of my sample size loyal to
either of the company. What would be the reason? With the next question asked in the survey conducted by me,
we will get a clearer picture of the reasons.In response to the question that do y
APPENDIX
1.How do you get to know about companies ?
o SMS/Email Marketing
o Television
o Social Media
o Friends and Family

2.Have you ever heard of?


o Zomato
o Swiggy
o Both

3.How do you order your food ?


o Website
o Moble Applicaion

4.Which Payment mode you used to make the payment?


o COD
o Credit/Debit Card
o UPI
o Net banking

5.How frequently do you use the online food ordering and delivering services?
o More than once in a week
o Once in a week
o Once in two week
o Once in a Month

6.The most preferred time to place your order?


o 8AM - 12PM
o 12PM - 4PM
o 4PM - 8PM
o 8PM - 12AM
o At night after 12
7.What would encourage you to use more services of ?
o Speed of Delivery
o Quality of Service
o Payment options
o Discount
8.What is your opinion about the experiences of both companies ?
Excellent
Good
Bad

You might also like