Zomato is an Indian startup that began as FoodieBay in 2008 and is now one of the world's largest foodtech companies. It was founded by Deepinder Goyal and Pankaj Chaddah, who met while working at Bain & Company. They realized the potential for an online restaurant guide while waiting in long lines at their office cafeteria. FoodieBay launched and gained popularity before being renamed Zomato in 2010. Zomato has since expanded to over 24 countries and lists more than a million restaurants globally. Through numerous funding rounds, Zomato has raised over $2 billion and achieved a valuation of $14 billion, becoming a major Unicorn startup success story out of India

1. Bangalore Institute Of Technology
K.R. Road, V.V. Puram, Bengaluru-560 004
A case study in Management and Entrepreneurship in IT industry(18CS51)
On:
An Indian
start-up
acquiring the
world
Prepared by:
Muneer Hashmat
1BI19CS092
5th semester CSE

2. Introduction:
• Zomato is an Indian Unicorn company that started as FoodieBay back in
2008
• It was renamed as Zomato in November 2010
• Zomato has become one of the world’s biggest foodtech companies with
market valuation of $14 Billion (or more than ₹1 lakh crore, as of July
2021).

3. • Zomato is now present in 24 countries with a listing of over a million
restaurants globally.

4. Founders of Zomato:
Deepinder Goyal: Founder and CEO
Graduated from IIT Delhi back in 2005.
Started working at Bain & Company as a
management consultant in New Delhi..
Pankaj Chaddah: Co founder
Also an IIT-Delhi graduate, became
friends with Deepinder Goyal when they
were both analysts at Bain and
Company.

5. How Zomato was found:
• The thought of starting a company like Zomato came in Bain and company office. Deepinder Goyal
was working as a management consultant and Pankaj Chaddah was working as Senior Analyst at
Bain. While working at Bain, they saw a long line in office canteen to get a glance at a menu card.
• One day they thought of finding a solution to this problem and the idea thought germinated in the
form of Foodiebay. Foodiebay scanned the menu of the restaurants and posted it on the company
private network. Soon the employees of Bains started using the website and thus saving their time
and in return bringing traffic to the website.
• Foodiebay started as intranet facility and after the success at the office, the service opened for the
public. The first restaurant’s menu uploaded on the portal belongs to Hauz Khaz of Delhi.
• Foodiebay started getting more and more popular, the number of users increased and so did the
number of clients. So that’s when they thought of changing the name of Foodiebay to Zomato, as the
name Zomato covered more operation and avoid the confusion with popular e-commerce company
eBay.

6. Instvestments:
• Between 2010 and 2013, Zomato raised approximately US$16.7 million from Info Edge India, giving
Info Edge India a 57.9% stake in Zomato.[40] In November 2013, it raised an additional US$37
million from Sequoia Capital and Info Edge India.
• In November 2014, Zomato completed another round of funding of US$60 million at a post-money
valuation of ~US$660 million. This round of funding was being led jointly by Info Edge India and Vy
Capital, with participation from Sequoia Capital.
• While in April 2015, Info Edge India, Vy Capital and Sequoia Capital led another round of funding
for US$50 million.[44] This was followed by another US$60 million funding led by Temasek, a
Singapore government-owned investment company, along with Vy Capital in September.
• In October 2018, it raised $210 million from Alibaba's payment affiliate Ant Financia, which
received an ownership stake of over 10% of the company as part of the round, which valued Zomato
at around $2 billion. Zomato had also raised an additional $150 million from Ant Financial earlier
in 2018.
• In October 2020, as part of a Series J round of funding, Zomato raised $52 million from Kora, a US-
based Investment firm. In February 2021, Zomato raised US$250 million from five investors,
including Tiger Global Management.

8. Success factor:
• First mover advantage
• Strong content platform
• Efficient employees
• Good rating mechanism & social platform
• Funding from experienced source

9. Milestones Of Zomato:
•Number of listed restaurants:
In 2008- 4000 restaurants
In 2021- 1.4 million restaurants
•Monthly visitors of zomato:
In 2008- 0.015 million
In 2021- 59 million
•Yearly revenue of zomato:
In 2008- 0.06 crores
In 2020- 2,604.7 crores
• Total no. of employees: 5000+
• Total number of active delivery drivers: 162,000+

10. Swot analysis:
STRENGTHS-
• Simple & user friendly interface
• Aggressive and Innovative marketing strategy
• Strong brand recognition and has won several awards
WEAKNESSES –
• Competition from search engines & other similar apps means limited growth
• Drastic growth means vulnerable to bad content
OPPORTUNTIES –
• Opportunity to expand to further more countries
• Increasing internet penetration & number of smartphone users
• Rapid technology development
THREATS –
• Intense competition
• Lack of clear rules and regulations
• Changes in government policy can easily affect the business model
• Business model can be easily imitated by other players

12. Top competitors of Zomato: