Zomato
Zomato
Zomato is an Indian restaurant search and discovery service founded in 2008 by Deepinder
Goyal and Pankaj Chaddah. It currently operates in 24 countries. It provides information and
reviews of restaurants, including images of menus where the restaurant does not have its own
website and also online delivery services in some countries. The restaurant search and
discovery platform began its operations under the name, Foodie bay. In November 2010, the
brand was renamed as Zomato.
By 2011, Zomato launched in Bengaluru, Pune, Chennai, Hyderabad and Ahmedabad. With
the introduction of .xxx domains in 2011, Zomato also launched zomato.xxx, a site dedicated
to food porn. The company launched a print version of the website content named, "Citibank
Zomato Restaurant Guide", in collaboration with Citibank in May 2012, but it has since been
discontinued.
In September 2012, Zomato expanded overseas to the United Arab Emirates, Sri Lanka,
Qatar, the United Kingdom, the Philippines, and South Africa. In 2013, the company
launched in New Zealand, Turkey, Brazil and Indonesia with its website and apps available
in Turkish, Brazilian Portuguese, Indonesian and English. In April 2014, Zomato launched its
services in Portugal, followed by launches in Canada, Lebanon and Ireland the same year.
The acquisition of Seattle-based food portal Urban spoon marked the firm's entry into
the United States, Canada and Australia, and brought it into direct competition
with Yelp, Zagat and Open Table.
In February 2017, Zomato in a company's blog explained the concept of cloud kitchen. With
its cloud kitchen, the company will help the restaurants to expand their presence without
incurring any fixed costs.
In September 2017, Zomato claimed that the company had "turned profitable" in the 24
countries it currently operates in. Furthermore, Zomato announced that the "zero commission
model" is to be introduced for partner restaurants.
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Five Force Analysis
Threat of new entrants is low. As there are some barriers to enter in the market. There are
already major players established in market. Zomato has very well established market. .
Technology is one of the major factors that can affect. Technologies can make it difficult
for new competitors to enter the market because they have to develop their application more
user friendly as well as they have to provide effective services to customers.
Threat of Substitute
Threat of substitute if high as other players such as Foodpanda, Swiggy, Ubereats, Paytm
food etc. which have good market share and also it depends on the services, offers and other
facilities they are providing.
Rivalry among the existing competitors is high as industry is going as very fast pace and
storage cost is very low. Also few competitors are present in the market.
Various competitors’ apps are also there in the market which are providing the same kind
service. If others applications are providing the better services and offers customers can
easily switch their preference. Thus, Bargaining power of buyer is high.
Bargaining power of supplier is medium. As they have other options available to select. They
can compare the norms and regulations of other applications, their market share and profit
sharing percentage.
2
Value Chain Analysis
Primary Activities
• Restaurants
Inbound • Reviewers
Logistics
• Single Platform
• Free delivery
Operations
• Delivery Person
Outbound • Order processing
Logistics
• Discount codes
• Digital Marketing
Marketing &
Sales • Pamphlets
• Order Tracking
Services
• Customer service
Fig. 1
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Secondary Activities
Firm Infrastructure
•Zomato has single Technology platform and hence reducing the cost of
infrastructure.
Technology
Procurement
Fig. 2
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Types of systems at different level of organization
Fig. 3
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Process Of Zomato
Fig. 4
Process Interpretation:
The process will start from a person “X” that thinks of eating some junk food or a
meal is not home cooked. So, he decides to look for the restaurants online on the
Zomato app so as to decide what is he actually craving for
X then looks for different options like if he is interested for a fine-dine, twin-dine,
café or casual restaurant meal. So that he selects the type from the above options
After that, X has to decide what does he want to eat. If he interested in Italian food,
North Indian, South Indian, etc. he will select the cuisine and look for the places,
which provide such cuisines the best
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X will then search for the places which are available in a particular location which
would be convenient for him
The next thing that X would do is that he will just not select any place and go or order
the food from there. But instead he will first check the rating and reviews given by
others customers who have already visited that place which includes all the factors
that is food, service, staff, quality, etc.
X would then have to decide that he would go out for dinner or will order the food
online, which one would actually be appropriate for him.
If he decides to go to the restaurant our chart would have it’s first possible end at this
point as X will go and have dinner and would pay the bill at the restaurant itself. So
there will not be any further role of Zomato. But if, he chooses the option of home
delivery he has to look that if the restaurant provides home delivery or not.
If not X will look for other places. But if yes, then he will order the food from Zomato
itself by selecting particular items from the menu, which would be mentioned on the
app. The order can be traced from the start till it comes to you.
Hence, at last X needs to select the payment method that is if he will pay through
Card or use the option of Cash on Delivery.
At last Zomato delivers food to the customers and after that he has a contract of
charging around 18% of the Commission on the total bill of that restaurant. Zomato
also charges money for placing our restaurant in a particular cuisine or unique dinning
concepts and for popping our restaurant’s name at the top in a particular area.
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Types of DSS
Data driven DSS
Zomato collects and stores customer's review and ratings.Zomato analyses these data so
that managers can make marketing strategies accordingly.
It helps managers in making different discount schemes.
Allows customers in selecting restaurant on the basis of reviews and ratings.
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Zomato Dashboard
Fig. 5
Fig. 6
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Fig. 7
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Fig. 8
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List of Vendors of IT Software
Zomato media pvt. Lid is the developer of the Zomato -food & restaurants. This company
owns many brands such as Zomato book lite, hyper pure, Zomato for business, e2z, order
by Zomato, urban spoon- restaurant & food restaurants.
Following is the list of vendors of IT softwares and they are acquired by Zomato.
1. Tonguestun
2. Sparse Labs
3. Nex Table
4. Maplegraph solutions pvt. Ltd.
5. Mekanist
6. Urbanspoon
7. gastronauci.pl
References
https://www.zomato.com
https://en.wikipedia.org/wiki/Zomato
https://www.crunchbase.com/organization/zomato/acquisitions/acquisitions_list#sect
ion-acquisitions
https://medium.com/@manya_gulati27/zomato-restaurant-data-8e2611ce82cd
https://www.zomato.com/business/apps/feedback_app.php
https://dribbble.com/shots/1291760-Restaurant-Dashboard
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CUSTOMER RELATIONSHIP MANAGEMENT
Sales
Telephone Sales
Web Sales
Retail store Sales
Field Sales
Customers
Marketing Services
Call center data
Campaign Data
Web self service
Content
data
Data analysis
Wireless data
Figure 1
Marketing: -
The brief for Zomato was very simple. Food is about indulging a craving. Everything
else is table stakes. Zomato had all the delivery features completely covered. They are
very clear that the craving should become unique to Zomato, that is how the ‘song’
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emerged. It was crafted as an old Hindi film song when words were simple and
meaningful and music was lilting. They are really proud of the campaign.
Customer services: -
CRM systems provide information and tools to increase the efficiency of call centres,
help desks and customer support staff.
Sales: -
CRM systems help sales staff increase their productivity by focusing sales efforts on
the most profitable customers, those who are good candidate for sales and services.
Figure 2
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Supply Chain Management
Supply chain is a network of organizations and business processes for procuring raw
materials, transforming these materials into intermediate and finished products, and
distributing the finished products to customers.
Raw material
Supplier
Manufacturer
Retailer
Customer
Figure 3
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Figure 3
Zomato Founder and CEO Deepinder Goyal is a man on a mission. He wants people to stop
cooking every day. And in an era where wallet-conscious consumers are also more health-
conscious and concerned about the quality of the food they eat he knows it’s not an easy sell.
And then there’s competition in the form of Swiggy, UberEats, FoodPanda, etc. Those
challenges, however, seem par for the course.
In the past 15 months, Zomato has created a presence for itself beyond food delivery into
eating out, food pickup, and even the supply chain.
Zomato started life as a restaurant review platform. In the decade that followed, it has
repeatedly upped in food tech. In 2015, it ran a small pilot in delivery and then plunged in full
time into a space where rival Swiggy had the first-mover advantage. Zomato has stayed away
from the cloud-kitchen model that Swiggy started, much to the dismay of several restaurant
partners.
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They still believe that a standalone (food)-delivery business doesn’t make economic sense.
Our customer-acquisition cost is lower than that of others due to the advertising/listings
business. They keep getting traffic there and that translates into food-delivery very often.
Figure 4
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Computer crimes
Computer crime is an act performed by a knowledgeable computer user, sometimes referred
to as a hacker that illegally browses or steals a company’s or individual’s private information.
In some cases, this person or group of individuals may be malicious and destroy or otherwise
corrupt the computer or data files.
Zomato has suffered a security breach with over 17 million user records stolen from the food-
tech company’s database. The stolen information has email addresses and hashed passwords
of customers.According to Hackeread.com, a user by the name of “nclay” claimed to have
hacked Zomato and was willing to sell data pertaining to 17 million registered users on a
popular Dark Web marketplace.Hashing turns an original password into an incoherent set of
characters, bringing down the possibility of it being easily converted back to plain text.
Furthermore, passwords of Zomato’s 120 million users are reportedly salted as well, whereby
characters are added at random before the password hashed, rendering it unintelligible even if
the hash is translated. Although in theory the password may still be safe, Zomato is
encouraging its users to change that password if used for any other services.
Figure 5
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Over the next couple of days and weeks, Zomato will be actively working to plug any more
security gaps that they find in their systems.They will be further enhancing security measures
for all user information stored within their database.A layer of authorisation will be added for
internal teams having access to this data to avoid the possibility of any human breach.
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Security Parameters
A Security Parameter is information that is either user or system defined and is used to
operate a cryptography module in processing encryption functions including cryptographic
keys and authentication data, such as passwords, the disclosure or modification of which can
compromise the security of a cryptographic module or the security of the information
protected by the module.
Zomato take security seriously. If you are a security researcher or expert, and believe you’ve
identified security-related issues with Zomato’s website or apps,they would appreciate you
disclosing it to their responsibly.Zomato’s team is committed to addressing all security issues
in a responsible and timely manner, and ask the security community to give them the
opportunity to do so before disclosing them publicly. Zomato trust the security community to
make every effort to protect their users data and privacy.
References
https://www.slideshare.net/AlokNanda3/business-information-system-on-zomato-base
https://economictimes.indiatimes.com/small-biz/security-tech/security/zomato-hacked-
security-breach-results-in-17-million-user-data-stolen/articleshow/58729251.cms
https://www.slideshare.net/appvigil/zomato-hacked-understanding-the-vulnerability-in-
api
https://www.zomato.com/security
https://hackerone.com/zomato
https://www.slideshare.net/funk97/zomato-transforming-the-global-restaurant-business
https://yourstory.com/2018/11/delivery-restaurants-supply-chain-zomato
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