It was speculated when Zomato signed a term sheet to merge with 10-minute grocery delivery startup Blinkit that Zomato would use Blinkit to enter the grocery delivery space. However, it appears that Zomato was more interested in Blinkit’s delivery model.
Zomato is in talks with restaurants and cloud kitchens to deliver food in 10 minutes. The discussions are in their early stages, but they revolve around 10-minute food deliveries. Zomato is expected to launch a 10-minute food delivery pilot programme in a few cities beginning with Gurgaon in April.
The company is expected to launch a pilot programme in a few cities beginning in April, with Gurgaon likely to be the first, according to people who spoke on the condition of anonymity because the experiment has not yet begun.
“We’ve been approached by them (Zomato) to set up a kitchen alongside them… they’re setting up these warehouses and giving these brand owners ‘co-working’ style cooking stations,” said a senior executive at a cloud kitchen startup.
According to an industry insider, Zomato briefly experimented with 10-15-minute food delivery in four Bengaluru locations last year, and the current rollout plan is being framed based on those learnings. According to the person, the company is working on a plan for instant delivery, with an internal goal of delivering in under 20 minutes depending on the cuisine and location.
“…but they believe it will only succeed if delivered within 15 minutes.” They claimed that the experiment’s 10-minute delivery time was successful,” said a third restaurant and cloud kitchen operator who was also approached for the experiment.
The food-delivery company is looking into a variety of models, including using warehouses from its business-to-business supplies division, Hyperpure, for restaurant partners, or leasing out new facilities. It is also looking into models in which restaurants could directly supply certain menu items. Following the December quarter, Zomato stated that Hyperpure provided services in nine cities. Since its initial public offering in July, it has increased its investment in the company.
