Answer to the case study questions given in the case very briefly.

INTERACTIVE SESSION ORGANIZATIONS Zomato Scripting Success with E-Commerce zomato was founded in the year 2008 as Foodiebay by Deepinder Goyal, who is the competitors cave in business owners from CEO of the firm at present along with Pankaj a variety of segments, Zomato is focused on Chaddah, the co-founder. It got its existing restaurateurs specifically based in the country putne in the year 2010. Currently, Zomato, an of operation. For these business owners, Zomato online restaurant search and discovery service acts as a highly targeted advertising platform allowing customers to effectively interact provider has a major presence in 23 countries. through its portal with the owners to cater to Zomato's core features include the provision of information and reviews of restaurants their dining options. Zomato has an extensive database of 1.4 million restaurants across 23 through its portal, scanned menus, photos, and different countries. It lets the customers read geocoded coordinates for restaurants. It also menus, make table bookings, order food for allows users to create their own network of delivery by accessing this database through its foodies for personalized recommendations. The online portal. Although there are other players firm over the years has been able to receive offering similar services such as Open Table, substantial funding from investors with InfoEdge Just Eat and Deliveroo who have been doing being a prominent one. At the same time, it has this for years, what makes Zomato stand apart been able to spread its wings globally through is its low overheads and a forward-thinking some major acquisitions, Food oriented online customer acquisition model. Goyal adds that his commerce services in India have not flourished customer acquisition costs are considerably low much in the past and recently, Zomato too took compared to competitors who spend up to $15 a dip when its net loss amounted to 590 crore per customer, while Zomato spends an average rupees in the fiscal year 2015-16. However, it was of just $0.04. This clearly adds to the profitability far better than its competitors and the dip was of the firm just after the customer places his short-lived with Zomato seeing surge in number first online order, since this is the moment firm of orders per day (2 million in 2017 compared to breaks even on its costs with the customer. In 0.5 million in 2016), in the number of monthly addition to this, Zomato has a large registered visits (71 million in 2017 compared to 120 million user base (19 million registered users till March in 2016) and increase in operating revenue (185 2016), so it charges relatively high for banner crore rupees in 2017 compared to 334 crore space on its app rupees in 2016). Deepinder believes that constant The firm promises fresh data to its customers effort towards improving its product with less that is refreshed every 3 months and hence, room for error is the key to growth maintenance remains relevant and updated. For this purpose, of the food giant. This holistic experience of Zomato has maintained its own team of foot restaurant discovery and dining provides them soldiers who go to each restaurant and maintain with an edge in competition. their data. This feet-on-street model sure Zomato's business model is worth an insight differentiates the firm from the rest and although since this is the soul of the firm which enables the process is too intensive, the management it to survive any crisis in the food industry or believes that it's their strength. The collection Indian economy for that matter. A core feature of first-hand information from cafes, bars and of Zomato's business model is restaurant restaurants allows the presence of rich content advertising, which accounts for approximately on their website and this is what (real-time 75 percent of the firm's revenue. While other refreshed data) attracts the customers back to Zomato. Another feature added on its portal is Android-based POS system which is customisable, the ability of the users to review and give their With this acquisition, inventory management at opinions about a food space that they recently the firm has been automated and it also allows visited. The users are also encouraged to build payment through debit and credit cards accepted and share stories of their food experiences which via an inbuilt payment solution. Besides this, make the site more social and popular. Zomato Base also includes features for Menu A number of acquisitions made by the firm management, Recipe management, CRM module, have allowed it an unprecedented diversification. Data analytics, printing of electronic receipts to For example, acquisition of food delivery start-up name a few. What really differentiates Zomato Runnrin in 2015 has let it diversity in food delivery is the use of technology not just in building a services, an area which was overlooked by the customer base but also building relationships firm in the past. With this, Zomato has launched with restaurant owners. The food-tech company a new service Zomato Valet which focuses on leverages technology to the business owners to food delivery from high-value restaurants who facilitate their services and aid in their growth. don't deliver on their own. The main motive is The firm is also creating a marketplace for to seek bulk orders for food delivery such as on these restaurateurs where they can purchase some special occasions when the average order products such as cutlery, or restaurant-related value will be high. The delivery for the same technological solutions, aid in licensing and would be fulfilled through a hybrid delivery model choice of vendors. This will provide a one-stop currently adopted by the company. 93 percent of platform required for the complete operation of a its order fulfilment occurs through the restaurants restaurant. Zomato is planning a massive rollout themselves where the orders have been placed, of this feature and aiming to eventually become while the remaining 7 percent is fulfilled by third- an integrated platform for interaction between party logistics firms roped in by Zomato. Another business owners and customers. Another product major acquisition for 852 million in an all cash- is for online table reservation and management deal, is that of UrbanSpoon to mark its entry into named as Zomato Book. The response towards the biggest of all markets-the US. Urbanspoon the product is extremely variable in the country has a strong presence on mobile apps in US, of operation since culture influences user Australia, Canada, New Zealand, Ireland and behaviour. For example, in markets such as UK, which makes way for the entry of Zomato London and Dubai where users are accustomed too in these markets. The firm has also tied up to advanced table reservation, the product is a with Ola for the year 2017 which allows the users success. While in India, efforts are being made to use apps of either firm and make payments. by the firm to promote the feature and gain For example, Zomato app users can book Ola customer attention. Another feather in the cap rides through the app while users can pay for is the "Name and Shame feature. When Zomato Zomato online orders using Ola Money. A Zomato finds a restaurant guilty of obtaining reviews micro-app has been launched for Ola Play which unethically, it displays a yellow badge against provides many features of Zomato to Ola Play that restaurant (which stays there for 30 days) customers. A similar tie-up of the firm with Uber warning the consumers before browsing through lasted for a year till 2016. Lately, the two have the reviews. Although this has fetched mixed become rivals, following Uber Eats, an online food responses from both consumers and owners, the ordering company, becoming operable in India firm plans to continue with the feature. In 2015, Zomato also acquired MapleGraph The latest concept launched in June 2017 is which had built Maple POS which is a cloud- Zomato Treats which treats the subscribed users based point-of-sale system for restaurants. This with free desserts. Users who have been loyal to has been renamed to Zomato Base and is an the firm are invited for a low fee Zomato Treats membership and each time they place an order with the partnering restaurant, they receive a complimentary dessert free of cost. The firm has seen increased repeat usage that is a 25 percent increase in order frequency from the users who have already received a free dessert through this program. The company is working on increasing revenue profitability and reduction in inefficiency. Even in international operations, it is focusing on a few key markets and slowly expanding to reduce cash burn. The firm is a staunch believer in the use of technology to sustain growth and reap profits. Sources: Zomato Acquires Payments Platform MapplePOS to Launch Zomato Base, https://trak.in. Accessed on 23 July 2019, Zomato Base to offer a merchant marketplace for restaurant owners, https://tech.economictimes.indiatimes. com. Accessed on 24 July 2019, Zomato acquires 4-year-old Delhi based startup MapleGraph, https://m.yourstory.com Accessed on 25 July 2019. Zomato's Success Story Is a First for India's Troubled E-commerce Sector https://www.idealsvdr. com. Accessed on 25 July 2019, If you're a Zomato fan, here's what you should know, https://m.yourstory.com. Accessed on 25 July 2019; How Zomato managed to survive the carnage in the foodtech sector, https://economictimes.indiatimes. com Accessed on 25 July 2019; Doing food delivery alone is not sustainable, https://www.thehindubusinessline.com Accessed on 24 July 2019. CASE STUDY QUESTIONS 1. Provide a detailed insight into the core feature of Zomato business model which is restaurant advertising 2. How does data add to the competitive advantage of Zomato? Discuss role of feet-on-street model in the same? 3. How have acquisitions facilitated in flourishing online ordering business of Zomato? 4. Discuss with examples key features of Zomato e-commerce services and how do they differentiate it from its competitors