7/25/2019 Zomato ver 2.1

1/29

Evolution of online consumer se

industry, in particular the restasearch and discovery, with focu

7/25/2019 Zomato ver 2.1

2/29

About Zomato

Zomato is a restaurant search and discovery ser It was founded in 2008 by Deepinder Goyal and

#haddah$

It currently operates in 2% countries, includin& IAustralia and the 'nited (tates$

It features restaurant information such as scannmenus and photos sourced by local street teamswell as user reviews and ratin&s$

)he company also provides cashless payment, oorderin&, white*label apps, table reservation, an

of*sale systems$

7/25/2019 Zomato ver 2.1

3/29

Introduction

)he service be&an as +oodiebay+, conceptualised in thecafeteria of -ain . #ompany$

#ustomers would line up to loo! at the menus to order fdurin& the lunch hour$

/ealiin& this too! up a lar&e amount of everyone1s timedaily basis, Deepinder and an!a" decided to scan restau

menus and upload it on an intranet website for -ain em)he website saw a lot of trac and was launched public

And now Zomato have listed 3$4 million restaurants in 3cities of 22 countries with 80 million users, 8 million rev2500 employees

7/25/2019 Zomato ver 2.1

4/29

#ulture

7/25/2019 Zomato ver 2.1

5/29

6ission and 7ision

Zomatos mission is to ensure nobody has meal$

Zomatos vision is to be the &lobal platformsomeone is loo!in& for food locally

)he said mission and vision is achieved by :elpin& people discover &reat places around t

-uildin& amain& e;periences around dinin&$

Enablin& restaurants to create amain& e;per

7/25/2019 Zomato ver 2.1

6/29

undin&Zomatos total fundin& to million which comes from a clos

investors ? Info Ed&e, (e@uoia India, 7y #apital, and now )em

7/25/2019 Zomato ver 2.1

7/29

#ritical (uccess actors ? ocal

irst mover advanta&e (tron& content platform

Ecient employees

Great roduct

7/25/2019 Zomato ver 2.1

8/29

#ritical (uccess actors ? Globa

6er&er . Ac@uisitions route for &lobal entry (tron& content platform

:irin& local employees

ocal mana&ement ? reportin& to :ead oce

#ulture Bt

7/25/2019 Zomato ver 2.1

9/29

Globaliation (trate&y

)o e;pand themselves across the &lobe as a leadservice provider

As part of further Globaliation (trate&y, Zomatorecently started online food delivery system usinZomato money, ma!in& it a end to end e;perien

its customers$ :irin& s!illed local people

/obust I) software system

ocal tie ups, mer&ers . ac@uisition

7/25/2019 Zomato ver 2.1

10/29

6a"or Ac@uisitions

Company Country

6enu6ania Cew Zealand

unchtime #ech /epublic

bedovat (lova!ia

Gatronauci oland

#ibando Italy

'rbanspoon '(A6e!anist )ur!ey

6aple ( India

Ce;)able '(A

7/25/2019 Zomato ver 2.1

11/29

()Strength

Innovative

#ultureinancial evera&e

)echnolo&y

-rand name

Global presence

Weakness

:i&h staF turnover

OpportunitiesEmer&in& 6ar!ets

InternationalE;pansion

Cew businessverticals ? nline

food orderin&

/isin& internetpenetration

Threat

/isin& competition

#han&es in Govt$olicy

Easily imitated-usiness model

7/25/2019 Zomato ver 2.1

12/29

ru&al Innovation

A e;ible and brea!throu&h idea A common system that can be customied as pe

country re@uirements, and can be centrally used&lobally$

earnin& with &reater eciency

6ultilin&ual system #ustomied user e;perience

romotin& Entrepreneurship

7/25/2019 Zomato ver 2.1

13/29

G#6 ramewor! Global Competitive Matrix ( GCM ) Framewo

Cational Ethos

:i&h on base onmobile H vast talentpool of I) en&ineers

ublic olicies

'nder startup Indiacampai&n ? omato

has the ri&htenvironment to &o

&lobal

irm #ulture

Global delivery,(trate&y ?

DiFerentiation Applied InnovationJ

#ompany strate&y

#ontent driven ?innovative product

solutions * #ustomer

oriented and employee

friendly olicies$

7/25/2019 Zomato ver 2.1

14/29

orter Diamond ramewor!

irm (trate&y

* ar&e pool ofen&ineers

* Growin&internet

penetration

Demand#ondition

* /isin& demandin food industry

* Innovative newdi&ital solutionsfor the industry

actor #onditions* Developed

)elecom Industry

* Developed#omputer *:ardwareIndustry

/elatin& .supportin&industries

* /isin& demandin I)

* Di&ital solutionson boom

7/25/2019 Zomato ver 2.1

15/29

Global resence

7/25/2019 Zomato ver 2.1

16/29

Entry mode strate&ies impleme

Mergers !"#uisitions Cew Zealands 6enu6ania

'( based /estaurant searchen&ine 'rbanspoon

Italys restaurant search portal

#ibando unchtime in #rech /epublic,

bedovat in (lova!ia andGastronauci in oland

)ur!ey based 6e!asnist

$o"ali%ation

3$4 million restaurantcities of 2

Developin& . customiiand app in loca

ocal lan&ua&e comwith

6ore visibility in thecompared to their compKelp, -urrp, Lust Eat, )i

7/25/2019 Zomato ver 2.1

17/29

roduct Ferin&s

/estaurant (earch . Discovery #ashless ayments

/ecommendation En&ine

nline food orderin&

)able /eservation

hitelabel Apps

Zomato D-

7/25/2019 Zomato ver 2.1

18/29

7/25/2019 Zomato ver 2.1

19/29

Cew Innovations

)able -oo!in& nline ood rderin&

#loud solutions for /estaurants

7/25/2019 Zomato ver 2.1

20/29

E()E ACAK(I(&FF&CT O' OMOTO *S+'&SS ,*& TO M!C-O &'.+-O'M&'

*S!Sl/'o/

F!CTO- ,&T!+$

0 1O$+T+C!$

'(A li!e India is a democratic country and has a consistent record of uninterrudemocratic elections$ $(table political country$ Elections are held freely and fairly contested and have beenon schedule$General elections are held every 4 years$Co ma"or labourNtrade union unrest$

ne of the least corrupt country Oran!ed 3P th out of 3P8 countries in #orruerception Inde;, as per )ransparency International 203>Q$

3&CO'OM+

C

)here are no e;chan&e controls in '(A$ roBts can be freely remitted and capital min and out of the country without restriction$

:i&h per capita income, GD er #apita >4 P2R '(D

'(A has hi&h level of business freedom O5th in ease of doin& business out ofcountriesQ

:i&h economic freedom O32th ran! out of 358 countriesQ OInde; of Economic reedetermines whether individuals in a country are free to wor!, produce, consume,invest without bein& constrained by the stateQ$

6ember of CA)A O)he Corth American ree )rade A&reement is a treaty entered intthe 'nited (tates, #anada, and 6e;icoS it went into eFect on Lanuary 3, 3RR4Q and A

OAsia*aciBc Economic #ooperation is a forum for 23 aciBc /im member econothat promotes free trade throu&hout the Asia*aciBc re&ionQ$

7/25/2019 Zomato ver 2.1

21/29

&FF&CT O' OMOTO *S+'&SS ,*& TO M!C-O &'.+-O'M&'+' *S! ("ont4/)

Sl/ 'o/ F!CTO- ,&T!+$

5SOC+O6

C*$T*-!$

:i&h literacy rate

nly 34$80T of the total population of %2 6illion is under poverty line

#ulture of '(A is diFerent from India$ /eli&ion, customs, food habits are diFthou&h lan&ua&e is common OEn&lishQ$

9 T&C:'O$OG+C!$

:i&hly technolo&y based and innovative country$ /.D e;penditure is 2$8T of

R2T of '( youths O3>*%4 years of a&eQ have access to computers Oas on 203%

'(A is %4th in U Inde; of &lobalisation Oout of 38> countriesQ OU IndGlobaliation measures the economic, social, and political dimension&lobaliation in each countryQ OAs per (wiss ederal Institute of )echnoZurichQ $

;&'.+-O'M&'T

!$

'(A is part of the -asel #onvention Ore&$ disposal of haardous wasteQ#onvention on -iolo&ical Diversity O/amsar #onventionUyoto rotocol, the 6ontrVal rotocol, the Cuclear )est -an )reaty, and th

#onventions on the aw of the (ea, #limate #han&e, and DesertiBcation etc$

7/25/2019 Zomato ver 2.1

22/29

&FF&CT O' OMOTO *S+'&SS ,*& TO M!C-O &'.+-O'M&'+' *S! ("ont4/)

Sl/ 'o/ F!CTO- ,&T!+$

< $&G!$

/obust le&al system and strict enforcement of laws$ Approval of food item

and dru&s are routed throu&h DA O)he ood and Dru& Administration is aa&ency within the '$($ Department of :ealth and :uman (ervicesQ$ :i&he@uality standards are followed and strin&ent punishment Oincludin& blan!et baon productQ is awarded for the defaulters$

As per world ban! data, (tren&th of e&al /i&hts Inde; of '(A is very &oof O3at a 32 point scale$ O(tren&th of le&al ri&hts inde; measures the de&ree which collateral and ban!ruptcy laws protect the ri&hts of borrowers anlenders and thus facilitate lendin&$ )he inde; ran&es from 0 to 32, with hi&hscores indicatin& that these laws are better desi&ned to e;pand access tcreditQ$

As per orld Lustice ro"ect, '(A is ran!ed 3R thout of 302 countries O)he orLustice ro"ect is an independent, multidisciplinary or&aniation wor!in& advance the rule of law around the world$ )he rule of law provides thfoundation for communities of opportunity and e@uity ? communities that oFesustainable economic development, accountable &overnment, and respect ffundamental ri&htsQ$

+',+!

7/25/2019 Zomato ver 2.1

23/29

Sl/'o/

F!CTO- ,&T!+$

0 1O$+T+C!$

(ince independence in 3R45, India has maintained a stron& belief in democOworld1s lar&est democracyQ, with a consistent record of uninterrupdemocratic elections since its independence$(table political country$ E;cept for a short duration in 3R55, elections are

freely and fairly and on schedule at every > years$Co labour union unrest since independence

6oderately corrupt country Oran!ed 5Pth out of 3P8 countries in #orruperception Inde;, as per )ransparency International 203>Q$

3 &CO'OM+C

India has low level of business freedom O342 nd ran! in ease of doin& busiout of 38R countriesQ Oorld -an! DataQ

GD &rowth of P$>T, Imports 45R -n$ '(D, E;ports 2R3 -n$ '(D$ er caIncome is 3>RP '(D Oorld -an! DataQ

ow economic freedom O328th ran! out of 358 countriesQ OInde; of Econoreedom determines whether individuals in a country are free to wor!, prodconsume, and invest without bein& constrained by the stateQ$

Availability of s!illed manpower at a cheaper rate$

5SOC+O6

C*$T*-!$

Adult literacy rate is P>T Oas per 2033 #ensusQ$

As per 2033 #ensus, 43T of the populations is under 38 years of a&e$

#omprises of diFerent customs, reli&ions, lan&ua&es Othou&h En&lish is

common lan&ua&eQ and food habits$

7/25/2019 Zomato ver 2.1

24/29

&FF&CT O' OMOTO *S+'&SS ,*& TO M!C-O &'.+-O'M&'+' +',+! ("ont4/)

Sl/ 'o/ F!CTO- ,&T!+$

9

T&C:'O$OG+C!$

As per 6c!insey report, technolo&y sector in India is one the fastest &rowinsector , the most potent of these is the mobile Internet, will li!ely reach 500

million to R00 million Indians by 202>$#ollectively, the technolo&ical sector India could contribute =>>0 billion to =3 trillion of economic impact per yearin India by 202>$

;&'.+-O'M&'T

!$

E;tensive laws to safe&uard environment vi$ Air Orevention and #ontrol ollutionQ Act, 3R83, -iolo&ical Diversity Act, 20Environment OrotectionQ Act, 3R8P,orest #onservation Act, 3R80, Indiorest Act, 3R25, Cational Green )ribunal Act, 2030 etc$

< $&G!$

As per orld Lustice ro"ect, India is ran!ed >R th out of 302 countries O)orld Lustice ro"ect is an independent, multidisciplinary or&aniation wor!i

to advance the rule of law around the world$ )he rule of law provides tfoundation for communities of opportunity and e@uity ? communities thoFer sustainable economic development, accountable &overnment, arespect for fundamental ri&htsQ$

As per world ban! data, (tren&th of e&al /i&hts Inde; of India is moderaOP at a 32 point scale$ (tren&th of le&al ri&hts inde; measures the de&reewhich collateral and ban!ruptcy laws protect the ri&hts of borrowers alenders and thus facilitate lendin&$ )he inde; ran&es from 0 to 32, with hi&hscores indicatin& that these laws are better desi&ned to e;pand access creditQ$

7/25/2019 Zomato ver 2.1

25/29

Global #ompetition * Zomato vsvs pentable

7/25/2019 Zomato ver 2.1

26/29

7/25/2019 Zomato ver 2.1

27/29

7/25/2019 Zomato ver 2.1

28/29

6ovin& from 2EE to %EE

Zomoto doesnt own a sin&le restraint but controbusiness for 3$4 million restaurant

Zomato which started as content portal providinrestaurants from a hard copy to a readable di&itsoftcopy has moved way ahead of it convention

Zomato now oFer customied cloud pos solutionrestaurants

Acts as a event advertisin& platform

or!s as a recommendation en&ine

7/25/2019 Zomato ver 2.1

29/29

#onclusion

(o far Zomato is proBtable from only proBtable f'AE and India mar!et$

Its bi&&est ac@uisition of 'rbanspoon ? Is yet to fruitfull results$

203> will be showin& &reater impacts of its Ac@u

strate&y As per company ? Zomato will continue to focus

ac@uisitions of companies which have a strate&i