Zomato had entered the segment last year during the lockdown due to the pandemic, but went out of business due to the recovery of its food delivery business. The company also said it believes its investment in Grofers it will generate better results for your shareholders than internal feeding efforts. Zomato has invested $ 100 million (Rs 745 crore) to acquire a minority stake in the grocery delivery platform Grofers.
In an email to its grocery partners, Zomato said: “Store catalogs are very dynamic and inventory levels change frequently. This has led to gaps in order fulfillment, resulting in a poor customer experience. ”
A Zomato spokesperson said: “We have decided to close our grocery pilot program and, as of now, we have no plans to run any other form of grocery delivery on our platform. Grofers has found that the premium product market fits the 10-minute grocery market and we believe that our investment in the company will yield better results than our internal grocery effort. ”