Zomato, which is the popular food delivery company among today’s generation, has brought back two former senior executives. Rahul Ganjoo and Pradyot Ghate left Zomato last year but have returned to help develop new ideas for Zomato’s Going-Out business.
Previous Roles and Experience
Rahul Ganjoo previously served as the head of new businesses and was the CEO of food delivery at Zomato. He left the company in January 2023 after five and a half years. Pradyot Ghate was a vice-president and left the company in July 2023, after nearly ten years. Their return aims to bring fresh ideas into the company’s Going-Out segment.
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Focus on Going-Out Business
The Going-Out business at Zomato includes services like in-restaurant dining and live events such as Zomaland. The company is also in talks to acquire Paytm’s movie ticketing and events business. This potential deal, worth between INR 1,500 crore and INR 2,000 crore. This could highly increase Zomato’s presence in the entertainment industry.
Recent Performance
In the March quarter of FY-24, the Going-Out business saw substantial growth. The gross order value grew by 207% to INR 1,069 crore. The adjusted revenue doubled to INR 93 crore. However, the profitability declined during this period.
Strategic Shifts
As the food delivery market matures, Zomato is exploring new avenues for growth. The company is investing heavily in quick commerce and the Going-Out business to diversify its revenue streams. Acquisition of Paytm’s movie ticketing and events could help Zomato a lot. They could offer integrated services, cross-sell food delivery and enhance user experience in entertainment.
Company Culture and Returning Talent
Zomato’s CEO, Deepinder Goyal, emphasizes a culture of continuous learning and adaptation. He believes that many former employees return when the company’s needs align with their skills and experiences. Goyal highlighted that several senior leaders are now in their second or third stint at Zomato. By this they are bringing valuable experience and new perspectives.
Former Executives Turn Entrepreneurs
Several former Zomato executives have started their ventures. Mohit Gupta who is a former co-founder, launched Lyskraft. It is an omnichannel lifestyle brand which raised USD 26 million in seed funding. Gaurav Gupta, another ex-co-founder, started Gabit, a healthtech startup. He secured USD 9.5 million from investors including Zomato’s Deepinder Goyal.
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Zomato is rehiring experienced executives and focusing on new business areas. By this Zomato aims to drive long-term growth and innovation. It is putting efforts to expand its Going-Out business. The potential acquisition of Paytm’s ticketing arm is reflecting its strategic shift towards a more diversified business model.
About the Author
Mr. Radhesh Tarang Shah, is a management student at Institute of Management, Nirma University. He has a passion for writing articles and poems. He has experience as a financial analyst, author, news writer, marketer and social worker.
