Skip to main content

How Zomato earns after giving 50% discount?

You might have ordered from Zomato food delivery app several times for availing 50% off on food items. The most amazing thing is you get a chance to order from your favorite restaurants. You may have opened this post wondering how zomato earns after giving such big discounts.

Well, there is only one strong reason why zomato offers such a discount. It wants to grab the whole Indian market and beat its competitor Swiggy (which too is offering big discounts). Now how Zomato actually earns after this. Zomato gets some agreed percentage of commission from the food provider in return to boosts its sales. For instance, if you buy a product @Rs.100  then Zomato will get 10 or 20 % commission as agreed upon the terms.  It serves as a common platform for buyers and sellers and making both the parties comfortable.

So with their commission and delivery charges, they are able to cover the costs of huge discounts. And as many of you may have noticed that the price on the menu on zomato is more of the same restaurant that you pay on a walk in. So they are probably covering all the costs and even earning profits, the margin may be small. So it is their marketing strategy that they offer discounts to promote sales of various restaurants and in return getting an impressive commission.

I hope you find this article helpful. Do comment below how many times you prefer Zomato?


Note: The above points are based on my perspective and understanding. Actual facts may differ. 

Comments

Popular posts from this blog

Crushing it book review by gary vee

CRUSHING IT REVIEW- Crushing it is a book written by Gary Vaynerchuk. Who is a social media influencer famous for his motivational podcast? This book covers the topic of internet marketing. It provides examples of real life influencers who understood the power of social media at an early and build an autonomous business with it. They make their living using social media and doing something they really love to. This book can be very helpful for people who are passionate about a specific niche and would like to continue it further without facing monetary problems. Gary has rightly exclaimed that social media is never going to die out really soon. He further provides techniques to modify social presence. Gary claims that time has changed and the time when people used to have limited jobs is long gone. Every hobby can be monetized if you provide value and stay active. Overall this will be a great book for every entrepreneur out there.

Can money buy happiness?

This is the question which has been very famous lately. This is used by poor people who want to mock their hard working friends by proving how worthless money is. But is that really the case ?check here                          we are going to find that out today. FREEDOM- we won’t talk how to make a certain amount of money, which you can check here if you want to. Let’s be true to ourselves, we all know money can bring absolute freedom in our lives. Freedom is being able to what you want to do when you want to and the way you want to do. Money opens up the vault of variety. Making you available a lot of options to choose from. Who doesn’t love that? Also you are no more bound to make any compromises when you have a significant amount of money. Suppose you want to impress your wife because she fought with you last night, you just make an online order of a Gucci bag and she is yours. PEACE- Although peace is subjective but in most of the cases, we see that o

The basic key for success on YouTube

You might be a frustrated YouTube creator who creates good videos but is not getting results. Well, if you want to give then read this first. There’s no shortcut to success on YouTube. The basic key is to be consistent in providing quality videos rich with originality. Every YouTube sensation had struggled in their early days. Whether it is “Pewdiepie” only. On YouTube, you should keep uploading your original content and then be patient and do not expect anything initially. There will be a time when people will watch your videos. And I bet this way that time will come soon. Moreover, concentrate on fan building. Make your subscribers your fans personally. So they will feel connected with you. Giving thanks and greetings in the videos can do this thing. A good community will create your goodwill on YouTube which in future will give you more results. So the key is consistency in providing original and quality content to the views so that they come back on your channel again.