Zomato is closing its own grocery business for the second time since last year. The online food delivery firm announced on Monday that it would be shutting down its internal grocery delivery service from September 17th.
Referring to the “gradual gap” behind the closure of grocery services, Zomato said there were gaps in order fulfillment and that customer service had been weakened as a result. The food delivery platform says it is struggling to deliver on its 15-minute delivery promise due to changes in dynamic store catalogs and frequent inventory levels. That is, the company believes that poor customer service.
Zomato shuts down grocery delivery services
In an official email on the subject, Zomato noted, “We do not believe the current model is the best way to deliver this to our customers and merchant partners. Therefore, we would like to discontinue our pilot grocery delivery service effective September 17, 2021.
“Over the last two months, we’ve made some important realizations. Store catalogs are very dynamic and inventory levels change frequently. This has created gaps in order fulfillment, which has resulted in less poor customer experience, ”the company added.
Zomato added, “At the same time, the express delivery model, with a delivery promise of less than 15 minutes and a perfect completion rate, has attracted a lot of customers and is expanding rapidly. It is very difficult to pull the model. ”
The company believes that its investment in the online grocery platform Grofers will be much better for the business and will generate better returns for the shareholders.
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