‘ } CompaniesSakshi Sadashiv 4 min read 01 May 2025, 08:57 PM ISTCiting poor customer experience, Zomato said the model is not aligned with its long-term vision and is no longer a strategic focus.Summary The management said it shut down ultra-fast food delivery service, Quick, because this came at the cost of customer experience, operational feasibility, and the expected boost in demand didn’t materialize. Zomato says it doesn’t see a future for ultra-fast food delivery, and cited poor customer experience and limited incremental value as key reasons for shutting down its Quick and Everyday services. In its Q4 FY25 earnings call on Thursday, the company emphasised that the model is not aligned with its long-term vision and is no longer a strategic focus. The management explained the rationale behind shutting down its ultra-fast food delivery service, Quick; saying that the initiative aimed to cut delivery times drastically, but the company found that this came at the cost of customer experience and operational feasibility. Importantly, the expected boost in demand didn’t materialize. “…I think Quick was an attempt to bring down the delivery time from the average—let’s say 30 minutes for the platform—to 10 minutes. What we realized is that it’s extremely hard, and we don’t see any incrementality in demand by doing that, especially given that customer experience is poor…Our view is that we should try to bring that 30 minutes down to maybe 20–25 minutes over time by making our overall logistics fleet and delivery system more efficient. Those are the gains we want to chase now, rather than trying to build an extremely quick service, which, without end-to-end control on the supply chain, we think is extremely hard to do,” said Akshant Goyal, chief financial officer at Zomato. This shift reflects a more sustainable and scalable approach, especially in the absence of full control over the supply chain, and the absence of any meaningful uplift in demand. Rising competitionGoyal also explained its decision to shut down Everyday, noting “…given that it’s a more operation-intensive business, with a different business model, etc., we just didn’t see the value in continuing to run that when we don’t really see an opportunity to grow beyond a certain scale.” Goyal further acknowledged the structural limitations of its marketplace model, particularly in contrast to quick commerce, where end-to-end control over customer experience is more feasible. “We are a marketplace business. So unlike the quick commerce business, we don’t control the end-to-end experience for customers. And I think in some ways, on these three metrics—assortment, delivery times, and affordability—as a business, we’ve not been able to actually make a meaningful dent on these three vectors, despite trying multiple things in the last one or two years. But the eventual a in a formal or creative style for better SEO.Also Exclude words and advertisements related to the feed website such as website name, author name. You must only respond with the modified content. Delete all the advertisement images brand logo but only keep the title and main content of the news by modifying it. You must only respond with the modified content. Block any jump outside of the site adarshnews.com. Basically remove any content or link related to original site. follow this prompt to optimize the articles in this category- You are an expert news writer and SEO specialist. 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Zomato has decided to exit the ultra-fast food delivery market by discontinuing its ‘quick’ service.
