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What has happened?
- Online food delivery startup Zomato will soon start delivering food in 10 minutes,
- As it looks to jump on the quick commerce bandwagon days after signing a term-sheet with q-commerce firm Blinkit for a merger.
- Called “Zomato Instant”, the company will run a pilot project in Gurugram to test the model for food deliveries.
How will this system work?
- The company will fulfil quick deliveries out of a “finishing stations’ network” located in close proximity to high-demand customer neighbourhoods.
- To begin with, there will be four such stations in Gurugram as part of the pilot.
- Zomato’s finishing stations seem similar to the dark store model used by quick commerce firms like Zepto and Blinkit, which gives these companies greater control and influence over the operational chain.
- Based on demand predictability and hyperlocal preferences, each of the finishing stations will have around 20-30 items that sell the most in a given locality.
- These warehouses will also be equipped with dish-level demand prediction algorithms and in-station robotics, the company said.
- Zomato said it was expecting the model to help reduce the price for the end customer by around 50%, while the absolute income for its restaurant partners and delivery workers will remain the same.
But why this model?
- The company’s co-founder Deepinder Goyal said that one of the reasons it was launching Zomato Instant was that “the 30-minute average delivery time by Zomato is too slow, and
- Will soon have to become obsolete” — and “If we don’t make it obsolete, someone else will.”
- Goyal also said that sorting restaurants by fastest delivery time is one of the most used features on the Zomato app.
- “Customers are increasingly demanding quicker answers to their needs. They don’t want to plan, and they don’t want to wait.”
But isn’t this too short a time to deliver food?
- Even as q-commerce companies commence operations from hyperlocal stores after considering factors such as road conditions, traffic, weather, etc,
- These aspects could present the biggest challenges to any 10-minute delivery plan in India.
- Zomato claimed that to fulfil its quick delivery promise, it will not put any pressure on delivery workers to deliver faster, and it will not penalise them for late deliveries.
- It also claimed that delivery workers would not be informed of the promised time of delivery.
Q) Which of the food group is our body’s best source of energy?
- Meat group
- Fats, oils & sweets
- Breads & Cereals
- Milk & Cheese
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