Zomato said that the firm is working on a new menu and all its finishing stations will remain intact. The firm said that no people or employees will be impacted by this decision.
"Instant is not shutting down. We are working on a new menu with our partners and rebranding the business. All finishing stations remain intact, and no people are impacted by this decision," said Zomato's spokesperson.
Zomato Instant, the 10-minute food delivery was launched in March 2022. "Nobody in the world has so far delivered hot and fresh food in under 10 minutes at scale, and we were eager to be the first to create this category, globally," wrote CEO Deepinder Goyal at the time of launch.
The service was offered through Zomato's 'finishing station' which had 20-30 best selling dishes based on demand and local preferences. The service was launched in National Capital Region and Bengaluru.
Zomato has disabled the option of the service.
This comes at a time when co-founder and chief technology office Gunjan Patidar has quit the company after more than ten years in the company on January 2, 2023. It was another big exit from the company after Zomato co-founder Mohit Gupta has quit the company after four and half year stint in November last year.
Recently, the food aggregator had laid off under 3 per cent of its staff across the organisation. The company said that the laying offs are based on regular performance.
Zomato’s net loss for the September quarter narrowed to ₹250.8 crore compared to ₹434.9 in the corresponding quarter last fiscal. Meanwhile, revenue from operations rose by 62.20 per cent to ₹1,661.3 crore.
The company's food delivery business September quarter sales have grown only 22 per cent to ₹6,631 crore from ₹5,410 crore in corresponding quarter last fiscal.
