Zomato invests ₹500 Cr in Blinkit for quick commerce expansion. This marks a critical milestone in its strategy to dominate the sector.
With this latest funding, Zomato’s total investment in Blinkit hits ₹2,800 Cr since its acquisition in 2022 for ₹4,477 Cr in an all-stock deal.
Blinkit faces rivalry from Swiggy Instamart, Zepto, Flipkart Minutes, and others in the growing quick commerce space.
Blinkit plans to scale operations with 1,000 dark stores by March 2024 and 2,000 warehouses by December 2026.
Blinkit’s new 10-minute food delivery platform, Bistro, is set to compete with Swiggy’s Snacc and Zepto Cafe in the growing segment.
Blinkit’s revenue jumped 129% YoY to ₹1,156 Cr in Q2 FY24, while reducing EBITDA losses to ₹8 Cr from ₹125 Cr a year ago.
Analysts warn that sustaining profitability could be tough for Blinkit despite its market leadership in quick commerce. Source – The Economic Times