Zomato, the food delivery titan led by CEO Deepinder Goyal, has unveiled a new app named ‘District’ designed to expand its footprint beyond food delivery. This strategic move aims to consolidate and enhance the company’s “going-out” services, encompassing dining, event ticketing, sports tickets, live performances, shopping, and staycations.
In a recent letter to shareholders, Goyal outlined Zomato’s vision to evolve from its core food delivery and quick-commerce businesses into a broader lifestyle platform. “While Zomato and Blinkit cater to home needs, we also boast one of India’s largest ‘going-out’ sectors, helping customers discover dining and entertainment options,” Goyal said.
The new District app positions Zomato to compete with established players like BookMyShow, which currently leads the online movie ticketing market in India. Goyal envisions District as a potential game-changer in creating a comprehensive lifestyle destination. “If executed well, District could become Zomato’s third major B2C business,” he added.
Zomato’s financial performance has shown remarkable progress. In the first quarter of FY25, the company reported a net profit of Rs 253 crore, a significant leap from the Rs 2 crore net profit in the same quarter last year. This is Zomato’s first net profit since its 2021 IPO, reflecting its successful expansion strategies.
Revenue for the quarter surged by 74% year-on-year, reaching Rs 4,206 crore, compared to Rs 2,416 crore the previous year. Gross Order Value (GOV) also saw a 53% increase, climbing to Rs 15,455 crore, driven by the strong performance of Zomato’s food delivery, quick-commerce, and emerging going-out businesses.
As Zomato embarks on this new chapter with District, the company is set to redefine how people engage with their leisure time, aiming to become a key player in the lifestyle and entertainment sectors.
