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Zomato shuts down its intercity food delivery service, Zomato Legends, due to lack of product-market fit.
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The service allowed customers to order iconic dishes from 10 cities across India, but failed to gain traction.
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Zomato will now focus on local food deliveries within cities.
Zomato, a leading food delivery platform in India, has announced the shutdown of its intercity food delivery service, Zomato Legends. The service, which was launched two years ago, allowed customers to order iconic dishes from 10 cities across India. However, despite efforts to revamp the service, Zomato failed to find a product-market fit, leading to its shutdown.
Zomato Legends was suspended in April and relaunched in July with a tweaked model, offering pre-stocked items from other cities with a shorter delivery timeline. However, the service failed to gain traction, leading to its eventual shutdown. Zomato will now focus on local food deliveries within cities.
The shutdown comes as Zomato announces its plans to acquire Paytm’s movie and events ticketing businesses for Rs 2,034 crore. The acquisition will allow Zomato to foray into the entertainment ticketing sector, complementing its existing dining and food delivery services.
Update on Zomato Legends – after two years of trying, not finding product market fit, we have decided to shut down the service with immediate effect.
— Deepinder Goyal (@deepigoyal) August 22, 2024
