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Restaurants Lose Customers After Decline in Zomato Gold Due to Logout

Zomato Gold has been a game changer in terms of driving the dine-out habits of customers, a new report has claimed, saying there has been a 20 per cent decline in bill volumes

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Restaurants, Zomato, Zomato gold, decline, bills, orders
Zomato has announced to take its Gold programme where existing and new Zomato Gold members will be able to use Gold for home delivery orders. Pixabay

Zomato Gold has been a game changer in terms of driving the dine-out habits of customers, a new report has claimed, saying there has been a 20 per cent decline in bill volumes for partners after they logged out of Zomato Gold programme.

Gold partners have witnessed growth over 35 per cent growth in bill volumes after partnering with Zomato Gold and weekday growth has been marginally better than weekend growth, said the report from Bengaluru-based research firm RedSeer.

“Ninety per cent of Zomato Gold Members try out new restaurants just because of the programme. Dine-out frequency for Gold members has increased from 2.8 to 3.3 times/month after subscribing to Gold membership and is 50 per cent higher than that of non-Gold members,” the findings showed.

Zomato on Saturday announced to take its Gold programme to delivery platform, where existing and new Zomato Gold members will be able to use Gold for home delivery orders. The programme is currently available in 16 cities.

Zomato Gold was till date available only on eating out at fine-dine restaurants.

According to the new report, 95 per cent of Zomato Gold Members order more number of dishes/drinks because of Gold discounts.

“Pre-discount average bill value for Gold members is over 11 per cent higher than non-members,” the redseer report mentioned.

Sixty per cent of the Gold partners agree that there has been an increase in new customers coming in because of Zomato Gold.

Fifty-five per cent of the Gold partners have witnessed an increase in visit frequency of Gold customers, the report added.

Restaurants, Zomato, Zomato gold, decline, bills, orders
The National Restaurant Association of India (NRAI) on Saturday slammed Zomato for extending its “Gold” programme on its delivery platform, saying it is a desperate attempt. Pixabay

Students and young professionals with low-income tend to have lower bill value are also utilizing the Gold programme to its maximum.

“Onboarding members via sources like premium credit cards, video subscription platforms, HNI (high networth individuals) targeted platforms like Cred etc. will further enhance the presence of high-spending individuals on Gold platform,” the report added.

Meanwhile, the National Restaurant Association of India (NRAI) has slammed Zomato for extending its “Gold” programme on its delivery platform, saying it is a desperate attempt by the online food aggregator to shore up the sinking fortunes of its flagship Gold programme.

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NRAI also said that it continues to remain firm in its belief that Zomato Gold in its current form is an unacceptable proposition.

According to Zomato, the Gold programme drives 25-30 per cent business for its restaurant partners and more and more Gold users (90 per cent) are exploring new restaurants because of the programme.

Gold on delivery will offer the second-highest priced item on the order for free, except for combos, MRP items and special dishes. (IANS)

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Chennai has the Highest Zomato Female Delivery Partners

The food delivery platform currently offers services from 1.5 lakh restaurants in India. Globally, it is present in over 10,000 cities

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zomato, NRAI
Founded in 1982, the NRAI represents the interests of over 5 lakh restaurants. Pixabay

Chennai has the highest number of female delivery partners while Leh is the highest (altitude-wise) active point for food delivery, according to online food delivery platform Zomato.

The company currently delivers food in more than 500 cities and has over 200,000 delivery partners who operate every day.

While the median age of 230,000 Zomato delivery partners is 27, Kanpur has the youngest (age 18) delivery partner while Gurugram has the oldest (age 60) delivery partner.

“Delivery partners in Sri Ganganagar in Rajasthan top the customer service score by receiving the highest 5-rated orders per capita,” the company informed.

Zomato NRAI
Zomato in a smartphone device. Pixabay

Interestingly, as many as 23,000 Zomato partners deliver food on bicycles and over 50,000 or 22 per cent are pursuing education while working as a delivery partner with the online food aggregator.

Indore witnessed a delivery partner earning a tip of Rs 5,000 on a single order that cost over Rs 1 lakh whereas a restaurant named Night Kitchen in Kolkata delivered an order worth Rs 97,883.

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Raipur has a delivery partner who has travelled 28,660 kms for delivering food in 2019.

The food delivery platform currently offers services from 1.5 lakh restaurants in India. Globally, it is present in over 10,000 cities. (IANS)