'Blinkit will overtake Zomato's...': Financial advisor on shift in business model

Aditya Kondawar, Partner & Vice President - Complete Circle Capital, and financial advisor noted that Blinkit is on track to overtake Zomato’s core food delivery business in the next 1–2 quarters — and that’s a remarkable shift in the company’s growth story.

The gross order value (GOV) of Blinkit's quick commerce app for the January-March quarter of FY2025 reached Rs 9,421 crore, nearly matching Zomato's food delivery segment's GOV of Rs 9,778 crore. This marks a significant increase from Blinkit's GOV of Rs 4,027 crore in the Q4 of FY2024, which was less than half of Zomato's reported GOV of Rs 8,437 crore at that time.

Blinkit's GOV saw a remarkable growth of 134% within a year, fueled by its aggressive expansion strategies. During the March quarter, the quick-commerce arm added 294 dark stores, bringing the total count to 1,301.

Focusing on its timeline, Kondawar noted Zomato entered the food delivery space in 2015 and spent nearly a decade building scale, partnerships, and customer loyalty. Then, in August 2022, it acquired Blinkit, a player in the quick commerce space that has only been integrated for about three years. Yet today, Blinkit’s Gross Order Value (GOV) — and more recently, its Net Order Value (NOV) — is almost at par with Zomato’s food delivery vertical.

This isn’t just a reflection of market demand shifting toward convenience and instant gratification; it’s a testament to Zomato’s execution capabilities. From scaling store networks and warehousing infrastructure to improving contribution margins and driving customer acquisition, the company has shown immense agility in growing Blinkit at an unprecedented pace.

If this momentum continues, Blinkit could soon become Zomato’s leading growth engine — a strategic pivot from a decade-long food delivery-first model to a quick commerce-dominated future.

"I feel that Blinkit will overtake Zomato Food Delivery business in 1-2 quarters! 2015 - Food delivery started; Aug 2022 - Blinkit acquired. A 3-year-old business is almost reaching a 10-year-old business in GOV/NOV. Zomato's execution has been amazing lately," Kondawar noted.

In the past, CEO Deepinder Goyal had said that quick commerce platform Blinkit will become bigger than food delivery app Zomato.

Eternal's Q4 results

Eternal (formerly known as Zomato) encountered challenges in Q4 as a growing number of customers opted for packaged meals from swift commerce platforms like Zepto Cafe, Swiggy Snacc, and Blinkit Bistro. This shift in consumer behavior led to decreased demand for Zomato's food delivery services, according to the company's CEO, Deepinder Goyal.

Goyal mentioned that a sluggish economic landscape, where shoppers are reducing discretionary spending, along with a shortage of delivery partners who are transitioning to quick commerce portals, also negatively impacted the company's growth.

Goyal emphasized the primary factors contributing to the present downturn in food delivery. These factors include a sluggish demand environment, particularly in discretionary spending, a limited availability of delivery partners, and competition from rapid packaged food delivery services offered by quick commerce companies. 

The company experienced a significant 77.71% year-over-year decrease in its consolidated net profit during the January-March 2025 quarter, primarily due to a rise in expenses. Profits decreased to Rs 39 crore in the three-month period, down from Rs 175 crore in the same period last year.

On the other hand, the revenue from operations for the online food and delivery services platform saw a notable 63.75% increase to Rs 5,833 crore in Q4 FY25 from Rs 3,562 crore in the previous year. Expenses also rose by 67.88% to Rs 6,104 crore in the March 2025 quarter compared to Rs 3,636 crore in Q4 FY24.