Zomato Shuts Down 15-Minute Delivery and ‘Everyday’ Meal Services Amid Profitability Concerns

In a significant strategic pivot, food delivery major Zomato has announced the closure of its recently launched 15-minute food delivery service, ‘Zomato Quick’, along with its homely-meal initiative, ‘Zomato Everyday’. The decision comes just three months after Quick’s pilot rollout.

The move was disclosed in a letter to shareholders by Eternal, the parent company of Zomato. Eternal CEO and Zomato co-founder Deepinder Goyal stated that both initiatives failed to demonstrate a viable path to profitability without sacrificing customer experience — a trade-off the company is unwilling to make.

“The current restaurant density and kitchen infrastructure are not built to handle 10-minute deliveries reliably, resulting in an inconsistent customer experience,” said Goyal. “We did not see incremental demand during the pilot phase, which makes it unsustainable to scale.”

On the decision to shutter Zomato Everyday, Goyal explained that the need for home-style meals is highly localized, mainly to office-goers in metro cities. “We did not see enough return on investment to justify continuing the service at a small scale,” he added.

The shutdowns come amid a broader financial downturn for Eternal, which reported a sharp 77.8% year-on-year drop in consolidated net profit to INR 39 crore for Q4 FY25. The decline was primarily attributed to mounting losses at Blinkit, the group’s quick-commerce arm.

Zomato’s decision underscores the challenges of balancing speed, scale, and service quality in the highly competitive food delivery sector. It also signals a renewed focus on core operations and long-term sustainability over experimental expansion.