- Zomato shuts down 'Legends' intercity food delivery service after two years due to a lack of market fit.
- Zomato Legends allowed customers to order iconic dishes from 10 cities across the country.
- Zomato now plans to launch a new app called 'District' to expand into the entertainment ticketing sector.
Zomato announced on Thursday, that it has immediately shut down its intercity 'Legends' service. CEO Deepinder Goyal shared on the platform 'X' that after two years of trying but not finding a good market fit, the decision was made to end the service immediately.
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
The intercity food delivery service has been discontinued. Back in July 2024, the company had temporarily paused the service and made some changes to improve profitability before relaunching it. Zomato Legends allowed customers to order iconic dishes from 10 cities across the country. Now that it's been shut down, Zomato's food delivery will be limited to within cities only.
This announcement comes just one day after Zomato revealed its plan to acquire the movie and events ticketing business from fintech giant Paytm for ₹2,034 crore. The boards of both Zomato and Paytm's parent company, One 97 Communications, have approved the all-cash deal.
The Gurugram-based company has previously discontinued Xtreme, a logistics service that allowed merchants to send and receive small parcels as it did not yield desired results. When Zomato first launched the intercity service, the company was very optimistic.
According to reports, Zomato plans to launch a new app called 'District' as part of this move. They will fully acquire Orbgen Technologies Pvt Ltd (OTPL), a movie ticketing company, for ₹1,264.6 crore and purchase Wasteland Entertainment Pvt Ltd, an events ticketing company, for ₹783.8 crore.
Edited by Harshajit Sarmah