Zomato Ends ‘Legends’ Intercity Food Delivery Service After 2 Years
Online food delivery company Zomato has discontinued its Intercity Legends service. The company’s owner and CEO, Deepinder Goyal, shared this update on his X account on Thursday (August 22).
Intercity Legends Launched in 2022
The Intercity Legends service is being discontinued at a time when Zomato is investing in various other areas to boost its revenue and strengthen its market position.
Intercity Legends was launched in 2022. At the time, there was no minimum order limit, but to increase profitability, the company raised the minimum order limit to ₹5,000. Despite this, the company did not benefit from the project.
Zomato’s Previous Project Closures
This is not the first project Zomato has closed after launching. Previously, the company had also shut down its logistics service ‘Xtreme,’ which allowed merchants to send and receive small parcels.
Paytm Entertainment and Ticketing Business Acquisition
On Wednesday, Zomato announced its intention to acquire Paytm’s entertainment and ticketing business. The deal is set to be worth ₹2,048.4 crores. The food delivery giant aims to strengthen its position in the ‘going-out’ segment.
Meanwhile, struggling fintech leader Paytm seeks to focus on offering its core financial services. Both companies stated in an exchange filing that Zomato and Paytm’s boards approved the cash transaction on August 21 (Wednesday).
Zomato Announces New ‘District’ App
Earlier this month, Zomato announced the launch of a new app named ‘District.’ This application connects dining and ticketing (movies and events) with the ‘going-out’ business. The app represents a significant expansion beyond the company’s core food delivery services and hyper-commerce.
