Zomato has put its bet on Quick commerce unicorn Blinkit growth, and it is heard that the food delivery giant has invested $100 Mn in Unicorn Blinkit.
The news came to the forefront as per a note reported by media. According the media reports, Albinder Dhindsa, cofounder at Blinkit, mentioned that the company will focus on growth and on increasing its speed of execution, while also reducing its burn rate as much as possible.
Zomato Invests $100 M in Unicorn Blinkit
“We have closed our next fundraise ($100 million) and will have money coming into the bank over the next week. We have come a long way in the last eight months by transitioning the business to the largest instant commerce player in the space,” Dhindsa’s note to the employees read.
This round is part of a larger round that Blinkit will be raising from Zomato. According to an ET report, the round is pegged at around $400 Mn.
Zomato presently does not integrate Blinkit’s service within its app, while Swiggy offers Instamart and food delivery in the same app. Uptill last year, Zomato had a grocery delivery vertical in its app, which it has since then removed and instead invested in Blinkit.
The company has an on-ground workforce of 30,000 and has opened 450 new warehouses and dark stores to scale its quick commerce plans. The company has taken tough calls, such as shutting 40 of its warehouses, to streamline operations.
As per a RedSeer report, the Quick Commerce (Q-Commerce) market in India is expected to reach $5 Bn by 2025.
In the segment, Blinkit competes against Dunzo, Swiggy Instamart, among others. In the egrocery segment, Blinkit locks its horns with Tata Digital backed BigBasket.