Zomato’s Big Move: Rebranding, Growth, and Challenges Ahead

Zomato the well-known brand for food delivery services will remain, but the Indian food delivery behemoth Zomato recently announced a significant corporate rebranding, changing its name to Eternal. This move is part of the company’s expansion into quick-commerce, live events, and kitchen supply chains, in addition to food delivery.

Zomato revealed on Thursday that it would be changing its name to Eternal Ltd., indicating a change from food delivery to something else. In a letter to shareholders, CEO Deepinder Goyal stressed that the company’s expansion into new business sectors is reflected in the new name.

Goyal noted that Eternal was already in internal use following Zomato’s acquisition of Blinkit, its quick-commerce platform. The decision to make it the official corporate identity underscores the growing significance of businesses beyond food delivery.

Despite the corporate name change, the Zomato app and brand will continue as usual, ensuring users that their food delivery experience remains unaffected. Zomato’s long-term plan to expand and change beyond its primary business is reflected in the rebranding to Eternal Ltd.

Zomato’s move to rebrand its parent business to Eternal Ltd. drove social media into a frenzy, with users wondering about the future of their beloved food delivery site. Although CEO Deepinder Goyal’s announcement suggested a wider company expansion, many users mistook it for a total redesign of the Zomato app.

To clear up any misunderstandings, Zomato stated that the app will continue to be Zomato.

‘Eternal’ is the new name.

The new corporate logo was unveiled by founder and CEO Deepinder Goyal, who emphasized that it represents Zomato’s changing ecosystem, which now consists of:

• Blinkit is a rapidly expanding quick-commerce division.

• Hyperpure is a company that supplies restaurants with fresh products.

• Zomato is the primary food delivery company.

• Zomato District is a recently established platform for entertainment and live events.

The Zomato app and its food delivery brand name will not change in spite of the corporate renaming, guaranteeing that customers will continue to receive the same recognizable service.

Financial Performance: A Mixed Bag Zomato’s Q3FY25 profit dropped 57%, mostly as a result of higher costs for expanding Blinkit’s fulfillment centers. The company’s net profit dropped to ₹590 million from ₹1.38 billion the previous year, while revenue grew 64% to ₹5,405 crore, driven by higher demand during the festive season. Blinkit’s performance: Revenue more than doubled, but losses widened due to competition from Swiggy Instamart, Zepto, and Flipkart. Stock impact: Zomato shares fell 3.6% after the results.

The Road Ahead

With the rebranding to Eternal and a diversified business approach, Zomato aims to strengthen its position across various verticals. The expansion of Blinkit and Hyperpure will be key growth drivers, but challenges such as rising operational costs and competition could pose hurdles.

As Zomato (or Eternal) enters this new phase, it remains to be seen whether this strategic shift will help the company maintain its leadership in India’s fast-evolving digital commerce landscape.

Internet Users Respond

The rebranding prompted clever and caustic comments from social media users. One X user joked:

“Zomato became Eternal and customers became Avengers 🤣🤣🤣”

Another user quipped: “Refund will be pending eternally’ bolna tha.” (They should have indicated refunds will be pending perpetually.)

In a humorous analogy, a third user likened the rebranding to interpersonal relationships:

“My situationship and my food delivery now have the same status—they arrive forever but are never committed. #Situationship #Zomato #Eternal”

Conclusion

While maintaining the Zomato brand for meal delivery, Zomato has changed its corporate identity to Eternal. The company still holds a 58% market share in food delivery, but Flipkart, Zepto, Swiggy, and Instamart are becoming more and more competitive in rapid commerce. Zomato hopes to address growing operating expenses and strengthen its position in a number of industries with this strategic change.