Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.
Authors: Sushree Das
Published by: Amity Research Centers
Published in: 2014

Abstract

Zomato, which was India's largest restaurant search and discovery portal, completed its first international acquisition by acquiring New Zealand- based leading restaurant listing and review portal MenuMania. This was part of Zomato’s business strategy to step up its global expansion activities. While this was its first purchase in the Pacific region, it was considered a strategic move, as it had the potential to allow Zomato to not only increase its user base but also generate more traffic, content and reviews. The acquisition of MenuMania was expected to make it the largest player in the country, subsequently enabling it to reach larger number of consumers and offer a better, more comprehensive service. While the deal was said to benefit MenuMania and Zomato, as well as their business owners, it did have certain difficulties to encounter. A sudden integration in the business could cause perplexity and discontent among existing users of MenuMania. Moreover, low monetisation might create issues for the combined company, since the source of revenue generation relied mainly on advertising sales. In the light of these whether Zomato’s deal with MenuMania and its ambitious plans to go for more such acquisitions could prove beneficial, remained to be seen.
Other setting(s):
2014

About

Abstract

Zomato, which was India's largest restaurant search and discovery portal, completed its first international acquisition by acquiring New Zealand- based leading restaurant listing and review portal MenuMania. This was part of Zomato’s business strategy to step up its global expansion activities. While this was its first purchase in the Pacific region, it was considered a strategic move, as it had the potential to allow Zomato to not only increase its user base but also generate more traffic, content and reviews. The acquisition of MenuMania was expected to make it the largest player in the country, subsequently enabling it to reach larger number of consumers and offer a better, more comprehensive service. While the deal was said to benefit MenuMania and Zomato, as well as their business owners, it did have certain difficulties to encounter. A sudden integration in the business could cause perplexity and discontent among existing users of MenuMania. Moreover, low monetisation might create issues for the combined company, since the source of revenue generation relied mainly on advertising sales. In the light of these whether Zomato’s deal with MenuMania and its ambitious plans to go for more such acquisitions could prove beneficial, remained to be seen.

Settings

Other setting(s):
2014

Related