INTRO: Food delivery platform Zomato has published a report that reveals the current state of the Indian restaurant industry amidst the coronavirus pandemic. The company claims to possess contacted thousands of restaurants and customers across various cities in India to organize this report.
In the report, Zomato says the food delivery industry has ‘largely recovered’ with around 75 to 80 percent of pre-COVID Gross Merchandise Value (GMV). The company even points out that affluent neighborhoods are hitting higher GMV than before as they not fear getting coronavirus from food delivery.
Zomato has fulfilled 7 crore food orders since the coronavirus-led lockdown started on Annunciation. Moreover, the corporate estimates a complete of 20 crore food orders across other food aggregators and direct restaurant channels.
Almost 70 percent of restaurants are now offering food delivery as an option. Of this 70 percent, 5 percent of restaurants didn’t offer food delivery services before the pandemic kicked in. Zomato expects the food delivery to recover to pre-COVID levels within the next 2 to three months.
Zomato notes that 1 in every 5 Zomato customers in metro cities have opened the app from a smaller town. As you would possibly remember, several employees have moved to their relatively smaller native places since remote work is now a viable and socially acceptable option within the country.
However, Zomato points out that the dining out industry is yet to recover. As per Zomato’s estimates, the industry is currently operating at 8-10% of pre-COVID levels, especially thanks to lockdowns. Even in cities without restrictions, just 17 percent of dining out restaurants are open for business.
Unfortunately, out of the 83 percent of restaurants that are currently closed, 10 percent of them have permanently pack up . Going by the trends, Zomato expects an additional 30 percent of restaurants to take such extreme meas