Foodtech major Zomato announced its Q3 result on Thursday and it surprised everyone by narrowing its losses quite substantially. But this was done courtesy due to one-time gain and hence market did not react favorably to this. While Zomato posting lower losses may have created some flutter, the news that caught everyone’s eyes was foodtech major’s plan to enter the BNPL space.
Although the Gurugram based company declined to comment on this rumour, sources privy to the matter claimed that the company has already taken strategic steps on the BNPL front. This includes unconfirmed reports like Zomato singing contracts with several NBFCs and applying for NBFC license to roll out BNPL service.
According to reports, Zomato will provide BNPL service for both delivery and dinning in the restaurant.
If there is any truth in this report then Zomato will become the first foodtech company to launch BNPL service. Unless Swiggy launches this service before its Gurugram competitor.
Off late, BNPL has become a rage across the world. It stands for Buy now and Pay Later (BNPL). In the context of online food delivery, this stands for ‘eat now and pay later’
Applying BNPL to online delivery space may appear little unconventional given that food is not a consumer durable or high-end item. And this fact was conspicuously highlighted by the twitterati, who were not quite pleased by this news.
Most of the tweets either mocked or casted doubts whether Zomato will be able to pull off such a crazy experiment. Many argued that ‘BNPL’ may be final nail in the coffin for the company whose stock price has been tanking down quite badly since past few weeks.
Meanwhile, below we’ve shared some of best tweets on Zomato’s possible experiment with BNPL.