Zomato, the well-known food and grocery delivery service, has officially changed its parent company name to Eternal, marking a significant transition aimed at representing its expansion beyond just food delivery. This decision was approved by the company’s board on Thursday and is now pending shareholder approval as well as necessary approvals from the Ministry of Corporate Affairs and other bodies.
Despite this shift, the flagship brand, Zomato, alongside its app, will continue to operate under the same name. Deepinder Goyal, co-founder and CEO of Zomato, expressed this transition as part of the company’s evolution, reflecting its diversification and growth strategy. "Our board has approved this change today and I request our shareholders to also support this change," he stated. The anticipated changes also include the alteration of the company's corporate website from zomato.com to eternal.com as well as the stock ticker transitioning to ETERNAL.
The rebranding to Eternal mirrors Zomato’s growth, especially following its acquisition of Blinkit, the quick commerce platform, for ₹4,447 crore back in 2022. Goyal mentioned, "When we acquired Blinkit, we started using 'Eternal' internally to distinguish between the company and the brand/app. We also thought we would publicly rename the company to Eternal the day something beyond Zomato became a significant driver of our future. Today, with Blinkit, I feel we are there." This points to Blinkit now being viewed as integral to Zomato's future operations.
Under the new corporate identity, Eternal will encompass key business segments, namely Zomato (food delivery), Blinkit (quick commerce), Hyperpure (providing restaurant supplies), and District (the dining-out segment). The move to rebrand to Eternal signifies not only an update to the company name but also highlights Zomato’s broader ambitions and its positioning within the burgeoning quick commerce space.
Goyal acknowledges the weight of this new name: “Eternal is a powerful name, and to be honest, it scares me to my core. It is a tall order to live up to. Because ‘Eternal’ carries both a promise and a paradox.” This suggests his awareness of the expectations tied to the new branding and the ambitious path Zomato aims to navigate.
The company has reported substantial performance from its quick commerce segment, with rapid growth noted year-over-year. Blinkit has also expanded its offerings beyond just grocery deliveries, now catering to broader consumer needs. This reflects the shifting market dynamics and consumer behavior, where the demand for fast deliveries is growing substantially.
While Zomato’s core food delivery business has shown growth, increasing just 17% year-over-year as of Q3 FY25, it is clear the company is diversifying for more stable revenue streams. The performance of its other segments emphasizes Zomato's strategic shift to embrace more areas of opportunity. For example, the topline for Hyperpure doubled, showcasing the strength of its B2B initiatives during the same quarter.
The changing dynamics highlight Zomato’s efforts to revamp not only its brand but also to streamline its operations across various sectors. The company has also been enhancing its dine-out services and accelerating growth following its acquisition of Paytm's online ticketing arm.
This exciting rebranding marks Zomato’s vision of becoming more than just a food delivery service. It aims to leverage the quick commerce model effectively as a means of catering to changing consumer preferences, positioning itself strategically within the industry. The board's decision and Goyal’s emphasis on leveraging future growth through diversification establish Zomato—and now Eternal—as compelling contenders within the e-commerce and food technology sectors.
Looking forward, the majority of stakeholders must now weigh in to shape the identity of Eternal. The approval process will determine how the consumer base reacts, merging familiarity with transformation. If accepted, this rebranding effort could not only redefine Zomato's public identity but also set the groundwork for ambitious future prospects beyond what was once merely food delivery.