Zomato opens Delhi warehouse for its restaurant supplies brand HyperPure

Online food delivery firm Zomato Media Pvt. Ltd on Monday announced the launch of its multi-product warehouse in Delhi under HyperPure, its supplies brand for restaurants.

HyperPure sells items to restaurants such as vegetables, fruit, groceries, poultry, spices, dairy products and beverages.

The Delhi warehouse — first of the three Zomato will be launching — gives HyperPure access to over 35,000 restaurants listed in Delhi-NCR (National Capital Region) on Zomato.

Spread across 40,000 square feet, the warehouse of 5,000 tonne capacity is equipped to serve 3,000 restaurants every day.

HyperPure was started as a pilot project in Bengaluru last year, in a 6,000 square foot warehouse. Last month, the company said, it would open warehouses in nine more cities in India, including Delhi, by the end of this year and then set up units abroad.

“Considering the positive response we’ve received in Bengaluru, our expansion into Delhi is a part of HyperPure’s natural progression. We are certain that our restaurant partners in Delhi will benefit immensely from both HyperPure’s offer of fresh and quality food products, as well as the competitive pricing we offer,” said Dhruv Sawhney, who heads HyperPure.

Last year, Zomato had acquired Sawhney-founded WOTU, a business-to-business e-commerce portal for food and beverages, and later rebranded it as HyperPure.

“With HyperPure by Zomato, we’ve been able to disintermediate the supply chain, providing restaurateurs access to fresh, clean, and fully-traceable food ingredients,” said Gaurav Gupta, co-founder and chief operating officer, Zomato.

HyperPure works directly with a network of farmers, mills, producers, and processors, and builds and monitors relationships with the source of each of its products.

By 2020, the company plans to open 20 more warehouses across 18 cities, targeting a combined capacity of 90,000 tonnes and 700,000 square feet. These cities are Delhi, Bengaluru, Mumbai, Pune, Chennai, Hyderabad, Kolkata, Jaipur, Ahmedabad, Chandigarh, Nagpur, Lucknow, Vadodara, Coimbatore, Kochi, Agra, Goa and Surat.

Zomato’s HyperPure competes with the likes of NinjaCart, a business-to-business agri-marketing marketplace that allows farmers to sell vegetables and fruit directly to business establishments such as shops, retailers and restaurants.

Last week, NinjaCart raised $90 million from Tiger Global Management at a valuation of $321 million.

Zomato’s rival, Swiggy, on the other hand, is looking to expand its business by leveraging its existing logistics capabilities. According to several media reports, Swiggy is looking to foray into hyperlocal delivery in categories such as medicines and groceries.

Meanwhile, Zomato tripled its total revenue for the just-concluded financial year even as its expenditures grew considerably. In its latest annual report, the company stated that its revenue has risen to $206 million for 2018-19 from $68 million the previous financial year.