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Case Code: CLBS162
Case Length: 6 pages 
Period: 2017-19
Pub Date: 2019
Teaching Note: Available
Subject :Business Strategy
Price:Rs.150
Organization :Zomato
Industry :Foodservice
Countries : India

HyperPure: Zomato`s Foray into B2B Foodtech

 

ABSTRACT

The case is about the entry of India-based foodtech unicorn Zomato into the business-to-business (B2B) food ingredient ordering platform through HyperPure. Zomato, which was started in 2008, was looking at transforming itself into a farm-to-fork food company, and it acquired Bengaluru (India)-based raw materials and procurement start-up WOTU (We Organize The Unorganized) in August 2018 with this in mind. WOTU was rebranded as HyperPure and through it Zomato directly sourced products including vegetables, fruits, poultry, groceries, meats, dairy, and beverages from farmers, mills, producers, and processors and supplied them to restaurants. The case details the operations of HyperPure and the challenges that Zomato is likely to face in taking HyperPure ahead.
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Issues:

  • Understand the food supply value chain.
  • Conduct SWOT analysis.
  • Understand vertical integration in a food-tech company.
  • Understand the reasons for a food delivery company entering the ingredients supplying business.
  • Explain how a company’s business-to-business (B2B) approach can add value in the supply chain business.
Introduction
HyperPure, a business-to-business (B2B) food ingredient ordering platform, was started by India-based online food order delivery unicorn Zomato in 2018. Through HyperPure, Zomato was looking to transform itself into a food supplying company, with complete control over the entire value chain. HyperPure directly sourced products including vegetables, fruits, poultry, groceries, meats, dairy products, and beverages from farmers, mills, producers, and processors and supplied them to restaurants. It allotted the HyperPure tag to restaurants that purchased products from Zomato to help customers make an informed choice about the food ingredients being used in the restaurants. To take this initiative further and be a part of the end-to-end value chain, Zomato was also planning to collect the waste from the restaurants and convert into compost, which would be supplied to the farmers..

Keywords

HyperPure,Business-to-business market, Food supply value chain, End-to-end value chain,HyperPure tag, Farm to fork company, Food procurement and sourcing, Food delivery market



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