Dineout - Constantly Re-Imagining Restaurant Technology

Case Code: MKTG424
Case Length: 18 Pages
Period: 2012-2020
Pub Date: 2020
Teaching Note: Available
Price: Rs.500
Organization : Dineout Services Pvt. Ltd.
Industry :Technology & Communications
Countries : India
Themes: New Business Development/ Emerging Technologies/ Services Marketing/Business Level Strategies
Global Economic Impact of Coronavirus – Assessment and Mitigation (B)
Abstract Case Intro 1 Case Intro 2 Excerpts

Excerpts

Foraying into the B2B Space

In 2014, Dineout operated in seven cities, with listings of over 20,000 restaurants, and real-time reservation enabled at over 2000 restaurants. Considering itself as being well established in the B2C segment, it decided to venture into the B2B space by offering its services to restaurants...

Scaling Up Operations and Offering New Services in the B2C Space

Over a period of time, the founders of Dineout found there was not much need for table reservation at most restaurants. Out of 10 restaurant visits, most people needed reservation services just three to four times and that too only at high-end restaurants. That limitation in the restaurant industry prompted the company to explore the B2C side of the market further...

Inorganic Business Expansion Through Acquisitions

In 2018, Dineout’s exploration of the market led to its acquiring a food and beverages deals platform called ‘Gourmet Passport’. It then introduced Gourmet Passport – a subscription product for affluent diners, which didn’t require customers to reserve in advance or make any payments at the finest 2000+ restaurants across 10 cities. Gourmet Passport offered a “Buy One Get One Free” scheme at several restaurants. Through Gourmet Passport it intended to attract people, who were not using any of its other services. ..

Future Plans for Expansion

Of the company’s restaurant bookings, 95% came through its mobile app. It claimed to have around 2-5 million diners across its partner restaurants every month. Its customers included large corporates across banking, financial institutions, consulting, and other verticals. Most customers who used the service were stated to have received discounts ranging from 15-20 % in 2019, thereby gaining cumulative savings of US$ 200 million..

Wading Through Troubled Waters in the Covid-19 ERA

Dineout faced its greatest challenge in 2020 following the COVID-19 outbreak, which completely changed the restaurant industry. The 21-day nationwide lockdown imposed in March 2020, which was followed by lockdowns imposed intermittently by various state governments over the following months, dealt a deadly blow to the Indian restaurant industry. The lockdown led to the restaurants having to close down temporarily, which resulted in their incurring high losses, as the restaurants had to still pay for fixed expenses such as rents, salaries, taxes, etc...

Exhibits

Exhibit I: Dineout’s Contactless Dining Suite
Exhibit II: Information on the Indian Restaurant Industry in the COVID-19 Era
Exhibit III: Dineout’s Various Restaurant Services
Exhibit IV: QSR Sales Breakup
Exhibit V: Classification of Indian Cities
Exhibit VI: Key Competitors of Dineout
Exhibit VII: Dineout’s Requests to the Government of India to Provide Relief to the Indian Restaurant Industry
Exhibit VIII: Dineout’s Restaurant Safety Kits

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