To Zomato From Creator Economy
I shared this idea, with some people at Zomato through Linkedin messages. I didn’t get any response, so I am sharing it in my blog now.
Will love to hear your comments.
We are seeing that the food vlogging industry is booming. Food Reviews channels are some of the most viewed channels on youtube. Many times these are the places from where zomato delivers.
So why doesn’t zomato make a food vlogging type platform inside the zomato app only (either like Youtube or Tiktok)? I would prefer the TikTok/ Youtube Shorts type.
This is how it can help -
1) People will spend more time on that platform as it is visible from food review videos on youtube. It can earn marketing revenue for zomato which the company can use temporarily to drive down the costs and drive out the competition if it wants.
2) Targeted ads. You’ll have a better quality of data. It will solve the problem of what Zomato wants to market to the consumers.
Let me give you an example, many times I get Zomato ads for Dosa and Idli. First thing I don’t like dosa, why I am being made to see that thing again and again. Rather than showing everyone the same thing, Zomato can market the food items that people have regularly watched Hence it’s better for customers as well as Zomato.
3) Data for changing trends in the food industry. Which type of food/cuisine is getting popular in a particular area? You’ll be first to notice that with an increase in viewership + ordering for a particular type of food in a particular area.
4) Huge competitive advantages — Integrating food experience with app will lead to network externalities. Let me explain how — the people who are food reviewers will be on your platform, consumers will be on your platform and people who are selling food will be on your platform.
Even when a company becomes a cash earner this will act as a great barrier to entry. It will be almost difficult to replicate the platform by some new entrants.
5) Using links from vlogs/shorts put up by creators to direct consumers to that particular dish and restaurant to directly order.
6) Inclusion of more and more outlets/restaurants. This we can understand from a case -
Suppose we see a certain video getting a lot of views but that outlet is not available on Zomato, zomato can be the first one to help operate that outlet online. This will ensure the best interests of outlets also by increasing their revenues.
What’s in it for vloggers?
Affiliate marketing can be used as an incentive for the people who are vlogging and keeping the platform running smoothly by helping Zomato and other consumers by dealing with information asymmetry.
We can think of a lot of other benefits, challenges but the creator economy can surely help Zomato increasing the pace with which it covers the market share as well as can compete effectively.
