Eternal CEO Deepinder Goyal Hands Reins to Blinkit Chief

India - Ekhbary News Agency

Deepinder Goyal, the co-founder and CEO of food delivery giant Zomato and its parent company Eternal, has stepped down from his CEO role. Albinder Dhindsa, the CEO of Zomato's quick commerce division, Blinkit, will take over as the new chief executive.

Leadership Transition Amidst Quick Commerce Surge

In a significant shift for the Indian tech landscape, Deepinder Goyal, the driving force behind Zomato, has relinquished his CEO position at Eternal. The leadership mantle now passes to Albinder Dhindsa, who heads Blinkit, the company's rapidly expanding quick commerce subsidiary.

Goyal announced his transition to the role of Vice Chairman on Eternal’s board, stating his intention to focus on "higher-risk exploration and experimentation." In a letter to shareholders, Goyal emphasized that this change is "a change in title, not in commitment toward outcomes," reaffirming that "Eternal remains my life’s work."

Zomato's Journey: From Discovery to Diversification

Goyal co-founded Zomato (initially FoodieBay) in 2008 with Pankaj Chaddah, starting as a restaurant discovery and reviews platform. Quitting their jobs at Bain & Company, they dedicated themselves to the venture, rebranding as Zomato in 2010 and expanding into food delivery by 2015.

The company has since solidified its market position through strategic acquisitions, including Uber Eats' India business in 2020 and Blinkit (formerly Grofers) for $568 million in 2022, a move that significantly bolstered its quick commerce capabilities.

Strong Financial Performance and Blinkit's Ascendancy

This leadership change occurs as Eternal reported robust financial performance for its third quarter. Profits surged approximately 73% to ₹1.02 billion (around $11.13 million) year-on-year. Adjusted revenue climbed an impressive 190% to ₹166.92 billion (about $1.8 billion).

Blinkit emerged as the company’s fastest-growing segment, with its net order value leaping 121% to ₹133.0 billion (roughly $1.45 billion) in the last quarter. This performance underscores the increasing strategic importance of quick commerce within Eternal's overall growth trajectory.

The Booming Quick Commerce Sector and Regulatory Scrutiny

The quick commerce sector in India is experiencing a boom, even as it faces scrutiny over the working conditions of its gig workforce. The country's labour ministry has recently urged platforms to discontinue "10-minute delivery" marketing tactics and implement measures to improve conditions for delivery personnel.

Beyond his role at Eternal, Goyal has been actively involved in other ventures, including Continue Research, a longevity-focused initiative, and an experimental brain-health wearable called "Temple." He is also a co-founder of aviation startup LAT Aerospace and an active angel investor.

The leadership handover suggests Blinkit's growing influence within Eternal, as the company's growth increasingly leans towards quick commerce, potentially at the expense of its traditional food delivery business. This strategic pivot highlights the evolving dynamics of India's e-commerce and delivery landscape.

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