Why Did Zomato Rebrand to 'Eternal'? The Real Reason will Surprise You!

Zomato's Surprising Rebrand to Eternal

Zomato recently rebranded itself to Eternal Limited, and if you’ve been online lately, you’ve probably seen a wide range of reactions. Some people are confused, others are excited, and many simply don’t understand why a food delivery company would suddenly adopt a name that appears to have nothing to do with food.

Reactions vary from "Why abandon such a strong brand name?" to "Is this the next big tech company from India?" And honestly, the confusion is understandable. After all, Zomato has spent years and crores of rupees building a brand that is practically synonymous with food delivery in India.

In this analysis, we'll explore three critical questions:

1. Why do established companies rebrand despite massive brand recall?

2. What strategic advantages come with corporate rebranding?

3. What is Zomato aiming to achieve by becoming Eternal Limited?

Zomato's Evolution: From Foodiebay to Food Empire

Zomato's red logo and name have become synonymous with food delivery in India. Today, the company processes over 2 million orders daily — that's more than 23 orders every second. With a vast network of over 4 lakh delivery partners and 2 lakh restaurant partners, Zomato is a giant in the Indian food ecosystem.

But this isn't Zomato's first name change. Back in 2010, it was called Foodiebay.com, a small restaurant delivery platform founded by Deepinder Goyal and Pankaj Chaddah. They rebranded to Zomato to facilitate global expansion and avoid trademark issues with eBay. The name "Zomato" was derived from "tomato," symbolizing freshness and flavour.

However, the transition to Eternal Limited is a different kind of rebrand. It's not about finding a catchier name—it's a strategic shift akin to moves made by corporate giants like Google and Apple.

Learning from Giants: Google, Apple, and Strategic Rebrands

In 2015, Google created a parent company called Alphabet, allowing Google Search to remain its core business while housing innovative but risky ventures like Waymo (self-driving cars) and Verily (health tech). This restructuring allowed for independent innovation while protecting Google's core operations. Since the restructuring, Alphabet's market cap has grown from $400 billion to over $2 trillion.

Similarly, Apple subtly dropped "Computer" from its name in 2007, signalling a shift from being a computer manufacturer to a consumer technology giant. This coincided with the launch of the iPhone, and Apple grew from a $100 billion company to the world's first $3 trillion company.

Closer to home, Grofers rebranded to Blinkit while pivoting to quick commerce, which became a massive success. Snapdeal, on the other hand, failed to gain traction after its cosmetic rebrand because it lacked a deeper strategic shift.

Zomato's move to Eternal Limited seems to follow the playbook of Google and Apple, signalling a broader corporate vision beyond food delivery.

Beyond Food Delivery: Eternal's Four Business Verticals

Today, Eternal Limited operates across four distinct business verticals:

1. Zomato: The core food delivery platform, operating in over 700 cities and serving millions of Indians daily.

2. Blinkit: The quick commerce platform delivering groceries and essentials in 10-15 minutes across 50+ cities.

3. Hyperpure: A farm-to-business platform that supplies fresh ingredients directly to restaurants, cutting out intermediaries and ensuring quality.

4. Zomato Live (District): A platform for purchasing movie tickets and live event passes, expanding their reach into entertainment and experiences.

Eternal is building an end-to-end food and quick commerce ecosystem—from sourcing ingredients to delivering food to providing dining and entertainment experiences.

The Strategic Advantage: Creating a Food Ecosystem Flywheel

By becoming Eternal Limited, Zomato is signalling that it's no longer just a food delivery app—it's a diversified corporation with multiple business verticals. This restructuring mirrors how Reliance transformed itself from a textile company into a conglomerate spanning petrochemicals, telecom, retail, and media.

This strategic shift brings three key advantages:

1. Financial Flexibility: Eternal can now separate profitable businesses like Zomato from capital-intensive ones like Blinkit. This allows them to seek targeted funding without affecting the core food delivery business.

2. Legal Protection: Each subsidiary operates independently, so regulatory challenges or lawsuits against one division won't affect others. This is crucial in a regulatory environment that is rapidly evolving.

3. Innovation & Experimentation: Eternal can explore new areas like cloud kitchens, food robotics, and AI-driven restaurant solutions under separate subsidiaries without risking the stability or clarity of its core brand.

Brand Identity: The Tata Approach vs. Eternal's Vision

Unlike Tata, which uses the same name across its diverse businesses to leverage brand trust, Eternal is adopting a more flexible corporate structure. This approach allows for greater innovation and risk management while enabling each business to grow independently.

Future-Proofing: Deepinder Goyal's Master Vision

With this bold rebrand, Deepinder Goyal is positioning Eternal as a future-proof corporation capable of expanding beyond its food delivery roots. By creating synergies across business verticals, Eternal is fostering a flywheel effect where each part of the business accelerates the others' growth.

Whether this move will be as transformative as Alphabet's or Apple's remains to be seen, but one thing is clear: Eternal Limited is aiming to become much more than just a food delivery giant—it is building a holistic ecosystem that could redefine how India eats, shops, and entertains itself.