According to a media report, Zomato is looking to acquire Paytm's entertainment business, which offers services like ticketing, sponsorship, artist booking and marketing, at a Rs. 1500-Rs. 1900 crores deal. Zomato is envisioning a more comprehensive "going out" experience, and by integrating event booking with it's existing food delivery and restaurant discovery services, it may create a powerful ecosystem. It's existing association with five-star hotels and luxury diners, may also help in it's live events business.
Comparisons are now being drawn with BookMyShow, which excels at online ticketing, and where it enjoys a 60% market share, and offers end-to- end solutions from marketing to organizing events, though key revenues are from online ticketing. Looking at the boom in live events, BookMyShow is focusing on its events vertical too.
Assuming that Paytm's entertainment business is a profit generating vertical, and Zomato's ability to venture in such vertical is beyond doubt, in terms of it's competencies, what remains to be seen is the strategy which would be adopted by BookMyShow, not only to protect it's turf , but to dominate the live events segment as well.
For BookMyShow, strategic tie-ups with some of leading events management entities across markets to cross-sell each other, curating live events as per the requirements of the occasion and needs of the customer, and above all ideating concepts which create that "WOW" factor for occasions like weddings, special anniversaries, corporate events etc, would enable it the gain the necessary edge in this tough market, marked by price wars and "flooded" with smaller players .
For Zomato, once it's acquisition of Paytm's entertainment vertical is complete, it can leverage it's existing relationship with five-star hotels to get a "head start", and keep ideating jointly with them, to ensure more and more banqueting business for those five-star hotels, getting associated events business in return. A clear "win win" strategy for both.
Well, as in any business, the name of the game here as well, would be "value for money", and "WOW" factor for their clients. That, such strategies if executed perfectly, would lead to automatic business for both Zomato and BookMyShow is a "no brainer". 😊
Comparisons are now being drawn with BookMyShow, which excels at online ticketing, and where it enjoys a 60% market share, and offers end-to- end solutions from marketing to organizing events, though key revenues are from online ticketing. Looking at the boom in live events, BookMyShow is focusing on its events vertical too.
Assuming that Paytm's entertainment business is a profit generating vertical, and Zomato's ability to venture in such vertical is beyond doubt, in terms of it's competencies, what remains to be seen is the strategy which would be adopted by BookMyShow, not only to protect it's turf , but to dominate the live events segment as well.
For BookMyShow, strategic tie-ups with some of leading events management entities across markets to cross-sell each other, curating live events as per the requirements of the occasion and needs of the customer, and above all ideating concepts which create that "WOW" factor for occasions like weddings, special anniversaries, corporate events etc, would enable it the gain the necessary edge in this tough market, marked by price wars and "flooded" with smaller players .
For Zomato, once it's acquisition of Paytm's entertainment vertical is complete, it can leverage it's existing relationship with five-star hotels to get a "head start", and keep ideating jointly with them, to ensure more and more banqueting business for those five-star hotels, getting associated events business in return. A clear "win win" strategy for both.
Well, as in any business, the name of the game here as well, would be "value for money", and "WOW" factor for their clients. That, such strategies if executed perfectly, would lead to automatic business for both Zomato and BookMyShow is a "no brainer". 😊
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