Zomato has acquired NexTable, a U.S.-based restaurant reservations and table-management platform that competes against the likes of Priceline’s OpenTable and SeatMe from Yelp. The service will soon be renamed “Zomato Book,” Zomato says. Terms of the deal are not being disclosed except to note that it is a cash and stock deal and that the team is also coming over with the acquisition, including CEO and founder TC DeSilva and Robert Tyree, who was instrumental in building the online web portal and widgets to let restaurants update their own profiles.
India, UAE and Australia will be the first international markets where Zomato will be taking NexTable’s tech, starting later this year, Pankaj Chaddah, co-founder and COO of Zomato.
Now this is the second acquisition in the U.S. after buying restaurant listings and reviews site Urbanspoon.Zomato now confirms that this deal was for $52 million.
Zomato can make revenues both on advertising on the search platform, as well as by taking a cut on reservations that it successfully makes for those establishments.
NexTable brings some interesting mobile innovations to Zomato, which has built its business around not just online but also mobile-based usage. Specifically, NexTable has developed technology that lets restauranteurs update their data on the platform from smartphones and tablets, which makes a lot of sense considering the mobile nature of many of these businesses.
Chaddah said :
“We want to own the communication layer between restaurant businesses and customers. NexTable will add to this layer by bringing in the convenience of easy, online reservations for thousands of restaurants to our millions of users.”
To date, Zomato has made nine acquisitions in the past nine months with others made in Australia, Canada, New Zealand, Poland, the Czech Republic, Slovakia, Turkey, and Italy, as well as its home market of India. Zomato is now live in 22 countries.
A Blog By : Jay Patel (@imJaypatell)