Logos and branding are so important. In a big part of the world, people cannot read French or English–but are great in remembering signs ? Karl Lagerfeld

A logo is a company’s identity. As said in the quote above, people identify a company from their logo. I don’t think anyone will ever forget the half bitten apple. It has been an identity of the brand Apple for so many years. The great companies like Apple, Microsoft, Yahoo all changed their logos within the first year of inception. So no logo is bad until and unless proved that it’s bad!

Zomato New Logo

1. Focus on the user!

Zomato founder and CEO Deepinder Goyal shared the news through their blog.

“We want to make sure that when we update the Urbanspoon app for millions of users, we don’t give them a new name and a new icon. Doing that could make it look like they installed the Zomato app by mistake, potentially leading to a large number of uninstalls.By the time we merge the Urbanspoon website and apps into Zomato by March this year, two-thirds of our overall traffic will be coming from just these three countries. Its important to us that we don’t lose a lot of Urbanspoon users by giving them a new name, a new logo, and a new product”.

Focus on your user. This is exactly what Zomato has done. As Goyal said two-third of their overall traffic will be coming from three countries mainly Australia, Canada and United States. The Urbanspoon acquisition will help the Indian Startup to focus on these countries. So rather than migrating all these users to Zomato platform, it will be beneficial for Zomato to retain the UrbanSpoon brand in a Zomato way. There are high chances that UrbanSpoon users might move to other platforms like Yelp, who is the market leader in these countries. Withoutlosing these customers, Zomato will be able to retain them as well as provide some value add ons.

You can pivot a product, but not a user base.

– Gary Chou

Read more about Zomato’s new logo.

2. Calculated risks pays off!

If you’re not a risk taker, you should get the hell out of business. -Ray Kroc, McDonalds founder.

Zomato has taken a calculated risk to change their logo twice in three months. But in startups, if there isno risk, then no reward. When iPhone 6 was released in the market last year, everyone was talking about the ‘bending’ problem of iPhone 6. ButApple sold a whopping 74.4 million iPhones over the 90 day period ending December 27th, 2014. On average, that translates to over 34,000 iPhones sold every hour, every day of the quarter and this reflected in their earnings report which was published recently. [Source: wired]

Startups are based in faith, and the ones that succeed have no fear.

– Micah Baldwin

I think this is a great move by Zomato, because if they don’t act now there are high chances of losing trusted users of UrbanSpoon as well which is users from United States, Australia and Canada where Zomato is trying to expand their reach.

Eg: Gap aborted their logo redesignwithin one week in 2010, because their users did not like the idea and they went back to their old design.

The best example is of Starbucks, where theyremoved the circle that reads Starbucks Coffee surrounding its iconic mermaid. The message was clear because Starbucks is looking beyond Coffee globally.

3. Made in India and making India prouder!

Zomato has made seven acquisitions till now and their investors include Sequoia Capital, InfoEdge, Vy Capital. Having raised around $114 M in six funding rounds, Zomato has used most of these funding for those acquisitions. Zomato is truly a startup made in India and making India prouder. Founded in 2008 by Deepinder Goyal and Pankaj Chaddah, Zomato is present in 130 cities over22countries. Over 331,600 restaurants are listed and served over 132.1 million foodies since 2008.

All those brands acquired by Zomato and their users will be using Zomato platform and once the migration is over, new features along with add ons will provide the much-needed value for all the users on Zomato platform.

Early in a startup, product decisions should be hunch driven. Later on, product decisions should be data driven.

– Fred Wilson


What do you think about the Zomato’s new logo? Post your comments below and let us know your thoughts about a logo change and its impact.


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