Deliveroo to drive growth for small businesses

Deliveroo has announced that it has reached more than 1,000 partner restaurants through its Marketplace+ service, a feature that allows restaurants to expand their delivery service by combining their own rider fleet with Deliveroo’s more than 8,000-strong rider network.

 

Almost one year since its introduction in Australia, Deliveroo can reveal that small businesses, particularly small takeaway restaurants, are embracing the service. There are now more than 1,000 small takeaways restaurants in over 390 suburbs using the service.

 

Marketplace+ partners have expanded their delivery service and the selection of cuisines. On average, restaurants who join Marketplace+ see a 30% increase in revenue and are experience growth in deliveries of about 20% per month.

 

Old Town Hong Kong Cuisine in Sydney joined Marketplace+ in February and is now the best performing independent restaurant using the service. The restaurant was making an average of three deliveries per fortnight before joining Marketplace+, which has now grown to 385 a fortnight on average.

 

Louise Kwok, Restaurateur at Old Town Hong Kong Cuisine in Sydney said: “We joined the Deliveroo platform earlier this year because the Marketplace+ service made a lot of sense for our business model as we already had our own delivery riders.

 

“Since joining the Deliveroo platform, our orders have grown exponentially. Deliveroo has helped our online delivery orders grow and grow, and we’re seeing orders through their app increase by around 150% every month. Our most popular dish is Old Town Fried Rice and we’re selling about 150 bowls a week through Deliveroo. Most importantly, we now have a busy and diverse business both in-store and through delivery. Online food delivery has been a great marketing tool and has driven new customers to come into our restaurant too.

 

“Off the back of our delivery success, we’re now actually looking to expand to another site as we continue to grow.”

 

By the end of the year Deliveroo expects to have more than 1,300 small takeaways on the platform, demonstrating how small businesses and takeaways are responding positively to a service that allows them to supplement their own delivery service with the Deliveroo platform.

 

The service has also helped to improve delivery times, meaning restaurants can fulfil more orders at times of high customer demand and extend their delivery hours. Consumers are seeing increased numbers of restaurants on the platform and are benefitting from greater choice, longer delivery hours and faster delivery. The uptake of Marketplace+ has also created more work for Deliveroo riders.

 

Merten Wulfert, Managing Director APAC of Deliveroo, said: “To be the definitive food company we are committed to offering Australians with the broadest selection of different restaurants and cuisines.

“We’re incredibly proud to see that within less than a year since launching Marketplace+, we’ve added one thousand restaurants to our network through this service and we’re encouraged by the feedback we have received from small businesses that they want to be part of Deliveroo. By combining their existing delivery fleet with the power of Deliveroo technology, these restaurants have been able to diversify and grow.”

Marketplace+ plays a clear role in allowing Australians to tap into their love of the small takeaway. According to Roy Morgan research, over a fifth of Australians, or 4.4 million, now visit fish and chip shops in an average four weeks while just under a fifth, 3.9 million, get takeaway from Asian restaurants which includes leading cuisines liked by consumers in Australia such as Chinese, Indian, Thai and Japanese.^[1]

During the first year of the service, the most popular Marketplace+ cuisines have been Italian, American and Chinese.

^[1] Roy Morgan Research: Chinese cuisine most popular, but Aussies still love McDonald’s – February 15 2019