One of India’s largest food delivery-aggregator app, Foodpanda has just entered into the business of third party food delivery. At the moment, Foodpanda was only confined to ordering food on its app, while the restaurants and the company both managed logistics.
Dash is Foodpanda’s new product offering, that offers logistic solutions to restaurants. The company had piloted this service for three months and fulfilled over 45% of the orders through its own logistics arm.
Saurabh Kochhar, CEO – Foodpanda India said, “We have rigorously invested into the technology to make the delivery experience seamless for the users. Now with our new delivery product offering, we intend to be significant support system for our partners by easing hassle of delivery for them and extend best-in-class service levels to more customers; furthering our resolve to change the way India eats!”
Foodpanda will be partnering with such restaurants, and at the moment 500 of them are already on board. This service has been launched in seven cities across India, and restaurants can choose to tie-up with Foodpanda for end-to-end delivery service.
What is Dash offering restaurants?
Available in New Delhi, Gurgaon, Chennai, Mumbai, Hyderabad, Pune, and Bengaluru, Dash will offer two categories of service – one fully integrated solution providing complete delivery support to the restaurant, and one on need basis.
Restaurants that do not require additional support much can opt for the need basis option, and they can hire delivery executives and Foodpanda’s delivery service for its orders. Restaurants will then be charged for every order delivered by the company.
Starting an independent logistics arm will allow Foodpanda to make deliveries that haven’t been booked on its own app. Instead, even if someone orders from Zomato, Foodpanda will still be able to generate revenue by making the delivery for the partnering restaurant.
UberEats is launching in India soon, with operations only in Mumbai on a pilot basis, and Uber’s extensive network is going to be a major competition to Foodpanda. Additionally, Zomato and Swiggy offer similar services to restaurants, so in the end it is all about how effectively Foodpanda can fulfil an order and price its product.
It is interesting to see food-delivery startups diversify into other businesses. While this space is heating up now, there is a lot of scope in making sure food orders get delivered on time. We hope Foodpanda is able to deliver better than its food-delivery app.
Source: ET
