Foodpanda buys Delivery.com’s HK business
On-demand meal delivery specialist Foodpanda is buying the Hong Kong assets of US-based Delivery.com. “Foodpanda and delivery.com Hong Kong were the first two entrants in this market and working together we will continue to solidify a position of leadership,” Didier Bensadoun, president of Delivery.com Hong Kong, said in a statement issued today (18 March).
The move is an interesting one, as Foodpanda recently announced that it would be laying off some of its own Hong Kong staff. Observers see it as an example of the “consolidation” that is now taking place across the food delivery industry.
Foodpanda, which is 49% owned by Germany-based e-commerce investor Rocket Internet, has been rationalising its own activities over the past year or so, paring down its network from around 40 markets to 24.
As previously reported, Delivery Hero (which has also received funding from Rocket Hero) decided to exit China this month. US-based SpoonRocket announced that was closing down its restaurant delivery service this week – but then received an 11th hour offer from Brazil’s iFood.
Meanwhile, Uber and Amazon are continuing to roll out their plans for restaurant delivery services – but this may be a mixed blessing for the smaller players. It suggests that there is still considerable confidence in the concept of meal delivery, but will these behemoths squeeze their competitors out of the market?
