Ola has lessened down priority along with business investment plans for food online delivery Foodpanda. This food tech platform is now looking forward to making their own personal brand to focus and invest in-house instead of external investments that will bring in high profit to their brand.
Strong competitors like Swiggy, Zomato and recently Uber Eats are into comestible delivery platform who are believed to be financially stronger. Un-apprehensive Foodpanda determines to dedicate into its own private labels that it has built efficiently with cloud kitchen which includes The Great Khichdi Experiment, Lovemade and FLRT brands. Foodpanda ensures to maintain the same customer leverage even after the backstepping of Ola.
Online food delivery Foodpanda’s 40% contribution comes from 1 or 2-tier cities. Foodpanda expects to see more involvement of the companies or restaurants from the small cities and towns in the upcoming years. The company tends to increase their restaurant partners and looking forward to seeing them on board in 2019. Presently, Foodpanda has about 60,000 restaurant partners while it aims to double their partners.
According to Economic Times, Foodpanda’s business growth will be efficient but may drive to a downfall of 60% in orders. Foodpanda has reduced their marketing and customer acquisition by 2/3rd due to the de-prioritization business investment plan of Ola.
In December 2007, Berlin-based food delivery platform Delivery Hero’s had 95 % stake in Foodpanda, possessed by Ola for an amount of 200.7 crores on the other hand similar amount was invested by this Berlin-based food tech platform in Foodpanda. Business investment of $200 million was supposed to be invested by Ola, but finally, it was not able to show much profit as their competitors in food tech. As published on Moneycontrol, the CEO of Foodpanda Mr. Pranay Jivrajka said, “We are thrilled about bringing the first online food experience for millions of customers in many of these tier 2 and 3 cities.”[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]