Deliveroo

UK-based Deliveroo operates an online food delivery platform, connecting consumers with over 140,000 restaurants via a network of more than 150,000 riders. While the company also operates Marketplace+, a platform for restaurants who have their own delivery riders, most restaurants use Deliveroo’s riders (classified as independent contractors). The company claimed that restaurants could generate a potential 30% increase in revenue from takeaways by partnering with Deliveroo. It operated across 11 countries as of November 2022, including the UK, Belgium, France, Hong Kong, Italy, Ireland, Singapore, the UAE, Kuwait and Qatar. 

Deliveroo charges restaurants commission fees on delivery orders, while customers are charged delivery fees and small order fees. The company also offers consumers a two-tiered monthly subscription product, Plus, by which members pay a fixed monthly subscription fee ranging GBP 3.49–GBP 7.99/month (USD 4.82–USD 11.03/month) and receive free delivery on orders that meet minimum spend requirements. 

In March 2022, Deliveroo opened its first restaurant Pizza Paradiso in London. This was to allow the company to better understand operational issues from a restaurant owner’s standpoint in order to improve its restaurant management services. In May 2022, Deliveroo announced plans to open a development hub in India, which will serve as Deliveroo’s new engineering center and focus on R&D as well as provide support services for 11 other locations. In June 2022 the company launched a media and e-commerce platform to expand advertising opportunities to consumer FMCG brands. The platform allows brands to advertise via the company’s website, its social media, email, and push notification campaigns. In August 2023 , Deliveroo piloted a new feature that enables adding grocery items to food delivery orders from Deliveroo’s rapid grocery “HOP” sites. 

Key customers and partnerships

The company currently has partnerships with McDonald’s in France, Italy, Belgium, Australia, Hong Kong, UAE, Kuwait and the UK (May 2022). In July 2023 , Deliveroo partnered with Ad-MOTO, a company that designs ads for delivery vehicles, to turn 200 e-scooters into digital advertising displays. 

Funding and financials

In March 2021, Deliveroo’s share price plunged by 30% (vs. its issue price) on its London stock exchange debut, wiping out nearly USD 2 billion from its initial valuation, making it the biggest IPO flop in London in recent years. Deliveroo faced backlash over its gig economy status with high-profile investors rejecting the company’s IPO.