European Startup, Deliveroo,Brings In $275M In Funding
A Wave of On-Demand Food Startups!
Raising Funds and Competing Neck-to-Neck
An on-demand food delivery restaurant startup, Deliveroo, in Europe, received another $275 million in funding. As per news, a Series E investment values the startup at around $1 billion and Bridge point, the new investor; DST Global, the previous investors; and General Catalyst led this latest round, including participation of existing investor, Green oaks Capital. Though Deliveroo is not confirming its evaluation, but has risen to $475 million till date.
According to Deliveroo, the investment will be helpful in expanding its service both in existing and new markets, where it’s active in 84 cities. Also, the company will keep investing in new initiatives that include RooBox, a B2B remote kitchen service providing delivery-only kitchen service at key locations. In addition to this, the company is going to start a new service, alcohol delivery.
Vision of Deliveroo
As stated by Will Shu,Founder and CEO, Deliveroo was launched in November, after analyzing the huge growth in the market. Their vision is to make further advancements in the food delivery system.Moreover, they want to explore innovative ways to solve the delivery problems that restaurants face and RooBox is their first innovation for this concern.
Deliveroo has raised 400 percent and reached the profitability in a number of its established markets including London, since its last round of funding. Moreover, it has added new 29 cities and 9,000 restaurant partners in the last eight months to its footprint.
Deliveroo competitors are also trying to reach the higher end of the prepared food market. Like, Uber’s Uber EATS, Just Eat, and Delivery Hero. Even Amazon has joined in on this competitive bandwagon with its Hot Wheels service in Europe.
Meanwhile, there has been a tough competition among Uber EATS and Deliveroo in markets like London for finding loyal customers, securing restaurants for delivery and hiring staff to complete the orders. As per Deliveroo, it has hired 6,500 drivers to its network.
Who is going to lead the on-demand food market-Deliveroo or Uber EATS? Please share your thoughts in the comments section below.
Related Article: RAISING A TOAST TO DELIVEROO
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