The food delivery business like fast fashion was one of the first businesses to effectively deploy eCommerce technology into its business model. Small fast food businesses in the UK have been able to benefit from eCommerce enabled platforms. JustEat which was established in the mid 2000s in an example. The company has proven to be one of the most innovative and fast growing businesses in the UK over the past two decades. Similarly, in Canada SkipTheDishes found in 2012 expanded quickly across the country shortly after its launch. Eventually it was acquired and absorbed into the JustEat global operation. JustEat now competes with UberEats for market share in various markets. This is an extremely competitive, innovative and more mature market with some key dominant players.
There has been further innovation more recently with the launch of Restaurant Kits. It launches in collaboration with peer to peer tipping ecosystem, Tipjar. Restaurants wishing to join the site will have two choices one of which is a listing and marketing option. The other a complete end-to-end solution including kit development support, marketing, fulfilment, inventory management and customer service. Both choices provide restaurants with visibility on the Restaurant kit platform. There is also the added bonus of promotion through the platform’s social media which provides a larger audience. Without this, these businesses might have to rely solely on their own marketing and social media efforts for visibility. The service also includes drinks lists for both RTD or ‘mix-at-home’ formats. This is a collaboration with Mac & Wild and Haig Club, including four RTD cocktails.
The market is also growing elsewhere and this has been observed in the Middle East with a new market entrant. Noon is a new food delivery marketplace similar to the aforementioned companies. It will first launch in the UAE. Existing players in the region can charge up to 30% commission on food orders. These players also usually offer ordering as well as delivery services to restaurants. However, as of yet it is unclear what approach Noon would take. The company sees a gap in the market. Regardless, with a well executed strategy it can take advantage of a big opportunity in the market.