SAYONI BHADURI – Mumbai
One year old food delivery website Foodpanda is looking at going live in six more cities by end of 2013. Rohit Chadda, co-founder, FoodPanda said, “Three of these cities are expected to go live in next three months.” He added that with these new cities on the website, there will be as many as 5000 restaurants who will be listed. It aspires to target a network base of more than 15,000 restaurants across 20 cities by 2015.
Geographically Foodpanda has the largest presence in India present in 10 locations – Delhi, Gurgaon, Noida, Faridabad, Ghaziabad, Mumbai, Hyderabad, Pune, Bengaluru and Chandigarh – with more than 1800 restaurants and many more tie-ups in the pipeline. Globally the company is present in 27 countries across Central and Eastern Europe, South East Asia, Africa and Latin America. Each country has it own operative unit and decisions pertaining each is autonomous. Foodpanda has secured more than US$ 20 million funding from a group of investors among them Investment AB Kinnevik and Phenomen Ventures.
Describing the USP of the website Chadda said, “We have concentrated on user experience and are constantly evolving the product. The mainstay of a website like this is based on repeat business and customer experience and service is very crucial to this. We make the effort of connecting with the restaurants on almost all levels – phone calls, SMS, our own software and hardware. We stay connected to the customer at all times.” Apart from special deals and discounts for FoodPanda users, Chadda says that customers order lists can be saved along with contact data. Also customers can pre-order up to 36 hours in advance. For the restaurants he added that the website would provide a strong online presence and an extension for revenue. Foodpanda’s revenue model is based on commissions on orders placed through the website; the software and hardware installations are included in this.
Success rate of food ordering websites have been low in India, Chadda commented, “In an e-commerce set up the capital requirement is very low and setting up shop is not difficult. It is the sustenance and execution which is the challenge.” FoodPanda has introduced smart phone Apps as well. Chadda informed that they have seen 10,000 downloads in last month from India itself. “Mobile is an important platform and a great growth agent and we are seeing 20 per cent increase week-on-week.”