FOOD DELIVERY INDUSTRY

JOURNEY OF FOOD DELIVERY

• 2013: HungryNaki & Foodpanda

• 2018: Pathao Foods, Shohoz Foods and Uber Eats
• Foodpanda & Pathao foods became market leader
• Uber Eats discontinued their services in Bangladesh
• Before pandemic, number of food deliveries per day 60,000 (around)
twice of traditional couriers
• Employing around 10,000 people, annual growth of 100 percent
• Earning around BDT 5 million of daily delivery payments.
RAPID GROWTH:

• Demand for food delivery to grow 7-10 times in the next

five years
• According to Restaurant Hospitality, expected to grow
10X in the next decade
• Reasons:
– Growing trend of smartphone app-based food
deliveries
– Explosion of e-commerce and online sales
– Structural transformation of the logistics industry
– Contagious nature of COVID-19
RAPID GROWTH:

• In general, on-demand food delivery is a capital-

intensive business.
• Bangladesh has allowed various local and international
players to compete in Dhaka, Chittagong and Sylhet.
• Strategy for Rapid Growth Strategy:
– Fortify and extend
– Enter new business with promising growth potential
– Plant seeds to venture in business that does not
exists.
 CONCLUSION
The future for food delivery in Bangladesh seems bright
given the faster adoption of online ordering in the urban
population. Hence, the logistic providers should plan their
way forward smartly to be able to make fast and seamless
food delivery and leverage the maximum output from the
growing digital consumer class.