This Week in Food Delivery & Quick Commerce (11/05/24)

Hi all,

The new edition of the newsletter is out!

Highlights:

• DoorDash had a mixed Q1

• Uber had a mixed Q1

• Instacart had a good Q1

• Apparently Gopuff burned $400M in 2023

• Glovo exits Slovenia & Ghana

• Kohl’s launches same-day delivery with Instacart

If you have any questions or feedback, you can always reach me at alex.foodeli@gmail.com or on Twitter at @a_jordanov

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💬 Quote of the Week

“Underground delivery startup Pipedream Labs announced it has raised $13 million in funding. Company CEO Garrett McCurrach disclosed the funding, led by Starship Ventures, with participation from Cortado Ventures, Myelin Ventures, and others, in a post on LinkedIn.

The new capital infusion will primarily be utilized to enhance Pipedream’s “Instant Pickup” service and kick-start the construction of an ambitious middle-mile network in an as-yet-unnamed city. This network aims to facilitate quicker, more cost-effective urban deliveries.”

Source: The Spoon

📊 Infographic/Stats of the Week

““Despite Zomato being a late entrant in the food delivery market, it has gone from a laggard in CY19 to gaining market share in the duopoly. Both players were similar size in CY20 at $ 1.2 Bn,” Bernstein analysts wrote.

Instamart, Swiggy’s quick commerce business, and Zomato’s Blinkit are also increasingly facing heightened competition from Zepto. The Mumbai-headquartered startup was recently on pace to achieve $1.2 billion in annual sales.”

Source: TechCrunch

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🚚 Deliveries

• With quarterly revenue topping $5 billion, DoorDash, Uber push back driver wage laws

• Deliveroo, Just Eat and Uber Eats to make direct checks on UK riders’ immigration status

• DoorDash earnings: Delivery giant hits quarterly records for key metrics // DoorDash Stock Tumbles as Profit Remains Elusive // DoorDash Stock Falls After Another Quarter of Losses

• Finnish delivery service Wolt is opening its platform with the new service Wolt Drive

• Estonia's Tax Board to size up Wolt, Bolt, Airbnb data against tax returns

• Uber Stock Endures $12 Billion Selloff On Nauseating Post-Earnings Ride // Uber Stock Drops on Surprise Loss // 4 Key Takeaways From Uber's Earnings Call

• Uber’s results hit by legal costs after decade of regulatory battles

• Uber promises member exclusives as Uber One passes $1B run-rate

• Instacart adds restaurant delivery with Uber Eats

• Marqeta and Uber Eats Announce Global Expansion of Partnership into Eight Markets

• Home2 Suites by Hilton and Grubhub Ignite Partnership

• GrubHub and Hilton Deepen Partnership

• Food delivery company Glovo leaving Slovenia in May

• Glovo pulls out of Ghana market citing profitability challenges

• China's Meituan to launch food delivery platform in Riyadh, Saudi Arabia

• Talabat is your default app on Xiaomi phones

• Swiggy set to relaunch 'Daily' meal service, likely to be priced under Rs 200

• Nigeria’s YC-backed Chowdeck hopes to scale food delivery, a notoriously tough market, with $2.5M funding

• Pipedream Raises $13M as It Looks to Build Underground Middle Mile Delivery Network

• Coupang Eats Widens Lead Over Yogiyo in South Korea’s Food Delivery App Race

• Survey: KeeTa captures 43% of HK market share in Q1 2024

• 3rd place in the app market for user growth No. 1 in new installation among delivery apps Surge after March announcement of free delivery

• Swiggy IPO serves next dish in Indian food wars

• Zomato Unveils ‘Weather Union’ To Open Source Real-Time Weather Data

• Thai food delivery app Line Man Wongnai weighs IPO in Thailand, US in 2025

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🚀 Q-Commerce

• Fast-Delivery Survivor Gopuff Burned $400 Million Last Year

• Instacart forecasts upbeat current-quarter, taps Uber veteran as CFO

• Instacart adds arsenal of Uber Eats restaurants to its app

• Getir Quits US, Europe Markets After Pressure to Cut Losses // Getir pulls out of the US but says FreshDirect will keep operating // Getir is exiting Europe and closing Gorillas as fast grocery delivery feels the chill

• Getir franchisees sell off freezers in bid to recoup investment following rapid grocer’s UK exit

• Carrefour Polska Expands Collaboration With Wolt

• Rohlik Group invests in automation technologies as AutoStore powered warehouse goes live in Berlin

• Ocado says Kroger committed to build more warehouses despite roll-out slowdown

• Ocado, Lidl and M&S are UK's fastest growing grocers, says NIQ

• Tim Steiner will get the payout if grocery group’s share price significantly improves by 2027 // Ocado Pay Policy Opposed By 19% Of Votes Cast At Annual Meeting

• Instacart Becomes Kohl’s Same-Day Delivery Partner, Continues Expansion Beyond Grocery

• Foodpanda launches own food, groceries label

• Kohl’s launches same-day delivery with Instacart

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🍳 Dark Kitchens / Micro Kitchens / Virtual Brands

• Uber Co-founder Travis Kalanick Envisions ‘Internet Food Court’ Future

• How Nimbus is defying the slow decline of ghost kitchens

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💰 Financing / Exits / Acquisitions

• Bolt closes €220M revolving credit facility: a step towards IPO

• Nigeria’s YC-backed Chowdeck hopes to scale food delivery, a notoriously tough market, with $2.5M funding

• Pipedream Raises $13M as It Looks to Build Underground Middle Mile Delivery Network

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💻 Other

• Amazon results beat estimates, revenue forecast misses

• Domino’s Pizza Rises as US Sales Gain Across Income Groups // Domino's Stock Jumps After Online Promotions Deliver Earnings Boost // Domino's Pizza Succeeds In Driving More Traffic: Analysts Revise Forecasts After Q1 Results

• Uber faces £250mn lawsuit from London’s black-cab drivers // Uber faces a 9-figure lawsuit that could net London taxi drivers $31,000 each

• B-Robotics teams up with Hanwha Robotics for restaurant automation

• Coupang earnings hit hard by losses from ailing Farfetch

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📜 Deeper reads

• What’s left of Europe’s speedy grocery sector?

• Instacart’s CFO Shuffle

• Inside the underbelly of East Asia: China's food delivery riders and their struggles

• Speedy grocery darling Getir quits Europe and US

• Why California’s largest grocery retailer is partnering with Instacart

• McDonald’s and Domino’s Serve Food for Thought on Consumer Spending.

• Meituan Full Year 2023 Earnings: EPS Beats Expectations

• Fast-Food Slowdown May Mean Steeper Promotions

• Just Eat’s brand boss on why its celebrity strategy continues to deliver

• Meet the Instacart CMO using AI to transform retail

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