Deliveroo’s Bounding Impact on Australia

Ally Feiam By Ally Feiam | 15 May 2019

Food delivery service, Deliveroo, has showcased rapid growth in Australia over the past twelve months, and has plans to expand even further.

An independent study by Capital Economists has found that Deliveroo has contributed AUD$452 million in revenue growth and AUD$209 million in GDP in the Australian economy.

Founded in 2013, Deliveroo offers food-delivery services across 12 countries, including Australia, France, UK, Singapore and UAE. Deliveroo operates alongside 80,000 restaurants globally and delivers food to households using more than 60,000 riders. In Australia, Deliveroo has partnered with more than 10,000 restaurants, with plans to expand in excess of 17,000 by the end of 2019.

The report by Capital Economists found that Deliveroo is responsible for creating nearly 8,000 jobs and plans to increase the number to 31,000 across the country by 2020. Based on records from a YouGov survey conducted from December 2018 to January 2019, Deliveroo is estimated to have generated AUD$313 million to the Australian restaurant sector.

Deliveroo has employed over 6,500 self-employed riders in Australia.

Levi Aron, Country Manager for Deliveroo Australia said: “This research shows that, in addition to making it easier for Australians to access their favourite foods whenever and wherever they want, Deliveroo is making a significant contribution to the Australian economy, and this contribution is growing rapidly.”

Deliveroo launched its first subscription service in April 2019, ‘Deliveroo Plus’, now boasting over 20,000 customers. This is the first service of this kind in the food delivery service, with a monthly price of AUD$18.99. The food delivery service also launched Marketplace+, allowing restaurants to facilitate their own delivery drivers signing up to Deliveroo, enabling them to deliver food through their own rider fleet or use the drivers from the app itself.

“By providing restaurants who partner with us the opportunity to reach more customers, we are helping them to grow their revenue and hire more staff,” Aron explained. “This report underscores that not only is the on-demand economy providing more opportunities for flexible work and for businesses to reach customers in new ways, but it also has a sizeable and positive impact on Australia’s broader economic growth.”

Deliveroo often finds ways to innovate the food delivery market. A replica of the Great Wall of China was erected in Liverpool’s Chinatown earlier in 2019, and huge ‘burger walls’ were parked in London and Sydney in April. The pop-up dispensed 2,000 free burgers in celebration of the company’s 10 millionth and 5 millionth deliveries in the UK and Australia, respectively.

Deliveroo aims to continue to funnel growth into Australia, with triple-digit growth in 2018, showcasing a number of restaurants on the platform increasing by 150 per cent, and the number of riders rising by 50 per cent over the past year.

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