How does digitalisation promote Deliveroo’s successful?

Since the continuous development of technology, numbers of industries have changed its business pattern. In terms of taking away service, Deliveroo plays a significant part in the delivery platform in many countries, especially in the UK.

Deliveroo (2020) is a food delivery platform that providing customers to go service, which was founded by William Shu in London in 2013. People could order meals from home or firm through their mobile phones or laptops. Simply follow the process, and press certain buttons. After complete the payment, consumers can acquire the meal without entering to physical food store. Deliveroo’s main mission is to change the method that customers eat. Offer a large number of restaurant selections to satisfy everyone’s needs. Their target is that reduce people’s waiting time to get the best quality of service and convenience.

William Shu told the reason why he wanted to start to run his business from the following video. He mentioned that people usually have to take away by themselves or rely on the store delivery service a few years ago. However, which normally causes a bad quality of food such as received a cold meal or spending too much time waiting. So, Shu thought that having a platform could integrate the takeaway and door to door service might solve the problem.

The speech made me think back that buying several shops’ food at one time and waiting for store service indeed cause unwell food and inconvenient experience. There were few restaurants provide delivery service many years ago, people usually eat in the store. But not long after, certain food delivery businesses spring up, it becomes common to see them on the street nowadays.

As you can see, below images show the process of how a consumer could order their meals. Supplying a wide range of restaurants choose base on your location, rate and hot option are also provided. Remember online payment operating can reduce the length of the next transaction time. In the final step (Macvean, 2019), the consumer could track the order by their phone, know which step is going on now. Adding animations on each section of the order, give a please experience to the customer. When the rider picks up the order, the customer may emerge exciting from seeing the image keep moving through the map. In addition, the app also presents the rider’s name, this might raise the interaction between buyers and sellers when the order has arrived.

The article (Singh, 2019) illustrated that Deliveroo carries out a new algorithm called “Frank” It could predict the best route according to the distance of consumer, rider, and restaurant. Machine learning assists to forecast the time to prepare meals. This helps decreases 20% of delivery time. Digitalisation leads to convenience and good experience, which can help the company attract new customers and bring old customer repurchase to operate a great margin.

After constantly innovation and development, Deliveroo (2020) now cooperates with 35,000 restaurants in over 200 cities. The team has 30,000 riders to support this company to achieve its mission. It can be found the annual revenue of Deliveroo has increased dramatically from 2015 to 2018 through the analysis (Companies House, 2019). 2018’s revenue was roughly 26 times compared to 2015.

Some factors make Deliveroo become successful from the above context.

• Large restaurants selections
• Simple operation
• Quick payment
• Fast delivery: less in 30 minutes
• Track customers’ order: GPS
• Build the interaction with your rider

All things considered, it seems that there are several elements that make Deliveroo become the majority of the food delivery platform around the world. In particular, most of the aspects are strongly connected with technology, it is clear that digitalisation does change the corporate’s business model and digital is likely to increases its chances of success.

List of references

Companies House. (2019). Annual revenue of Roofoods (Deliveroo) worldwide from 2015 to 2018 (in million GBP). Retrieved from https://www.statista.com/statistics/760414/deliveroo-revenues/

Deliveroo (2020). About Deliveroo. Retrieved from https://deliveroo.co.uk/about-us

Macvean, S. (2019). Our order tracker — designing a product that crosses the physical and digital divide. Retrieved from https://medium.com/deliveroo-design/our-order-tracker-designing-a-product-that-crosses-the-physical-and-digital-divide-7cc773d84245

Singh, A. (2019). How does Deliveroo make money? Retrieved from https://www.feedough.com/deliveroo-business-model-how-does-deliveroo-make-money/

Shu, W. (2015). Deliveroo. Retrieved from https://youtu.be/sAPRs8IcHBA