In November last year, Deliveroo announced that it might soon expand its business to operate a dine-in restaurant in Singapore.
It was reported that the startup will be opening new remote kitchens nationwide this year, one of which could evolve to become a fast casual eatery.
According to The Business Times, Deliveroo had applied for a dine-in permit at its Katong Editions site, but to no avail.
Although it has no tentative plans to reapply for the permit, it will still explore the dine-in concept at its new Editions site, which is likely to be located in the heartlands.
But fellow competitor Foodpanda has beat them to it, making them the first food delivery service provider in Singapore to provide such offerings.
OPENING DOORS IN SINGAPORE THIS FRIDAY
Foodpanda will be opening a central kitchen with a dine-in space this Friday, March 23.
Called Favourites by Foodpanda, the space in Woodlands will allow customers to buy food from multiple eateries hosted in the kitchen in a single order.
The space will also deliver food within a 5km radius, serving nearby districts such as Sembawang and Yishun.
Its managing director, Luc Andreani, told Channel NewsAsia that because it’s a canteen space, they needed to have a seating area due to regulation.
He added that the reasoning behind the location was “to bring more choice to our customers in the North, because naturally this is also where organically we have the least amount of restaurants.”
The location will also serve as a testbed for the company, as it looks to roll out more central kitchens across Singapore’s neighbourhoods.
FOODPANDA'S MAIN FOCUS IS STILL DELIVERY
Mr Andreani emphasised that while its customers now have the option of dining in, its core business will still be focused on delivery.
In fact, its menus, packaging, and selection of on-site restaurants are all “optimised for delivery.”
It is also looking at rolling out a self-collection option on its app.
Deliveroo has also expressed plans to do the same for its upcoming second central kitchen that will be launched in April.
As the food delivery service and app scene becomes more saturated and competition rises, it is imperative for these services to continue to differentiate themselves.
So while there are certain food companies that specialise in certain geographies like the CBD area or a certain district, some will specialise in certain types of food like hawker food delivery instead.
Right now, Foodpanda and Deliveroo seem to be sharing many of the same business strategies, so it’s high time for them to really push themselves in order to stand out from the competition.
This article was first published in Vulcan Post.