Deliveroo launches click & collect service

Online food delivery platform Deliveroo has added a click & collect option for its customers.

The ‘Pickup’ service has been launched with 700 restaurants in 13 cities, but more than 10,000 restaurants in the UK are expected to be offering the Pickup service within a year.

Deliveroo said the new service will prevent walk-in takeaway customers from having to wait in a queue for their order, and the company indicated it was targeting the lunchtime worker crowd and after-a-night-out customers with this proposition. In-person collection will also not involve a delivery fee, of course, unlike the delivery-to-home service.

Restaurants already signed up to the click & collect service include Byron, Chiquito, Coast to Coast, Frankie & Benny’s, Giraffe, Pizza Express, Pizza Hut, and TGI Friday’s.

Ajay Lakhwani, vice president for new businesses at Deliveroo, said: “This service opens up even more choice and selection for consumers, while providing a new revenue stream for restaurants.”

Deliveroo also said it expects to sign up another 10,000 restaurants to its platform in the UK over the next six months, which would take the total number of partners in the country to 30,000.

Financial hold-up

The online takeaway platform announced earlier this year that Amazon was the leading player in a round of investment aimed at helping grow its operations, but the deal is currently being scrutinised by the Competition and Markets Authority (CMA).

The CMA began its investigation into the £450 million Amazon investment in Deliveroo in October, with suggestions such a deal could harm consumers due to the reduced competition in the market.

A decision on whether the investigation will be taken to a second phase is set to be made on 11 December. 

Deliveroo’s most recently posted figures show that global revenue in 2018 jumped by 72% year on year to £476 million, although losses widened from £199 million to £232 million as it invested in distribution, technology, marketing, and staff insurance.