Deliveroo is an online food delivery service founded in London in 2013. It has operations in over 200 cities across multiple countries, with the UK being its biggest market. In 2018, they reported revenues of £476 mn, a 72% increase from the previous year (Citation).
Deliveroo, a tech company often regarded as a pioneer in the industry, has a platform-to-customer model, where it leverages its proprietary network of couriers to pick up food and deliver it to the customer. This operating model has allowed them to capture market share from competitors.
In this strategic analysis, I explore the macro — and microeconomic factors affecting Deliveroo’s future success in the sector.
Industry Trends & Uncertainties
Trends For 2021 & beyond
- The health and wellness food market is expected to grow by $235.94 mn,
progressing at a CAGR of over 8% between 2020–2024 (Citation)
- Globally, 80% think we are heading for an environmental disaster unless we change our habits quickly (Citation). At least 67% globally agree that companies do not pay enough attention to the environment (Citation)
- 65% of consumers want to have a positive impact on the environment through their everyday actions (Citation); 70% are more likely to buy locally grown products (Citation); 26% of global consumers look for the country of origin on food and drink labels (Citation)
- The plant-based food and beverages market is expected to grow at a CAGR of 13.8% between 2019–2024 (Citation)