,Hong Kong

Deliveroo offers commission discount to restaurants in Hong Kong amidst coronavirus outbreak

It will be effective starting 16 February.

Deliveroo announced a 5% commission rate reduction for all eligible restaurant partners in Hong Kong as the coronavirus continues to impact businesses.

The move means that eligible restaurant partners can enjoy a 15-20% discount in commission fees. The initiative will be effective on 16 February for a month.

The company also launched a four-week payment delay scheme available for qualifying exclusive restaurant partners, aiming to ease cash flow.

“In our most recent survey and conversations with leaders of the F&B industry, we estimate in-store F&B retail sales to be down 30-50% year-on-year, with signs of further deterioration. Operators are reeling from worsening consumer spending out-of-home. We expect economic conditions to deteriorate. Having spoken to so many restaurants, we understand their concerns and wanted to take action to help,” Brian Lo, General Manager of Deliveroo Hong Kong and Board Director of the HK Federation of Restaurants and Related Trades (HKFORT), said in a media release.

Deliveroo said it saw a “dramatic acceleration” of restaurants looking to suspend or close operations, with the benchmark numbers rising from an average of 1.5% to 5% over the last 4 weeks.

As large portions of Hong Kong continue to work from home, Deliveroo reported an increase in delivery orders recently following the Chinese New Year holiday weekend. The food delivery platform said it has seen an 60% increase in order volume month-on-month in January, with the pace of volume growth accelerating over the past two weeks since February.

The highest growth in Deliveroo orders for the past two weeks came from New Territories districts, including Tin Shui Wai and Fanling.

Other New Territories districts including Tuen Mun, Tsuen Wan, Tai Po and Tseung Kwan O recorded jumps of more than 60%. Whilst in the Kowloon districts, Mong Kok, San Po Kong and Sham Shui Po have recorded an 80% jump in order volume over the past two weeks.

Meanwhile, the residentially-located Deliveroo Food Market in Sai Ying Pun recorded a rise of over 70% in order volume over the last two weeks.

Join QSR Media Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

The range is first accessible via Deliveroo.
QSR Brands is also donating 70,000 limited-edition KFC face masks to frontliners.
Plans are understood to be preliminary.
The brand hopes to find success in the competitive food category.
The new item is available at participating locations through October 18.
The latest move is part of the company’s series of forays to integrate plant-based alternatives.
The company operated 390 Yoshinoya and 189 Dairy Queen restaurants in China as of the end of 2020.
Interstate franchise opportunities will open up once the brand has established its presence in NSW.
The 15-meter traveling kitchen will allow the brand to expand its presence in both existing and new markets without traditional overhead costs.
The South Korean bakery chain will also include a vegetarian menu and vegetarian options for main dishes.