Nothing rejuvenates our soul instantly like good food. We couldn’t agree more with the devourers of food when they overtly display their liking for food by equating good food to a good mood. We have had days where we barely find time to eat, let alone cook! On such days specifically, when we could do with a helping hand, an online food delivery service like Foodpanda could be a lifesaver (and no, not overemphasizing the significance of online food delivery services here).

Foodpanda, headquartered in Berlin, is an online food delivery platform founded in 2012 that caters to the needs of its customers by promptly delivering food to their doorsteps. Foodpanda is a subsidiary of Delivery Hero and operates in more than 400 cities. It is a leading food delivery platform and operates in 11 countries.

Growth of Foodpanda over the years

Foodpanda entered the food delivery business when food delivery apps were gaining momentum. Foodpanda, now a leading food delivery company launched in 2012 in Singapore, currently operates in over 400 cities. It provides services predominantly in Asian countries, including Singapore, Hong Kong, and Thailand. Foodpanda has partnered with over 115,000 restaurants over the years. It makes it convenient for users to order food and deliver it to the comfort of their homes.

The Foodpanda app has a user-friendly and robust interface, another reason for its success. In November 2020, Foodpanda announced nationwide coverage in Thailand. There is not a province in Thailand where Foodpanda does not serve. The move to expand led to many restaurants partnering with Foodpanda. It provides earning opportunities for delivery partners. Also, this has been crucial in the development of many restaurants and in helping in the growth of their online business.

foodpanda’s Green Label Initiative

Foodpanda has recently launched Green Label to strengthen its commitment to sustainability. Green Label is the first such initiative in Singapore. With this initiative, Foodpanda identifies the most sustainable brands on the platform through a restaurant certification scheme.

Foodpanda offers exclusive benefits to the green-labeled restaurant partners, such as complimentary marketing, educational workshops, and resources on sustainability measures.

Acquisition of Foodpanda

The Berlin-based food delivery company Delivery Hero acquired Foodpanda in 2016. The value of Delivery Hero reached 2.9 billion euros after the acquisition. It also helped strengthen the position of Delivery Hero in the online food delivery realm. Ola then went on to acquire Foodpanda India in 2017. The goal was that the partnership would help Foodpanda grow as the most liked online food delivery service in India.

How does Foodpanda work?

On-demand food delivery applications like Foodpanda have eased food ordering and delivery operations to a considerable degree. It has profoundly impacted the way users order food, and they get to relish their favorite food in no time.

Once the users order on the Foodpanda app or website, it delivers food from restaurants to customers through its delivery partners. The following are the steps involved in ordering from the Foodpanda app:

  • Step 1: Foodpanda enlists restaurants users can browse through after signing up. Users then go through the menus to select food that interests them. Users can make online payments to create a safer environment for themselves and their delivery partners in the wake of the pandemic.
  • Step 2: The restaurant that the customer has ordered from receives a notification from Foodpanda. The restaurant confirms the order depending on the availability and works on preparing the food.
  • Step 3: Foodpanda’s delivery partners closer to the restaurants get notified once the restaurant confirms the order. They collect the food from the restaurant and deliver it to the customers at their doorsteps.

Foodpanda Business Model

Foodpanda’s total revenue segment in 2021 was $997.8 million, an increase of almost 62% compared to the previous year. Foodpanda affirms its commitment to its customers by Bringing good food into your everyday.

Foodpanda works on bringing customers their favorite food from the restaurants listed on its platform. The foodpanda business model helps restaurants be more available to their customer base and intends to ensure efficient delivery.

The customer segment of the Foodpanda business model are customers, restaurants, and delivery partners.


Users can make orders on the Foodpanda app or website. After the initial sign-up process, customers using Foodpanda can order food from their locality. Foodpanda intends to offer services of the highest quality to its customers.

Foodpanda lets users choose a payment method. Online payment options include credit cards, debit cards, and GPay.

Restaurant Partners

Restaurants may be unable to reach a large customer base due to their inability to provide delivery services. In such cases, partnering with Foodpanda helps them gain an audience. Restaurants partnering with Foodpanda have witnessed significant growth, which has led Foodpanda to work with over 115,000 restaurant partners.

Foodpanda incorporates ways to position the restaurants they partner with better than the other restaurants.

Delivery Partners

Delivery partners are paid handsomely for their delivery service. Foodpanda ensures flexibility. Depending on their interests, delivery partners can work full-time or part-time for Foodpanda. Delivery partners, for their part, aim to provide uncompromising delivery services.

Foodpanda Revenue Model

Foodpanda made a revenue of 0.7 million euros in the year 2013. Foodpanda’s total revenue segment in 2021 was $997.8 million, an increase of almost 62% compared to the previous year.
Foodpanda makes most of its income through commission fees that it charges from its restaurant partners.

Foodpanda generates revenue through advertising, delivery fee, and commission fee.

Listing and advertising

Restaurants get listed on Foodpanda. Some restaurants get promoted on the app. Getting advertised on Foodpanda increases the visibility of the restaurants, enabling them to attract a wide customer range. Foodpanda charges restaurants to get promoted on their app.

Commission fee

Foodpanda charges a commission from restaurants for orders made through the Foodpanda app. The commission depends upon the location of the restaurant. Foodpanda charges a commission fee of anywhere between 20% and 30%.

Delivery fee

One of the ways by which online food delivery systems like Foodpanda make money is through delivery fees. For each delivery, Foodpanda charges its users a certain amount as a delivery fee.

Key Features of the Foodpanda App

Features of the Customer App

Restaurant Search and Listings

Customers can search for restaurants, cuisine, or dishes using the search option. Filter options enable them to perform searches easily and give them results at a faster rate.

Multiple Payment Options

Foodpanda offers multiple payment options that allow users to pay for their orders without hassle. It improves user experience. Further, the app enables secure transactions.

Track Your Order

Users can know when they will receive their order with the help of the tracking feature. Access to real-time status updates gives an understanding of when they can expect their order to be delivered.

Ratings and Review

This feature lets users rate based on their experiences. It helps other users make informed choices. Also, it enables restaurants to gain valuable insights into the likes and dislikes of customers so that they can address issues effectively.

Order History

Users can keep track of their orders using this feature. They can have up-to-date information, including shipping and payment details. It improves customer satisfaction.

Features of the delivery partner app

Delivery Partner Profile and Account History

Delivery partners can create profiles after registering with the app. In the account history section, they can view the list of their completed deliveries. They can see information on the food type, delivered locations, etc. Delivery partners can keep track of the orders they receive.

In-app Chat/ Call

It is one of the crucial features of the Foodpanda app. The in-app call feature serves as an effective communication channel. They can let the customers know the status of their orders. Similarly, they can contact customers to clarify if there are any doubts.

Earning Reports

Delivery partners can track how much they have earned in a particular time. It helps them get a better understanding. Also, this way, they can manage their income better.

Bottom Line

Foodpanda initially started its delivery services in Singapore before expanding its operations to Malaysia, Thailand, Taiwan, and seven other countries in Asia. Foodpanda was the first in Asia to grow its rider community, creating earning opportunities.

The on-demand food delivery business has been fast-moving, especially over the last few years. Projections show that by 2027 the food delivery industry will be worth $223 billion in annual revenue. The increasing demand for online food services has spurred many new entrants into the on-demand food delivery business.

Recent Blogs

Top 10 Popular Rental Business Ideas To Start In 2024

Top 10 Features Of Udemy Clone Script


WhatsApp: +91 9222 47 9222

Skype: Abservetech Support

Email ID: [email protected]