Deliveroo in the United Kingdom has started its subscription service. The food delivery company has aimed this service at the more frequent and loyal customers. This service is called “Deliveroo Plus” and is only available to the existing customer base. The option waives £2.50 per delivery charges in return for subscription which costs £8.99 per month or £89 per year. The food is not included, just to be clear.
The first batch of subscribers will get two months of free service. Areas where it is rolling out are Manchester, Birmingham, Edinburgh, Glasgow, Brighton, and York. The food delivery service and the customer anticipation around it has already made it a hit. A significant portion of the revenue generated by the company comes from the percentage it cuts on each basket, not from the price charged for delivery. Additional pricing is a hint at how the revenue process of Deliveroo works.
Amazon has seemed to contribute a lot in the launch and mechanics of Deliveroo Plus service. The tech and e-commerce giant has launched its food delivery service in the United Kingdom called Amazon Restaurant. It is available to Amazon Prime subscribers only. The service is also operating in the United States. In the U.S, Postmates has a subscription version of its food delivery as well. The new route for food delivery startups seems to be subscriptions which provide benefits to loyal customers.
Read: Should you dabble in the food industry?
In the U.K the company, Deliveroo plans to add 300 tech jobs in the London HQ. It has 125 employees comprising of good engineers and product teams. The company is looking for product managers, researchers, software engineers, data analysts and designers. Apparently, as we progress there is an excessive need for our food to be delivered instead of made at home.
Image via Business Insider
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