70% of Restaurants Say Delivery “Very Important” to Their Business

Brian Lo, General Manager, Deliveroo Hong Kong, said, “With Hong Kong’s food delivery segment growing rapidly and estimated to generate US$615 million in revenue 2019, it’s no surprise that nearly three in four restaurants surveyed see delivery as a significant factor to their growth and success. We expect that delivery will continue to be a strong driver for F&B business in Hong Kong and we look forward to helping restaurants find new and innovative ways capitalize on consumers’ rising preference for online delivery platforms.”

New revenue streams such as online delivery are increasingly important, as restaurants in Hong Kong are now facing up to a variety of headwinds; including decreasing turnover and rising costs. Deliveroo’s Restaurant Satisfaction Index found that in the past quarter, 55% of restaurants surveyed saw a turnover decrease, 44% experienced increasing labor costs and another 57% saw operational costs go up.

Brian added, “Deliveroo is confident in the Hong Kong market and dedicated to supporting restaurants to overcome the challenges through information and innovation. We help restaurants to create virtual brands and together with our Editions kitchens, we help restaurant partners test new concepts and address market gaps, without the up-front investment and costs. Our data-driven tools like Marketer, which recently became a 24/7 always-on initiative, help restaurants leverage data and insights to target new and repeat customers with relevant promotions. With these and other innovative offerings, Deliveroo is supporting our partner restaurants to more fully capitalize on the delivery opportunity.”

Despite the challenges, half of the restaurants surveyed (50%) said that they are confident in Hong Kong’s F&B industry for the fourth quarter.