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Eateries keen to go on board with AirAsia’s food delivery service

By Rajiv Menon
2 min read
airasia eatery
airasia eatery
In this article (4)

Eateries say they are keen to go onboard with airasia food because of its low commission and islandwide delivery. The newcomer is offering them free delivery within 8km for two weeks until March 16, and charging a 15 percent commission after that.

Other food delivery platforms like Deliveroo and Foodpanda charge commissions of 30 percent to 35 percent and deliver within a restricted radius of 2km to 6km, while GrabFood delivers islandwide for only selected partners. Oddle charges 10 percent for islandwide service but uses Lalamove for deliveries, which can cost eateries another $12 to $20 for each order.

Swee Choon Tim Sum Restaurant signed up with airasia food on Tuesday (March 2) because of its low rates and islandwide delivery. But owner Ernest Ting raised concern over the availability of riders.

“We often face issues such as lack of riders and service reliability,” he said.

Baoshi F&B Management goes on the platform today with five of its outlets, while the rest will go onboard three weeks later. It runs the Wee Nam Kee chicken rice, Monga Fried Chicken and Lai Bao Fish Head Steamboat eateries.

The company’s co-founder, Mr Lem Cheong, said he, too, was attracted to airasia food’s attractive rates and islandwide delivery.

Mr Douglas Ng, who runs Fishball Story in Circuit Road selling fishball noodles, said he messaged airasia food for more information last Thursday after learning about its launch, and will sign up due to the attractive rates.

He currently uses GrabFood, which he finds efficient, and he considers the 20 percent commission fair. But he finds its delivery radius of 3km too small – which is why he also does his own deliveries.

Mr Melvin Chew of Jin Ji Teochew Braised Duck & Kway Chap in Chinatown Complex said he heard about airasia food’s low commission and was keen to find out more, such as the availability of drivers or riders.

The founder of Facebook group Hawkers United – Dabao 2020, which supports hawkers during the pandemic, said he will likely sign up so he can understand how airasia food’s system works and share the information with fellow hawkers.

All the eateries agree that having more delivery platforms is good for them.

Baoshi’s Mr Cheong said: “Being on more platforms makes our food more accessible. We are positive that as the competition increases, the rates and prices offered to us will be better.”

Questions & Answers

Q.

Which other food delivery platforms do eateries typically use, and what commission rates do they charge?

A.

Other platforms include Deliveroo, Foodpanda, GrabFood, and Oddle. Deliveroo and Foodpanda charge 30-35 percent commission, while GrabFood's commission is considered fair at 20 percent by one owner. Oddle charges 10 percent but adds delivery costs.

Q.

What is airasia food offering eateries to entice them to sign up for its new delivery service?

A.

Airasia food is offering free delivery within 8km for two weeks until March 16. After this promotional period, it will charge a 15 percent commission. It also offers islandwide delivery.

Q.

What primary concern have some eatery owners raised about using the airasia food platform?

A.

Owners such as Ernest Ting of Swee Choon Tim Sum Restaurant and Melvin Chew of Jin Ji Teochew Braised Duck & Kway Chap have expressed concern over the availability of riders and service reliability for the new platform.

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