Deliveroo's Prospective IPO

[okgo]

hyphen said:

You may want to google them... they are huge. They often partner with other logistic firms; in your area, those Stuart guys on their bikes.

When you have half an hour spare, see if the prices for your regular eateries are the same on JE.

I am aware of Just Eat, just that nobody I know who would get takeaway delivered would use JA, they would use Deliveroo.

You don't see many stuart bikes about either tbh. I think you're underestimating potentially just how prevalent Deliveroo are in London.

[hyphen]

okgo said:

You don't see many stuart bikes about either tbh. I think you're underestimating potentially just how prevalent Deliveroo are in London.

I understand you are in Brixton? I don't venture that much to Brixton, but very often get something to eat from Tooting and out in Clapham. Along with Central London.

I know exactly how prevalent Deliveroo is, as they are highly visible in their branding and mainly bikes. JE is more undercover, they have more eateries that do their own deliveries i think, and Uber Eats has a lot of car drivers hence less visible but get the feeling Uber Eats is smaller.

Stuart drivers are a pretty common sight in Clapham.

[NickCQ]

Just Eat's problem is that the capital market sees them as a food delivery company not a tech company so requires boring outdated things like profitability.

[hyphen]

I would guess that Deliveroo will suffer more than JE after the lockdowns are over. As the Deliveroo customers are people like professional salaried individuals like okgo, who are immediately going to be eating out again.

[NickCQ]

hyphen said:

I would guess that Deliveroo will suffer more than JE after the lockdowns are over. As the Deliveroo customers are people like professional salaried individuals like okgo, who are immediately going to be eating out again.

Yes, but they'll pick up the in-office dinner rounds again during the week

[KTF]

Valued up to £8.8bn with a share price between 390p and 460p.

Source: https://www.bbc.co.uk/news/business-56481665

[dirtbiker]

I've been debating whether this is a good bet or not but decided to go for a £250 allocation. I think a lot of the growth of these companies is probably over but also that people have changed the way they do things and that the demand will remain (albeit at a lesser volume). For instance, we have a toddler and have found that takeaways and meal delivery kits are ideal so will keep using them even once restaurants are open again.

We shall see!

[hyphen]

Deliveroo is essentially a delivery army on wheels. They need to think of other things to deliver. As imagine it spikes at weekday lunch, evenings and Saturday evening.

They are doing Aldi and Waitrose, but not sure how popular that will be.

Also the rise in escooters is probably a risk to them if become widespread and legalised for pavements, as if people can speedily and lazily travel to collect groceries themselves, then why pay £4 to deliveroo.

[okgo]

hyphen said:

Deliveroo is essentially a delivery army on wheels. They need to think of other things to deliver. As imagine it spikes at weekday lunch, evenings and Saturday evening.

They are doing Aldi and Waitrose, but not sure how popular that will be.

Also the rise in escooters is probably a risk to them if become widespread and legalised for pavements, as if people can speedily and lazily travel to collect groceries themselves, then why pay £4 to deliveroo.

More likely to happen is that deliveroo gets bigger as riders use scooters to deliver vs the other way around.

They're also doing Tesco I think I saw?

I did use JustEat the other day, they have McDonalds, 5 quid min order and then free delivery. Bloke turned up in deliveroo clothes! From pressing pay on my phone to it arriving at my door (half a mile) it took 6 minutes, staggering. Quicker than probably even going into the shop somehow.

[NickCQ]

okgo said:

I did use JustEat the other day, they have McDonalds, 5 quid min order and then free delivery. Bloke turned up in deliveroo clothes!

This is the flip side of the Deliveroo rider / Uber driver "employment" arrangement. They can't stop the contractors having various different apps on their phone and screening for jobs on multiple platforms at once.

[okgo]

NickCQ said:

This is the flip side of the Deliveroo rider / Uber driver "employment" arrangement. They can't stop the contractors having various different apps on their phone and screening for jobs on multiple platforms at once.

I mean, I don't give a st which of them bring it, I just want the best deal. I have no loyalty to any of them, I just want the cheapest delivery and the widest coverage of eateries. For ages that has been deliveroo for London, but now I have all 3 apps I just play them off each time and will use whatever codes the one I haven't used for a while sent me. ALWAYS some code from one of them.

[greggy50]

NickCQ said:

okgo said:

I did use JustEat the other day, they have McDonalds, 5 quid min order and then free delivery. Bloke turned up in deliveroo clothes!

This is the flip side of the Deliveroo rider / Uber driver "employment" arrangement. They can't stop the contractors having various different apps on their phone and screening for jobs on multiple platforms at once.

I do a bit of deliveroo work to get out the house during lockdown and some of the guys are working on 3 apps at once!

I have punted on £500 worth and will see what happens

[hyphen]

greggy50 said:

I do a bit of deliveroo work to get out the house during lockdown and some of the guys are working on 3 apps at once!

I have punted on £500 worth and will see what happens

I ordered a mcdonalds the other week, was watching the online map. The fella picked it up, then went 2 miles away, stopped, then returned to me.

It was cold. Complained to JE using the online chat and they refunded.

The tt.

But as said, it's just so quick normally. Everyone one else is 35-50mins, and Mcdonalds is <15. If free delivery ends and they want £4 to deliver fast food then I will be stopping though.

[hyphen]

okgo said:

More likely to happen is that deliveroo gets bigger as riders use scooters to deliver vs the other way around.

They're also doing Tesco I think I saw?
...

Didn't know that. I have seen though that the supermarkets have started to do click and collect, where they have reserved parking spaces and you park up and they come and put your groceries in the boot.

Seen it at Waitrose and also Sainsburys.

[NickCQ]

hyphen said:

I ordered a mcdonalds the other week, was watching the online map. The fella picked it up, then went 2 miles away, stopped, then returned to me.

Presumably doing multiple deliveries from the same restaurant, possibly for another platform before yours?

[hyphen]

NickCQ said:

Presumably doing multiple deliveries from the same restaurant, possibly for another platform before yours?

I was nearest to the mcdonalds, so yes appears so.

Stupid thing is, he would have got away with it if he had come to me first, as was on his way and only a minute to turn off the street and stop. Or if he had turned the gps permission for the JE app temporarily off, but as you can see him on a map, it's not realistically something that can be pulled off.

I thought I would be healthy, and ordered an espresso instead of a drink with the meal. It needed to be hot!!

[okgo]

NickCQ said:

Presumably doing multiple deliveries from the same restaurant, possibly for another platform before yours?

I think he's quoted the other guy saying they work 3 apps because of the latter.

Anyway, I want to get to a point with Deliveroo or whatever that I can buy almost anything from any shop and it be brought in 20 minutes. That is where I think they can head...

[greggy50]

hyphen said:

I ordered a mcdonalds the other week, was watching the online map. The fella picked it up, then went 2 miles away, stopped, then returned to me.

It was cold. Complained to JE using the online chat and they refunded.

The tt.

But as said, it's just so quick normally. Everyone one else is 35-50mins, and McDonalds is <15. If free delivery ends and they want £4 to deliver fast food then I will be stopping though.

They will be doing multiple platforms without doubt. If you are working on 2-3 app you can make £25/30 an hour round here during peak periods providing that restaurants are quick handing the food over which is hit & miss.

Its a lot of Eastern Europeans doing it in Chester and I spoke to a few who do it full time and they are picking up £3k a month from it multi-aping before the cost of fuel. Whilst that isn't amazing its not bad for a job that requires no skill at all...

I am just doing about 12 hours a week and have been making about £900 a month. As soon as I can actually do something other than watch TV or go for a walk in my spare time I will stop doing it however.

[okgo]

Fuel?

That's why you need to do it in London. Any ste mountainbike, a wheelbased 1000W motor from china and off you go, literally that is the deliveroo starter kit round here. And there's no wear and tear on the bike as they don't ever pedal

[NickCQ]

okgo said:

Anyway, I want to get to a point with Deliveroo or whatever that I can buy almost anything from any shop and it be brought in 20 minutes. That is where I think they can head...

Used to exist in the Bay area 20 years ago
https://en.wikipedia.org/wiki/Webvan

I think Deliveroo is going in the other direction because they have realised that delivery alone can't be a profitable business. I suspect because the addressable market that is prepared to pay the true marginal cost for rapid delivery is smaller than you might think. Why else would they invest as much capital as they have in starting their own restaurants ("Editions")?