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Jakarta Post

Go-Jek sees boom in food delivery business

  • Riza Roidila Mufti

    The Jakarta Post

Jakarta   /   Tue, January 8, 2019   /   02:43 pm
Go-Jek sees boom in food delivery business Go-Jek marketing vice president Aristo Kristandyo (left), chief commercial expansion Catherine Hindra Sutjahyo (center) and public figure and Go-Food user Kemal Mochtar hold up a mosaic sign of Go-Food's MaMiMuMeMoFiesta campaign, which ran Nov. 5-Dec. 5, 2018. (The Jakarta Post/Vellen Augustine)

People have been spoiled by an easy way of purchasing food since Go-Jek and Grab started offering their respective food delivery services, Go-Food and Grab-Food.

Maghfira, a 25-year-old Surabaya resident, for example, depends highly on online delivery services for her meals. 

“Online food delivery services like Go-Food is like a domestic worker for me, because I am reluctant to go out often,” said Maghfira, who uses the service at least twice daily and three to four times a week to order food and drink.

Maghfira has learned from her purchase and order history on the Go-Jek application that she has placed 167  food and beverage orders in recent months,

“I am also a picky person who dislikes going around looking for random restaurants and other places to dine on the streets. Meanwhile, Go-Food has a best seller feature on the app that really helps me find good food,” she said.

The growing trend in purchasing food and beverages through online delivery services has accelerated growth in the business. Go-Jek says it delivered 529 million food and drink orders across the country through Go-Food in 2018.

Go-Jek chief commercial expansion Catherine Hindra Sutjahyo said that Go-Food experienced exponential growth in 2018.

“The year 2018 was a great year of collaboration for us. Why? Because we achieved unexpected growth in Go-Food, thanks to Go-Food's triangle collaboration — customers, merchants and drivers [...],” Catherine said on Monday at a press conference on Go-Food's annual report.

The company declined to disclose actual transaction figures, but revealed that its merchants had grown from around 125,000 merchants in January 2018 to 300,000 by December the same year. Go-Jek also said it recorded a 50 percent growth in app users, with the highest growth recorded during the special promotion period from Nov. 5 to Dec. 5.

“This program took us to a higher level and strengthened our position as personalized food experts, as many people participate in the promotion and we also saw many new users during the promotional period,” said Go-Jek marketing vice president Aristo Kristandyo.

Aristo also said Go-Food had boosted emerging small and medium enterprises (SMEs) in the food and beverage industry, as at least 80 percent of Go-Food's 300,000 merchants were SMEs, a growth of 50 percent since late 2017.

He said that the top three most purchased foods in 2018 were chicken, rice and noodles.

Go-Jek was also planning other promotional programs and campaigns to grow its food delivery business this year. It also planned to expand the Go-Food service to other countries, following its ride-hailing service's entry to Vietnam, but Aristo said the plan was still a secret. (bbn)