Business for food delivery platforms has surged greatly since the outbreak of the COVID-19 coronavirus, as many employees have been asked to work from home. To meet this increase in demand, the 100 virtual brands Deliveroo Hong Kong has added in previous months have helped restaurants expand their business significantly without heavily increasing fixed costs.
According to Deliveroo Hong Kong, virtual brands enable existing restaurants to increase revenue and customers by offering new or complementary cuisines. Appearing as a separate restaurant on the food delivery platform, virtual brands can help restaurants stabilise or increase sales while minimising expenditures.
"In markets around the world, restaurants on Deliveroo launching virtual brands have seen a 70% increase in revenues on average. In Hong Kong, the figure is even higher as it reaches 85% thanks to the city’s enthusiasm towards ordering in and eagerness to try new things," said Brian Lo, general manager of Deliveroo Hong Kong.
To further meet customer needs, Deliveroo Hong Kong leverages data to identify districts for potential growth and missing cuisine types. In addition, the platform also helps restaurants source ingredients from around the world for licensed foreign restaurant brands.
"Since revitalising Caramba Mexican Cantina (which closed in 2016 due to increasing rental), we’ve been able to bring back the best of Tex-Mex foods to Central. flavor. We’re grateful to Deliveroo Hong Kong for coming to us with their expertise and advising us to bring back a part of our history. The food industry may be changing rapidly but it’s for the better," commented William Chan, marketing manager of Eclipse Hospitality Group.