Is Keeta’s drone delivery launch a hype or the new normal for HK?

Keeta's first drone delivery route in Hong Kong has left industry players and the general public in awe, redefining the customer experience within the food delivery landscape. According to media intelligence firm CARMA, the news has garnered over 767 mentions over the past few days, with sentiments of conversations around the launch being 34.4% positive and 2.6% negative. Prior to the launch sentiments were 11.7% positive and 8.6% negative.

There’s discussion around the viability of drone delivery in Hong Kong, with concerns raised about the efficiency of transporting multiple orders and the need for suitable landing zones, said CARMA. Associated keywords include "drone", "Alibaba", "economy", "Hong Kong", "investment", "JD.com", amongst others. 

The initiative introduces a "cross-sea + park" (跨海+公園) scenario, with drones taking off from Hong Kong Science Park in Sha Tin and landing at the Ma On Shan Promenade. The route significantly reduces delivery time - completing orders in about five minutes compared to the 40 minutes typically required by human riders traveling 7.8 kilometers. Currently, major local businesses such as McDonald's and Pizza Hut are connected to the service, highlighting its immediate commercial potential. 

Don't miss: Keeta launches first drone delivery route in HK

By shifting from human couriers to automated drone systems, Keeta is not only enhancing operational efficiency but also reshaping the customer experience for the digital age. 

In a conversation with MARKETING-INTERACTIVE, Keeta's spokesperson said Keeta's collaboration with Keeta Drone to launch meal delivery via drones in Hong Kong reflects our commitment to innovation, added the spokesperson.

"This technological advancement aims to address special delivery scenarios and create new opportunities for local consumption by enabling fast, efficient and reliable deliveries that meet the unique needs of local merchants and diverse customer. Most importantly, at the heart of everything we do is our commitment to food quality and customer service, which remain uncompromised across all forms of delivery."

On the agency front, Judd Christie, CEO, Greater China, Uniplan, said Keeta’s move will create a massive buzz across the city as it’s a new initiative in Hong Kong, adding that Keeta will see a huge spike in demand out of simple intrigue, and excitement for the service.  

Redefining customer experience 

He agreed that a drone delivery service can be much more efficient than current delivery options, and can cut down delivery time and potential costs in the long-term, but the next question will be the number of drones Keeta needs and the number of drones that can occupy the city’s air space at one time.  

By serving underserved or hard-to-reach areas, Keeta can indeed tap into new customer segments, expanding market share without the proportional increase in labor costs that traditional platforms would face, according to Yvonne Ma, managing director, Eighty20.  

However, the upfront investment in drone technology and infrastructure such as landing zones and maintenance means Keeta is likely burning cash in the short term to establish this edge.

Setting itself apart from competitors, Keeta may uplift its overall brand image by resolving some of the challenges using AI and robotic solutions, said Joanne Tong, managing director, IPG Mediabrands Hong Kong. While it’s still early to tell how this will influence consumer behaviours in the long run, she said it will depend on the delivery quality and timing.  

“Hong Kong is a unique market; while eCommerce brings convenience, it took residents a long time to change their existing habits. Also, with the growing concern around privacy, we do not foresee that it will quickly replace the existing business model. However, if we do see support for government grow, and the ability to control costs, this could be the business model to change consumer behaviours,” she added. 

In order to have a robust customer experience, marketers could think about providing “how to” videos for consumers so that they know how to order and collect the food delivery and what to do when there is a problem, said Kevin Kan, chief experience officer, Break Out Consulting Asia.   

“A video on support and help lines operations would also enhance consumer trust and acceptance of the new service as they know that there is help available if something goes wrong.” 

Will competitors follow suit? 

From a novelty perspective, Keeta should see a boom in drone food delivery, added Kan. “Consumers will want to test it out and experience the same type of service that people in China have had for several years now.” 

As public curiosity drives initial adoption, the spotlight now turns to the broader market - will other industry players follow suit? 

Uniplan’s Christie said competitors will naturally feel inclined to follow suit and look into offering a similar service on their platform if Keeta is able to establish an efficient drone delivery service. He added:

I imagine a first step was a considerable amount of market research, to identify their key target audiences and key areas to service, to understand not only the demand, but the desire for such a service, especially in Hong Kong where food delivery options are already incredibly convenient.

Prior to and immediately after the launch, consumer education will be key to the initial success of this service, to help customers understand the service, the benefits of it and how it works, and to address any concerns regarding efficiency, safety, environmental impact, amongst others, he added.  

“Following this, developing key promotional offers such as free trials will allow easy access to the service with the aim to drive adoption and future consideration for the service, which can be further supported through partnerships with popular local restaurants and even popular foodies and KOL’s, who can share their experience with the service.” 

On the other hand, whether Keeta’s competitors will jump on the bandwagon depends on the demonstrated return on investment (ROI) of this innovative approach, said Eighty20’s Ma.  

She added that Keeta benefits from the strong financial and technological backing of Meituan, a major Chinese tech giant with deep expertise in delivery logistics and substantial resources to invest in cutting-edge solutions.  

“This backing could allow Keeta to absorb the high initial costs of drone technology development. For other players such as foodpanda, entering the drone delivery space would require significant capital investment and a willingness to endure a prolonged money-burning phase, something they may already be grappling with due to existing high operational cost.” 

Potential skepticism consumers may feel about drones 

Keeta Drone, a commercial low-altitude logistics tool adhering to the relevant regulations, will be equipped with low-altitude logistics tool dedicated sensors for signal acquisition. The collected signals are only used for sensing obstacles and terrain information, to provide a basis for safe flight. All signals are encrypted and managed according to the requirements of the relevant national authorities, and the whole process is automated.

However, given Hong Kong’s dense urban landscape and a history of public debate over surveillance, privacy concerns remain a significant hurdle. Drones equipped with cameras and GPS for navigation may trigger apprehension among consumers about potential data misuse or intrusive monitoring. 

To address potential skepticism or anxiety consumers may feel about drones handling their food, Eighty20’s Ma said marketers should proactively communicate how consumer data is protected, ensuring that drone operations are not used for surveillance.  

“This can be achieved by publishing clear, easy-to-understand privacy policies and making explicit statements about limited data collection for example when data is used solely for delivery tracking and deleted after a set period.” 

As long as Keeta provides clear reassurances, robust safety measures, and seamless service to address these concerns, Hong Kong people are likely to welcome drone delivery as a practical and innovative solution to their daily needs, she added. 

Similarly, transparency and clear communication with customers on how the delivery process works is also key, said Uniplan’s Christie. “This includes the handling of their food, the necessary safety protocols that go along with it and how they ensure quality control and overall food hygiene.” 

“The customer needs to know all these points. Initially, it will probably be hard for customers to envision how a drone delivery service works in Hong Kong." He added:

So the use of video content and visual communications will be key, such as a GoPro strapped to a drone for example, that would actually be great content.

“Customer testimonials will also be a key factor in reassuring anxious customers, real life stories from people who have used the service and their honest reviews and recommendations, also partnering with foodies and influencers in the food and tech space to get their perspectives,” he added. 

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