Flipdish, the net ordering and loyalty platform for takeaways and restaurants, has closed a €four.eight million in Series A investment. The spherical is led through Rocket Internet’s Global Founders Capital, with participation through present investor Elkstone.
Founded in 2015, Flipdish permits restaurants to immediately settle for on-line orders and arrange their on-line presence and operations, in a bid to assist wean them off over reliance (or order hijacking) through takeout marketplaces and aggregators, akin to Just Eat or Deliveroo.
Specifically, the Irish startup permits particular person restaurants and eating place chains to compete with takeout aggregators through accepting on-line orders immediately from shoppers with “lower costs and a higher control over the customer experience”. The proposition is identical to a crop of recent startups which might be serving to accommodations protected extra direct bookings on-line reasonably than endlessly giving freely a big a part of their margins to the likes of Booking.com.
“In the last 10 years there’s been a sudden shift in the importance of technology: people who used to phone takaways to place orders, now will only order online,” Flipdish CEO Conor McCarthy tells me.
“The greatest meals firms are ready to facilitate this through hanging massive sources into construction, however small and medium companies aren’t ready to put thousands and thousands of euro into creating their very own device. We are levelling the enjoying box through making this era to be had to all sized companies and giving them the equipment to compete and win on-line.
Those equipment come with an internet loyalty gadget and ordering platform, which comes with automatic re-marketing and retention options. “Ensuring that that is all automatic way the restaurants and takeaways can center of attention on growing nice meals and we can handle their on-line presence,’ provides McCarthy.
Noteworthy is that Flipdish isn’t producing earnings via a subscription-based providing. Instead, it fees a rate for every order positioned throughout the platform. The thought is that the good fortune of restaurants providing direct on-line ordering is tied to Flipdish’s personal good fortune
“If they don’t receive online orders, then we don’t make any money,” quips the Flipdish CEO. “I think this structure sets us apart from our competitors. Companies who charge a flat fee are incentivised to do as much as possible to sign up customers but have little incentive to help them receive orders. Like gyms are incentivised to sign up as many customers as possible but don’t actually want them use the gym”.
On that observe, McCarthy argues that Flipdish’s largest competitor remains to be the phone line, as a good portion of takeaways aren’t conscious but that there are inexpensive on-line ordering platforms available in the market and so depend on shoppers phoning them. In the device area, Olo and ChowNow also are well-funded direct competition.
Meanwhile, Flipdish says the newest investment spherical comes at the again of “outstanding growth” this yr with earnings up greater than 3x in comparison to 2017, even if with out breaking out the numbers that is lovely meaningless. With that mentioned, the corporate is disclosing that it these days powers over a thousand restaurants throughout Europe and has enabled greater than €25 million in on-line orders to date.
To that finish, Flipdish says the brand new investment can be used to assist boost up enlargement through construction out its product line and handing over higher carrier to its increasing international buyer base.