Delivery Hero: Connecting You & Food - Anywhere
Delivery Hero is an online ordering business here in Berlin that extends into over 20 countries overall. Whether you want to pay with cash, credit card, Paypal, or even Bitcoin in select markets, Delivery Hero has you covered. According to Bodo von Braunmühl, their corporate spokesman, Delivery Hero has a network of over 200,000 eateries so no matter what kind of food you feel like, or what nation you happen to be in there's a great chance they can help you. All you have to do is look online or download their app.
Delivery Hero is another success story, like SoundCloud, born right here in Berlin. This is the city where cost of living is cheap. One can go get a pizza with any toppings you want for 3 Euros. Döner is even less. Delivery Hero was founded in 2011, right after the low point of the recession. The point is, if it works here in Berlin, it will work anywhere. Berlin is the crucible, and DH has passed the test.
Mr. Von Braunmühl cites the “well-developed startup ecosystem” in Berlin. Bringing up another good point about synergy and hype in relation to business and growth. When one startup has success it tends to attract talented people to the area. Success and hype are positive feedback loops and a reputation is hard to get rid of. Thankfully, both the company's and the city's reputations continue to climb to new heights. In the spokesman's own words this is why they chose Berlin:
Berlin is one of the most interesting cities for launching a start-up. One reason for the enduring appeal of Berlin is the famous mix of art, music, nightlife and still comparatively low cost of living, which attracts people from all over the world and creates a unique spirit. This spirit is the ideal foundation for an inspiring working environment and new business ideas. Vitality and constant change belong to Berlin’s DNA.
Meanwhile, we also have a well-developed start-up ecosystem; the IPOs of Rocket Internet and Zalando last year have proved a certain level of maturation of the digital economy in Berlin.
The company has secured hundreds of millions in funding with more surely to come. As the number of restaurants and backing grows, it has set itself up well for the future. It has strategic positions in India, Latin America, and other high-growth markets.
|Co-Founder of delivery Hero, Niklas Östberg|
There are no plans to expand to the United States however, according to their spokesperson so that market and its vast potential are not in play. Just Eat is a worthy competitor and they seem to have the upper hand in the UK. Just Eat's network consists of around 40,000 restaurants according to Von Braunmühl. That is quite a lot, and while DH has almost 5 times as many, all it takes is one mistake in this competitive market.
Those two issues seem to be the biggest concerns about Delivery Hero. Yet, DH has its foot in growing markets and doesn't need the US at all, while Just-Eat right now seems to be the lesser runner in this race. Berlin benefits by having companies like Delivery Hero that draw attention to the city and its other businesses and residents. This synergy of startups is the best asset Berlin has going forward.