Deliveroo is no more - who is next?

Deliveroo looks to be no more which is a shame as it was my go to option with the mastercard plus deal.

I've been much happier with them over UE and Menulog etc.

Who will be the next one to fall?

Poll Options

  • 18
    Uber Eats
  • 366
    Menulog
  • 128
    DoorDash

Related Stores

Deliveroo
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Comments

        • +1

          Except the BNPL groups take a % of the sale from the retailer as well, so provided the margin they get from the sale remains higher than the interest cost to fund the retailer then they'll be fine.

          • -1

            @ebosh: Yep this

          • +1

            @ebosh: But this is why it’s not sustainable. They’re trying to make bigger cuts from merchants whom are flooded with payment options they will drive down the cost.

            Look at chemist warehouse, I can pay a dozen different ways. It’s mind blowing I need so many ways to pay for something.

            • @cloudy: well we may need one final "chemitwarehouse/maccas" of BPNL before they totally die off then

          • @ebosh: As soon as retailers pass on those fees it willl die. Government intervention will happen

  • +10

    Did somebody say Menulog?

    • +1

      Me, get delivery like a G
      See hungry Dogg's gotta eat
      I get mine every day, every week
      Chicken wings to the crib I'm sittin' in

  • +1

    Uber Eats is playing for keeps, decades from now when it's all robots and self driving cars they will have Uber Eats logos on them, mark my words.

    • Yep spot on. Uber model is losing money until full automation comes in to play. They are playing a very long game…. I know this a fact.

      • how can we fact check this

      • What are your sources? I see this repeated everywhere and I know it might be true in the future but has Uber publicly said it themselves?

  • +2

    This is actually good. Maybe now I'll finally get my orders delivered more quickly from DoorDash as drivers from Deliveroo will be looking for alternate platforms.
    Here's to hoping.

    • One of my local Thai places told me it's the DD app that's trash, they haven't invested much in it and it's been semi broken for ages with constant missing / late orders leaving everyone frustrated.

  • +1

    My mind is still blown from the fact that deliveroo isn't actually an aussie company

    • +1

      When I first saw them in the UK many many years ago, I was confused as to what they were and why they named themselves that

    • +1

      well..theyre UK, close enuff?

      • i'm a bit autistic about this, but:
        -kangaroo motif
        -portmanteau of deliver and kangaroo
        -british company when companies usually use a symbol/motif of their home country to imply their country of origin
        at least i can finally get over it now that the company is dead or dying or whatever

  • +11

    Hopefully this will be the wake up call these companies need… I think people are coming to their senses and have worked out that they really don't need that $28 boost juice or $19 bubble tea or the $35 worth of Maccas for a single small meal.

  • +1

    LOL, they just re-named their sham contractors as gig workers. Bending the law until it broke?

  • -1
    Merged from Deliveroo no longer operates in Australia - in voluntary administration

    Definitely Not a Deal - But very important for those with credit & gift cards with Deliveroo!
    Credit usually is no longer valid.

    • With the bad service, jacked-up prices and administration proceedings, tbey should be renamed 'Deliverpoo'

      • For real? When did you purchase?

        • -5

          About a week ago when Capslock posted this deal:
          https://www.ozbargain.com.au/node/735892
          I have messaged Capslock and asked for 1/3 of a refund as he wasn't completely to blame but did post the scam

          Deliveroo made this gift-card promotion as a last-ditch effort to raise a few extra bucks before administration.

    • +2

      Deal Of The Week. Thanks mate

      • -1

        Glad some are happy!
        Unless you just bought gift cards!!
        And had a subscription.

    • +4

      Definitely Not a Deal

      Then make a forum post instead of a deal

      • -3

        It will be moved or removed.
        Just many don't read Forums.

        • Yeah, the forums have some good content but it's hard to find without a lot of manual work.

        • Cool story, but you're late if you're trying to be the news feed

    • +1

      Forum post

    • Where's the bargain in this?

      • -1

        The bargain is what you take away from it. It's a matter of perception.

    • Old news.

    • Forum

    • +4

      Horrible company, did an upsize cash back enticing people to buy their gift cards less than a week before they shut down the business. I am sure they are well aware of their financial situation before the promo.

      • +1

        That's the thing, they knew they were sinking, so in the most slimiest ways, literally SCAMMED people.

    • Before this post is removed, I'd like to say hi to fellow OzBangers today. HAPPY BLACK FRIDAY!

    • -1

      Member Since
      18/08/2011

      Still can't post in the right place.

    • yeah on that same note, if you hold gift cards to any US/overseas based services/shops, have a look at the cuts going around in the tech industry there… Deliveroo isn't going to be the last.

    • Please do not post discussion topics as deals. Post merged to existing forum post.

      • +1

        He has been a member since 2011, too. tut tut

        • +2

          Some (like me) are here for the Deals!

          We don't even see the Forums unless there is a link in a Deal.
          Would have missed out on the OzBargain Birthday Meets, if an organiser hadn't sent me a PM!

          As gift cards are bought through Deals - some may miss it in Forums.

          But did understand it wasn't a Deal.


          Stopped reading Forums 10 years ago. Far too many about personal issues, investing lots of money or buying expensive cars, …Lots of grumbling. Not for me.
          Just don't use the front page showing Forums - go straight to the Deals

          But in this case should have checked the Forum😣

          • +2

            @INFIDEL: I think it was worthwhile posting even as a deal tbh as big news like this needs to get a lot of eyeballs to make victims aware.

            Mods just like to organise things :)

            • +1

              @Heaps for Cheaps: That was my thinking too, although not the right thing to do. It was an important PSA.

              • +1

                @INFIDEL: Nah, you got 60% upvote on your deal anyway. It's a harsh community, I at least thank you :)

                • +1

                  @Heaps for Cheaps: Thanks. But I think the upvotes might have been celebrating the demise of Deliveroo!

                  Negs were to be expected & warranted.
                  Was quickly reported & merged👍
                  Leaves a Deal Not Published link to this discussion.

          • @INFIDEL:

            Would have missed out on the OzBargain Birthday Meets, if an organiser hadn't sent me a PM!

            exactly why i missed out the one meetup event i was interested

            IT SHOULD BE STICKIED OR SUMTHIN SIDE CALENDAR! NOW THATS AN IDEA

            • @capslock janitor: Well if you live up URANUS (your location in Profile), its not surprising you might miss out😂

              Everyone knows The MOON (my location in Profile) is where it's at😎
              That's why I get personal invites😉

  • Good riddance. I think uber eats might be the last on the list as it’s currently got lot of $ in bank to eat through the losses

    • +1

      Are they making losses though… I googled it and it seems they are…

      It's so odd because the restaurants are losing to 30% fees, uber are losing even with such fees, the delivery drivers are losing and being underpaid…
      Nobody seems to be winning and just barely scraping by. It's very scary tbh.

      • +1

        Don't think any of these businesses were making a profit. Like many businesses, they run at a loss - unless they get established & outlast the competition.

        With so many in food delivery, with slim margins, changing buying habits with current financial stress & frequent discounts - it was only a matter of time. It was a car crash

        In business, failure is always an option.

        Many will pay for their failure.
        Restaurants won't be paid. Neither will the underpaid drivers. And the ATO will lose out too (if they were ever going to pay tax).

        There will be a long line of secured creditors (banks etc) in front of the unsecured creditors
        Gift card holders are at the very end of the queue. Those with promotional credit, discounts, subscriptions… just fell off the end.

      • +1

        Does anyone know where the money goes? The execs? The promotion credits and discounts?

        • Rule #1: The administrators & liquidators are always paid!
          Then the secured creditors (banks etc that loaned them money).

          The promotion credits and discounts?' - were always worth nothing until redeemed. They could not be traded or sold, unlike gift cards. They've gone😣

          • +1

            @INFIDEL: I was referring to the food delivery business in general.

            • +1

              @leiiv: where the money goes?
              When a business never makes a profit…

              Easier to say where it doesn't go!
              But those establishing & running a company do get paid - very well. It's a risky venture, so they can easily lose their jobs… Which they have.

              The promotion credits and discounts?
              Are tax deductible business expenses as part of promotion & advertising.
              Important in the development phase of a business in a highly competitive market.

  • -2

    LOL at all these people who thought they were getting a great deal on gift cards - fell for their massive scam! You anti-bargained yourselves!

    • I guess so, but you are acting like a 2yo kid that just says the obvious…

    • +1

      I do not understand how all these tight arsed bargain hunters loaded up $500 credit in a dodgy business. It's really weird.

      And you've been downvoted. Because the truth hurts?

      • "And you've been downvoted."
        More so because he is dancing and reveling in peoples misfortune…

        • +1

          Ok, that's fair.

          But why have $500 stacked in Deliveroo? That's insane. I wouldn't buy $500 worth of blue chip shares without doing my homework.

          But I get it. Dancing etc isn't good.

          • @the wiz: I’m not revelling at all. It simply baffles me the number of people thinking they’re geniuses parking hundreds in a crappy food delivery company.

  • +3

    You know it is an unsustainable business model when the margin of most restaurants are less than 10% and delivery apps are charging 20 to 30% commission. So either the restaurant fails or the delivery app fails. I havent met a restaurant that says delivery apps have given it so much value that business is through the roof and the owners are swimming in cash. Most restaurants will say volumes are up but they are barely breaking even.

    I highly recommend everyone to get off our arse, go to the restaurant directly to take away or eat in. It is much better for mental health.

    • -5

      people who are less mobile or in wheel chairs can't get off their arse or do all those nice things you are describing in the name of your own perceived mental health.

      take your own mental health advice and shove it.

      • +3

        As a former carer for someone in a wheelchair - it was always good for their mental health to enjoy a meal out! A highlight of their week.
        Being shut in is never good for anyone!

        Some local food businesses can deliver (often free), without using Deliveroo etc.

      • +3

        People in wheel chairs are also very active. Wheel chairs are designed to allow people to lead a more normal live. I dont see what's stopping you from eating in at your neighbourhood restaurant. If you are in a wheel chair, are you gonna stay at home forever?

        Let me rephase my sentence,

        Get out of your house, go to the restaurant directly to take away or eat in. It is much better for mental health.

        • -1

          Dont shame those with bad mental health who are too anxious to go out

          • +2

            @Tleyx: A comment to those who avoid going out…

            Avoiding social interaction is definitely not good for your mental healthy. If that's a problem, seek help from a support worker, psychologist,…

            Going to a restaurant at a quiet time is less stressful. Its OK to feel anxious. Anxiety is natural in new or unusual situations. But avoiding those situations won't help.


            Arrived today before lunch (first customer) at a Korean restaurant. I haven't visited in 6 months. Carol from Korea was serving & was so pleased to see me again. Always a nice start. She remembered me because we had discussed South Korea.

            Its not hard to say hello. And makes next time easier.
            Said hello to another patron - found we both have similar interests, studies, & travelled extensively in Japan. Agreed to meet up for lunch.
            Can't do that with food delivery services😉


            On my many travels in Japan, I take homeless people for meals.
            Start by chatting about what they like to eat. Then where can I buy it? Their social anxiety quicky disappears with my interest in their life! It doesn't take long before I have their favourite (very cheap) food in my hands. So we share. And they feel less anxious & happy to see me again.

            Another food sharing experience in Japan, led Jay (who I met) to discuss for the first time - that he was dying of Cancer. He was so relieved & happy. For me it was a very intense & memorable experience.


            I cared for my Father with severe Anxiety Disorder. It originated from being bombed in a war. He wouldn't let anyone visit the house & barely went out. He refused treatment & didn't improve. Its not a good life! I learnt from that.


            My anxiety severely limited me when younger. But I gradually expanded beyond what I & others thought i was capable of.

            So get out & experience (a bit more). Maybe a meal out!
            Get support. Don't be limited by overwhelming anxiety.
            You may like it more than you think!

            • +1

              @INFIDEL: There is some very private information but really appreciate you sharing your stories.

              • @KaTst3R: Thanks😊

                We all have our limitations. But failing to enjoy our life because of them, or using them as an excuse - is sad.

                It often seems to make sense to avoid going out, meeting others, or doing things - because that may cause us discomfort. That can become a harmful habit, further limiting us.

                Good mental health is being able to make choices - to be a better (not perfect) person, enjoy our life, handle stresses, and function well in the world.
                And that extends to the community.

                I was an unbelievably shy child of anxious parents - not a good start. Luckily I learnt with the support of others to take on life's challenges & succeed in what I wanted.
                Supported others through their belief that they couldn't do things most had no difficulty doing. A very rewarding experience.

    • +1

      If the neighbouring food businesses have delivery drivers queuing, while your business is slow - its hard not to work for the delivery company orders! Increased business at lower margins can make economic sense.


      Only used Deliveroo, Menulog & UberEats when there were great first order discounts. Far too tempting!

      Have the time & prefer to deal directly with the business, getting to know the owner & staff. They know my name & sometimes give me treats or discount.
      Luckily have a range of eating places 5min walk from home.
      Others won't have that choice. And some don't want to interact or leave their home…

      Heading out now to great local Korean restaurant🍛 Reviews agree its a cosy, friendly place with tasty food - which it is.
      Wouldn't be the same experience getting it delivered!!


      Restaurants are a risky business venture at the best of times.

      Local shopping street has had major changes since COVID. Many closures, but also many small pop up ventures - as the rent is now low due to high vacancies.

      They offer free local delivery, not using the delivery companies. Great food delivered at normal menu prices - not marked up!

      But latest change shocked me. A Chinese Restaurant that has operated for decades had closed. It can't compete with more exotic food from businesses with few staff & small overheads. I never ate there either.

  • DoorDash

  • +2

    Just voting menulog so I no longer thave the see/hear the f'n Katy Perry commercials. Drive me insane.

  • Could be doordash

  • Menulog might be next. I reckon then Doordash. Voly and a ton of quick delivery startups also have gone insolvent. The margins are way too small given our high interest rate environment at the moment.

  • These delivery services have grown dramatically for a market that was never going to use them in the long term. In 12 months time they will still be around but maybe less than a third of current staff levels and not at all in non capital city locations.

  • I get the feeling all of these delivery services just have a fundamentally broken business model … the cost base that has to be borne by businesses (30% cut) and/or customers (service fee, delivery fee, inflated menu prices) just means the service is ultimately uneconomical.

    From a consumer perspective I saw prices increase significantly and service decline even more to the point where I went from using these services maybe once every couple of weeks or so to where I've not placed a single order in close on two years.

    Without comment on the political/legal aspects of it, my understanding is that the need to treat the delivery people as employees rather than contractors pushed the business model over the edge.

  • My credit got lost RIP.
    Also RIP to everyone who had gift cards.

    Ozbargain is really getting maximum value while these companies still exist. Referring to yourself, getting maximum credit with new accounts and only buying with max discount. Tons of hacks for delivery.

  • +2

    Tbf Deliveroo had massive warning signs when it pulled out of like 3 markets already this year.

    Menulog is owned by Just Eat which merged with Takeaway.com to form Just Eat Takeaway.com and this merger also acquired Grubhub. This won't be going under any time soon, but I feel Menulog will be cut off from the company for underperforming. They just don't have anything to differentiate themselves.

    Doordash has great connections with a lot of stores like Coles, Coles Express, Reject Shop, bottle shops, butchers, pharmacies, pet stores etc. Doubledash makes it so you can order from two stores while only paying one delivery fee.

    Uber Eats is Uber Eats, and Uber doesn't seem to mind sinking massive amounts into it and getting shit all back.

    • warning signs when it pulled out of like 3 markets already this year.

      well it sucks majority of us didnt know about it nor expected immediately burnt like this

    • +2

      Menulog still has all the restaurants that deliver themselves. Thats a driffence. Plus with the prices generally are only slighty extra at some places.(most near me are exact same price as in store and charge $5 max for delivery. Some slighty higher for delivery) Plus no service fees and if there is a issue. You can deal directly with the restaurants and get shit sorted right away

      • Oh yeah I forgot Menulog also has delivered by restaurants. There's not many in my area.

  • Milkrun would be next then probably Doordash.

  • -4

    poor fatties

  • +2

    VOLY Grocery Delivery confirmed today.

  • The government

  • +1

    Imo uber has too much of goodwill & people just want to keep on using same app & make them a more money.. whr as they dont know other company are little cheaper then uber.. but not many people want too many apps on thr phone so they stick to uber & other company dont get too much of chance.. unless we as customer dont give a chance to other company rather then uber.. they wony have a chance to survive

  • +2
  • I am surprised MenuLog is still around. I stopped using them a couple years ago when they would charge my credit card and then an hour later the restaurant is closed and isn't taking orders. Never got the meal so need to wait on their support line, etc

  • They can just sell the personal data of users for extra funding

  • I thought deliveroo was a decent lot.

    Can't wait for doordash to bite the dust. It works when it does, but when something went wrong I found out that their customer service was utter crap.

  • Doubt Menulog will exit next, it's a big thing in regional towns where services like Uber/Ubereats is non-existent

  • What about Easi and Hungry Panda?

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