👉 Background: The name Deliveroo is a portmanteau of Deliver and Kangaroo. But despite the name and logo, Deliveroo is actually a British food delivery business that was started in 2013.

👉 What happened: In 2021 alone, Deliveroo's 8 million active customers made 301 million orders. But in August this year, Deliveroo announced a global pre-tax loss of more than ￡147 million for the past 6 months. Ouch!

👉 What else: And now, Deliveroo Australia has announced that its Australian operations are no sustainable so it has decided to go into voluntary administration. And sadly, Deliveroo Australia is the second delivery company to fold just this week!

What's the key learning?

💡Over the last couple of years with on-demand delivery apps, like Uber Eats and Deliveroo were some one of the shining lights of the tech industry. And off the back of that, we saw a HEAP of  investment (and competition) in the space.

💡Did somebody say growing competition and growing investment causes growing challenges?

• Milkrun raised $75 million…and is still alive
• Send raised $11m… but hasn't survived
• Voly raised $18m… and is also RIP
• And let's not forget to monstrous investment that Menulog/Just Eat made with Snoop Dogg and Katy Perry.

💡With Deliveroo previously holding around 12% of the delivery market, it means that Uber Eats (53% market share) and Menulog (19%) will likely get the spoils of this capital-intensive war.

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