History and background of DeliverEat PDF

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History and background of DeliverEat...

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Module Name: Entrepreneurship Module Code: BPK20802 Name：Choy Pei Ying Student ID: AP200489 Professor’Name: Mohamed Ismail Bin K.P.Hj Pakir Mohamed Date: 1/11/2020

History and background of DeliverEat Choy Pei Ying, University Tun Hussein Onn Malaysia

The highly innovative food delivery industry had accelerated its business growth and branched into multiple iconic outlets such as FoodPanda, GrabFood, UberEats, DahMakan, DeliverEat and so on. The following article will break down DeliverEat into an analytical proposition. Company’s Information DeliverEat is an online food ordering and delivery company founded in 2012 by Leong Shir Mein and Tan Suan Sear where they aim to bring conveniences to consumers by providing delivery service to enable everyone to eat and live better through technology. The website “DeliverEat.MY” is the first delivery food service in Penang and has since expanded its service to Kuala Lumpur in 2017. Established in 2012, the company’s goal is to bring great food and excellent service to customers. Throughout the many years of service clients of DeliverEat, companies have formed partnerships and business relationships with a range of major chain outlets in Malaysia such as Sushi King, Chili's, Sakae Sushi, Morganfield's, Nandos, Kenny Rogers and Roasters, Subway, Tealive, Yoshinoya and Hanamaru. With more than 10000 menu options to choose from, DeliverEat offers over 1500 restaurants. Today, DeliverEat has become Penang's leading food delivery startup with stable operations and a team composed of IT staff, business development and rider teams, serving more than 40,000 customers every month. Aspiration and the goal of DeliverEat started with a simple goal, which is to provide reliable food to diners while helping restaurants expand their business beyond brick and plaster walls. Their goal is to create a lasting, sustainable business that brings convenience and benefits to the community. The founder of DeliverEat are Leong Shir Mein and Tan Suan Sear. Leong Shir Mein graduated in University of Adelaide with Bachelor of commerce Marketing and Corporate Finance from 2005 to 2008. She continued to study in University Utara Malaysia with a Master of Business Administration

from 2009 to 2011. Her history of working in the online, media, eCommerce, and food logistics industry. Besides Leong Shir Mein, the company’s other partners are Tan Suan Sear, business development manager and her husband, Choong Yee Kee, IT manager, and Melody Yeoh, a shareholder. Much information regarding the co-founder is not available, but the idea of expanding to KL is under his supervision, where he used four years to devise a business model and salary scheme to also make sure that the operational costs were minimized to make the business profitable. DeliverEat was established a year ago with a conditional grant of RM150,000 from Cradle Fund Sdn Bhd, a subsidiary of the Ministry of Finance. With this investment, DeliverEat hopes to extend its services to other Malaysia cities, provide better benefits for workers and increase marketing connections with more companies. Leong Shir Mein believed that these operations would be easily duplicated across the nation, and then overseas. This service was launched because some restaurants are required to deliver the ingredients to other branches such as the large chain restaurants. Company’s feature DeliverEat has a developer of an online food ordering platform designed to manage their delivery manpower efficiently. The company’s platform associates themselves with many popular food joints and delivers meals at doorsteps, enabling customers to get their food where they want. In the spirit of diversified food culture and cuisines from all over the world, DeliverEat is also keen to ensure that diners get diversified exposure, which allows everyone to grasp and enjoy the experience of trying new things. This is the reason why DeliverEat offers a variety of culinary areas, such as Chinese, Westerners, fusion people, Italians, Koreans, Thais, Indians, desserts, and local favorites, such as Mamak, etc. DelivereEat also provides health based and vegetarian cuisine outlets. The company will ensure that diners with a variety of food preferences are covered and more customer needs are met.

Consumers can order food via their online platform, which DeliverEat.MY or DeliverEat application can download from the app store. DeliverEat ensures that the food ordered can reach the customer within one hour after the customer places the order through the website or app. Customers can set the delivery time that is a very convenient function because customers can receive the time in what time they need. Customers can also track their order status by logging in their order identification code on the website. Customers who pay for food can also be as flexible as they hope, because DeliverEat also has no obstacles to customers who insist on cash payment but they also can pay with credit card or debit card. By the way, customers also can pay via e-wallet such as Touch and Go e-wallet and Boost. After customers received their food can leave a review on the website whether the taste of the food or the rider attitude. The feedback can help grow the food delivery industry to go further. DeliverEat is essentially an online platform that promotes those businesses, taking orders, delivers food, manages customers, service including food quality feedback as well as provides consumer behavior data. This information that restaurants may not necessarily have. So, customers can choose their favorite restaurant based on the information in the website.

Company Development Statistics From 2007 to 2009, the prospects of Penang’s catering industry are currently estimated to be worth RM876 million and are growing at an annual rate of approximately 5%. This attracted Leong Shir Mein and his business partners to set up DeliverEat, a food delivery company based in Penang. At present, it is estimated that the total daily demand for catering is about 2.4 million ringgit. The data is based on 30% of Penang’s population (1.6 million) who need to provide catering services and can place orders via the Internet. The food and catering business has developed rapidly because many offices do not have internal canteens. For these workplaces, workers would rather provide lunch delivered. This is because the lunch time is too short to eat out. Some families do not have time to

prepare meals, and elderly people without transportation need food delivery services. When the company started in 2012, The number of daily orders during lunch time alone was about 15, since the emphasis at the time was primarily on staff in Bayan Lepas offices and factories. If each order is approximately RM70 and can accommodate 4 to 5 individuals. Team DeliverEat is also looking to double the order in lunch time because their coverage has widened to include residential premises. In 2013, they expanded the service to other parts of Penang. Company’s development and challenges. There are many difficulties and challenges when Leong Shir Mein starts up her business. For the first, funding is the first difficulty every entrepreneur will face because it takes sufficient funds to create a company. On that day, Leong Shir Mein and Tan Suan Sear were in various tech entrepreneurial activities held in Penang. One of them is Webcamp, an event led by Piktochart. Using these opportunities, they learn how other people do marketing and grow their business. They mainly seek advice from the most helpful Piktochart co-founder Goh Ai Ching. She is providing wise advice and support to overcome their problems. Under her guidance, Tan Suan Sear follows in her footsteps and provides guidance and support to many aspiring entrepreneurs. Since then, DeliverEat has made considerable progress and successfully raised pre-seed financing led by Crystal Horse Investment. Crystal Horse Investment is a company based on Singapore and Malaysia were invests in great teams in other SEA countries where often the deals are led by other prominent venture capitals. Eight months after its launch, Cradle Fund Sdn Bhd used CIP500 funds to support the commercialization of DeliverEat. Today, DeliverEat has become a leading emerging company in the food delivery industry in Penang with its stable operations and a team composed of IT staff, business development and riders, serving more than 40,000 customers every month. Cradle Fund Sdn Bhd, or Cardle for short, is a non-profit organization under the Ministry of Finance (MOF). The Cradle Investment Program aims to encourage, support, stimulate and nurture the development of Malaysian entrepreneurship.

Conclusion It is certain to say that as the trend remains constant on online food delivery services, and with the facilities provided, the customers' feedback towards the company will attain a satisfactory standard. Referencing on a statistics investigated by “Statista online food delivery survey” based in Malaysia, the revenue of the online food segment is estimated to hit RM1700Million by 2024, in particular the company itself will achieve a double growth in their annual revenue where a percentage of 23.2% is forecasted within 4 years from 2019 to 2023, followed by strategic decision to extend their services to other states in both West and East Malaysia.

Reference

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