Deliveroo Plans to Open a Pizza Joint in the UK


Seeking to better understand the challenges faced by the restaurants that use its platform, U.K.-based food delivery company Deliveroo says it plans to open a pizza parlor in London, The Wall Street Journal reported Jan. 7.

The company said it has no plans to open other restaurants beyond that, per the report. 

“We want to understand restaurants’ pain points with the aim of solving them, and to do this by having a deep understanding of restaurant owners’ mind-set,” a Deliveroo spokesperson told the media outlet. 

At this location, Deliveroo staff will learn how to manage a restaurant that offers both dine-in service and delivery. According to the report, the company already runs nearly 300 “dark kitchens” or “ghost kitchens” where multiple restaurant brands prepare food exclusively for delivery.

After the value of transactions processed on its platform declined in the third quarter of 2021 compared to the previous quarter, Deliveroo told investors that its restaurant partners in many markets were facing several challenges, including a return of dine-in customers along with continued demand for delivery.

The report noted that DoorDash, a similar platform based in the U.S., has a program in which its employees do a delivery shift or shadow a customer service agent in order to understand the workings of its own service.

In November, Deliveroo formed an agreement with French frozen food company Picard Groupe SAS to provide express deliveries in more than 100 cities throughout France. 

See also: UK’s Deliveroo Signs Delivery Agreement With French Food Chain 

In September, Deliveroo began working on fast grocery deliveries, opening a “dark store” in London in partnership with supermarket chain Morrisons.

The service is called Deliveroo Hop and will compete with several other grocery delivery startups that have become popular in the U.K.

Read more: Deliveroo Hop Offers Fast Grocery Delivery in London