Thailand’s Siam Commercial Bank (SCB) has just established a food delivery platform, Robinhood, amid growing competition in the sector in Southeast Asia’s second market.
Robinhood is the most recent entrant to offer Thai food delivery services, which have witnessed a surge in requests amid lockdown constraints earlier this season throughout the coronavirus pandemic.
The sector is currently dominated by Singapore-based Grab, Indonesia’s Go-Jek, Foodpanda, owned by Germany’s Delivery Hero SE and Japan’s Line Man Wongnai.
Thailand’s fourth-largest lender, SCB, is an investor in Go-Jek, but has stated their food delivery units operate independently.
In a statement, SCB explained that 10,000 riders were ready to deliver food.
“The Robinhood app’s goal is to act as a bridge between 16,000 small merchants and customers,” explained SCB senior executive Thana Thienachariya.
The app aims to link to 30,000 restaurants from year-end.
Rival creditor, Kasikornbank, has also launched a food ordering platform, Eatable, but does not have its own delivery fleet.
In July, Japanese app, Line Crop, declared a merger involving its own food shipping unit with restaurant stage Wongnai along with a capital raising of $110 million with plans to enlarge.
Last week, Thailand’s competition watchdog declared guidelines for food delivery apps including charging commissions without advance notice and inappropriate charges for advertising and promotions.
There had been complaints which food delivery programs have improved their support fees for restaurants from 20% to up to 40%
SCB stated Robinhood wouldn’t charge retailers gross profit commissions and pledged to repay payments to retailers in a hour and be completely cashless. It will provide merchant-sponsored discounts for customers of 8 percent.
The team at Platform Executive hope you have enjoyed this news article. Initial reporting via our official content partners at Thomson Reuters. Reporting by Chayut Setboonsarng. Editing by Ed Davies.
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