Just Eat looking to tuck into rivals’ leftovers

Just Eat Takeaway.com is looking to take a portion of Deliveroo’s market share after announcing first quarter orders rose by 79 per cent to 200 million from 112 million a year earlier.

The company said its delivery operations grew by 695 per cent in the first three months of the year, announcing its growth was “multiple times faster” than its rivals.

The food delivery boss Jitse Groen recently took a swipe at its main competitor Deliveroo calling its IPO a “disaster”.

“This is clearly very damaging to their business, their customers and the trust in the European tech sector as a whole,” he said.

Just Eat’s market share has risen during the latest lockdown and was thought to own 37 per cent of the market in November last year, Deliveroo and Uber Eats owning 36 per cent and 26 per cent respectively.

“The absolute gap with our competitors has increased during the pandemic,” Groen added, telling the Telegraph he expected the gap to widen still.

The impressive growth comes despite its main rivals Uber Eats and Deliveroo both introducing grocery deliveries to their services.

READ MORE: Deliveroo IPO dubbed “worst in London’s history” as billions wiped off its value

The market leader recorded 23 million card transactions in March, nine million of these coming from its logistics business.

Uber Eats and Deliveroo are thought to have recorded 13 million and nine million respectively.

Just Eat has traditionally been a service that connect consumers to takeaway restaurants and leaving the delivery to the restaurants themselves.

However, it launched it own delivery service, Scoober, in a bid to take a bigger share of the takeaway market.

Scoober’s launch has been cited as the reason for Just Eat’s first quarter success as well Deliveroo’s IPO disappointment.

Uber Eats and Deliveroo have come under fire for hiring staff on freelance basis amid workers rights claims.

But Groen has separated Scoober from its rivals, with Just Eat becoming the first food delivery company to sign a deal with a workers’ union for its riders.

“We wash the clothes of the couriers, we provide the bikes, social security, insurance, pensions, paid leave and all these things,” he said to The Times.

“We are expanding in both our marketplace and in delivery. A lot of these competitors are heavily loss making and are far more expensive than us.”

Just Eat also has plans to acquire US food delivery company Grubhub in $7 billion deal and expects it to be completed in the first half of this year.

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