During quarantine and lockdown, restaurants were not allowed to welcome customers so people were using online delivery applications more than the usual to order food but at the same time, we noticed that some well-known food delivery applications were forced to shut down due to the circumstances.
Since this field is expanding, we are now ready to welcome a new member to join the Food and Beverage delivery platforms and to compete with them all as well. The founder of the famous E-commerce website Noon, Mohamed Alabbar has announced that Noon will dedicate a section for food delivery.
Why “Noon” Is Joining The Food Delivery World
Mohamed Alabbar, founder of Noon has announced during his speech at the AI Everything conference in the World Trade Centre that the E-commerce website “Noon” will launch a new delivery service that is dedicated to the Food and Beverage operators across the UAE.
In Alabbar’s speech, he criticized the food delivery applications for taking advantage of the hard circumstances that everyone was going through due to the COVID-19 pandemic by imposing up to 30% charges on Food and Beverage retailers.
Since Alabbar sees that food retailers are being exploited by food aggregation, he stated that the new service they are about to launch will include a massive program.
He stated the following: “Something else is critical when it comes to the food business – all of our F&B boys and girls in the region, they are not going to last, the way the aggregators are dealing with them. Aggregators are actually robbing the F&B operators with these incredible commissions that they are asking for.”
Noon’s “Massive Program”
As it was mentioned previously that food aggregation takes up to 30% from food retailers according to Alabbar’s statement, a Linkedin post from a Noon’s employee stated that the imposed percentage on food and beverage retailers will not exceed 5%.
This is why Alabbar said: “On food aggregation, I want to give good news to all F&B operators in the region that our systems are ready to go, to work with you on a fair, commercial basis, so you can survive.”
The percentage is yet to be specified soon but it will be lower than what other food delivery platforms take as Noon wants to help the entire retail industry in the UAE.
It is not confirmed yet how the section will turn out to be, it is either Noon will provide a section for restaurants and the restaurants will be receiving the orders or Noon will take the orders on behalf of the restaurants.
We are excited to have this service in Egypt and we can’t wait for its official launch and how it will turn out to be.