Fueled by strong growth, GrabFood announces expansion plan for ‘GrabKitchen’ cloud kitchen network across Indonesia
GrabFood, the fastest-growing food delivery service in Indonesia and Southeast Asia, today announced plans to significantly expand its network of cloud kitchens, called ‘GrabKitchen’, in Indonesia.
- GrabFood saw strong growth in the first half of 2019 fueled by strong hyperlocalization strategy and is on track to be the largest food delivery player in Indonesia this quarter
- Plans to expand the GrabKitchen network, will see more than 50 GrabKitchens across Indonesia by the end of the year
Jakarta, 12 September 2019 – GrabFood, the fastest-growing food delivery service in Indonesia and Southeast Asia, today announced plans to significantly expand its network of cloud kitchens, called ‘GrabKitchen’, in Indonesia. Plans to expand the GrabKitchen network builds on strong business growth for GrabFood in the first half of 2019.
GrabFood’s gross merchandise value (GMV) grew three times in the first half of the year, putting GrabFood on track to becoming the largest food delivery service in Indonesia by the end of this quarter. The significant expansion of GrabFood in Indonesia was also bolstered by stellar growth from ex-Jakarta cities like Surabaya, Medan, and Bandung, which reported almost quadruple growth in GMV, driven by a strong hyperlocal strategy.
The rapid growth of GrabFood can also be attributed to the onboarding of quick-service restaurants and “local food heroes” that Indonesians know and love – the number of merchants on the GrabFood platform doubled since the start of the year, providing consumers with a greater variety of food options than ever before.
“GrabFood is key growth vertical for Grab in Indonesia and we are excited to share that we are on track to be the largest food delivery service in Indonesia by the end of the quarter,” said Ridzki Kramadibrata, President of Grab Indonesia. “We are proud to be growing alongside our community of merchant partners, from Indonesia’s top national and international brands to local warungs, and look forward to strengthening our partnerships to serve consumers the best that Indonesia has to offer via the GrabFood service.”
Growing the GrabKitchen Network across Indonesia
GrabFood introduced Indonesia to the concept of cloud kitchens with its pilot GrabKitchen in September 2018. GrabKitchen was then officially launched in April 2019. Within a short span of six months, GrabFood launched 10 GrabKitchens, including one in Bandung, its first location outside of Jakarta. Today, GrabFood officially launched its 10th GrabKitchen located at Capital Place Jakarta, its first kitchen with a dine-in feature. GrabKitchen is an integral part of GrabFood’s continued growth in Indonesia. GrabFood plans to expand its cloud kitchen network significantly to more than 50 GrabKitchens across Indonesia by the end of the year.
GrabKitchen is a cloud kitchen that unites multiple F&B brands in a single central facility to solve the cuisine gaps in specific areas by leveraging data to identify and map gaps in consumer demand. With GrabKitchen, merchant partners are able to grow their business in a low-cost and low-risk way by expanding into new areas beyond their original locations. This also allows them to tap into a new consumer base via GrabFood, through which merchant partners enjoy greater visibility.
Commenting on the opening of the 10th GrabKitchen in Indonesia, Sai Alluri, Head of GrabKitchen said, “GrabFood is proud to be leading the transformation of the food delivery scene in Indonesia with GrabKitchen and we look forward to serving consumers and merchant partners through more than 50 GrabKitchens across the country by year end. GrabKitchen is our solution to bridge gaps in consumer demand while also providing business opportunities for merchant partners to grow rapidly.”
For consumers, GrabKitchen not only brings the most sought-after food on GrabFood closer to them, but also reduces delivery time for orders, resulting in the enhanced consumer experience. Consumers are now also able to order a variety of food from multiple merchants in one single order.
“True to the Grab ethos, we are customer-centric in all that we do. We have worked hard to grow the selection of food available via GrabFood, including new and innovative ways such as with GrabKitchen. We want to provide consumers access to the food they want, at the touch of a button ”Ichmeralda Rachman, Head of Marketing GrabFood and New Businesses, Grab Indonesia.
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