Deliverect, a Belgian start-up streamlining the restaurant industry with its online food delivery management software, today announced that it has raised €16.25 million ($18 million) in its Series B funding round, led by OMERS Ventures, with existing investors Newion, Smartfin, and the company’s founders also participating.
Deliverect is a subscription-based service that integrates third-party online ordering platforms like Uber Eats, Deliveroo, into restaurants’ point-of-sale systems, automating the inbound online order flow through a single point.
It eliminates the requirement for restaurant staff to monitor multiple devices and manually re-enter orders into their existing system, dramatically reducing both staff workload and the probability of errors.
Deliverect is also used by ‘virtual’ kitchens. These are essentially delivery-only restaurants where, assuming good food is standard, efficiency is paramount and technology plays a critical role in helping to build up brand loyalty with customers.
With the number of virtual kitchens on the rise and an increasing number of FMCG businesses and food retailers entering the delivery marketplace, Deliverect aims to become the global gateway for online food ordering and delivery.
In order to address the impact of COVID-19, over the past few weeks Deliverect has been on a mission to help hospitality businesses rapidly pivot to online ordering, following the closure of restaurant dine-in services enforced by local governments across Europe.
The company has waived all set-up fees for its solution and launched new monthly – instead of annual – subscription plans which can be cancelled at any time. Deliverect has also waived set-up fees for its Click & Collect online ordering module, and is not charging anything for the first six weeks of use.
Founded in 2018, Deliverect has processed more than 3.5 million orders since its inception, with UK customers including Absurd Bird, You Me Sushi, Taqueria, and Crêpeaffaire.
The company, which has a team of 50 people around the world, will use the investment to support further R&D and product development, solidify their position in Europe and look into international expansion.
Deliverect CEO and co-founder Zhong Xu said, “Our starting point when creating Deliverect was to give restaurants the tools they need to remain competitive in a digital world. I grew up in the restaurant industry, so I’m acutely aware of the often-slim margins and the fundamental need to serve as many customers as possible.
“With the proliferation of online delivery services, restaurants deserve to be able to take advantage of them all. In the current climate in particular, we help restaurant businesses get onto all these different online channels, so they can generate revenue by selling online.”
Jambu Palaniappan, Managing Partner at OMERS Ventures added, “The Deliverect team has seen how growth in online delivery has driven the need for digital innovation in the restaurant industry, and under normal conditions, also created an opportunity for owners to grow their businesses.
“Witnessing the way the team has stepped up to help many restaurants shift to digitally-enabled online businesses in a matter of hours has only reinforced our conviction that this start-up is something special.”