99Food “steps on the brakes” and ends partnership with couriers

99Food, the delivery division of the commute app, said it will end its partnership with delivery companies effective February 28. With this, the ordering service is maintained through the platform, but delivery becomes the responsibility of the restaurants themselves.

“Soon, 99Food will close its delivery brokerage operation with delivery partners,” reads a message sent to the partners that Valor Economico has access to. to me InfomoneyThe company confirmed the decision and said it was the result of a re-adjustment of the business strategy.

In search of a model that delivers greater value to its partners and to the company itself, 99, in January 2022, began the transition from 99Food to an operation focused on the shopwithout offering a delivery service,” he said in a note.

Two years into the pandemic, when delivery apps showed exponential growth, companies had to reset their ways as services normalized. In this scenario, 99Food is just one of the platforms that has revised its models in 2022.

He was the first to look at the cashier Uber Eats, which has decided to close its operations in Brazil, still in the first quarter of last year. At the time, the North American app blamed rival iFood for maintaining exclusive contracts with restaurants.

until the iFood did not pass unscathed and decided to end the Colombian partition, Last November, active since 2015. The company attributed the decision to the scenario of capital markets in Brazil and the Andean country.

The crisis isn’t just national: In the US, DoorDash, a delivery company that’s been publicly traded since December 2020, has seen its shares drop 73% since the start of 2021. Instacart, an American supermarket delivery startup that hasn’t gone public yet, Underwent a 20% discount on Evaluation. With a business model burning money and facing a delicate macroeconomic situation, many of these companies seem to be looking for safer avenues.

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