Last week, online ordering app Foodpanda announced the closure of its Vietnam operations, citing financial issues in addition to “many difficulties”.
While this was sad news for Foodpanda customers, the folks at competing website Vietnammm.com wasted no time releasing their own good news: the company has acquired Foodpanda and now pretty much owns the food delivery market in Saigon.
In a press release from Vietnammm.com, the online ordering outfit announced its acquisition yesterday afternoon, ensuring continuity of service for both Foodpanda's customers and its listed restaurants. Moving forward, all orders from Foodpanda will now be rerouted through Vietnammm.com.
“Foodpanda has always been on the front line of market consolidation in the online food delivery sector by establishing clear number one positions in the vast majority of its countries and by conducting a number of complementary acquisitions in the past,” said Ralf Wenzel, co-founder and CEO of the Foodpanda Group. “This time, we [are contributing] our business in Vietnam, which allows us to focus instead on more attractive core markets and helps Vietnammm.com to become the strongest local player.”
While Foodpanda, which arrived in Vietnam in 2012, has experienced a slow decline since its arrival in the country, Vietnammm.com's business has moved in the opposite direction, boasting 300% growth in the last three years. According to the company, their latest acquisition now affords them 90% of the market share.
“Vietnammm.com is thrilled to announce the deal with Foodpanda to solidify its market leader position in Vietnam,” said CEO of Vietnamm.com Jochem Lisser. “We welcome all new customers and restaurants and will do everything we can to ensure a smooth transition to Vietnammm.com.”
