Food delivery apps have been exposed to heat in the past few months because they charge high commissions of 30 to 40 percent and burden the already low profit margins of street vendors, as the ban on eating in restaurants made it difficult for them to survive .
Commission fees are also an obstacle that is currently preventing street vendors from taking food delivery apps on board.
For this reason, foodpanda, Singapore's leading delivery app, has launched a new initiative to waive commission fees for new merchants in the first month after joining.
New retailers joining the platform are referred to as the Pandasupport Hawker Initiative and receive a 0% commission on all orders placed through the foodpanda app in the first month.
The initiative also offers eligible retailers a free prime placement in the "Hawker favorites" area, which is prominently displayed at the top of the foodpanda app to improve customer contact.
This package applies to distributors licensed by the National Environment Agency (NEA) as well as distributors who work in Hawker centers managed by NEA or NEA-appointed operators.
This package is fully funded by foodpanda and is designed to provide support to street vendors who are not eligible for the Food Delivery Booster package launched in April with Enterprise Singapore.
The ban on restaurants is expected to continue after June 1, even though Singapore is entering the first phase of economic reopening.
Interested traders can visit https://www.pandapartners.sg/pandasupport-hawkers for more information.
Selected image source: SG Asia City