India’s food tech space is currently locked in a three way between Zomato, Swiggy and Foodpanda. The three companies have come from very different places to end up competing in the food delivery space — Zomato started off as a restaurant discovery and content platform all the way back in 2008, Swiggy is a homegrown player that specializes in food delivery, and Foodpanda is a global brand founded by Germany’s Rocket Internet. This is how…
Not willing to take the alleged reports of it shutting down and being on sale with no buyers, lying down, Foodpanda has finally spoken up. The restaurant aggregator and logistics startup, claims that the company will be profitable in the next 3 years.
The layoffs in India’s food tech sector are well on their way to continuing onto 2016. After Zomato had fired 10% of its workforce, and TinyOwl had let go of 100 employees which resulted in its cofounder being held hostage in their Pune office for 2 days, Foodpanda has fired around 300 of its staff in India. This represents 10% of its workforce.
Foodpanda has tied up with Indian Railway Catering and Tourism Corporation (IRCTC), which handles catering, tourism and online ticketing operations for Indian Railways to make it convenient for traveling passengers to order their choice of food online.
Bad PR seems to yet again plague the food startup. Now, law students Pranav Jain and Aroon Menon from Delhi have moved to court accusing Foodpanda of miscalculating the VAT charges on bills, subsequently misappropriating their total taxes and charges due to the govenrment, and also cheating customers in the process.