Deliveroo’s founder, Will Shu, has articulated a bold vision for the company’s future, suggesting that its expansion into the grocery sector could ultimately surpass its traditional takeaway food delivery service. This statement comes on the heels of Deliveroo announcing its first annual profit in the previous year, marking a significant milestone for the company.
In 2024, approximately one-sixth of Deliveroo’s total income originated from delivering grocery and retail items. However, Shu confidently predicts that this segment will experience substantial growth, potentially accounting for more than half of the company’s revenue in the future. He emphasized this potential shift while speaking to the PA news agency, stating, “I don’t see why it wouldn’t be bigger than our core restaurant business over time”.
This shift towards grocery delivery reflects a broader societal trend toward on-demand services, a movement that Shu believes is driving much of the company’s evolution in service offerings. He noted, “People are substituting away from the large weekly shops, and they’re substituting that by multiple smaller weekly shops.” This change in consumer behavior underscores a desire for convenience and speed, with customers increasingly prioritizing the ability to receive their necessities quickly.
In concrete terms, grocery orders accounted for 16 percent of Deliveroo’s gross transaction value over the past year. This figure represents the total cost of customer purchases, including delivery fees, and highlights the growing trend of grocery shopping through delivery services. As consumers become more accustomed to on-demand shopping, Deliveroo is strategically positioning itself to meet these changing demands and capture a larger share of the market.
