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Cutthroat competition: will Deliveroo Hong Kong closure affect food delivery riders?

‘Deliveroo’s pay is not attractive at all. When it was raining last Friday, it only offered HK$30 per order, while [Foodpanda and Keeta] almost tripled it,’ Tam Yuen says

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A Deliveroo food delivery rider. Deliveroo Hong Kong will end services on April 7. Photo: May Tse

Over the past five years, Hongkonger Tam Yuen has made an average of HK$50,000 (US$6,435) per month from food deliveries, on top of what he earns from his full-time remote job.

The 40-year-old motorcyclist said on Monday that he had been relying on Foodpanda and Meituan’s Keeta to supplement his income while witnessing trickling orders from Deliveroo Hong Kong, whose services will end on April 7.

“The closure of Deliveroo is expected and inevitable. Its payment per order significantly lags behind the other two platforms,” said Tam, who declined to reveal his full-time profession.

“Riders looking to maximise income will avoid taking orders from Deliveroo. With fewer riders accepting orders, delivery times will increase, leading to unhappy customers.”

Tam is among many food delivery riders working for the three platforms simultaneously who are unfazed by London-based online food delivery company Deliveroo’s announcement on Monday that it was ceasing operations in Hong Kong.

Loss-making Deliveroo Hong Kong is selling certain assets to rival Foodpanda and has encouraged riders to join it as well.

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