Over the last few months, food delivery apps have faced heat for charging steep commissions of 30 to 40 per cent, eating into hawkers’ already-thin margins as they struggle to survive in light of the dining-in ban.
Commission fees also serve as a barrier that is currently preventing hawkers from coming onboard food delivery apps.
As a result, Singapore’s leading delivery app, foodpanda has rolled out a new initiative which sees it waiving commission fees for new merchants in their first month of joining.
Called the pandasupport hawker initiative, new hawkers who join the platform will enjoy 0% commission for the first month on all orders placed via the foodpanda app.
The initiative will also provide eligible hawkers with free prime placement under the “Hawker Favourites” section, which is prominently displayed at the top of the foodpanda app to help amplify customer outreach.
This package is applicable to National Environment Agency (NEA) licensed hawkers as well as hawkers operating out of hawker centres managed by NEA or NEA-appointed operators.
Fully funded by foodpanda, this package seeks to provide support to hawkers who are not eligible for the Food Delivery Booster package jointly launched with Enterprise Singapore in April.
The dining-in ban is set to continue past June 1 even as Singapore goes into the first phase of reopening the economy.
Interested hawkers can visit https://www.pandapartners.sg/pandasupport-hawkers for more information.
Featured Image Credit: SG Asia City