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Hello reader,
Being a newcomer is usually really awkward. While everyone else already has their own friend groups or cliques, you’re stuck trying to figure out where and how you can best fit in. Eventually, I found myself being content with not only observing different groups but also seeing how they would react to new people like me.
That said, just observing alone won’t be enough for Traveloka and AirAsia, both of which are newcomers themselves to the food delivery industry in Indonesia. With Gojek and Grab already holding the lion’s share of the market, these two firms will have to put the pedal to the metal if they want to succeed.
Today we look at:
- How Traveloka and AirAsia are squaring up in Indonesia’s food delivery industry.
- Fomo Pay integrating USDC into its payments solution.
- Other newsy highlights such as Binance’s new learn-and-earn initiative and Cristiano Ronaldo’s investment in an Indian NFT startup.
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Fresh on the scene
Image credit: Timmy Loen
Running a food delivery business is sure to be a tough task, but Traveloka and AirAsia have decided that it’s worth the effort. With the travel sector feeling the effects of the pandemic, these two traditionally travel-focused firms have decided to venture into the food delivery industry via Traveloka Eats and AirAsia Food.
- Moving from strength to strength: Traveloka Eats was originally a platform for restaurant listings and reviews and made the move to deliveries in November 2020. According to Stephen Kohar, head of Traveloka Eats, delivery transactions have grown by more than 10x since Q1 2021. The firm has an advantage going for it: a strong user base made up of affluent customers.
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Delivering food and people: AirAsia Food, on the other hand, was launched earlier this year in Tangerang, a suburb of Jakarta. It partnered with Gojek as its courier, an expected move considering the existing relationship between the two firms.
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Humps in the road: In an extremely competitive sector, the price sensitivity of consumers can be a double-edged sword. Having enough capital can provide an opportunity for players to price out competitors, but it doesn’t appear to be the approach that either Traveloka or AirAsia are looking for. Traveloka appears to be reducing its expenses – the firm laid off 10% of its staff in 2020 – while AirAsia says that it will be focusing on differentiation and uniqueness.
Read more: Can Traveloka, AirAsia break into Indonesia’s food delivery duopoly?
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