Oddle trims staff in AI push, targets profits in 2025

Oddle, a Singapore-based restaurant software startup, has conducted two rounds of layoffs this year, sources told Tech in Asia.

A company spokesperson confirmed the retrenchment in an email to Tech in Asia, saying that “slightly over 10 employees” were affected across the two rounds

(From left) Oddle founders Alan Goh, Yong Xiang Pua, Jonathan Lim / Photo credit: Oddle

“Management initiated the recent layoffs as part of our transformation into an AI-first company — an approach fully supported by our board,” the spokesperson said, adding that the efforts include using AI to optimize sales, distribution, and productivity.

Oddle also laid off 25% of its staff in April 2023.

Cost-cutting mode

Founded in 2014, Oddle helps restaurants and F&B brands go online. Its platform includes functions like food delivery and reservations as well as loyalty and retention tools, customer data analytics services, and payment terminals.

It competes with the likes of GrabFood, ShopeeFood, and Foodpanda in the food delivery space, while Chope and Burpple would be its rivals in the restaurant servicing industry.

The company charges no subscription fees, instead taking a 10% commission on orders and at least US$0.15 per reservation. Its payment terminal services have their own commission and fee structure.

Oddle has raised over US$5.7 million in funding and operates in Singapore, Malaysia, Hong Kong, and Taiwan. However, its once profitable food delivery business began to slow down even as pandemic-related restrictions were lifted.

See also: Ex-Foodpanda CEO speaks out after abrupt exit from firm

In 2023, the startup narrowed its annualized losses by 40% by cutting spending on sales, distribution, and R&D. The company posted a loss of S$9.2 million (about US$6.9 million) in 2023, according to its latest financials from data platform Handshakes. In 2022, its annualized losses grew by over 2x.

Toward profitability, open for M&A

The company expects to turn profitable by 2025, driven by its AI-focused strategy.

The firm’s spokesperson added that while the startup is profitable in each of its four markets, its overall financials remain in the red due to R&D expenses and non-operating expenses such as salaries, rent, and other fixed costs.

However, the person stressed that Oddle remains “sufficiently capitalized until we become profitable — at which point runway is no longer an issue.” The firm said it also raised a pre-series B extension round in 2024, which wasn’t publicly disclosed.