Deliveroo, the British online food delivery company, will leave the Hong Kong market on April 7, 2025, after nine years of operation. As stated on Deliveroo’s official website, this decision is attributed to direct profit losses and specific market dynamics in Hong Kong.
1. Deliveroo’s Decision to Leave
Despite a 5% increase in Gross Transaction Value (GTV) and a 2% increase in revenue in reported currency, with a net cash position of £668 million in 2024, Deliveroo’s performance in Hong Kong was not satisfactory. According to its financial report, there was a 5-percentage-point negative impact on its international GTV growth. Consequently, Deliveroo’s management announced on March 10, 2025, that continuing operations in Hong Kong was not a profitable choice, necessitating a reallocation of capital across its global markets.
The company stated in a press release that its final day of operation would be April 7, 2025. Users can place orders on the platform until 2:59 PM on that day, with the final payment processing on April 15, 2025. Meanwhile, Deliveroo has promised support for its riders during this transition by offering personalized links for new riders and those who haven’t worked recently to continue their work with Foodpanda, another competitive food delivery company in Hong Kong.
“I live a bit far from HKU, so instead of eating at school canteens, I order food delivery to my dorm every day. I’ve used Foodpanda, Keeta, and Deliveroo. However, Keeta was always my top choice due to its extra coupons and free delivery. Deliveroo was too expensive for me, especially since I rely on food delivery for meals every day. I guess that’s why they decided to leave the Hong Kong market. If they were as competitive as Keeta with free delivery and lots of discounts, they might not have lost the market,” commented Feng Litao, a second-year HKU student living in Jockey Club Student Village IV, while waiting for the elevator at an MTR station.
Deliveroo’s exit from the Hong Kong market was not a sudden decision. According to statistics showing market shares from 2018 to 2024 sourced from Measurable AI, it’s clear that its market share experienced a continuous decline from approximately 50% to about 30% over several years.
2. Keeta’s Rapid Development
Following Deliveroo’s announcement to leave the Hong Kong market, several major companies expressed their regret over this difficult decision on Threads. For instance, Ikea posted that it would always remember Deliveroo’s contributions to the Hong Kong market over the past nine years. However, Keeta, a major competitor to Deliveroo in Hong Kong, posted something that users on Threads regarded as “biting schadenfreude.”
In recent years, Keeta, a food delivery platform from mainland China’s largest food delivery company, Meituan, has rapidly developed since entering the Hong Kong market in 2023. According to its official data, Keeta captured about 44% of Hong Kong’s food delivery market within just one year of its launch, becoming a competitive player in the industry by 2024.
“I am currently a part-time walking delivery man in Jordan, but I’ve been in the food delivery industry for a long time, working for Keeta, Foodpanda, and Deliveroo. In Cantonese, we call it ‘Bou Bing Jai’ (步兵仔). I received most orders from Foodpanda, with four to five per hour, but recently Keeta has been getting more orders. As for the service fee, Deliveroo was the best, where I could earn 35 HKD per order, while at Keeta and Foodpanda, it’s only 24 to 25 HKD per order,” said Chan Ga Lok, waiting for his next order in Mong Kok.
Some consumers are also concerned about the future of Hong Kong’s delivery industry. “I used Meituan when I was in mainland China. They initially lowered prices, causing fierce competition among peers. After defeating most competitors, they started monopolizing, reducing riders’ benefits, and raising food prices. Meituan did this in mainland China, and I think they might do it again in Hong Kong,” commented Betty Wang, a graduate from a mainland university now working in Hong Kong.
3. Increasing Presence of Mainland Brands in the Hong Kong Market
Not only Keeta, but as you walk through the streets of Central, you’ll notice more and more brands from mainland China opening shops in Hong Kong. For example, the increasing number of Cainiao stations indicates that Taobao has become a major player, capturing 20.9% of all e-commerce traffic in Hong Kong. This continuous trend of mainland brands entering the Hong Kong market is expected to bring about significant changes.
