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What led to Foodpanda's decline in the food delivery market?

Food Delivery ServicesFoodpandaGrabDelivery HeroMarket CompetitionSoutheast AsiaCustomer PreferencesLocal InsightsRider RetentionBusiness Strategy
Apr 24, 2025
3 months ago
Jack ****************
ORIGINAL POSTER
Just saw that Foodpanda lost thr battle for delivery. Anyone have inside insight into this? I know Grab has an advantage because they use the tech from Uber... Foodpanda hurt themselves marketing-wise by not just being Panda.... But I'm still surprised to see them now out.
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TLDR : Answer Summary
The conversation discusses the reasons behind Foodpanda's decline in the food delivery market, noting issues related to Delivery Hero's management, underperformance in local market understanding, and competition from Grab and other players. Users express their disappointment over Foodpanda's loss and share observations about Grab's evolving service, including multiple deliveries and rider quality.
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David ********
The food panda motorcyclists were all dreadful riders, dangerous to an extreme. Surprised if any have survived.
3 months ago
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John *********
Shouldn't be eating Panda's anyway.
3 months ago
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Jack ****************
ORIGINAL POSTER
@John ********
 next on the menu... Moo Deng!
3 months ago
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Jack ****************
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Aneek *****
More to do with Delivery Hero and their European ops. Also Malaysia had a big corruption issue with their former CEO … … DH didn’t have a bottomless pit of cash to fuel mismanagement. Food panda was Shiite at understanding local insight and couldn’t recruit and keep enough riders who switched to others. DH thought they could manage south east asia like they manage Europe.
3 months ago
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Jack ****************
ORIGINAL POSTER
@Aneek ****
 did DH own Panda? I've never even heard of it.
3 months ago
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Aneek *****
@Jack ***************
 they do. It’s their brand in asia.
3 months ago
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Jack ****************
ORIGINAL POSTER
@Aneek ****
 got it. Thanks.
3 months ago
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Jack ****************
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Frozan *******
I’m super disappointed bc I loved Food Panda and absolutely hate Grab for food deliveries 🥺 I don’t even use LineMan bc most of it is in Thai.
3 months ago
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Susan ***************
@Frozan ******
3 months ago
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James ******
@Frozan ******
 i dont use line becasue they want acess to all my contacts. why on earth would i give that to them
3 months ago
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James ******
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Us *****
At the end there can only be one.
3 months ago
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Jack ****************
ORIGINAL POSTER
@Us ****
 Highlander!
3 months ago
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Jack ****************
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Michael ********
Read
@Greg ******
 page for some useful insights
3 months ago
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Greg *******
@Michael *******
 Thanks will just post it here

Food Panda bought out Food By Phone in 2012. They were the King from 2012 to 2018

Uber Eats exited Thailand in 2018 when Grab bought them out. For the expat market, it probably took about a year after that for them to become the dominant player.

Grab is still more popular in the expat market but lineman is growing marketshare everyday.

Turns out Food Panda lost 13 billion baht over the past five years.

Ouch.

And that’s with a 30% commission and record-breaking demand during COVID, when dine-in was shut down for months.

Hard to imagine, right?
3 months ago
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Greg *******
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James ******
And now grab all of a sudden is doing multiple deliveries at once, this rarely happened before but is now happened the last three times I’ve ordered
3 months ago
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Alistair **********
@James *****
 it's been common for well over a year now. You can pay 15B extra for priority delivery
3 months ago
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Ben **********
@Alistair *********
 even if you pay priority they still split it between drivers more recently now since the close of food panda
3 months ago
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Ben **********
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Brandon ************
Lineman still has the biggest market share, and there are still more small players that you probably haven't even heard of. I think Shopee is still trying to get a foothold with Shopee food.
3 months ago
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Jack ****************
ORIGINAL POSTER
@Brandon ***********
 sure and all the people who just want to have their own funnel like 7-11.

I guess the short question is- what do you think Food Panda did wrong?
3 months ago
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Matthew *********
@Jack ***************
 lineman is king in Thailand but I prefer grab
3 months ago
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Brandon ************
@Jack ***************
 Thais don't use Foodpanda because it's all English
3 months ago
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Jim ***********
@Brandon ***********
 food panda was brilliant
3 months ago
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Brandon ************
@Jim **********
 foreigners liked it because it was all English. Which is likely why it failed. A business that only caters to foreigners and not the locals is leaving out most of the potential customers. None of my Thai friends even had Foodpanda on their phones.
3 months ago
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Jim ***********
@Brandon ***********
 in Hua Hin was foodpanda I used. Need something else now
3 months ago
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Brandon ************
@Jim **********
 Lineman, Grab, and Shoppee Food should be available in large areas
3 months ago
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Jack ****************
ORIGINAL POSTER
@Brandon ***********
 ooh, interesting. Yes, that is pretty foolish. I must have setup and account at some point, but don't remember ever using it.
3 months ago
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Jack ****************
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