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East Ventures-backed food ordering app exits Indonesia due to COVID-19

-based Eatsy just entered the market in November last year.

Photo: Shutterstock.com

Eatsy, a Singapore-based restaurant ordering and payment app, will stop its Indonesian operations on April 1, 2020. In an announcement on its app, the company said that it took the decision amid the worsening COVID-19 pandemic.

“The spread of COVID-19 pandemic has affected all business lines, including Eatsy,” the company said in Bahasa. “With a heavy heart, we decided to stop Eatsy Indonesia’s operations.”

Eatsy just officially entered the Indonesia market in November last year. It allows users to order ahead food from restaurants without having to wait in line. Gojek and Grab also launched a similar service in January this year.

The firm was founded in 2016 by Shaun Heng with a mission to empower small and medium-sized businesses in the food and beverage industry, helping them gain a competitive edge by leveraging existing technology infrastructure. According to Crunchbase, the company has to date raised USD 1 million in funding by East Ventures and Quest Ventures.

The COVID-19 has impacted startups and tech companies across the world, especially those operating in the travel industry. Some companies are also in danger of running out of cash as the outbreak sours investor appetite and slows fundraising activities.

This article first appeared in Tech in Asia