As the COVID-19 pandemic has impacted the food delivery industry in China during the first quarter, with numerous restaurant closures and a decrease in demand, groceries and fresh produce delivery have become more popular.
The two major players in the food delivery industry are Tencent-backed on-demand platform Meituan-Dianping (HKEX: 3690) and Alibaba’s (NYSE: BABA) Ele.me. Taken together, they control 90% of the market, serving about 70 million customers monthly (according to research firm QuestMobile). Now, these two rivals are also eyeing the grocery delivery vertical.
At the same, other on-demand delivery platforms, such as Alibaba-backed Hema Fresh, JD.com’s subsidiary JD Daojia, and Dingdong Maicai, have emerged to deliver fresh produce. In our video, we take a look at the duopoly of Ele.me and Meituan, as well as some other new players in the market.
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