GoFood, the food delivery service offered in Gojek’s app, is still the number one food delivery option in Indonesia, Gojek Group chief food officer Catherine Hindra Sutjahyo claimed on Tuesday at an event held by Gojek and research firm Nielsen.
“Food will continue to be a major driver of business growth for Gojek. We are still leading the food service and dominate it with 75% market share in Indonesia,” Sutjahyo said.
According to Sutjahyo, her claim is backed up by numbers released by third-party research firms like AppAnnie and research firm Nielsen. GoFood’s user base is 1.5 times bigger than that of the close competitor, Sutjahyo said at a press event.
Sutjahyo added that GoFood handles over 50 million transactions per month in Southeast Asia, and the number of transactions doubled in the past six months. Furthermore, Gojek partners with about 400,000 merchants, 96% of which are small and medium entrepreneurs.
“The recipe that GoFood has ahead of its competitors is the range of choices on the menu,” Sutjahyo said, adding that the service’s machine learning technology makes it more user-friendly.
The recent Nielsen report, “Understanding the Online Food Delivery Market,” states that approximately 58% of urban Indonesians use app-based food delivery services on a weekly basis.
Nielsen Singapore executive director of consumer insight Garick Kea said that the food delivery competition in Indonesia is getting tighter as the country has the largest potential market in the region. The report was generated based on responses from 1,000 individuals who regularly order food through four mobile platforms—GoFood, GrabFood, Berry Kitchen, and Kulineran—in seven cities in the country.
GoFood also announced plans to launch cloud kitchens in Indonesia, called GoKitchen, to compete with Grab’s GrabKitchen. According to Bloomberg, GoJek will partner with Indian startup Rebel Foods, which just raised USD 125 million funds from Coatue Management, Goldman Sachs, and Gojek.
Gojek’s main competitor, Grab, recently claimed that it holds almost 50% market share of Indonesia’s food delivery services in the first half of 2019.
Editor’s note: The article previously attributed the size of GoFood’s user base to AppAnnie data, which Catherine Hindra Sutjahyo cited when speaking to the press. This has been adjusted to reflect it is a claim made by Sutjahyo. A representative of AppAnnie indicated to KrASIA that the firm tracks aggregate usage data of individual apps, but does not track activity within an app.
