Digitalization seen sustaining small food businesses 

THE DIGITALIZATION of the food industry has become a lifeline for micro-, small-, and medium-sized enterprises (MSMEs), according to online food platform foodpanda Philippines.

In a statement on Wednesday, the platform noted that the digitalization of the local food industry has led to significant livelihood generation.

“Many of them became our partners during the height of the pandemic, as the lockdowns created a level playing field for smaller players to reach a bigger market through online platforms,” foodpanda Philippines Managing Director Daniel Marogy said.

“For some of these small businesses, onboarding with foodpanda was their very first foray into e-commerce, and we helped them to digitize. And many of these, in turn, became very successful businesses that rely on both a physical store presence as well as an online platform to reach many customers,” he added.

Aside from MSMEs, foodpanda Philippines said that digitalization has also provided more opportunities for the platform’s freelance delivery partners.

“Alongside this was the huge boom of opportunities in the gig economy, particularly for freelance delivery partners, as we continue to count on our partnership with foodpanda logistics and its thousands of ‘Ka-panda’ delivery partners across the country to meet consumer demand,” Mr. Marogy said.

“Many of foodpanda logistics’ Ka-panda delivery partners come from other industries, looking for supplemental income, or are doing freelance work on multiple platforms, or breadwinners counting on foodpanda logistics for their bread and butter earnings,” he added.

Mr. Marogy said that e-commerce and online platforms are vital in helping the growth of the national economy, as well as supporting the growth of the restaurant industry.

“As more restaurants embrace digital platforms for food delivery and online ordering, their customer base expands, resulting in higher food production needs,” he said.

“In the digital transformation era, the digital economy emerges as an important driver of the growth of the Philippines,” the platform said.

“With e-commerce and online platforms at the forefront, this new paradigm assumes a crucial role in shaping the nation’s economic development. As the country fully embraces the digital revolution, ongoing support and expansion of online platforms become vital catalysts for progress and economic growth,” it added.  

Currently, foodpanda operates in 150 cities and municipalities in the Philippines. The e-commerce platform, which has a presence across 11 Asian markets, is a subsidiary of the German multinational online food ordering company Delivery Hero. — Revin Mikhael D. Ochave