Just Eat’s important investments in Spain
Just Eat Takeaway.com, one of the largest food delivery groups in the world, following their merger last year, has put the focus of its European growth plan on the Spanish market.
According to a Dutch representative, the platform has already launched an "aggressive investment programme" for the coming years. The plan will invest "significantly" and as a priority in the countries where Just Eat operated before the merger: the United Kingdom, Canada, Australia, Italy, France and Spain. "The company's management believes that Just Eat's brands, despite the current strong growth, have been underinvested in recent years. We want to strengthen, expand or regain leadership positions," the spokesman remarked.
He did not specify the amount of this aggressive investment plan, although they did explain to the newspaper Cinco Días the keys to their actions in Spain, "where they will be carried out for many years as delivery service penetration in Spain is still low".
In Spain, the group's investments will focus on four main subjects. The first will be the growth in the number of active users and strengthening their loyalty through increased marketing expenditure. The second key will be investment to gain price competitiveness by lowering delivery rates or even eliminating them. The third will be alliances with the most popular restaurant chains to expand consumer choice.
The fourth key point of the investment plan will be the labour issue, which is somewhat controversial in Spain. The deliverers, which Just Eat makes available to the restaurants, are not self-employed workers, but hired by logistics service companies that the platform outsources. The new Just Eat Takeaway.com will not turn towards the Deliveroo or Glovo self-employed system, which they do not consider "sustainable for its deliverers". The group's idea is to move "towards a contracting model to create more employment and better conditions". This will mean implementing the Scoober model, which Takeaway has developed in 10 countries and 91 European cities.
Source: Cinco Días