Korean company Barogo, famous for its food delivery service, has made a strategic investment in ’12-months’ operator of ‘Fooding,’ a regular office food delivery platform. The amount is confidential.
Barogo has invested to create stable profits for store owners and improve operation efficiency. The plan is to create a virtuous cycle structure that increases operational stability and service quality at the same time, such as reducing the food material waste rate caused by difficulties in predicting menu demand through a subscription economy model.
Investment to improve store efficiency & increase reach
In particular, it focuses more on expanding synergies between Barogo’s kitchen platform ‘Urban Kitchen’ and ‘Fooding,’ which have been partnering since the end of last year. Various support will be provided so that ‘Urban Kitchen’ stores located in commercial office districts can grow bigger.
Founded in 2006, 12-months has been operating a service called Fooding that regularly delivers in-house meals such as lunch boxes to global companies, startups, hospitals, and small and medium-sized companies. Fooding has grown into the largest in-house delivery service in Korea, with about 3,000 meals a day, thanks to an increased demand for lunch delivery amid the novel coronavirus infection (COVID- 19 ) crisis.
Barogo said, “We have joined forces with Fooding to help shop owners in urban kitchens stably run their stores.” 12-month CEO Hwang Yun-sik said, “We will continue to advance the pudding business model so that store owners, consumers, and platforms can coexist.”
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