Uber Eats: Grocery orders up in locked-down Europe

Orders for Uber Eats groceries jumped 59 percent in Europe in March. (Reuters)
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Updated 17 April 2020
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Uber Eats: Grocery orders up in locked-down Europe

LONDON: Uber Eats said that orders for grocery delivery on its platform jumped 59 percent across Europe in March compared with February as countries locked down to fight the coronavirus, helping to offset some of the impact of shuttered restaurants on demand.

Uber Eats, which competes with the likes of Deliveroo, Takeway.com and Just Eat in online meal delivery, already offered alcohol and selected products from convenience stores.

European general manager Stephane Ficaja said Uber Eats’ store sign-up rate had doubled in March as convenience outlets looked for new channels to serve customers staying at home to slow the spread of the virus. “Everything that we are doing on grocery and convenience is driven by the fact that we are seeing strong consumer appetites from new consumption trends, people who are confined and cannot go out,” he said.

The data underlines the scale of the industry push into the grocery market, where it sees a gap for must-have products delivered much quicker than online orders from major supermarkets and the likes of Ocado. The decline in households ordering online meals for delivery across the sector in March has provided an additional impetus to seek new revenue streams. It also shows how shops are finding news ways to serve customers as the lockdown across the region continues.

More than 1,000 grocery and convenience stores were on Uber Eats’ app in Europe and more than 3,500 globally, he said, helping meet strong demand for essential foods and staples in Britain, France, Spain, Italy, Portugal and Sweden.

Uber Eats, part of ride-hailing service Uber Technologies, joined French supermarket Carrefour this month to help Parisians get food, toiletries and cleaning products within 30 minutes, while in Spain it is working with service station operator Galp in 15 cities including Madrid, Valencia and Seville.

Carrefour said that the Uber Eats app was enabling it to deliver everyday products to communities safely and conveniently. “As we face this crisis, we have a duty to come up with new solutions,” said executive director of e-commerce, data and digital transformation Amelie Oudea-Castera.

In Britain, Uber Eats is working with nine of the largest convenience store networks, with more than 700 shops on the platform. Ficaja said it was talking with other retailers, including large supermarket groups, which are struggling to meet soaring demand for online orders, about joining the platform. “Classic online channels are mostly completely saturated,” he said. “Our offer is a bit different, it’s smaller basket, smaller ticket, faster delivery.”

UK convenience store network Costcutter, which started working with Uber Eats in October, has seen a surge in orders on the platform, retail director Mike Hollis said.

“Our sales are up about 350 percent (compared with pre-coronavirus levels) on Uber Eats,” he said. “When we started, stores were seeing £200 or £300 a week in sales, we had a store last week that had took £4,500 in Uber Eats sales.”


Indonesia and Thailand join Saudi-led Global Halal Mark alliance

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Indonesia and Thailand join Saudi-led Global Halal Mark alliance

RIYADH: Four countries have joined the Global Halal Mark alliance, a new initiative launched by the Saudi Halal Center, following the signing of two agreements with Indonesia and Thailand.

Speaking to Al-Eqtisadiah on the sidelines of the Makkah Halal Forum,  Abdulaziz Al-Rushodi, CEO of the Saudi Halal Center, said the number of countries participating in the alliance is expected to reach 10 by the end of this year. 

He said the initiative aims to unify “Halal” marks around the world and achieve the highest standards of reliability in the sector.

A second initiative announced at the forum is the Halal Academy, established in cooperation with the Islamic University of Madinah, to serve as a global scientific reference contributing to the development of competencies and the halal ecosystem in a comprehensive manner. 

Al-Rushodi also stated that the center is planning to launch the Global Halal Hub initiative, an integrated digital system aimed at unifying halal certifications and facilitating cross-border trade procedures among various countries. 

As part of efforts to support the local industry, the center — according to Al-Rushodi — signed a memorandum of understanding with the Food Manufacturers Association, which includes thousands of national factories, with the aim of empowering Saudi products and qualifying them for export to countries in the Islamic world by granting them the halal mark. 

He said the partnership seeks to encourage local manufacturers to adopt the mark as a core standard for their products, opening broad prospects for global marketing and strengthening the presence of Saudi products in international markets. 

The Saudi Halal Center was established in 2018 and operates under the Saudi Food and Drug Authority. The center grants halal certificates after verifying compliance with Shariah and technical standards and requirements to ensure the reliability of products bearing the “Halal” mark in local and international markets, in addition to issuing the Saudi halal mark. 

The center grants the right to use its trademark, a logo placed on products to indicate that they are subject to oversight and auditing and are compliant with Islamic law. 

The size of the global halal market in 2025 was estimated at approximately $7 trillion, with Saudi Arabia topping the list of the largest investing countries in the sector at a value of SR5.5 billion ($1.4 billion), Yousef Khalawi, Secretary-General of the Islamic Chamber of Commerce and Development, told Al-Eqtisadiah. 

According to Khalawi, the size of the halal market is expected to reach $10 trillion by 2030, amid accelerating growth in global consumer demand and expanding investments in value chains linked to halal industries. 

Saudi Arabia ranks first globally among the most invested countries in the halal sector, having injected investments valued at SR5.5 billion. Malaysia comes second with investments reaching SR4.7 billion, benefiting from its advanced ecosystem of global halal standards, followed by Kuwait in third place with investments amounting to SR4.1 billion. 

The UAE ranked fourth, investing approximately SR3.7 billion in value chains related to food, tourism, and consumer products, while Indonesia placed fifth with investments estimated at SR1.5 billion.