Requests for food applications should double by the end of the year

SAO PAULO-the number of requests for food made by applications for smartphones and tablets will double by the end of the year. At least that's what they expect two of the largest companies that operate in this market in Brazil: the iFood and Hellofood, housewives a market share estimated at 90%.
The two take a ride on the growth trend of food outside the home, which includes the delivery and expands to an average annual rate of 14.2% according to the Brazilian Association of food industries (Abia). The Brazilian Institute of geography and statistics (IBGE) estimated that Brazilians spend, on average, 25% of your income if feeding off the House or carrying out orders for prepared foods.
"That's where the applications are coming in. In that time the food outside the home increases, they take advantage to offer this service through technology, "says Percival Maricato, President of the Brazilian Association of bars and Restaurants (AbraselSP).
While the entity estimates that the movement in bars and restaurants of Sao Paulo has fallen 13 percent in the second quarter, compared with the same period last year, the number of orders delivered at home and made via applications grows at a rate of almost 1% per month.
The applications charge a Commission of 12% over the average value of each order. The remainder stays with the restaurant, as well as the responsibility for the delivery operation.
According to the CEO of iFood, Felipe Fioravante, 5% of all food deliverys are requested through apps. By the end of the year, calculates, representativeness should rise to 10%.
Per month, the company receives about 800 thousand requests. "By December we esteem reach an average of 1.3 million requests per month. Even so we are increasing the portfolio of establishments are in the software, "he says.
In 2014, the billing of iFood reached r $ 50 million, four times the number in the previous year. To 2015, it is expected to reach $ 100 million.
In June, Movile, application developer based in Campinas and holds 60% of iFood, and the British Just Eat, owner of RestauranteWeb, injected $ 125 million in the company, which should help you achieve the goal.
Currently the iFood has approximately 5 thousand restaurants with the most varied types of food. A part of the investment that the company received, second, will serve to expand the candy's number of establishments. "The goal is to count on 10 thousand [restaurants] by the end of the year," he says. "With this organic growth we we would meet nearly 100 Brazilian cities. At the moment we serve directly something around 40 cities, "he says.
Qualification
The Hellofood competitor has focused its strategy on quality of portfolio of establishments found in the application. So, according to co-ceo Roberto Gandolfo, the number of active stores in the system of the company has decreased in recent months, going from three thousand to two thousand.
"We made the decision that our strategy would be focused on providing the best possible experience for the consumer. Then, we analyze each of the three thousand restaurants to see if they met the client properly and in an overtime that we consider acceptable, "he explains. Those who did not meet the minimum requirements of the company were cut.
According to him, until the end of 2015 to Hellofood will have 2.5 thousand establishments available. "The new selected will already be inside a segmentation of quality that we are proposing," guarantees.
Gandolfo believes that the market for food delivery via applications represents up to 30% of the total requests until 2018. As well as the iFood, the company, based in Germany, has sought funds from investors to improve the platform.
"We picked up a total of $ 320 million so far. This amount is divided between operations in 40 countries where Hellofood operates. The main contribution is always in the application. Then we look at the market to analyze potential acquisitions, "he said.