Few UK scaleups have had such a visible effect on British modern living like Deliveroo. Today the meal delivery company’s riders adorned in their recognisable green jackets have become a common feature in almost every major British city, waiting for orders or swooshing across the streets to reach customers. At the same time the company has been one of the leading champions of the gig economy, having spearheaded the rise of the Uberised mode of working across Blighty.
And it’s clear the impact Deliveroo is having on the economy is only set to grow thanks to its new series G round that saw the scaleup gain an additional $575m from both existing investors and Amazon. This is the eighth venture capital cash injection Deliveroo has received. It pushes the total amount pumped into the business to $1.53bn. The other investors in this round were the investment management firms T Rowe Price, Greenoaks and Fidelity Management and Research Company.
The money will be used to expand Deliveroo’s engineering team in its London headquarters, promising to boost the Big Smoke and the UK’s reputation as a rising tech hub. The UK unicorn also pledges to use the investment to grow the company’s reach and improve its riders’ situation from a flexibility and financial perspective.
Having already established itself as an innovator through its core business and by introducing new concepts like its delivery-only kitchens, Deliveroo will use the new cash to build on its stature as a frontrunner in its field. For instance, it’s looking at finding more methods of offering customers better personalised experiences, finding new ways to help restaurants grow at a lower cost and to provide their services to additional neighbourhoods.
Commenting on the series G round, Will Shu, founder and CEO of Deliveroo, said: “This new investment will help Deliveroo to grow and to offer customers even more choice tailored to their personal tastes, offer restaurants greater opportunities to grow and expand their businesses and to create more flexible, well-paid work for riders.”
Concerning the backing of the e-commerce giant, he added: “Amazon has been an inspiration to me personally and to the company and we look forward to working with such a customer-obsessed organisation. This is great news for the tech and restaurant sectors, and it will help to create jobs in all of the countries in which we operate.”
On Amazon’s part, the titan’s UK country manager Doug Gurr made no secret about why the company invested in the UK unicorn. “We’re impressed with Deliveroo’s approach and their dedication to providing customers with an ever increasing selection of great restaurants along with convenient delivery options,” he said. “Will and his team have built an innovative technology and service and we’re excited to see what they do next.”
Since bursting onto the scene in 2013, Deliveroo and Shu have repeatedly proven what can be achieved in the UK. With its coffers filled for the moment, the UK unicorn is sure to remain an inspiration for new entrepreneurs for years to come.