Food In Canada

foodora Canada wrapping up food delivery business in May

April 28, 2020   by Food in Canada


April 28, 2020 – Food delivery service company foodora Inc. in Canada, a subsidiary of Delivery Hero SE, is closing its business after five years of operation.

The company states that Canada is a highly saturated market for online food delivery and has lately seen intensified competition. As well, foodora has not been able to reach a strong leadership position, and has been unable to reach a level of profitability in Canada that’s sustainable enough to continue operations.

“I’m very proud of what foodora has accomplished over the last few years,” said David Albert, managing director of foodora Canada. “I’ve been able to witness food delivery grow from its infancy into what it is today, and helping to build a brand I’m proud of. However, there’s been some challenges along the way.

“We’re faced with strong competition in the Canadian market, and operate a business that requires a high volume of transactions to turn a profit. We’ve been unable to get to a position which would allow us to continue to operate without having to continually absorb losses.”

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Albert said the company’s service has grown to 10 cities across the country, something that would not have been possible without the dedication of its employees, riders and restaurants.

“I thank them for the continued support over the last five years. Supporting them during this transition phase is our main priority.”

foodora Canada has filed a notice of intention to make a proposal. Details of the proposal have yet to be determined.

The business will continue to run until the end of the day on May 11, 2020. foodora Canada’s employees have received their notice and will continue to be paid as stipulated in their contractual agreements. The rider community has also been given notice period of termination.


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