After closing a strategic partnership deal in Asia with the South Korean delivery platform, Delivery Hero published today Woowa’s strong operational numbers reaffirming the great potential of the partnership between the two firms.
The finalization of the $4 billion partnership with Woowa was announced last March 2 completing the transaction that started in December 2019.
Delivery Hero currently operates its service in more than 40 countries across Asia, Europe, Latin America, the Middle East, and North Africa.
With the acquisition of Woowa, Delivery Hero is now worldwide the largest food delivery platform outside of China with higher order volume, more markets, and more customers than any other food delivery platform.
Woowa is the operator of “Baedal Minjok” or “Baemin” the largest online food delivery platform in South Korea.
In its 2020 financial report, Woowa achieved strong growth last year while delivering a positive preliminary adjusted EBITDA of €14 million.
The Woowa group also processed 729 million orders, up by 75% year-on-year, and generating a gross market value (GMV) of €11.6 billion that is up by 73% year-on-year.
Woowa’s revenues also grew by 102% year-on-year to €918 million in 2020.
In combination, Delivery Hero and Woowa processed more than 2 billion orders and generated more than €24 billion GMV and over €3.7 billion revenue in 2020.
South Korean platform Baemin, operated by Woowa, offers a marketplace and an own-delivery service for restaurants, a sector with significant growth potential, Delivery Hero said in a statement on Tuesday.
As the delivery industry grew throughout 2020 due to the Covid-19 pandemic, Baemin offered vital support to its partners, working with around one-third of all restaurants in South Korea today.
In less than two years since entering Vietnam in February 2019, Woowa’s business in the country also grew substantially particularly in the two largest Vietnamese cities Ho Chi Minh and Hanoi. Woowa also launched its services in Japan in December 2020.
In addition to its core food delivery service, Woowa is also innovating the food ecosystem with new verticals including restaurant supplies and robotics.
Like Delivery Hero, Woowa also believes in the potential of quick commerce – the future of e-commerce, defined as bringing groceries and household items to customers in less than 60 minutes.
In 2019, Baemin opened their first B-Marts (equivalent to Delivery Hero’s Dmarts), which are Baemin-owned small local warehouses optimized for delivery.
Baemin also added 16 B-Marts in 2020, with a total of 32 B-Marts in South Korea by the end of December 2020, mostly present in the Seoul area. B-Marts showed strong growth with 10 million orders, €102 million GMV, and €107 million revenue for 2020.
Since finalizing its acquisition of Woowa, Delivery Hero’s share price has increased significantly at closing of trade today with a final transaction value of approximately €5.7 billion. Delivery Hero will be publishing its full-year financial report next month.