Deliveroo sales rise as orders increase, despite drop in average spend

FinanceNews

Deliveroo sales have continued to climb as the delivery company reports an 18% rise in orders to 82.4 million, with numbers continuing to swell despite shoppers spending less as they place smaller orders post-lockdown.

The Q1 figures also revealed that gross transactional value (GTV) sales in the first three months of the year have jumped by 11%, climbing to £1.79bn from £1.62bn in the three months to the end of March.

This is despite facing tough comparisons from last year, when consumers relied heavily on delivery services throughout the pandemic.

The interim results, published today, also showed that although more orders had been placed during the first three months of 2022 – 82.4m, compared to 69.6m in 2021 – the amount spent per order had fallen by 7% to £21.70 on average.

A similar pattern was seen across the UK and Ireland business, with GTV sales up 12% to £956 million and orders up 20% to 40.7 million. Average spend per order was also down 7%, to £23.50.

Read more: Waitrose and Deliveroo expand partnership to 70 new stores

“Our first quarter performance was in line with the guidance we provided in March,” said Deliveroo founder and chief executive Will Shu.

“We delivered solid growth of 12% in Q1 2022, against a tough comparison base in Q1 2021, when many of our markets were still experiencing lockdown restrictions.”

Shu also attributed the growth to a strengthened offer for consumers over the past quarter. A raft of new services have been launched across the platform, alongside new partnerships with established retail businesses, including Amazon Prime and WHSmith.

“We expanded existing relationships in grocery with Waitrose and Carrefour, widened our offer of 12-months free Plus subscription for Amazon Prime members to include France and Italy, and launched a new pilot with WHSmith in the UK,” he added.

“Consumer behaviour may moderate during the year, and this is reflected in our guidance. We remain confident in our ability to adapt financially to any further changes in the macroeconomic environment.

“We continue to be excited about the opportunity ahead and our ability to capitalise on it.”

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