The delivery service wants to make as much sales in Germany as it did in Norway and Finland together.
Berlin The number of online food delivery services continues to grow: Norway’s online supermarket Oda also plans to launch in Germany in the new year. In Germany, Oda encounters providers such as Rewe, Amazon, Bringmeister and Knuspr, but also start-ups such as Flink, Gorillas and Getir.
For internationalization, the company is now receiving the equivalent of 145 million euros from existing investors such as Prosus and Kinnevik, as well as from new financiers. First, the Norwegians start in Berlin. For this purpose, a 15,400 square meter logistics center was built south of the German capital.
“In an international comparison, the German food market is still comparatively little digitized,” explains Oda Germany boss Malte Nousch in an interview with the Handelsblatt and identifies a “huge opportunity”. The online share of sales in the food trade is still in the single-digit percentage range and is therefore significantly lower than in Great Britain or France.
With 9,000 products, Oda’s range is relatively lavish. Nevertheless, the start-up wants to be particularly flexible when it comes to delivery times.
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Oda is ahead of Aldi with the expansion
“Oda is targeting a very interesting segment that has mostly been untouched so far,” says e-commerce expert Matthias Schuh. So far there is no discounter among the delivery services. The Norwegian newcomer is challenging the stationary supermarkets in the low-price segment and is therefore a bigger competitor for the traditional business than for other delivery services, the lecturer for e-commerce and trade at the Lucerne University of Applied Sciences is convinced.
targeted
250
Million Euros
Oda wants to achieve annual sales in Germany.
Oda is ahead of Aldi with the expansion. According to company circles, the German discount giant wants to start its own delivery service in the first half of 2023
>> Read about this: Delivery service: Aldi Süd is planning an online shop for fresh groceries
The Norwegians, on the other hand, want to go into test operation as early as January and then serve the entire Berlin city area within the first quarter. “Berlin could become as important for Oda as Norway is today,” says Nousch confidently.
In Germany, the delivery service is aiming for annual sales of 250 million euros. That’s how much Oda had earned over the past year – when the start-up was only active in Norway and Finland. Operationally, the company – which was founded in 2013 by ten friends – was just in the black last year.
The Norwegians also want to make a profit in the highly competitive German market. “We want to become profitable quickly, especially in the current market environment,” says Nousch.
The Norwegians want to quickly make a profit in Berlin.
One benefits from the high degree of automation in the warehouse, which ensures low fixed costs, reveals Oda Germany boss Nousch. Among other things, the start-up uses self-developed algorithms to optimally distribute products.
The market for food delivery services in Germany is now divided into two. On the one hand, online supermarkets such as Bringmeister and Knuspr advertise to customers who want to have the goods delivered to their home at fixed delivery times. On the other hand, there are start-ups such as Flink, Gorillas and Getir, which deliver a much smaller range of products by bicycle courier within a very short time.
According to insiders, a consolidation is imminent here. The fast food delivery service Getir from Turkey could take over the Berlin competitor Gorillas this week.
More: Below this order value, no delivery is worthwhile – this is how delivery services have to calculate