ByteDance is joining the takeaway market with its short-video platform Douyin. A team has recently been set up for its new food delivery business “Xindong Takeaway”, and a test version has been launched on the platform.
The takeaway market has been dominated by competitors Meituan and Eleme over the past eight years, and ByteDance is expected to become a powerful disruptor in this trillion-dollar market.
Douyin users will be able to directly order food by clicking on the short video that they are watching, providing more extensive information for customers. Douyin is home to 600 million daily users so the service will provide a huge opportunity for food and beverage merchants on the platform. Xindong takeaway will initially be launched in first and second-tier cities and will later be expanded to other cities across the country.
“Xindong Takeaway, Eat What You Love”Xindong’s Motto
In 2020, due to the impact of the COVID-19 pandemic, the food delivery market grew by 15% to 664 billion RMB. Meituan is the market leader, bringing in 114.8 billion RMB in revenue in 2020. Meituan and Eleme’s userbase is dominated by young people in big cities, highlighting the potential to tap into lower-tier cities, and middle-aged and elderly consumers.