Yip In Tsoi, the operator of the Robinhood application, is reportedly interested in acquiring the online food delivery business of Foodpanda, which is scheduled to exit Thailand on May 23.
A source from Yip In Tsoi, who requested anonymity, said the company was evaluating the business potential.
The company does not want the online food delivery market to become a duopoly, the source added.
Berlin-based Delivery Hero, which operates a number of food delivery platforms worldwide, announced last week that it would be shutting down the Foodpanda platform next month, after running up accumulated losses of 13 billion baht.
According to the Singapore-based research firm Momentum Works, Thailand’s food delivery market in 2024 was worth $4.2 billion, with Grab claiming a share of 46%, Line Man Wongnai 40%, ShopeeFood 7%, Foodpanda 5% and Robinhood 2%.
Robinhood was on the verge of shutting down last year after the financial services group SCB X said it would exit the money-losing business. However, a group of investors led by Yip In Tsoi reached a deal with SCB X to acquire all the shares in Purple Ventures Co Ltd, the Robinhood operator, for 2 billion baht in late September.
Robinhood has a database of small restaurants, while Foodpanda has an extensive database that includes many medium to large restaurants.
Earlier Yod Chinsupakul, chief executive of Line Man Wongnai, said the withdrawal of Foodpanda from Thailand would make the Thai food delivery sector a duopoly for all intents and purposes.
Although the number of players has changed, the market structure remains stable and competition remains at a similar level, Mr Yod said.
The exit of Foodpanda could be a turning point as the remaining players would shift from competing on price to competing on quality, he added.
This would open the opportunity for them to achieve sustainable profit and build up sufficient resources to invest in developing new services.
From the consumer’s perspective, the impact of the Foodpanda exit is minimal as the number of service choices remains the same, especially with Line Man covering all 77 provinces in Thailand, Mr Yod added.
However, some groups of drivers and vendors will need to switch platforms if Foodpanda exits as planned.
Line Man Wongnai said it was ready to support this group to maintain continuity in income generation and prevent temporary unemployment or business disruption.
Earlier Chantsuda Thananitayaudom, country head of Grab Thailand, commented that Thailand’s food delivery market had undergone continuous transformation, shaped by evolving consumer behaviour and shifting competitive dynamics.
Challenges and opportunities
Grab sees this changing landscape as one filled with both opportunities and challenges, Ms Chantsuda added.
While market players may come and go, the core dynamics of the food delivery business remain complex — particularly in terms of maintaining a balance across the ecosystem, which includes users, drivers, merchant-partners and the platform itself.
Successfully managing this ecosystem to deliver mutual satisfaction and value for all parties is a key objective that demands ongoing learning and strategic adaptation.
“Recent developments in the food delivery space have affirmed that the strategies we’ve implemented and refined over the past two to three years are on the right track,” she said. “Our focus has been on sustainable growth, with a strong emphasis on preserving ecosystem balance.”
“This is reflected in the company’s solid performance. We are the only player in the market to remain profitable for two consecutive years.”
Ms Chantsuda said that in the early stages, the industry was driven by aggressive promotions — a phase that created “artificial demand”.
“We have since shifted our focus toward enhancing service quality and the overall user experience,” she said. “We continue to innovate to meet evolving needs and foster user loyalty, including through initiatives such as our GrabUnlimited subscription.”
At the same time, the company continues to use promotions and discounts strategically to keep the platform dynamic and engaging, she added.