Noon founder vows to alter the F&B delivery playing field

New service to be rolled out in the coming months as part of Noon.com platform
Noon.com

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Mohamed Alabbar has vowed the country’s F&B industry “will no longer be held ransom by aggregators” with the launch of Noon Food.

As previously revealed by Arabian Business, the new service is to be launched through the Noon.com platform aimed at supporting local food and beverage businesses, and will be rolled out “in the coming months”.

Addressing a webinar with local F&B representatives, Alabbar, the founder of Noon.com, said: “When the virus hit, our F&B industry had little choice but to turn to aggregators who were charging up to 35 percent commission structures.

“Can we, as businessmen, survive with this? No. We have been held ransom by food aggregator platforms. And that's not acceptable.

“Our F&B industry is a part of the beating heart of this economy, and it has been severely impacted. We must do all we can to support and protect it. This is out of love for our businesses, families, nation and economy. We must think beyond profit.”

As well as the 35 percent commission fees charged by some operators, in some instances platforms also applied charges to consumers – an average of AED5 per order.

Noon Food, which will be built into the Noon app, will be a restaurant-first platform, providing a simple and equitable programme and promising “fair commissions” that will “dramatically alter the playing field for F&B deliveries”. The platform will also have additional incentives for businesses who choose to onboard with them.

Alabbar added: “We will not allow food operators to be held at ransom. We will not accept that. We will work with you fairly and openly. Our people, businesses and region deserve better.”

Source: Arabian Business

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