By Andy Silvester
Fried chicken favourite KFC is ending its relationship with Deliveroo in a blow to the London-listed delivery outfit’s customer offering.
News of the change has been circulated to KFC staff, with the restaurant choosing to focus its efforts on Uber Eats and Just Eat, City A.M. has learned.
The company told staff it intends to increase the percentage of orders it receives directly “alongside better commercials with aggregators.”
Industry sources told City A.M. that fast food outlets such as KFC and its bigger cousin McDonald’s are amongst the most popular restaurants on delivery platforms.
KFC currently also holds a partnership with rival delivery service Just Eat.
The move comes as Deliveroo increasingly focuses on adding to its rapid grocery delivery offerings, having added partnerships in recent months with Iceland and Waitrose.
The British firm, which floated on the London market two years ago, has just begun showing signs of recovery after a lull in sales after the pandemic.
In a third quarter update, the company said that revenue in its UK and Ireland arm grew by a steady three per cent to £297m, but internationally it fell by seven per cent.
Deliveroo also recently upped its profit guidance for the year to a range of £60-80m, ahead of a previous range of £20-50m.
The company’s share price closed down 1.44 per cent today.
A KFC spokesperson toldCity A.M: “KFC has confirmed that it will be parting ways with Deliveroo, so from 26 October 2023 customers will no longer be able to order its finger lickin’ fried chicken on the Deliveroo platform.”
“However, KFC will still be available through Uber Eats, Just Eat and on KFC Delivery – or by visiting a KFC restaurant in-person.”
They added: “KFC will now be focusing its delivery offer on its own-delivery channel and with aggregator platforms Just Eat and Uber Eats – but wants to thank Deliveroo’s riders for their hard work in helping to deliver its finger lickin’ fried chicken to fans across the country.”
City A.M. has contacted Deliveroo for a comment.
