Nigerian Food Delivery Startup Chowdeck Secures $2.5M Funding to Fuel Growth
Nigerian food delivery startup Chowdeck has announced that it has secured $2.5 Million in funding to fuel its growth across Nigeria.
The funding round includes investments from prominent investors like Ato Arikawe (CTO of Thrive Agric), Simon Borrero and Juan Pablo Ortega (co-founders of Rappi), Shola Akinlade and Ezra Olubi (Co-founders Paystack), Y Combinator and Goodwater Capital.
With the newly raised funds, Chowdeck intends to strengthen its market leadership in its current operating regions before venturing into new cities across Nigeria. Additionally, the injection of fresh capital will empower the food delivery company to enhance its operations and provide an improved customer experience.
Launched in October 2021, Chowdeck prides itself as Africa’s easiest and fastest on-demand food delivery service. The company says it makes a profit from each delivery with more than a 25% take rate per order.
Upon entering the food delivery industry, Chowdeck encountered fierce competition. However, the company identified a key opportunity: its competitors had an average delivery time exceeding 30 minutes. Leveraging this insight, Chowdeck aimed to distinguish itself by offering a shorter turnaround time for deliveries.
The startup employs automated processes to streamline customer-rider connections, utilizing in-house data for daily demand forecasting and required supply assessment. Its logistics setup not only benefits small food vendors and larger quick-service restaurants like Burger King and Chicken Republic also extends to supermarkets such as ShopRite and pharmacies.
Chowdeck is on a mission to empower restaurants not just in Nigeria, but Africa to deliver meals to customers anywhere and anytime.
