Deliverect, which makes software that integrates orders from multiple third-party delivery services into a restaurant’s POS system, announced today that it has raised a €16.25 million (~$17.63 million USD) Series B round of funding. EU-Startups was first to report the news, writing that the round was led by OMERS Ventures, with participation from Newion, Smartfin and the company’s founders. This brings the total amount raised by Deliverect to €19.9 million (~$21.58M USD).
Based in Belgium, Deliverect‘s software alleviates the so-called “tablet hell” situation many restaurants face when partnering with third-party delivery services. Typically, each different delivery service provides the restaurant with its own tablet to process incoming orders. Those orders then have to be manually inputed into the restaurant’s main POS system. The more delivery services a restaurant adds (Uber Eats, DoorDash, Deliveroo, GrubHub, etc.), the more confusing this proposition becomes.
Deliverect’s software acts as a middleman in this scenario. It’s software ingests the third-party delivery orders and unifies them into a single stream that automatically goes into the restaurant’s POS system. The result is that restaurant staff don’t need to monitor multiple platform for incoming orders.
Deliverect uses a SaaS model and as EU-Startups writes:
So far the startup has processed more than 3.5 million orders, supporting UK brands like Absurd Bird, You Me Sushi, Taqueria, and Crêpeaffaire. In addition, the company works with Unilever, which through Deliverect is able to integrate with Deliveroo and Uber Eats and deliver Ben & Jerry’s and Magnum ice creams directly to customers.
Deliverect says it will use its fresh funding for product R&D, to strengthen its position in Europe and expand internationally. The company will face tough competition here in the U.S., where a number of entrenched players offer the same third-party integration services. Ordermark, Chowly and Olo are just a few of the startups promising to douse the flames of tablet hell (almost all of which are running pricing specials now to entice new, cash-strapped customers).
But there is a bigger, more existential question that dominates any talk of restaurant tech these days, and that’s the very future of restaurants themselves. Here in the U.S., at least 3 percent of restaurants have permanently closed. Even delivery services haven’t been spared as Deliveroo just laid off 350 people (15 percent of its staff). And while delivery and takeout have been a lifeline for some restaurants, this pandemic has restaurants re-evaluating their entire tech stack to see exactly what they actually need.
Deliverect’s ability to raise this much money right now speaks to at least some optimism in the world, which, is a delivery we can all welcome.
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