Nokia and Skype strongmen invest in Finnish food delivery app

79
Source:   —  April 16, 2016, at 12:45 PM

How to connect the network Even with billion dollar behemoths already in the food delivery market, Helsinki-based food delivery app Wolt has managed to lift million fresh funding from heavyweight Nordic investors including the founder of Skype and the chairman of Nokia as the company announced its Stockholm launch on Friday.

Nokia and Skype strongmen invest in Finnish food delivery app

Dennis Mitzner lives in Tel Aviv and writes about startups and technology trends.

How to connect the network

Even with billion dollar behemoths already in the food delivery market, Helsinki-based food delivery app Wolt has managed to lift million fresh funding from heavyweight Nordic investors including the founder of Skype and the chairman of Nokia as the company announced its Stockholm launch on Friday.

“We are presently expanding in the Nordics and in the Baltic region. The funds go to the expansion – hiring the launching teams for the new cities and expanding within new countries – and product development at the HQ,” said Juhani Mykkänen, Wolt’s COO and co-founder.

EQT Ventures led the new circular with new high profile backers Niklas Zennström, the founder of Skype and Ilkka Paananen, the CEO of Supercell. Nokia’s chairman Risto Siilasmaa who participated in the company’s previous round, was portion of the famous investor lineup.

As a result of the new investment, Kees Koolen, the former CEO of Booking. com will connect the company’s board of directors.

In all, Wolt has raised $14 million.

Wolt’s previous rounds included Inventure, Lifeline Ventures, Pii Ketvel, Supercell co-founder Visa Forsten and Poju Zabludowicz, a real-estate tycoon and one of the wealthiest people in Finland.

Food delivery space heats up

Wolt operates in a crowded space with companies such as Delivery Hero – valued at $3 billion, – Just Eat, Get Eat Easy, Deliveroo, Grubhub, Seamless and Foodora all competing for the market share.

“There are a no of more established players globally. I’d declare our biggest competitor is really the corner grocery store where people go every week without really thinking about it. The food industry is around 0.5 percent digital in any form (US data). I’d declare it’s a beautiful unexplored market still exterior delivery of pizza,” said Miki Kuusi, the CEO and co-founder of Wolt.

The delivery space has attracted huge investments recently with Alibaba investing $900 million on Chinese food-delivery app Ele. me and earlier in April, London-based on-demand delivery service Jinn picked up $7.5 million. In late March, French delivery service Frichti raised $13.4 million to invest in its own infrastructure to serve more clients.

Although Wolt faces some formidable competition, the company has achieved a significant market share in Finland, a country of only 5.4 million people.

“We have one hundred 000 registered users and four hundred fifty restaurants,” Mykkänen said.

That matters in a local market in the frozen North, where delivery apps are a shoo-in for cities and countries – such as Finland – with long winters and comfort-loving populations.

The US alone has a bustling $70 billion takeaway and food delivery market of which only $9 billion is currently online.

Wolt, love most delivery apps, takes a slice from each delivery.

“We get a slice of a few % for every takeaway transaction and a larger slice for every delivery transaction. There are number monthly fees or signup fees for the merchant. For the customer the app is free and everything costs the same than in the restaurant”, said Mykkänen.

As portion of Friday’s investment news, Wolt also announced its expansion to Stockholm where it'll start with thirty-two restaurants. Stockholm is the company’s first city exterior of Finland.

“We have a grand launch team presently in space in Stockholm and are looking to hire people in other Nordics as well. It’s an exciting time for us”, said Kuusi.

READ ALSO
Mentally ill 'Human Ken Doll' who spent $400G on plastic surgery suffering from rotting nose

Mentally ill 'Human Ken Doll' who spent $400G on plastic surgery suffering from rotting nose

9news. com. au reported that Rodrigo Alves, thirty-two, has body dysmorphic disorder, or dysmorphophobia, a chronic mental illness marked by an obsession over physical appearance and body image.

50
Bernie Sanders Says He Met With Pope Francis

Bernie Sanders Says He Met With Pope Francis

He said he was honored by the meeting, and that he told the pope he appreciated the message that he's sending the world about the necessity to inject morality and justice into the world economy.

30
Saturday’s TV / Radio listings

Saturday’s TV / Radio listings

m. CBSSNBASEBALLSeattle at N. Y. Yankees10:05 a. m. MLBKansas City at A’s1:05 p. m. CSNCAToronto at Boston1:05 p. m. FS1Atlanta at Miami4:10 p.

72
Friday’s High School Scoreboard for April fifteen, two thousand sixteen

Friday’s High School Scoreboard for April fifteen, two thousand sixteen

Trail00000—016Kane and Stiltner; Vargas, Ventura (five), Huron (five) and Ruelas. Top hitters: J–Baker 2x4, 2B; Isola 2x2; Alameida 2x3; Hagopian 2B.

103