Meituan Boosts Food Delivery Infrastructure Amid Intensifying Competition: What It Means for You

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Meituan Boosts Food Delivery Infrastructure Amid Intensifying Competition: What It Means for You

Chongqing – China’s food delivery scene is changing. Big players like Meituan are shifting from online to offline, investing in how on-demand services reach people.

In July, Meituan introduced the “Raccoon Canteen.” It started in December and has quickly grown to 10 locations in cities like Beijing and Hangzhou, with over 100 vendors serving many customers. This project uses a “farm-to-table” model that’s easy for people to trust.

Unlike standard food delivery, Raccoon Canteen acts as a collective kitchen. Multiple vendors work from the same kitchen but don’t offer dine-in options. Meituan has plans to open 1,200 of these locations in the next three years.

Customers can order from different vendors at once on the Meituan app or through a WeChat mini-program. They pay one delivery fee for the entire order, simplifying the process. Meituan provides the kitchen space and equipment, so vendors need only to bring in their own ingredients and cooking tools.

The manager of Meituan’s facility in Beijing explained to Jiemian that they aim to create a transparent food safety system. Their model tracks food through six stages: from origin to the consumer’s plate.

One of the strengths of Meituan’s Raccoon Canteen is its partnerships with reliable suppliers. Companies like Yihai Kerry and Charoen Pokphand Group help ensure that ingredients are of high quality. Merchants benefit from simplified sourcing, which saves money and maintains standards.

Transparency is vital. Merchants are part of a system that tracks food from origin to table. Safety logs and live kitchen cameras enhance trust. Meituan pledges to address customer service issues rapidly, within 30 minutes.

The initial setup cost for merchants is around 50,000–60,000 yuan (about $6,970–$8,364), making it easier for small businesses to join.

According to market consultancy iResearch, China’s food delivery market will jump from 125 billion yuan in 2015 to about 1.5 trillion yuan by 2024. Also, 592 million users are expected to engage with these services by the end of 2024, meaning food delivery will become even more integrated into daily life.

In busy cities, delivery-only kitchens are popping up in office spaces. But hidden kitchens have raised concerns about hygiene and safety. Zhao Quanwu, a professor at Chongqing University, believes the Raccoon Canteen model can improve safety by increasing transparency, building consumer trust, and helping businesses cut costs.

As companies like Alibaba and JD.com vie for the food delivery market, competition is fierce. Zhao sees the Raccoon Canteen as beneficial for everyone involved: merchants, delivery riders, consumers, and the platform. Still, he acknowledges that integrating orders across platforms could be tricky for merchants.

Moreover, Zhao believes that a real-time logistics ecosystem is crucial for ongoing success. This ecosystem should involve all players: platforms, merchants, delivery personnel, and even local governments.

Looking ahead, Raccoon Canteen could focus on densely populated areas. Collaborations with community food services could help serve groups like seniors and delivery riders, turning business districts into more vibrant food hubs.

The Raccoon Canteen is not just a food delivery service; it’s a step into a new way of thinking about food, trust, and community. By focusing on transparency and efficiency, it could reshape how we view food delivery long-term.



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