Etaoshi, an online food ordering and delivery platform, has received nearly $10 million of Series A funding led by Highland Capital Partners and followed by several domestic VCs, disclosed Zhang Yang, founder of the company (source in Chinese).
The capital will be used to expand businesses in other first- and second-tier cities beyond its home turf in Beijing, Zhang added.
The company offers different kinds of services under brands of Etaoshi, Etaoding, Etaoke and Etaosong, etc. These services fall into two categories:
1. 2B as Ecommerce Platform
2B service is the business focus of Etaoshi, which helps traditional restaurants to construct ecommerce platforms and analyzes their data with homegrown data management system. The company’s customers include both large chain restaurants and uprising catering companies and brands.
2. 2C as Consumer Online Food Ordering Service
In Beijing, nearly 3,000 restaurants under around 600 brands are settled in Etaoshi. The average consumption amount per order is around 80 yuan ($13.05). The platform processes around 4,000 orders in Beijing and over 7,000 orders nationwide per day.
In addition to commissions from both 2B and 2C business, Etaoshi also charges for system services from 2B customers. 2B sector accounts for half of the company’s total revenue.
Similar companies are food delivery service Daojia and online food ordering site Ele.me, which just announced $25 million of Series C funding led by Sequoia China. Please click here and there for more interesting O2O local life startups.