Manila-based MadEats is more than a ghost kitchen startup – TechCrunch
MadEats, Y Combinator alum, claims to be the first “full-service” “delivery-only” start-up in the Philippines, complete with its own virtual storefront, ghost kitchens, and fleet of drivers. More than that, they also conceptualize and launch their own brands, making them a group of delivery-only restaurants.
The company announced today that it has raised $1.7 million in seed funding led by JAM Fund, Crystal Towers Capital, Starling Ventures, MAIN and Rebel Fund.
Launched in November 2020, MadEats currently has three ghost kitchens: one in Makati, one in Quezon City, and one in Manila. They aim to cover more of North Metro Manila and eventually open physical storefronts as well.
Prior to founding MadEats, CEO Mikee Villareal told TechCrunch the team worked for some of the top restaurant groups in the Philippines, launching, managing and working on more than 20 restaurant concepts. “At the start of the pandemic, we were asked to operationalize these restaurants for pre-delivery due to strict quarantine restrictions,” she said. “Restoration concepts have been heavily affected and we have seen the need for our business.”
She added that ghost kitchens have a different cost structure than traditional restaurants, which gives the team the freedom to create product concepts that are easier to deliver.
MadEats now has six brands and is expanding its portfolio: Yang Gang (Korean fried chicken); Chow Time (Chinese takeout); Fried Nice (fried rice); Coffee point; MadBakes (a test kitchen for desserts) and MadMakes for bulk orders, corporate packages and packaged meals. The company is currently adding other brands, including smash burgers and Japanese dishes.
MadEatsOS, its suite of internal tools, is what makes the MadEats approach scalable. It includes an automated order routing system that ensures orders are fulfilled at the nearest location, and analytics that show which brands and food items are performing well.
The company has its own MadEats riders, and as demand for orders increases, it has also worked with third-party logistics providers. It’s available on third-party apps like GrabFood and Foodpanda, but Villareal said more than 50% of its orders come from its own platform, Madeats.co.