“Funding!” Foodtech firm ChatFood from the UAE has raised $3 million for Saudi growth.

  • Aug. 1, 2022
“Funding!” Foodtech firm ChatFood from the UAE has raised $3 million for Saudi growth.

ChatFood, a UAE-based omnichannel ordering and data-driven marketing platform, raised $3 million in a bridge round led by Antler, with a portion allocated for its Saudi Arabian partners.

6G Capital, the family office arm of India-based agro commodities major Allana Group, and previous investors such as Guillaume Pousaz’s Zinal Growth also participated.

ChatFood has raised $7 million overall, including a seed round funded by UAE-based BECO Capital and Wamda Capital in 2021. ChatFood, a mobile ordering and marketing platform for hospitality firms, is trying to capitalise on social media trends, and its first target is Saudi Arabia.

Benjamin Mouflard, co-founder and CEO of ChatFood, stated Saudi Arabia has the world’s greatest social media presence with 25 million active users, or 72% of the population. Together with our Instagram integration, we want to be the pioneers of seamless social media meal ordering.

Mouflard and his colleagues are also trying to launch more broad product development projects in the nation. The hotel business is expected to be worth over $25 billion by 2026. Large dine-in locations, hotels, and events debut every month in Saudi Arabia, Mouflard noted. “Due to rising food costs and a lack of F&B talent and labour, they will leverage digital technology to discover efficiencies and provide unique customer experiences. In 18 months, we want 300 top venues to have a digital ordering and payment system.”

ChatFood has helped over 3,000 hospitality venues in the Middle East generate $100 million in sales and turned over 1 million platform visits into direct customers, resulting in a 260 percent year-on-year increase. ChatFood’s NFC/QR ordering system has increased average expenditure by 35%, gratuities by 3X, and labour efficiency by 25%.

These accomplishments drew Antler’s notice and led to its investment in the business. Christopher Dix, Global Capital Director and Head of MENAP at Antler, stated, “A single platform that incorporates digital ordering, payments, shipping, analytics, and marketing is crucial.” “ChatFood helps F&B and hospitality companies to boost profitability and manage their venues more effectively while maintaining an excellent client experience. ChatFood has the perfect team to develop the best omnichannel ordering and payments system, and we look forward to helping them consolidate their MENAP leadership position.”

As ChatFood looks to replicate its prior accomplishments, Mouflard knows he must keep on top of digital trends. “The MENA – the GCC nations in particular – has the world’s greatest young population, and this is a tech-savvy, convenience-obsessed generation,” he said.”We want to provide more businesses access to the tools they need to cater to this changing customer base. Digital and alternative payment methods are becoming the standard, therefore we’ll continue to assist our partners.”

Mouflard is cautious about one visceral component of ChatFood’s next phase despite the additional funding and concentration on technology. A lot of today’s customers value customization and personal interaction, therefore he said that he planned to use the revenue raised from the sale to improve the marketing capabilities of his products.