Pioneering food delivery service Menulog is being killed off at the end of the month by its European owners after nearly 20 years, most likely a victim of the rapid local expansion of rival Uber Eats.
The business was founded in Sydney by Dan Katz, Leon Kamenev and Kevin Sherman in 2006.
A decade later, Startup Daily broke the news that it was merging with Catch of the Day owned EatNow in February 2015. Just three months later, the business was sold to UK firm Just Eat in 2015 in a deal worth $855 million. It changed hands again in 2020 to become part of Dutch Just Eat Takeaway.com (JET).
Last orders come in a fortnight at midnight, Wednesday November 26.
“While Menulog has a proud 20 year history, it has been navigating challenging circumstances,” JET said in a statement.
“This strategic decision reflects our focus on accelerating growth and investments in other markets and to deliver the best experience for customers, partners and couriers.”
The closure effects around 120 employees, who the company said will receive “generous redundancy packages above legal requirements”.
Dutch ecommerce investor Prosus launched a takeover bid A$7.1 billion takeover bid for Just Eat Takeaway in February, completing the acquisition last month.
JET shut down Menulog’s New Zealand arm last year. The Australian operation made job cuts in November 2022 just weeks after Deliveroo shut down in Australia.
A Menulog spokesperson said at the time that the business is on solid financial ground and had “the scale to continue to maintain a strong position in the market and to run a sustainable business.”
Three years on, it appears the new owners, Prosus, have a differing view.
Menulog MD Morten Belling said it was “a tough day” for the business and urged customers unused vouchers and credits to redeem them before November 26.
The closure comes seven months after Uber Eats announced plans to expand into 67 new regional locations across Australia. Uber’s ridesharing and delivery services generated $3.8 billion in revenue in 2024, at a $1.98bn gross profit. With the tech platform’s regulatory filings don’t disclose how much of that comes from Uber Eats, it’s considered lucrative, topped up by $150 million in advertising as restaurants market themselves on the Uber Eats app.
Food delivery in Australia is now littered with the bones of failed ambitions. Grocery delivery startup Voly also shuttered in November 2022 (its assets acquired by Our Cow), just six months after the rival Send went into administration. Sydney’s Quicko and Victoria’s Delivr also tanked in 2022.
In March 2022, news broke that Quicko, which promised deliveries within two hours, had gone under.
Milkrun closed in May 2023 and then was revived a few months later when it was acquired by Woolworths.
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