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In Brazil, food delivery could not only be a necessary service, but a business lifesaver too

Don't worry, we speak : Español (Spanish), too!

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Contxto – It’s no news that last-mile delivery startups have been able to take advantage of today’s pandemic. Of course, other industries too. Like edtech or healthtech, they have also made the right moves to get traction out of it. 

In fact, the conversation is well underway to assess the customer retention capacity of these startups.

We even understand the evolution these platforms will experience once this catastrophe ends and the next one comes. Services from platforms like Rappi, UberEats, HugoApp, Parallevar, among others, will become luxuries perhaps not everyone can afford.

However, several weeks after quarantine was implemented and this whole debate developed, Brazilian startup Tagme Food Solutions integrated food deliveries from restaurants into its model.

But, why now?

The Food Solutions of Tagme

For those of you not familiar with this startup, Tagme Food Solutions develops management platforms for restaurants.

From online booking to digital customer loyalty, Tagme Solutions addressed more than one tech implementation need in its Brazilian restaurant niche, in eight years of operation.

Albeit many sources claim that Tagme Food Solutions can be found in more than 50 countries, its LinkedIn profile specifies a total of 23 cities. Likewise, its last two social media posts were 10 months apart from each other. So, its community manager is probably not on top of things. 

But anyway, the Brazilian startup has implemented an additional solution for restaurants that—now more than ever—need to keep their operations afloat. 

Additional to customer management for restaurants, Tagme Food Solutions now has its own food delivery system. 

This platform can be incorporated to social media networks to ease adoption for diners who do not have to download any app. 

Becoming the first domino

This new addition seems strange due to the historical moment we are living. Is it arriving on time? Why now? Wouldn’t an alliance have been easier?

This is my theory:

With people locked up in their homes because of safety issues, restaurants that continue to operate may be doing so, thanks to platforms acting as an intermediate between the business and the consumer. 

If one falls, the other automatically does too. You could say that some industries survive because of their immense dependence on others.

Following the same logic, the simplest example would be that if last-mile delivery startups ceased to exist. Perhaps more than one restaurant would close operations because of its inability to connect with consumers.

For Tagme’s turn to fall it’s as easy as pushing the first domino. 

Tagme Food Solutions is in the middle of this fragile row of dominoes, perhaps at the end even. If one restaurant closes, there is nothing the Brazilian startup could provide to help. 

Noticing this domino effect and how it could potentially affect Tagme Food Solutions, what they may be looking for with this new platform is to relocate themselves in this row of dominoes to a more stable and less codependent position.

This way, their contingency plans depend on their own operations and not on others. 

Maybe it’s not so much a taking advantage thing, as it is a getting away from a vulnerable position thing. 

Related articles: Tech and startups from Brazil!

-CM

Translated by Alejandra Rodríguez

César Miramontes
Communications and digital media bachelor. Multimedia Manager at Contxto. I'm the proud producer of our podcasts "Entre Titanes", "En Contxto" and the soon to come "Contxto Futurismo". However, I believe my major contribution here is to remember the Wi-Fi password...

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