How to Attract Vendors to Your Food Delivery Marketplace: A Step-by-Step Guide

Launching a food delivery marketplace is an exciting opportunity, given the growing global demand for ordering food and groceries online. Whether you're targeting a major urban centre or a smaller city, one of the biggest challenges in the early stages is establishing a diverse and reliable vendor base.

This step-by-step guide provides food delivery entrepreneurs, ride-hailing companies and digital marketplaces with practical strategies to help them attract and onboard the right vendors, fuelling early growth and long-term success.

Step 1: Segment Your Vendors Strategically

Before approaching restaurants, grocery shops and other retail businesses, it's essential to understand the landscape and categorise your potential partners.

Start by researching your target city or region. Create a list of vendors across different categories, such as restaurants, grocery stores, pharmacies, cafés and bakeries. Then group them into:

• TIER 1: Big brands and chains

For example, national or global fast food and retail chains. These vendors often already have delivery options and brand recognition.

• Tier 2: Mid-sized local players

So, these are some of the well-known local restaurants and small retail chains. They are typically underserved by large platforms and are looking to grow.

• Tier 3: Small vendors and start-ups.

These are usually independent eateries, family-run shops and local merchants. They are often open to new technology and eager for new customers.

• Local Heroes: the golden segment

Beloved vendors who are often only available offline and have high community loyalty. Signing them up early helps to build credibility and attract users.

Step 2: Customize Offers for Each Segment

Remember that each vendor segment has unique needs and priorities. Tailoring your offer to each segment will make your pitch more relevant and effective.

Step 3: Use a Vendor Pitch Template

Create a clear and persuasive vendor presentation deck to speed up and professionalise outreach. It should include:

• Your brand and platform overview

• Key benefits for vendors (e.g. earnings, visibility, customer access).

• Commission rates and payment terms.

• Onboarding steps and support offered.

• Case studies from similar vendors or markets.

Step 4: Initiate Contact with the Right Approach

1. Social Media Outreach

Start by reaching out on: Instagram business pages, Facebook Pages, LinkedIn (for business owners or managers)

2. Warm Introductions

Tap into your network for referrals. Your friends, business contacts and suppliers may be able to put you in touch with key decision-makers directly.

3. Cold Calling

Find contact numbers in public listings. Call during non-peak hours and ask to speak to the manager or owner. Keep your pitch short and ask to arrange a brief follow-up meeting.

Step 5: Creative Outreach Tactics

If traditional methods aren't working for you or you want to stand out, try some alternative strategies.

1. Conduct a Vendor Survey (CustDev)

Collect the data and use it to refine your offer and gain insight into vendor pain points.

• Use a simple Google Form to ask vendors the following questions:

• What they like and dislike about the current delivery services.

• What would motivate them to switch?

• Contact details for follow-up.

2. Try a Dropshipping Model

List vendor products on your platform with a markup. With this setting, orders will be automatically accepted via the Playfood software. This means that your Call Center manager can call the restaurant and place a takeaway order, or a courier can come to the establishment and order on site. Fulfil some orders and share the results.

• Order volume

• Revenue potential

  
  

This gives vendors a clear picture of missed opportunities and potential growth.

3. Hire a Local Sales Representative or Agency

Recruit someone who understands the local market.

They can:

• Visit vendors face-to-face

• Speak the local language

• Build trust through personal interaction.

  
  

4. Attend Local Food and Retail Events

These events are ideal for showcasing your app and making direct connections:

• Food festivals and markets.

• Business expos and trade shows

• Restaurant and retail supplier events

5. Partner with Industry Stakeholders

These groups often have strong relationships with your potential vendors.

• POS system providers

• Packaging suppliers

• Food delivery couriers

• Restaurant associations and chambers of commerce.

6. Advertise Locally

Run targeted ads in local newspapers and online classifieds, community forums and groups, local radio or podcasts.

7. Collaborate with Influencers

Partner with food or lifestyle influencers to promote your vendor recruitment campaign. Encourage them to share behind-the-scenes content, interviews or exclusive offers for businesses joining your platform. This will not only be an amazing opportunity to make valuable connections with vendors, but also a way to engage your potential target audience before the app's official launch.

A strong vendor base is at the heart of any successful food delivery business. By segmenting your vendors, customising your offering and employing traditional and creative outreach methods, you can build a marketplace that attracts businesses and users alike.

These strategies can be adapted and scaled to suit your needs, regardless of your location. With the right tools, communication and persistence, you can launch your platform with a strong team of loyal vendors ready to serve your customers.

Get in touch with Playfood team

Ready to start? Use the Playfood platform to simplify onboarding, manage vendor relationships, control customer satisfaction and grow your food delivery business with confidence.