Hangry Starts “Brand Aggregator” Strategy, Acquires Local Culinary Brands

Hangry starts strategy ala brand aggregators to complement the culinary offerings in its outlets. In its debut, Hangry "House of Winning Brands" fully acquired Indian food brand developer Accha. Later, the Accha product will be included as a menu variant in the Hangry service.

"It all started when Hangry saw the rapid progress in Accha's growth. After several talks, Hangry and Accha found a common vision, mission, and philosophy in building a brand. This commonality makes us believe that we can grow faster and more efficiently when we merge into one company." Hangry Co-Founder & CEO Abraham Viktor in response to its acquisition of Accha.

In the interview, Abraham said, in the future Hangry will acquire more brand culinary delights -- even so they won't stop producing brand new food independently. As is known, currently at each Hangry outlet there are several brand food that can be ordered, ranging from Moon Chicken, San Gyu, Kopi Dari Pada, and Chicken Koplo -- all four are culinary brands that they developed independently.in house'.

Strategy to be brand aggregators also believed to be able to bring Hangry closer to his goal of serving the global market, so it is possible that in the future there will also be brand food outside Indonesia that will be acquired and included in its ecosystem.

On the same occasion Abraham also said that this year he would intensify further fundraising, considering the culinary business multi-brand such as this is rapidly increasing demand in the market. According to Momentum Works' latest report, throughout 2021 service food delivery in Southeast Asia grew 24,3% resulting in GMV reaching $4,6 billion.

This market growth is also supported by service providers food delivery increasingly diverse. In Indonesia, for national scale players other than GoFood and GrabFood, now there is also Shopee Food to Traveloka Eats Delivery.

“This is a great start for us at Hangry. Currently, we have four brand self-developed and Accha will become brand fifth in our family. Hangry also opens this opportunity for brand others who have the same vision as us to work together in one company. Please visit our website at ishangry.com/investment for more information," he added.

Hangry . business growth

Since starting its business at the end of 2019, Hangry has operated 74 outlets spread across Greater Jakarta, Bandung, Surabaya and Semarang. Last year they also started venturing into dine-in restaurants (dine-in), having previously only served orders via the application food delivery. As of Q4 2021, they also reported that they had managed to sell 10 million portions of food and beverages through their outlets.

This fast expansion was carried out by Hangry after he managed to book a series A funding of 188 billion Rupiah in May 2021. With the initial funding received, more or less the company managed to book capital funds from investors of almost 250 billion Rupiah. Alpha JWC Ventures, Sequoia Capital India, SALT Ventures are the names that also support the fund.

Abraham also believes that Hangry's success in surviving and overcoming the crisis caused by the pandemic is proof of the business model they are running. Fundamentals of business multi-brand formerly known as cloud kitchen – which allows a centralized kitchen to manage several types of food menu brands at once. The existence of a delivery messaging platform also makes this business able to quickly expand.

In contrast to traditional restaurant businesses that require large operating costs when looking to increase their presence in new cities, services like Hangry tend to be more efficient to expand. Instead, the basic challenge is how they are able to present menus that are relevant to the market – in addition to the variety of menus offered.

Derivative business cloud kitchen

By carrying out the basic concept cloud kitchen, Localkitchen also become another local startup that focuses on developing multi-brand culinary. From the start, their strategy was to capture F&B brands that were considered potential. They serve as accelerator hubs, providing financial, marketing, technology, and logistical support to advance brand related culinary.

Approach to be brand aggregators also actually started to be done by other players, including the recently acquired Dailybox Breadlife; also there Foodstory.

Another thing that is also unique to the culinary business that utilizes the concept of cloud kitchen is the application of technology. Its main goal is to provide a unique user experience to its customers. There are various forms, ranging from the application of the O2O concept (order in the application, pick up at the outlet), membership system, loyalty, to payment.