Foodbomb: Streamlining the Customer Experience with Embedded Financing

The Sector

Hospitality venues around the world often survive on low profit margins so they need to manage cash flow carefully. When purchasing food and drink for their establishments, it is common for buyers to be asked for payment upfront by credit card or bank transfer. This can pose a real challenge when cash flow is an issue.

Suppliers previously offered credit to their buyers, but most withdrew this service during COVID. Those that have continued to offer credit have long, manual application processes which venues have to complete for every supplier.

The Challenge

Foodbomb is the smarter ordering solution for hospitality. It is a transparent and convenient marketplace where venues can order 50,000 items across 19 categories on one easy-to-use platform. It enables cafes, restaurants and caterers to spend less time on paperwork and more time in the kitchen.

Foodbomb had been in business for four years when it entered into discussions with TreviPay. Its business objective was to increase customer stickiness and share of wallet.

“Venues were always asking for credit accounts to address the issue of strained cash flows and we know that the more categories a venue orders from on Foodbomb, the more likely they are to keep using it. By enabling venues to order everything they need with one credit application, we make it easier for them to order from multiple categories and thus increase our share of wallet and customer retention,” said Paul Tory, Founder and CEO.

Foodbomb understood that offering its customers a line of credit for all its suppliers could help achieve its objectives. “We had a handful of accounts for whom we were already offering a credit line internally,” said Tory, “but we were reluctant to take on the associated risk or complex processes on a larger scale.”

Foodbomb went through a rigorous process to evaluate 12 possible vendors and find the right fit for the business.

The Solution

“There were a number of reasons why we chose TreviPay,” said Tory. “Integration was an important factor. We have a number of processes including our Xero accounting system that we rely on, and we needed absolute assurances that it would all work together without friction.”

The white-label solution enabled Foodbomb to rebrand the payment gateway as its own. This was imperative for Foodbomb to deliver a seamless experience for the customer.

Foodbomb chose TreviPay for several reasons:

• Better UI and customer data extraction options than competitors
• Faster and simpler account registration and onboarding compared to competitors
• Proven global expertise and a strong track record of delivery made TreviPay stand out from its competitors and appealed to Foodbomb’s growth ambitions
• Excellent documentation meant Foodbomb quickly understood the integration process and scope of work
• A comprehensive feature set means Foodbomb can build additional functionality in the future

Benefits:

• Foodbomb can now offer credit and payment on terms without taking on risk and can keep expensive internal resources focused on revenue-generating processes instead of manual tasks
• No more late payments from customers as TreviPay underwrites the credit
• TreviPay integrates into the Foodbomb accounting system
• Regional/international expansion support if needed