Foodpanda has taken a major step in Singapore by automating its “dark stores”-dedicated retail warehouses that support its Pandamart cloud grocery service. The company is deploying robots and artificial intelligence (AI) to optimize storage, inventory management, demand forecasting, and order processing. This high-tech approach allows Foodpanda to tailor each micro-fulfilment center’s inventory to local demand, ensuring popular products are always in stock and available for rapid delivery. For example, if a certain vegetable sees high demand in a specific area, Pandamart will adjust its inventory mix and quantities accordingly to better meet customer needs.
The automation extends to warehouse layout and order picking, significantly boosting operational efficiency and speeding up the fulfilment process. However, human staff remain essential for quality control, especially for fresh produce, as they inspect items, minimize waste, and handle special requests or damaged goods. Foodpanda’s 24/7 warehouses ensure round-the-clock fulfilment, and by owning its inventory, the company can secure faster procurement and consistent availability of key products like meats and vegetables.
Singapore’s online grocery market, valued at USD 1.1 billion in 2024, is expected to grow by 8% annually over the next eight years. Foodpanda is adapting to this growth by expanding its delivery fleet with more cars and vans to handle larger basket sizes and higher order volumes. The company also analyzes customer behavior on its app to offer targeted discounts and further personalize the shopping experience. Some Pandamart locations now stock more than 5,000 unique products to meet diverse customer preferences.
Beyond groceries, Foodpanda has expanded its retail marketplace, Foodpanda shops, partnering with over 200 major retailers across Asia-including DFI Retail Group in Singapore. Foodpanda’s focus is on making grocery delivery as significant as food delivery, leveraging technology and data intelligence to enhance the experience for customers, merchants, and delivery partners alike.
(Source: Retail Asia)