With the covid-19 still looming in our presence, it has affected us greatly! People like you and I had to take pay cuts or turn to other sources of income.
Today, I am going to do a detailed analysis on being a Foodpanda delivery rider and whether it is worth it for you! Also added in the NEW Dynamic Service Fee structure.
Food Deliver Competition Is Intense
Circuit breaker period meant that there were increased food delivery orders.
The weird part is most who were already doing foodpanda riding actually earned less.
They faced increased competition with the influx of new riders during the coronavirus outbreak.
Quick Run Through Of How Much You Roughly Earn Delivering With Foodpanda
According to The Straits Times, doing 22 trips a day for 9 hours at $6.50-$7.50 per delivery can get you about $4,290 to $4,950!!
That’s even more than the salary of a diploma holder!! Wow!! Makes you think of being a Foodpanda driver?
Before you rush down and start signing up! Let’s break it down!
In order to get above $4,000 salary, you must make 22 trips a day for 30 days a month without any breaks!!
Now that is very hardcore!!
But what happens when you do 22 trips a day at 9 hours for 20 days a month, you will roughly earn about $2,860 to $3,300!
You might be thinking it is still more than a diploma holder rite! Think again! Personally, I have ordered from many food delivery sites and they always take more than 45mins to 1 hour to deliver my meals!
Let’s say you make 2 deliveries per hour for 9 hours which is 18 trips per day for 20 days a month, you will roughly earn about $2,340 to $2,700 per month!
That is without minus your petrol if you are riding a motorbike!
Factoring all these, it is not so easy to earn that amount after all!
NEW Dynamic Service Fee With Foodpanda Calculations!
Foodpanda used to be on a order-based service fee structure. It basically means the more delivery you do, the more pay you get.
Below is the NEW Dynamic Service Fee structure. Click here to read.
From 3rd July2020 onwards, the batch is slightly changed. Click here to read.
In my opinion, it gives you firstly more flexibility especially before accepting an order. You can decide to reject and you can see how much you can make first.
Please remember to use the Accept/Reject feature wisely since your Acceptance Rate criteria is still equivalent to a third of your rider batch score (30%).
Every Monday morning, your batch will be updated in Roadrunner.
Your batch number determines the shift booking and service fees category you've been placed into, with Batch 1 receiving the highest dockets and being the first batch to book their shifts.
Secondly, It could pay you more with the NEW distance factor. Refer to example above.
However, we'd need to hear experience from riders to know if short distances conversely pay less now...
Three Other Benefits Foodpanda Provides For Riders
Foodpanda has several benefits when it comes to joining them!
1) Quest Incentives
The Quest Incentive is only applicable to riders with at least 95% Acceptance Rate.
Newbies and inactive riders are still eligible. However, only shifts with a start date and time within the quest period will be considered for acceptance rate tabulation.
Completed orders are counted based on the order accepted timing. The order accepted timing must be within the quest period. For more information, read their FAQ.
Do take note that the image above has not been updated as Foodpanda updates their incentives weekly. Follow Foodpanda telegram with more than 17,000 members here.
2) New Joiner Incentive
From 5 June 2020 Onwards, new joiners can get up to $100!! *Do check if still available.
3) Refer-A-Friend Incentive
As you can see, Foodpanda offers great benefits for those planning to join them as well as great referral benefits.
Honestly, with how the economy is right now in Singapore, it won’t be difficult to fulfil these orders as well as to find friends that you want to refer to. For more information on the incentives, you can read their FAQ.
Foodpanda also provides a protection scheme with NTUC income to promote road safety from 9th September 2019.
Under this protection scheme, you have some coverage if you accidentally injure another person or damage their property while you are on shift with Foodpanda. For more information here FAQ.
Things To Consider When Joining Foodpanda (Very Important)
The biggest drawback of being a Foodpanda rider (or any self-employed job) is that there is NO medical leave or CPF!
I feel CPF contribution is very important as it is required when purchasing a home and it also provides a safety net when you retire!!
And they are an increasing trend of food delivery riders getting into an accident!! Some examples are below.
Personally, I have friends who are riders/drivers and they have gotten into accidents such as falls when they speed to deliver food on time.
In Summary, My Personal Suggestions
The potential money to earn is quite tempting but the energy and risk is there.
Delivering with Foodpanda or any food delivery may appeal more if you are a student looking for a side job. The opportunity cost is less and starting out is not difficult.
If you are a working adult like me with some spare time, I would suggest finding freelance work instead that has LONG TERM VALUE. Something that gives you valuable work experience or something that can grow into a small business!
In addition, consider doing a post-grad course to further your career and focus on building passive income with investments.
* Join our telegram: https://t.me/theastuteparentif you'd like to see financial articles and investment videos from us.*
Last updated on July 5th, 2020 at 09:59 am