In an attempt to lock in resteraunts, Just Eat has acquired IPad POS system Practi. The online marketplace for food delivery is now under increasing pressure from several major competitors, not least Uber and Deliveroo. In an attempt to stay ahead of the competition, the firm recently acquired Practi, a software service providing independent restaurants and small chains with restaurant management systems and tablet-based Point of Sale (POS).
The acquisition cost is an initial £6.7 million ($8.7 million), with further payments dependent on certain commercial milestones being achieved by the business.
Just Eat seems hopeful that this acquisition will strengthen its hold on restaurant partners on its platform. Through either deploying new tablets into new restaurants or by incorporating Practi’s software on Just Eat’s Orderpads, the company hopes to “lock in” restaurants. When restaurants use these Orderpads, Just Eat will become a crucial part of the restaurants structure because the Orderpad incorporates POS, cash and card payment handling, inventory management, kitchen operation and employee management systems, all within a single software package.
Just Eat previously acquired Flyt, a company that connects Just Eat’s platform to restaurants chains’ existing POS systems. Practi’s platform is different and will, instead, be used to target restaurants that do not currently have POS and restaurant management systems.
The founders of Practi; Edan Folman and Ohad Folman, will stay on, continuing to manage the business.
Peter Duffy, Just Eat’s interim CEO, gave a statement saying: “We are very excited about the acquisition of Practi. We found that many of our restaurant partners were calling for this type of software to help manage their businesses. It will play a vital role in supporting small and medium sized restaurants as it transforms how they run their restaurants and deliver the best service for customers through Just Eat.”