SF Intra-city(09699.HK) Expand Its on-demand Delivery Business in Hong Kong in July

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Rider App "SoFast Rider" Launched
Hourly Revenue Up to HKD $300

HONG KONG, June 26, 2024 /PRNewswire/ -- Hangzhou SF Intra-city Industrial Co., Ltd. ("SF Intra-city", Stock Code: 9699.HK), China's largest third-party on-demand delivery service provider, is pleased to announce that it will develop and expand its intra-city on-demand delivery services in Hong Kong, China in July 2024. Leverage its extensive industry experience and operational strengths of on-demand delivery industry accumulated over the years, SF Intra-city aims to provide better services to merchants and consumers.

Together with recent recruitment postings on various platforms, SF Intra-city is actively recruiting a large number of rider partners, including walkers, bicycle riders, drivers of motorcycle, passenger car, and van in Hong Kong. The rider-specific mobile application (App), "SoFast Rider", for the Hong Kong region has been officially launched gradually and has been  available for public download on major mobile app stores. SF Intra-city will launch its services in Hong Kong under the "SoFast" brand.

The recruitment postings show that unlike food delivery services, the platform's delivery tasks will primarily focus on documents, small parcels rather than food delivery. The per-kilometer income for deliveries is twice as high as other food delivery platforms, and the hourly revenue can reach up to HKD $300. Riders can choose delivery tasks based on their own schedules without any fixed online time limits, allowing them to freely decide how many tasks to accept. Additionally, they can participate in lucrative incentive programs.

It is reported that SF Intra-city has always regarded its riders as primary partners, placing the utmost efforts to protect their rights and interests, providing them income opportunities and long-term development. This initiative aims to offer Hong Kong riders the opportunity to "earn flexibly, accept orders freely, enjoy stable order volumes, and receive generous rewards," fostering a mutual beneficial ecosystem.

SF Intra-city has introduced a range of equipment for Hong Kong riders featuring the "SoFast" logo, including T-shirts, vests, hand carry cases, backpacks, sun protection clothing, and rain gear. Currently, the first batch of registered riders will receive "SoFast" basic gear (T-shirt or vest) for free, and those who become pioneer riders would have the chance of receiving the  full "SoFast" gear set for free.

In recent years, the on-demand delivery market in mainland China has experienced rapid development. According to data from iResearch, the market size of on-demand delivery industry in mainland China is expected to maintain high growth from 2023 to 2028, and is projected to RMB 810 billion by 2028. Data from the Hong Kong Census and Statistics Department shows that revenue from local courier activities business in Hong Kong recorded a rapid growth of 116% to HKD 2,253 million during 2012 to 2020. This indicates significant room for penetration and commercial development in Hong Kong's on-demand delivery market in the future.

The expansion of SF Intra-city's on-demand delivery business to the Hong Kong market marks an important milestone for the Group in its overseas expansion development. Last year, the Group's business continued to grow healthily, pioneering the industry in achieving profitability, fully demonstrating the release of the Gorup's economies of scale and network effects in the mainland business. Moreover, the Group's differentiated services attracted high-value orders while technology-driven comprehensive co-ordination and scheduling has boosted the efficiency of the delivery network. The continuous measures to refine management and improve operational quality have enhanced the efficiency of resource input-output.

The Group's business integration in various markets in mainland China, including food delivery, instant retail, personal services and last-mile delivery have unlocked more exciting business opportunities, which will lead to a more even distribution of orders. This has driven improvements in the operational efficiency of riders around-the-clock, allowing the Group to increase business scale and rider order density.

SF Intra-city will strive to leverage its extensive and successful experience in on-demand delivery from the mainland China market, along with its leading technology and solutions, to offer high-quality on-demand delivery services to Hong Kong users. The third-party multi-scenario business model, proven in the mainland China market, is expected to be effectively applied in Hong Kong. By partnering with various e-commerce platforms and new retail brands, SF Intra-city will bring more momentum and growth opportunities to Hong Kong's on-demand delivery market.

As the largest third-party on-demand delivery platform in China, SF Intra-city is actively exploring overseas expansion to find new growth opportunities. Entering the Hong Kong market will help SF Intra-city validate its business model in international markets, aiding the Group in discovering more opportunities abroad in the future. As SF Intra-city strives to fulfill its mission of "letting more people enjoy a close and beautiful life," the Group looks forward to steady progress, high-quality growth, and delivering increased value to shareholders and investors.

SOURCE SF Intra-city