Online Food Delivery Market Size, Share, Growth Analysis, By Type(Restaurant to Consumer and Platform to Consumer), By Payment Method(Cash On Delivery and Online), By Region - Industry Forecast 2024-2031

Online Food Delivery Market Drivers

Cloud Kitchens to Bolster Market Growth

• Consumers now have access to a variety of various applications, including online meal delivery services, thanks to improved network connectivity and an increase in smartphone adoption. With the help of a smartphone, people may easily make orders with their favourite restaurants after browsing a list of them. Everywhere in the world, including rural areas, smartphones have made their way to the most isolated locations. The change in attitudes towards online purchasing among the rural people is partly due to the accessibility of e-commerce sites and food delivery services made possible by smartphone applications. A large increase in mobile internet users has also been seen over the past several years on a global scale. Remote access to mobile applications is made possible by the quick development of network infrastructure, which has increased network connectivity across developing economies.

• Cloud kitchens are becoming a thing thanks to people's increasing demand for online food delivery. Because they have lower overhead expenses than conventional restaurants, cloud kitchens may charge their customers less for services. Because they have fewer fixed expenses, cloud kitchens may offer online delivery platforms larger commissions. Low start-up expenses and cost savings from payroll taxes, service personnel, furnishings, electricity, and insurance are two benefits of cloud kitchens. They therefore present a solid investment opportunity. Additionally, proprietors of cloud kitchens can easily and with little initial outlay extend their businesses across a number of locations. These advantages have fuelled the growth of cloud kitchens during the past few years.

Online Food Delivery Market Restraints

Massive Delivery Volumes to pose as a Threat

• Food delivery businesses are facing logistical difficulties as a result of the rising popularity of online food ordering. Many restaurants work with internet food delivery services to grow their business. But from these platforms, eateries get a tonne of orders every day. Therefore, it may be difficult for restaurants to manage a huge volume of orders across many platforms.