Global Online food delivery services market

Online Food Delivery Services Market Size, Share, Growth Analysis, By Type(Restaurant-to-Consumer, Platform-to-Consumer), By Channel Type(Websites/Desktop, Mobile Applications), By Region - Industry Forecast 2025-2032


Report ID: SQMIG45E2185 | Region: Global | Published Date: February, 2024
Pages: 157 | Tables: 61 | Figures: 75

Online Food Delivery Services Market Dynamics

Drivers

Digital Transformation:

  • The market’s growth has resulted from one major driver. Consumers opt to order food online as digital transformation has made it more convenient. Thanks to smartphones, whose usage has gone up in recent times, and widespread internet access, food delivery has been made much easier.

Changing Consumer Lifestyles:

  • Online food delivery services have risen in demand as consumer lifestyles evolve. The rapid shifts to urban areas have resulted in hectic schedules. Here, the convenience of online food delivery is more prominent. As consumers seek fast and hassle-free dining alternatives, this market grows.

Restraints

Logistics and Delivery Costs:

  • It can be expensive and complicated to maintain an efficient system of last-mile delivery. The logistic challenges that come with this feature are the guarantee of prompt deliveries, impact on food quality in transit, and managing efficient delivery fleets.

Profitability Challenges:

  • The market’s fiercely competitive environment can pose a challenge to achieve profitability. This is the case for both parties in food delivery: the online provider and the restaurant. The competition often raises price differences which can lead to a lower profit margin.
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FAQs

The Online food delivery services market size was valued at USD 50.70 billion in 2021 and is poised to grow from USD 60.18 billion in 2022 to USD 237.17 billion by 2030, growing at a CAGR of 18.7% in the forecast period (2023-2030).

The online food delivery services market’s competitive environment is made up of industry participants striving to gain market share. Market leaders consisted of Grubhub, DoorDash, and UberEats, among others. These companies, along with regionally dominant platforms, were at the top of the market. 'Grubhub (now part of Just Eat Takeaway.com)', 'Swiggy', 'UberEats (Uber)', 'Zomato', 'Deliveroo', 'Ele.me (Alibaba Group)', 'Just Eat Takeaway.com', 'Meituan Dianping', 'DoorDash', 'Foodpanda (Delivery Hero)', 'Caviar (Square, Inc.)', 'UberEats Pass (Uber)', 'Rappi', 'Postmates (Uber)', 'SkipTheDishes (Just Eat Takeaway.com)', 'Seamless (Grubhub)', 'GoPuff', 'Glovo', 'DoorDash Drive', 'UberRUSH (Uber)'

The market’s growth has resulted from one major driver. Consumers opt to order food online as digital transformation has made it more convenient. Thanks to smartphones, whose usage has gone up in recent times, and widespread internet access, food delivery has been made much easier.

Ghost Kitchens and Cloud Kitchens: Cloud kitchens, a.k.a ghost kitchens or virtual kitchens have risen in popularity. This is a notable trend in the online food delivery services market. These facilities only cater to online food orders. These ghost kitchens don’t need maintenance like traditional dine-in areas, thus reducing overhead costs. Restaurants can also diversify their delivery services with the help of this trend.

The United States has largely contributed to market growth in North America, which holds the top position in the market. The U.S. has been there since day one in the revolution of online food delivery. The country houses many major market participants. They include DoorDash, UberEats, and Grubhub. Other factors that have cemented the region’s supremacy in the market are busy lifestyles, tech-savvy population, and a flourishing food service industry.

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Global Online food delivery services market

Report ID: SQMIG45E2185

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