India Online Food Delivery Market

Online Food Delivery Market in India

Online food delivery is a specific service in which a store or a restaurant delivers food to a customer through the restaurant’s website or a third-party application. Delivered items may include drinks, food or desserts, etc while the payment mode may be online or cash on delivery. The online food ordering market in India alone is expected to grow at over 16% annually to touch USD 17.02 billion by 2023.

The market for online food delivery is mainly driven by increasing disposable incomes, changing demographics, young population, growing penetration of internet & smart-phones, favorable lifestyle changes, consumption levels, a greater share of women in the workforce, aggressive marketing strategies adopted by food start-ups. The convenience of ordering is also increasing expressively which led to the growth of the market. The increasing number of logistics providers has also enabled food delivery companies to optimize their fleet, thereby dipping delivery time.

Online food delivery platforms are fixated towards acquisitions and are collaborating with logistics companies to manage delivery operations in the steadfast regions. 95% of respondents are known to have surveyed order food online, owing to promotional offers and discounts while 78% of the individuals order food online because of its convenience and 73% order food online because of a wide variety of cuisines on a single click.

Some of the trials in this system include unpredictable demand patterns, inability to impact external circumstances (traffic, weather & changing demand on a daily basis), high delivery cost, highly focused peaks in ordering during meal-times, limited delivery times and kitchen operations, etc.

Some features for making a successful online food delivery market are producing a code referral system, easy & user-friendly dashboard, social media incorporation, customer integration with push notification and cross-platform compatibility, etc.

The role of mobile apps and the web-based system of ordering food plays an important role as more and more people use smartphones, trailed by growing literacy and access to Internet facilities. Online food delivery is also moving towards self-delivery, instigating the fall of delivery time. Players now also have higher control over the delivery process are able to provide much better value to customers.

For instance, in India, Bengaluru is known to get the highest number of online orders as compared to other cities with 20% of the market share and is followed by Mumbai, Pune, Delhi and Hyderabad with a share of 18%, 17%, 15%, and 12%, respectively, while other cities accounted for 18% of the market share.

What’s covered in the report?

• Overview of the online food delivery sector in India and forecasted online food delivery market size over 2019 to 2023e
• Market Structure
• Investment in Indian Online Food Delivery Sector
• Market Segmentation
• Cuisine-Wise Segmentation
• Food Ordering Method Wise Segmentation
• Qualitative and Quantitative Analysis of the Industry
• Competitive Landscape

Why Buy?

• Get a broad understanding of the online food delivery market in India, its link to the overall online food delivery apps, the major segmentation of the sector and current state of the same
• Be informed about the investments in the Indian online food delivery market
• Understand the business of major competitors, the market dynamics, and respond accordingly
• Be informed regarding the key areas of opportunity in the online food delivery market
• Make more informed business decisions with the help of insightful recommendations to succeed in the online food delivery market