Definition of Market/Industry:
Online takeaway food market is gaining traction due to increasing disposable income and increasing women employment, among others. Moreover, online takeaway food is segmented into various service types such as restaurant-controlled, independent, food cooperatives, and mobile apps.
The online takeaway food market was valued at US$ 9.21 Bn in 2018, and is expected to reach US$ 29.94 Bn by the end of 2027, exhibiting a CAGR of 14.0% during the forecast period (2019 to 2027).
Online food services make ordering process easier and convenient, maintains cost transparency including price along with other taxes to be charged, and monitor expenses incurring in real-time. These services allows customers to order through mobile app and explore various options of food without the intervention of service providers. The online food delivery service providers include Zomato, Swiggy, Uber Eats, Foodpanda, Deliveroo, and others.
Currently, healthier menus are considered to be one of the significant strategies that are adopted in the global online takeaway food market to gain profit. For instance, companies such as Grain, an online restaurant and catering service provider in Singapore, offers healthy buffet in its menu.
Figure 1. Global Online Takeaway Food Market Share (%), By Region, 2018
However, government regulations on online food delivery has increased for providing safe and hygienic food delivery. For instance, in 2018, the Food Safety and Standards Authority of India (FSSAI) stated that the licenses and registrations of up to 40% of the restaurants listed by online food delivery platforms were not verified despite instructions, which is expected to restrain growth of the online takeaway food market over the forecast period.
Key players are focusing on new technology development in the online takeaway food to gain market opportunity in the online food delivery services at global level.
For instance, in 2017, Just Eat plc. introduced restaurant technology ‘Orderpad’. This is a platform that enables restaurant partners to receive their Just Eats order, helps in managing its online presence, and communicate with customers regarding their order status. It also offers restaurant with order management and driver tracking functionality. In same year the company continued the international rollout of Orderpad in the UK, Canada, Denmark, Ireland, Italy and Spain.
Market Trends/Key Takeaways
Rising disposable income and increasing women work force is expected to boost the global online takeaway food market growth during the forecast period. For instance, according to the World Bank data, in 2012, the female labor workforce was 38.92% of the total labor force, which increased and reached 39.09% in 2017. This is further expected to increase during the forecast period, which will have a positive impact on the demand for online takeaway food.
Figure 2. Global Online Takeaway Food Market Share (%), By Service Type, 2018
Based on service type, online takeaway food market is segmented into restaurant-controlled, independent, food cooperatives, and mobile apps. In 2018, food cooperatives segment accounted for 5.0% of the revenue share.
Just Eat plc.