Online Food Delivery Market Size, Share, Trends and Analysis by Service Type (Outlet-to-Consumer and Platform-to-Consumer), Outlet Type (Restaurant, Pub, Club and Bar), and Forecast to 2027

Explore actionable market insights from the following data in our ‘Online Food Delivery’ report:

• Identify various loopholes associated with the value chain and make informed decisions about their existing market strategies
• Identify your competitors’ capabilities to stay ahead in the market
• Identify promising segment analysis (Service Type and Outlet Type), growth drivers, challenges, regional trends, and markets to expand your geographical footprint, product portfolio or successful investment
• Anticipate expected changes in demand and adjust your business development strategies

How is our ‘Online Food Delivery’ report different from other reports in the market?

• The report presents in-depth market sizing and forecast at a segment level for more than 10 countries including historical and forecast analysis for the period 2020-2027 for market assessment
• Detailed segmentation by service type – Outlet-to-Consumer and Platform-to-Consumer
• Detailed segmentation by outlet type – Restaurant, Retail, Mobile Operator, Pub, Club & Bar
• The report offers macroeconomic, technological, and regulatory trends, along with driving and challenging factors impacting the plant-based diet market. The report further analyzes the key consumer trends impacting the market growth, which is expected to help stakeholders to align their product portfolio in line with the latest developments
• The PESTLE analysis provided in the report focuses on various factors, including political, economic, technological, and social parameters which might impact the online food delivery industry
• The value chain analysis included in the report, comprehensively explaining the various stages which enables the stakeholders to identify the loopholes and enables them to reevaluate their marketing strategies
• Competitive Landscape includes market share analysis of leading companies along with detailed profiling of leading companies in the market for deeper understanding of competition

We recommend this valuable source of information to anyone involved in:

• Restaurant Chains
• Retail Groups
• Food Delivery Aggregators
• Food Delivery Start-Ups
• Head of Market Intelligence
• Management Consultants
• Equity Partners
• Venture Capital firm

To Get a Snapshot of the Online Food Delivery Market Report, Download a Free Report Sample

Online Food Delivery Market Report Overview

The online food delivery market size was valued at $886.1 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 7.2% during 2023-2027. The advent of user-friendly apps coupled with changing consumer expectations has been a primary driver favoring growth. Post-pandemic lockdown and social distancing norms fostered the demand, providing some respite to the otherwise dwindling restaurant business worldwide. Soon after, food delivery due to its convenience continued its upward trajectory and captured a permanent space in the dining landscape.

Online Food Delivery Market Outlook, 2023-2027 ($ Billion)

View Sample Report for Additional Insights on Online Food Delivery Market Forecast, Download a Free Report Sample

Besides the pandemic, the online food delivery market growth witnessed a rapid uptake due to the proliferation of varied delivery models including one-hour, next-day, or even two-day delivery. To meet the surging demand, key trends such as increased reliance on third-party delivery partners and in-house restaurant delivery fleets are on the rise. Also, tech support from big tech firms entering this sector and food delivery subscriptions have witnessed accelerated growth over the last year and will continue during the forecast period.

Online Food Delivery Service Type Insights

The online food delivery market offers two types of delivery services to consumers, outlet-to-consumer and platform-to-consumer. The outlet-to-consumer food delivery service provides meals from foodservice outlets to consumers via their own delivery team. On the other hand, the platform-to-consumer food delivery service features third party delivery aggregators that provide consumers with meals from partner restaurants who may or may not have their own delivery team. In 2023, the outlet-to-consumer market segment captured 60.5% of the overall market revenue and is expected to record a CAGR of 7.6% during 2023-2027.

Online Food Delivery Market Share by Service Type, 2023 (%)

View Sample Report for Segment-specific Revenues and Shares, Download a Free Sample

Post emergence of COVID-19 pandemic, the global platform-to-consumer market segment witnessed a substantial surge in demand of 45.1% Y-o-Y growth during 2020-2021. The suspension of regular dine-in services as per the government orders across the world, resulted in a significant surge in the demand for online food delivery services across the world.

The increasing penetration of smartphones and fast internet connectivity, busy lifestyles of consumers, simplified payment systems, user-friendly apps, and improved foodservice logistics are the other major factors playing key role in boosting the growth of the platform-to-consumer market over the near term.

The platform-to-consumer market segment is expected to account for 39.9% market share in the global online food delivery market and is expected to record a CAGR of 6.6% during 2023-2027.

Global Outlet-to-Consumer Market Size & Forecasts, 2019-2027 ($ Billion)

View Sample Report for Additional Online Food Delivery Market Insights, Download a Free Sample

The online food delivery market research report provides an executive-level overview of the current state of the online-based food delivery industry by type worldwide. The report includes detailed forecasts of key indicators up to 2027. Published annually, the report provides a detailed analysis of the near-term opportunities, competitive dynamics, and evolution of demand by outlet types including, restaurant, retail, pub club & bar, and mobile operators, across key regional and country markets. The study also captures a detailed overview of key dynamics including technology, and regulatory trends, among others, with their current as well as the expected impact on the overall online food delivery demand.

Although the growth prospects are favorable, minor impediments such as real estate, breadth of offerings, operational efficiency and ever-changing consumer habits could pose short-term challenges to stakeholders in this space. The industry due to the pandemic witnessed unprecedented growth over the last two years, however, this remains a cost-intensive business model with low margins that could hurt future growth.

Despite the short-term challenges, GlobalData estimates, the global outlet-to-consumer market is expected to grow at a CAGR of 7.2% during 2023-2027. Online food delivery investments including several fundraisers over the recent past demonstrate the excitement and opportunity the sector has to offer. The industry offers massive avenues for growth, with tech enablers making inroads in online food delivery. This can be evidenced by DoorDash’s recent collaboration with Cobalt Robotics to automate repetitive manual security tasks.

Outlet-to-Consumer Market Insights

The global outlet-to-consumer market is broadly categorized into retail, restaurant, club, pub & bar, and mobile operators (food vans, trucks, etc.). In 2023, the restaurant or restaurant-to-consumer delivery segment is expected to capture a sizeable market of the overall online food delivery industry accounting for 98.3%.

Convenience, choice of cuisine from consumer favorites, schedules with little or no time to cook, and discount offers are some key drivers impacting the restaurant delivery segment growth positively. Further, during COVID-19 lockdowns, restaurants used online services to help consumers enjoy food at home, creating avenues for segment growth. ‘Cocooning’ is another buzzword that has caught up with the restaurant business and refers to consumer preference to spend time at home to going out. This has created a need for restaurant businesses to meet the online food delivery demands of such consumers.

Outlet-to-Consumer Market Share by Outlet Type, 2023 (%)

View Sample Report for Additional Insights on the Market Size Projections, Download a Free Sample

The retail outlet type captured the second highest share of the outlet-to-consumer market driven largely by millennials. The growth has been likely fueled by the pandemic, which further ignited awareness around the online grocery delivery market. Driven by convenience at heart, the segment is set to witness rapid growth over the forecast period. The next step for vendors to gain market share is to introduce subscription services, which is more or less already been rolled out to millions of customers globally. The retail online food delivery segment is expected to account for 1.3% market share in 2023 and is anticipated to register a healthy CAGR exceeding 7.9% from 2023 to 2027.

Platform-to-Consumer Market Insights

In 2023, the global platform-to-consumer market is expected to account for more than 39% value share of the overall online food delivery industry. The development of technologically advanced and user-friendly applications, changing lifestyles, a large base of urban population, and limited domestic help are also driving the growth of the market.

Also, technological innovations are enabling the online food delivery service providers to offer food via advanced delivery methods, such as self-driving cars, drones, and robots, thereby aiding growth to the market.

Platform-to-Consumer Market Size & Forecasts, 2019-2026 ($ Billion)

View Sample Report for Additional Insights on the Market Size Projections, Download a Free Sample

Online Food Delivery Regional Insights

The Asia Pacific online food delivery market led by China and Japan accounted for a substantial revenue share of the overall market in 2022. The regional market is expected to register strong growth at 8.1% CAGR over 2023-2027. Presence of a large base of working population leading busy lifestyles with limited time to prepare meals from scratch are increasingly looking for convenient options such as online food delivery services. Also, with increasing smartphone and internet connection penetration coupled with COVID-19 restrictions also aided to the growth of the market in the region.

In terms of market growth, South & Central America is expected to be the fastest growing region for online food delivery with a CAGR above 10.9% from 2023 to 2027. By 2027, South & Central America is estimated to account for 5.4% share of the global online delivery market. A growing reliance on smartphones after the onset of the pandemic favored regional growth. Although a strong historic performance, consumers, who stayed away from food service outlets, are projected to return to restaurants and cafes as vaccination picks up pace and consumers gain back their confidence for out-of-home visits, which may hamper online food delivery sales in the region.

Online Food Delivery Market Share by Region, 2023 (%)

View Sample Report for Additional Online Food Delivery Market Insights, Download a Free Sample

Online Food Delivery Market - Competitive Landscape

Online food delivery is a global norm with key players marking their presence across regions. The leading online food service players include McDonald’s Corp., Yum! Brands, Inc., and Starbucks Corporation. Vendors amidst changing consumer changes are redefining their offerings. For instance, although local food remains popular, experience-seeking consumers are increasingly looking to try out different cuisines such as Italian, Chinese, and Indian, providing operators the opportunity to introduce new menu offerings. Additionally, plant-based or vegan alternatives are also making inroads creating opportunities for vendors in this space to expand their offerings.

Although, the platform-to-consumer model is gaining prominence. Recent vendor strategies are based on expanding services into other retail aspects and offering grocery and raw food delivery services directly to consumers. Drone delivery and robots are just other technologies that could potentially revolutionize the market.

Leading Vendors in the Outlet-to-Consumer Market

• McDonald’s Corp.
• Yum! Brands, Inc.
• Starbucks Corporation
• Restaurant Brands International
• Domino’s Pizza Inc.
• Doctor’s Associates Inc.

Leading Vendors in the Platform-to-Consumer Market

• Uber Eats
• DoorDash
• Meituan
• Bundl Technologies (Swiggy)
• Deliveroo
• Just Eat

 Other Online Food Delivery Market Players Mentioned

Zensho Holdings Co., Ltd., Shenzhen Meixixi Catering Management Co. Ltd., Lawson Inc., Ei Group LLC, Accor Hotels, Gregg’s PLC, Alsea Sab De CV, Fomento Economico Mexicano, Little Ceaser Enterprises, Inc., Walmart Stores, Inc., Spur Corporation Ltd., The Savola Group, Famous Brands Ltd., Kudu Restaurant., Delivery Hero SE, Takeaway.com, GrubHub, Zomato Ltd., Ele.me, Hungry Panda

To Know More About Leading Online Food Delivery Market Players, Download a Free Sample

Online Food Delivery Market Segments and Scope

GlobalData Plc has segmented the online food delivery market report by service type, outlet type and region:

Online Food Delivery Service Type Outlook (Revenue, $ Billion, 2019-2026)

• Outlet-to-Consumer
• Platform-to-Consumer

Online Food Delivery Outlet Type Outlook (Revenue, $ Billion, 2019-2026)

• Restaurant
• Pub, Club, and Bar
• Mobile Vendors
• Retail

Online Food Delivery Regional Outlook (Revenue, USD Million, and Volume, Transaction Million 2019-2026)

• North America

• US
• Canada

• Europe 

• Germany
• UK
• Italy
• Rest of Europe

• Asia-Pacific 

• China
• Japan
• Rest of Asia Pacific

• South & Central America

• Brazil
• Mexico
• Rest of South & Central America

• Middle East & Africa

• Saudi Arabia
• South Africa
• Rest of Middle East & Africa

The market intelligence report provides an in-depth analysis of the following –

• Online food delivery market outlook: analysis as well as historical figures and forecasts of revenue opportunities from the service type segments and outlet type segments.
• The competitive landscape: an examination of the positioning of leading players in the online food delivery market.
• Company snapshots: analysis of the market position of leading service providers in the online food delivery market.
• Underlying assumptions behind our published base-case forecasts, as well as potential market developments that would alter, either positively or negatively, our base-case outlook.

Scope

This report provides overview and service addressable market for online food delivery.

It identifies the key trends impacting growth of the market over the next 12 to 24 months, split into four categories: technology trends, macroeconomic trends, consumer trends and regulatory trends.

It includes global market forecasts for the online food delivery industry and analysis of patents, company filings, and hiring trends.

It contains details of M&A and VF deals in the online food delivery space.

The detailed value chain consists of five main aspects: food and drinks suppliers, food and drinks vendors, marketing team, payment solutions, and online food delivery aggregators.

Key Highlights

The online food delivery market size was valued at $886.1 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 7.2% during 2023-2027. Online food delivery refers to the process of ordering food from a website, a mobile application, or other devices. Food delivery can either be ready-to-eat meals from a restaurant, a ghost kitchen (a food preparation and cooking facility created for making delivery-only meals), a home kitchen, or ingredients to use for preparing food later, such as groceries from a store, or in the form of meal kits. The food delivery platform can be built by companies in-house or they can use a third-party service.

Reasons to Buy

This market intelligence report offers a thorough, forward-looking analysis of the global Online food delivery market, service type, outlet type, key vendor outlook, and key opportunities in a concise format to help executives build proactive and profitable growth strategies.

Accompanying GlobalData’s Forecast products, the report examines the assumptions and drivers behind ongoing and upcoming trends in online food delivery markets.

With more than 50 charts and tables, the report is designed for an executive-level audience, boasting presentation quality.

The report provides an easily digestible market assessment for decision-makers built around in-depth information gathered from local market players, which enables executives to quickly get up to speed with the current and emerging trends in online food delivery markets.

The broad perspective of the report coupled with comprehensive, actionable detail will help online food delivery players, investors, and other stakeholders succeed in the growing online food delivery market globally.