We’ve seen the demand for and availability of food delivery has grown exponentially over the last ten years - but what have been the driving factors behind this, and what does the future hold for food delivery? Will it continue to thrive as a business proposition and a point of popularity with customers? We take a look at these questions in more depth below.
The Causes of the Food Delivery Market Explosion
The increasing sophistication in technology is one of the main factors in the rise of the food delivery sector. Digital technology, and it's proliferation in our day to day lives, has offered increasing opportunities for businesses to grow revenue streams and reach out to new audiences.
Customer demand and preferences are other key factors. With vast swathes of the public now app-savvy; able to order anything they like (whenever they like) online, the facility to order food from a favourite eatery and have it delivered has become a standard customer expectation in recent years. The pandemic further fuelled this demand, with people unable to visit restaurants in person at all for a considerable period of time.
The rise of dark kitchens and virtual brand restaurants, too (discussed in an earlier blog post), have contributed to the explosion of the food delivery market - bringing your favourite food right to you no matter where you live.
The Future of Food Delivery
So, what does the future have in store for the food delivery business model?
Signs favour that the rise in this sector shows no signs of slowing, with new delivery platforms, brands, and restaurants entering the market continually.
Diversification is key to this ongoing growth, with customers increasingly open to trying new styles of food and world cuisines, and the market ready and willing to supply them. Innovating existing models to ensure that customer convenience is kept as the key focus is another way in which businesses in this field are growing the market.
Optimising menus and using data and analytics captured from delivery platform providers means that restaurants can both target existing customers in terms of promotion, or can promote online orders at the times of the day that they may otherwise be quiet. This maximises a kitchen’s efficiency and potential for profit.
In today’s busy, online world, where convenience is paramount, there is no doubt that food delivery will form a fundamental part of the restaurant model for the foreseeable future, adapting to the needs of the customer and the growing capacity of the businesses that incorporate it.
The Era of the Online Menu
With ordering-in now being seen as a leisure activity comparable with eating out, and the proliferation of apps and delivery platforms dedicated to serving this market, food delivery has entered a new era.
Researchers predict that, if current trends continue, by 2025 online food sales sent for delivery will account for approximately 40% of a restaurant’s overall sales, with customers citing easy payment options, the facility to track deliveries and online exclusive deals and promotions as key advantages of this method of ordering.
The future is deliverable food, and it’s already arrived.