A recent report was released titled ‘Online Food Delivery Services Global Market Report 2021: Covid-19 Growth and Change to 2030. It holds key insights about the Global Online Food Delivery Services Market and sheds light on the changing trends in the F&B industry due to the pandemic.
What’s changing in Online F&B Shopping?
The online F&B Shopping scene is changing. And the global online food delivery services market which is an intrinsic part of online F&B is growing at a compound annual growth rate of 10.3% expected to touch $192.16 B in 2025.
What is driving the unprecedented growth of this sector? The growth is mainly attributed to F&B companies bouncing back on their feet while conforming to the new norms of hygiene and safety. In fact, they seem to have recovered from the disruption suffered during the first wave.
Why is the report significant?
The report is significant because it has emphasised the strong growth of the market and its positive response towards the challenge posed by the pandemic. There are also key indicators that depict how the global online food delivery services market will emerge successfully out of these challenges as soon as the cases begin to plummet. This is good news for small business and start-ups hoping to venture into the online F&B segment.
Who are the Primary Online Shoppers for the F&B Industry in the Pandemic?
Smartphone users are the primary online shoppers for the F&B industry in the pandemic. Internet access has achieved deep penetration mainly in remote rural crevices. This has dramatically increased the number of smartphone users in the country and the number of active online users shopping for F&B products during the pandemic has skyrocketed.
Smartphone users are the primary online shoppers for the F&B industry in the pandemic.
What’s in it for me?
Small businesses have tremendous opportunity to target customers looking to order home F&B products during the thick of the second wave. However, targeting them is not easy since there are multiple online retail players in the market bombarding users with ads and product catalogues based on their search history. Here are a few tips to help you get into the game:
Growth tips for small businesses: How to target smartphone shoppers?
Same day deliveries:
Smartphone shoppers scouring for F&B products like snacks, cheese, packaged beverages are impatient and want to see their orders arrive at the doorstep on the same day. Especially with the current lockdowns. Promising same day deliveries is a great strategy to target smartphone shoppers. But to fulfil same-day deliveries on the dot, you need to upgrade your logistics system.
Create a valuable shopping experience:
Smartphone users are drawn to mobile orders that can be facilitated quickly, instantly, and through a hassle-free payments experience. Smart businesses wanting to acquire maximum primary shoppers as loyal customers need to focus on marketing and branding efforts to target online mobile users.
Offer a wide catalogue with exclusive choices:
To offer a wider catalogue with a number of interesting choices for mobile shoppers, you can switch to a wider distribution network, partner with multiple players and expand your coverage across rural and urban markets. In F&B, smartphone shoppers are mostly on the lookout for hard-to-get, exclusive items like Pasta, exotic vegetables, imported products, and more.
This is a no-brainer of course but shopping for daily essentials like groceries and toiletries is a permanent trend driven by the pandemic. This essentially means higher orders that will be harder to fulfil given lockdowns. Small businesses need to focus on increasing their last mile connectivity by collaborating with other small businesses, local retail outlets, and rural supermarkets. This will facilitate higher order fulfilment of same day drop off deliveries.