Changing Eating Trends and Online Food Services

Online Food ordering and people's changing eating habits have changed for good.

Online food ordering and delivery markets are witnessing a paradigm shift. And this transformation is primarily driven by hi-speed internet and increased smartphone-usage. The industry’s massive potential has resulted in innumerable food ordering and delivery websites, each with its own USP

Why is the Online Food Industry Thriving?

The key reason for the progress of food ordering and delivery services and the entrepreneurs’ digital move in taking their food business online is the vast internet outreach.

Moreover, the following can account for the push of online food entrepreneurs:

Increase in purchasing power of global middle-class population

Selective choices from many dishes

Busy schedules with little time for cooking or eating out

Vital marketing initiatives from leading brands

The affirmative forecast of the food ordering and delivery business has also attracted many startups and small-sized companies eager to earn a market share in this burgeoning enterprise.

Millennials Are Proactive Customers

Compared to any other contemporaries, millennials spend the highest percentage of their earnings on ordering food online. This fact alone makes them the most critical demographic in this industry. According to a report by research and data firm Research and Markets, millennials valued about 63% of India’s online food delivery market’s overall user base.


Food delivery apps started to witness a surge in demand from customers who were working from home due to the pandemic.

The Pandemic Changed Everything for Online Food Industry

Since the Covid-19 pandemic hit, food delivery apps have become crucial in India. As Coronavirus cases heaved across the country, people began to prefer ordering online, thereby boosting sales for the two big players- Swiggy and Zomato.

And as food delivery apps started to witness a surge in demand from customers who were working from home due to the pandemic, global investors, in turn, began to feel convinced enough to influx money into these delivery businesses.

Numbers Are Saying

In 2020, food delivery companies garnered $1.36 billion despite the pandemic-hit market. The data exhibits that currently, the most-funded corporations in the online food delivery expanse are Gurugram-based Zomato with ($1.9 billion) in total funding, followed by Bengaluru-based Swiggy at ($1.62 billion), and Foodpanda India ($238 million). Foodpanda India a part of Germany’s Delivery Hero AG was bought by the Indian taxi service Ola in 2017.

While the industry’s high point is still a long way from priming, there’s undoubtedly a lot on the plate to go around.

Aakash Sharma
Aakash Sharma
Aakash writes on Startup Ecosystem, Policies, Legal and Regulatory aspects of business planning. An alumnus of Delhi University, he is assistant editor at Dutch Uncles.



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