III. Industry Analysis
3.1 Industry Profile
The rise in the amount of food ordering applications, as well as increased smartphone and internet usage, are expected to fuel the growth of the online food delivery market. The rise in the number of working people and their hectic lifestyles is projected to accelerate the online food delivery market growth. Food delivery apps appeal to the working population because of their convenience. Furthermore, those living in cities may escape traffic congestion by ordering online rather than going out, and restaurant meal delivery applications enhance their revenues.
3.2 Market Size
Revenue in the online food delivery segment is expected to reach $323.30 billion in 2022 and show an annual growth rate (CAGR 2022-2027) of 7.60%, resulting in a projected market volume of $ 466.20 billion by 2027. The market's largest segment is platform-to-consumer delivery, with a projected market volume of $208.00 billion in 2022. In the online food delivery segment, the number of users is expected to amount to 2,638.1 million users by 2025. The online food delivery market has arisen as a key industry because of the emergence of appealing, user-friendly applications and tech-enabled driver networks, as well as shifting consumer expectations. Early in the pandemic, lockdowns and physical separation laws boosted the sector significantly, with delivery serving as a lifeline for the ailing restaurant industry.
