‘Bhojan Ki Baat’: India’s Online Food Delivery Market Is A $17-Billion Opportunity, Says Research Report
According to a new research report, India’s online food delivery market is expected to be a $ 17.02 billion opportunity (Rs 1,17,000 crore) by 2023, registering an annual growth rate of 16 per cent, reports The Hindu BusinessLine (BL).
“The Indian online food ordering market is slated to grow at a CAGR (compound annual growth rate) of 16.2 per cent at $ 17.02 billion by 2023,” said the report titled ‘Digital Platforms Reign in the Food Ordering Market.” Business consultancy firm Market Research Future published it.
According to the report, Bengaluru received the highest number of online food delivery orders, accounting for 20 per cent of the total market share among the surveyed cities. The city was followed by Mumbai (18 per cent), Pune (17 per cent), Delhi (15 per cent) and Hyderabad (12 per cent). Other cities accounted for the rest 18 per cent of the market.
“Lunch is the most preferred meal to be ordered online and card payment is the most preferred mode of payment,” the report added. Unsurprisingly, the report found that while 95 per cent of the respondents ordered food online due to promotional offers and discounts, 84 per cent of them said its hassle-free and time-saving.
Need A Code Of Conduct
However, deep discounts offered by startups funded by overseas investors, have made some offline restaurants jittery. In February (2019), National Restaurant Association of India (NRAI) demanded that a code of conduct be put in place for online food aggregators like Zomato and Swiggy which have distorted the market with deep discounts and offers.
Also on 11 January (2019), over 500 restaurants and hotels in Ahmedabad blacklisted Swiggy for its poor business practices. Subsequently, this boycott was extended to Zomato.
(The image for this article was sourced from here)