Tuesday, May 26, 2020

India Online Food Delivery Market Outlook to 2025: Ken Research


The report titled India Online Food Delivery Outlook to 2025 - Growth Supported by Advent of Cloud Kitchen and Discounts Offered by Food Delivery Aggregators provides a comprehensive analysis of the Online Food Delivery Market in India. The report also explains the pain points of the consumers and the operators in the market. Further it proceeds with explanation of current demand and the supply infrastructure in India. It also includes the trends, developments, challenges, technological stack, revenue streams, marketing strategies and government regulations driving the industry. It gives detailed explanation of competitive scenario including cross comparison between major players, their operating models and detailed company profiles of major players. It concludes with future scope, upcoming technologies and delivery channels in the market.

Market Overview and Demand Scenario
Increased disposable income per capita, long working hours and increase in dual income and nuclear families have given rise to demand for online food delivery in India. The Online Food Delivery Market of India is currently in its growth stage. The Gross Merchandise Value of the market has been growing over a Positive CAGR of 120% during the review period of 2014-2019. The trend in the market indicates likelihood towards healthy alternatives and diet food. The decrease in the average order value over the years has further given rise to demand in the market.

Supply Scenario of the Market
The market players began entering the Indian market back in 2006, with “JustEat” and “FoodieBay” being the first ones to tap the market.  Furthermore, companies like Foodpanda, TinyOwl, Swiggy and Uber Eats entered the market over the time period. But consolidation and successful exits from the market has resulted in only two players, Swiggy and Zomato sustaining in the market. Past few years have witnessed the growth of cloud kitchens in the Indian market with players such as Rebel Foods and Biryani by Kilo beginning to tap global markets.

Consumer Behavior in the Market
Consumers have displayed skewed likeliness towards fast food and north Indian cuisine. The consumers also tend to order food online predominantly in the dinner time most likely because long working hours as compared to all other global peers. Increased smart phone penetration led to increase in orders placed through the mobile as compared to website on laptop or desktop. The market has also been segmented by Gender amongst which males have shown high likeliness towards ordering food online more often. Consumer demand by age groups revealed that people in the age group of 18-35 years tend to order food more frequently.

Demand by Region
Cities such as Bengaluru, Delhi NCR, Hyderabad, Mumbai and Pune generate the highest revenue for the market. The higher concentration of millennials belonging to the age group of 23-34 years derives higher demand from these markets. However, aggregators as well as cloud kitchens have started penetrating to the Tier 2 and Tier 3 cities as an effort to tap potential customers.

Cloud Kitchen Space in India
The requirement for low investments while establishing a cloud kitchen backed by no necessity of store front has given rise to number of cloud kitchens in India. Cloud kitchens have witnessed growth due to low operational cost and high profit margins as compared to dine-in restaurants. The cloud kitchen market is further expected to grow in the future with companies across industries looking to invest in this particular model owing to its huge untapped potential. Major players such as Rebel Foods, Box8, Biryani by Kilo and Eat.Fit have aced the competition by offering high quality food at affordable prices.

Competitive Landscape
The India Online Food Delivery Market has consolidated over the years leading to only two major aggregators (order and delivery) players in the market which is Zomato and Swiggy. Uber Eats exited the market in 2020 by buying 9.99% stake in Zomato. The cloud kitchen space in India is in its booming phase with more players entering the market recently. Companies like Rebel Foods and Biryani by Kilo has been successful in scaling through Tier 2 and Tier 3 cities in India. They have also been one of the first Indian cloud kitchens to establish global foot prints. The low investment and high return characteristics of the cloud kitchen space has also attracted the aggregators to the cloud kitchen market (Swiggy Access).

Future Outlook and Projections
The demand is expected to grow at a CAGR over 25% during the period 2019-2025. The demand is expected to be driven by growing penetration into Tier 2 and Tier 3 cities. The future is expected to witness other E-commerce companies such as Amazon debuting into online food delivery service. The cloud kitchen space is further expected to grow with aggregators offering infrastructure to amateur players. Technologies such as drone delivery and 3D food printing are expected to boost the operational efficiency of the market.

By Type of Kitchen
Private
Cloud Kitchens

By Region
Bengaluru
Delhi NCR
Hyderabad
Mumbai
Chennai
Pune
Kolkata

By Markets
Core Markets
Emerging Markets
Rest of India

By Mode of Payment
COD
Credit/Debit Card
Payment Wallets
Net Banking

By Type of Food
Fast Food
North Indian
South Indian
Street Food
Others

By Age
18-24 Years
25-34 Years
35-44 Years
45-54 Years

By Gender
Male
Female

By Share of Meals
Dinner
Lunch
Breakfast
Others

By Mode of Ordering
Mobile
Website

Companies Covered:-
Zomato
Swiggy
Rebel Foods
Biryani by Kilo
Box8
Eat.Fit
Fresh Menu

Key Target Audience:-
Online Food Delivery Companies
E-commerce Companies
Cloud Kitchen Companies
Private Venture Capital Firms
3rd Party Logistic Companies

Time Period Captured in the Report:-
Historical Period: FY’2015–FY’2020
Forecast Period: FY’2021-FY’2025

Key Topics Covered in the Report:-
Pain Points of the Companies
Present Day Pain Points of the Operators
Target Addressable Audience
Operating Models in the Industry
Addressable Gaps in the Market
Types of Users
Impact of Covid-19 on the Industry
Cloud Kitchen Investment Model
Revenue Models in the Market
Analyst Recommendations

For More Information on the research report, refer to below link:-

Related Reports:-



Contact Us:-
Ken Research
Ankur Gupta, Head Marketing & Communications
+91-9015378249

1 comment:

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