With the onset of the pandemic, food delivery apps have received a massive boost in business. Why? How have they benefited in the last year?
Modern technologies are easing our lives by modifying the way we live. In the last year, with the emergence of the pandemic, people have begun using applications to ease their lives during the lockdown. One such industry that is performing well is the food delivery industry. Food delivery apps have existed for quite some time now. The pandemic only popularised and gave this industry a boost. But why? Food delivery apps aren’t a novel or an unknown idea to the consumer, so why are they faring well?Why Are Food Delivery Apps So Popular In The Pandemic?
The unexpected emergence of the pandemic quickly uprooted businesses across sectors. Out of them all, it is the hotel industry and restaurants, in particular, that took the worst hit in business. Therefore, many of these restaurants had to find ways to keep their businesses from sinking completely. Consumers were busy in panic buying essentials, especially food items with the fear of virus transmission. With this fear in play, many customers turned towards multiple online apps to purchase groceries and meals during the pandemic. Earlier, consumers had to approach multiple applications to cater to their meals and grocery needs. However, food delivery platforms like Zomato, Swiggy, and even Dominos have now started delivering groceries across various cities in India. Zomato has started their service ‘Zomato Market’ to provide essential groceries and diaries effortlessly at your doorstep. Swiggy has colluded with Godrej, HUL, P&G, Adani Wilmers, Dabur, Marico, Cipla, Vishal Mega Mart to deliver groceries through their stores. In other words, this catastrophe has propelled the role of online food delivery apps in our lives during the pandemic more than ever.How Did The Online Food Delivery App Industry Benefit In These Past Months Of Pandemic?
Here Is What The Stats Say…
Lately, people have avoided in-store shopping experiences choosing the safer option of getting everything delivered at home. Right from lattes to lunches, there’s a record demand for pickup and delivery services with the food delivery app development becoming more and more invigorated in this phase.- Rakuten Insight surveyed Indian Food Delivery Apps in 2020. They concluded that most respondents across all age groups used food delivery apps as restaurants and dining establishments closed their business. Furthermore, about 44 per cent of respondents aged 55 years and above affirmed that they ordered food online as they were keen on practising social distancing.
- NPD, the market research company, expects restaurant delivery to surge so on and so forth. Furthermore, food delivery is beyond delivering just the final product alone. By joining hands with various grocery delivery apps, the industry is getting larger by the day. This adoption has skyrocketed in recent months, and now retailers are considering ways to upgrade themselves by reaching out to the best online food delivery app in the market.
- The online delivery sectors have seen significant growth, with industry giants like Zomato and Swiggy receiving aggressive investments. Zomato has accumulated about $673 million from investors such as Glade Brook Capital, Ant Financial, and VY Capital.
- As per an internal memo from the company’s founder Sriharsha Majety, “Swiggy has raised $800 million in its latest Series J round of financing with Falcon Edge Capital, Amansa Capital, Think Investments, Carmignac and Goldman Sachs joining as its new investors along with the existing investors Accel and Prosus.”