The market for on-demand food delivery will reach 365 billion USD in 2030. This is a huge number for any business. Today, there is an evident difference in the psychology of users when they feel hungry. It has become an instinct to look for food online. This service has exploded this big in such a short period of time due to millennials.
Millennials account for the highest number of potential users who prefer ordering online due to the ease and convenience they invite into their lives. If your favorite restaurant is a bit far and always has a good waiting time, would you prefer dining out or sit comfortably in your pajamas and wait for that delicious meal to come to you. The latter seems more doable especially with the hectic and time-poor lives people are living today.
But the prominent question that arises here is why? What are the important reasons that have contributed to the rise of a billion-dollar industry? Read on to know the 7 reasons that are responsible for consumers preferring to order online rather than eating outside.
Top 7 Reasons for the Booming of On-Demand Food Business:
Myriad Food Choices:
What if you’ve visited a Pizza chain and have an intense craving for eating Chinese? Well, you’d have to move-out, drive to your preferred Chinese restaurant, order food, eat, and then head back to your home. On the other hand, if you’re using an on-demand service you can order a Pizza, savor it, and then order Chinese. And the best part of this transition is that you don’t have to go anywhere, everything will be delivered to your door-step.
The online food ordering services offer so many options to choose from without having to physically work for it. This ease of accessing eating options is addictive and has made people prone to using these services more often than dining-out.
Convenience & Quick Delivery:
Some people blame laziness to be one of the reasons for the success of on-demand apps but the term that can be used instead is ‘convenience’. As people, today all over the world have started living busy lives, ordering food online has become an everyday reality for some.
One of the other perks of ordering from online platforms is that it offers quick delivery. The delivery time can in most cases beat the time that is taken for one to cook that particular meal at their home. So, quick delivery and convenience become essential reasons for users choosing on-demand food apps.
Numerous Payment Options:
With the availability of convenient payment options like debit and credit cards, there has also been a healthy addition of numerous fintech apps. There hasn’t been a time in history that so many payment options were availed by users. The trend of paying through cash is diminishing as these apps are gaining further recognition.
In addition to this, the incoming of COVID crises has given these apps the recognition and boost it needed. Another benefit of paying online is the discounts and rewards that these apps offer on making digital transactions on the on-demand platforms. Who would like to pay cash when you’re earning cashback by paying online?
Personalized Dining Experience:
At times you plan to have a quiet meal by yourself or with your family from your favorite restaurant. The problem with visiting a restaurant is the constant bothering of waiters or the loudness of the surrounding environment. Some restaurants can also be loud in terms of the music they’re playing or the constant transactions of the incoming and outgoing customers.
At times, the space offered by restaurants for dining-in and the number of customers visiting a restaurant on weekends can make you feel as if you’re in a carnival. As opposed to this while ordering online you can make special dinner plans with your friends and family. In a nutshell, you get to eat your favorite cuisine, with your favorite people, creating the most comfortable ambiance
Ratings & Reviews:
What if you’re really hungry, try a new restaurant and have a disappointing experience? The on-demand apps offer you the ratings and reviews on each place listed on their platform. You can see for yourself and order after getting a clear idea of the place you’re ordering from.
The online platforms also offer default options to provide feedback on the food, service, and even the packaging of the food. This shows how inclined the online platforms are on constantly improving their food and related services.
There are so many things that can go wrong from the time a customer enters a restaurant to the time they move-out. The probability of things going wrong outweighs that of everything working perfectly.
Apart from this if you’re alone and visit a restaurant there are no special provisions such as one-person meals and the likes. On-demand platforms instantly provide the users with important information such as estimated delivery time, delivery person’s details, and other special provisions mentioned above. This accounts for a satisfactory customer experience.
Offers & Discounts:
Can you imagine the rent a restaurant pays in a prime location of your city? In addition to this, the other expenses such as electricity bills, staff salary, and other maintenance costs also amount to a high sum. Due to such high expenses, it becomes difficult for restaurants to provide users with discounts and offers as regularly as on-demand platforms do.
On-demand platforms offer discounts on a regular basis. They also have premium subscriptions that would offer you the benefit of free delivery or a dedicated price cut in certain restaurants or on specific days or hours of a day. Along with this they also introduce other provisions such as buy 1 and get 1 free on special occasions such as festivals, during the Cricket or Football World Cup, etc. This helps the customer order their favorite food while saving money for them.
On-demand apps have shown tremendous business potential in the past 5 years and are predicted to generate even higher revenue streams in the years to follow. We learned the 7 key reasons why a consumer today prefers ordering online instead of visiting restaurants. The convenient and quick services keep a customer hooked, happy, and high on their favorite cuisines. So don’t wait for it, pick-up your phone and Order your favorite food now!
Sanjay Rajpurohit is a Serial Entrepreneur, one of his successful ventures is Technource, an On Demand app Development Company. With 8+ years of industry experience, he shares his guidance to start-ups to grow with project delivery solutions.