Food Delivery Logistic Market Overview
The Food Delivery Logistic Market Size was estimated at 148.25 (USD Billion) in 2022. The Food Delivery Logistic Industry is expected to grow from 159.07(USD Billion) in 2023 to 300.0 (USD Billion) by 2032. The Food Delivery Logistic Market CAGR (growth rate) is expected to be around 7.3% during the forecast period (2024 - 2032).
Key Food Delivery Logistic Market Trends Highlighted
The Food Delivery Logistics Market is experiencing significant growth, driven by the increasing popularity of online food delivery services. The market is characterized by the need for efficient and reliable delivery systems to ensure timely and safe delivery of food items. Advancements in technology, such as real-time tracking and optimized route planning, are shaping market dynamics.Key market drivers include the growing demand for convenience and time-saving solutions, particularly in urban areas. The rise of subscription-based delivery services and meal kit delivery options is also driving market growth. Moreover, partnerships between food delivery platforms and restaurants are providing additional revenue streams for the logistics providers.Opportunities for exploration and capture lie in the expansion of delivery services to rural areas and the integration of AI and automation to enhance delivery efficiency. The market is also witnessing a trend towards sustainable delivery practices, including the use of electric vehicles and eco-friendly packaging solutions, to address environmental concerns. These factors, coupled with the increasing demand for specialized food delivery services, such as frozen food delivery and same-day delivery, are shaping the future of the Food Delivery Logistics Market.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Food Delivery Logistic Market Drivers
Rising Demand for Convenient and Time-Saving Food Delivery Services
The increasing fast-paced lifestyles and hectic work schedules of consumers are driving the demand for convenient and time-saving food delivery services. With the advent of online food ordering platforms and mobile applications, consumers can now order their favorite meals from a wide range of restaurants and have them delivered to their doorstep, saving them the time and effort of cooking or dining out. This trend is particularly prevalent in urban areas, where time constraints and a lack of convenient dining options make food delivery services highly sought after.
Growth of E-commerce and Online Marketplaces
The rapid growth of e-commerce and online marketplaces has played a significant role in the expansion of the Food Delivery Logistic Market Industry. Online platforms, such as Amazon Fresh, Instacart, and Uber Eats, offer a vast selection of groceries, prepared meals, and other food items that can be ordered online and delivered to consumers' homes. This trend has been further fueled by the COVID-19 pandemic, which led to a surge in online grocery shopping and food delivery services.
Technological Advancements and Innovation
A major trend in the Food Delivery Logistic Market Industry has to do with the technological advancements and innovation. Over the last few years, real-time tracking systems, artificial intelligence, and machine learning algorithms have been developed to help caterers optimize the operations and maximize the efficiency of delivery, all to the benefit of the end consumer. Moreover, drones and autonomous vehicles are becoming common for delivery with great hopes that they will become even more popular in the last-mile delivery relatively soon.
Food Delivery Logistic Market Segment Insights:
Food Delivery Logistic Market Service Type Insights
The Food Delivery Logistic Market is segmented into service types such as Express Delivery, Standard Delivery, Scheduled Delivery, and Bulk Delivery. Among these, Express Delivery is anticipated to hold the largest revenue share in the market over the forecast period. The increasing demand for faster and more convenient delivery options, especially in urban areas, is driving the growth of the Express Delivery segment. Standard Delivery, on the other hand, is expected to witness steady growth due to its cost-effectiveness and wider availability.Scheduled Delivery is gaining traction as consumers prefer to receive their orders at a specific time slot, while Bulk Delivery is projected to grow significantly owing to the rising demand for large-volume deliveries from restaurants, caterers, and other businesses. The Food Delivery Logistic Market revenue for Express Delivery is estimated to reach USD 85.6 billion by 2024, exhibiting a CAGR of 8.5% during the forecast period. Standard Delivery is projected to generate a revenue of USD 60.2 billion by 2024, growing at a CAGR of 6.3%. Scheduled Delivery is expected to witness a CAGR of 7.1% over the forecast period, reaching a revenue of USD 42.3 billion by 2024.Bulk Delivery is anticipated to grow at a CAGR of 5.9%, generating a revenue of USD 36.9 billion by 2024.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Food Delivery Logistic Market Food Type Insights
The Food Delivery Logistic Market segmentation by Food Type includes Groceries, Prepared Meals, Restaurant Food, and Beverages. Groceries acquire a large share due to the inclination toward e-commerce and the need of convenience. Prepared Meals are anticipated to grow significantly owing to the increasing popularity of meal delivery. Restaurant Food delivery will hold a moderate growth rate as it is already a popular food ordering service, and the restaurants are increasing their partnership with these online food ordering platforms. Beverages, captured the other segment, include both alcoholic and non- alcoholic and are anticipated to contribute toward the market growth due to the increasing demand of online beverage delivery over the forecast period.
Food Delivery Logistic Market Delivery Mode Insights
The 'On-Demand Delivery' segment held the largest share of the Food Delivery Logistic Market in 2023, and is expected to continue to dominate the market in the coming years. The convenience, speed, and flexibility of on-demand delivery have made it increasingly popular among consumers, leading to its dominance in the market. The 'Scheduled Delivery' segment accounted for a significant share of the market in 2023, and is expected to grow steadily over the forecast period. Scheduled delivery offers consumers the flexibility to plan their deliveries in advance, ensuring that they receive their orders at a convenient time.The 'Click and Collect' segment is also expected to witness growth over the forecast period, as consumers increasingly opt for the convenience of picking up their orders from a nearby location. The 'Drone Delivery' segment, while still in its early stages, has the potential to revolutionize the food delivery industry. Drone delivery offers the potential for faster, more efficient, and more cost-effective deliveries, and is expected to gain traction in the coming years.
Food Delivery Logistic Market Vehicle Type Insights
The Food Delivery Logistic Market is expected to reach a valuation of USD 300.0 billion by 2032, expanding at a CAGR of 7.3%. Vehicle Type is a key market segment, with four primary categories: Motorcycles, Cars, Vans, and Trucks. Motorcycles hold a significant share in the market, particularly in densely populated urban areas where maneuverability and cost-effectiveness are crucial. Cars, while less common, are utilized for shorter-distance deliveries and offer greater comfort and safety for drivers. Vans are widely adopted due to their versatility, providing ample cargo space and allowing for efficient multi-drop deliveries.Trucks, on the other hand, are employed for large-scale deliveries, catering to bulk orders and long-distance transportation. The market growth is driven by factors such as increasing demand for convenient and timely food delivery services, rising disposable income, and the proliferation of online food ordering platforms.
Food Delivery Logistic Market Payment Method Insights
The Food Delivery Logistic Market is segmented by Payment Method into Cash on Delivery, Online Payment, Digital Wallets, and Subscription-based. In 2023, the Cash on Delivery segment held the largest market share of 45.2%, owing to the convenience and flexibility it offers to customers. However, the Online Payment segment is projected to grow at the highest CAGR of 10.5% during the forecast period, due to the increasing adoption of digital payment methods. Digital Wallets are also gaining popularity, especially in emerging markets where they offer a convenient and secure way to make payments.The Subscription-based segment is expected to grow at a steady pace, as consumers increasingly opt for subscription services that offer convenience and discounts. Overall, the Food Delivery Logistic Market is expected to experience strong growth in the coming years, driven by the increasing popularity of online food delivery services.
Food Delivery Logistic Market Regional Insights
The Food Delivery Logistic Market is anticipated to grow significantly in the forecast period, owing to the increasing demand for convenient and time-saving food delivery services. Regionally, North America is expected to dominate the market with a revenue of USD 55.3 billion in 2024, primarily driven by the presence of major food delivery players such as Grubhub, Uber Eats, and DoorDash. Europe is projected to be the second-largest market, with a revenue of USD 40.1 billion in 2024. The growth in this region can be attributed to the rising popularity of online food ordering platforms and the increasing adoption of smartphones.APAC is anticipated to witness the fastest growth, with a CAGR of 11.2% during the forecast period. The growth in this region is fueled by the increasing disposable income and the growing number of internet users. South America and MEA are expected to contribute a significant share to the Food Delivery Logistic Market, with revenues of USD 12.3 billion and USD 8.9 billion, respectively, in 2024.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Food Delivery Logistic Market Key Players And Competitive Insights:
Major players in Food Delivery Logistic Market industry are constantly striving to gain a competitive edge by developing innovative technologies and expanding their service offerings. Leading Food Delivery Logistic Market players are investing heavily in research and development to enhance their operational efficiency and customer experience. The Food Delivery Logistic Market industry is highly competitive, with several key players vying for market share. These players are focusing on strategies such as mergers and acquisitions, partnerships, and new product development to strengthen their position in the market. The competitive landscape is expected to remain intense in the coming years, as players continue to invest in new technologies and expand their geographical reach.DoorDash is a leading player in the Food Delivery Logistic Market, known for its extensive network of restaurants and delivery partners. The company has a strong presence in the United States and has expanded its operations to other countries such as Canada, Australia, and Japan. DoorDash offers a wide range of delivery options, including on-demand delivery, scheduled delivery, and catering. The company's focus on technology and customer service has helped it to gain a significant market share.Grubhub is another major player in the Food Delivery Logistic Market, operating in the United States. The company has a wide network of restaurants and delivery partners, and offers a variety of delivery options. Grubhub is known for its user-friendly app and its focus on customer satisfaction. The company has also expanded its services to include online ordering and payment processing.
Key Companies in the Food Delivery Logistic Market Include:
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Uber Eats
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Meituan
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Glovo
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Grubhub
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Delivery Hero
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Swiggy
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Deliveroo
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Yandex.Food
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Naver Corp.
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Zomato
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Ele.me
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DoorDash
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Just Eat Takeaway.com
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Baidu Waimai
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Didi Chuxing
Food Delivery Logistic Market Industry Developments
Recent news and current affairs in the Food Delivery Logistic Market indicate a rapidly growing and evolving industry. In 2023, the market size was valued at USD 159.07 billion, and it is projected to reach USD 300.0 billion by 2032, exhibiting a CAGR of 7.3%. The increasing demand for convenience, the rise of online food ordering platforms, and the expansion of food delivery services to new regions are driving the market growth. Key players in the market include Uber Eats, DoorDash, Grubhub, and Deliveroo. Strategic partnerships, mergers and acquisitions, and technological advancements, such as the integration of AI and automation, are shaping the competitive landscape. Sustainability initiatives and the growing emphasis on eco-friendly packaging and delivery methods are also gaining traction in the market.
Food Delivery Logistic Market Segmentation Insights
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Food Delivery Logistic Market Service Type Outlook
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Express Delivery
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Standard Delivery
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Scheduled Delivery
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Bulk Delivery
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Food Delivery Logistic Market Food Type Outlook
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Groceries
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Prepared Meals
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Restaurant Food
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Beverages
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Food Delivery Logistic Market Delivery Mode Outlook
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On-Demand Delivery
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Scheduled Delivery
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Click and Collect
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Drone Delivery
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Food Delivery Logistic Market Vehicle Type Outlook
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Motorcycles
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Cars
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Vans
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Trucks
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Food Delivery Logistic Market Payment Method Outlook
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Cash on Delivery
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Online Payment
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Digital Wallets
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Subscription-based
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Food Delivery Logistic Market Regional Outlook
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North America
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Europe
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South America
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Asia Pacific
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Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
148.25(USD Billion) |
| Market Size 2023 |
159.07(USD Billion) |
| Market Size 2032 |
300.0(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
7.3% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Uber Eats ,Meituan ,Glovo ,Grubhub ,Delivery Hero ,Swiggy ,Deliveroo ,Yandex.Food ,Naver Corp. ,Zomato ,Ele.me ,DoorDash ,Just Eat Takeaway.com ,Baidu Waimai ,Didi Chuxing |
| Segments Covered |
Service Type ,Food Type ,Delivery Mode ,Vehicle Type ,Payment Method ,Regional |
| Key Market Opportunities |
1 Expansion of online food delivery platforms2 Growing demand for doorstep delivery services3 Increasing urbanization and disposable income4 Technological advancements in Food Delivery Logistic Market5 Government initiatives to support food delivery startups |
| Key Market Dynamics |
Increased consumer demand Technological advancements Growing ecommerce penetration Expansion into emerging markets Focus on sustainability |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Food Delivery Logistic Market is expected to reach a valuation of USD 300.0 billion by 2032, exhibiting a CAGR of 7.3% during the forecast period (2023-2032).
Asia Pacific is anticipated to account for the largest market share in the Food Delivery Logistic Market owing to the increasing adoption of online food ordering platforms, the growing population, and the rising disposable income in the region.
The key growth drivers of the Food Delivery Logistic Market include the increasing penetration of smartphones, the growing popularity of online food ordering, the rising demand for convenience, and the expanding presence of food delivery service providers.
The key competitors in the Food Delivery Logistic Market include Uber Eats, Grubhub, DoorDash, Postmates, and Deliveroo.
The major challenges faced by the Food Delivery Logistic Market include high competition, regulatory hurdles, and the need for maintaining food quality and safety during delivery.
The latest trends in the Food Delivery Logistic Market include the adoption of artificial intelligence (AI) and machine learning (ML) for logistics optimization, the integration of blockchain technology for enhancing transparency and traceability, and the growing popularity of subscription-based food delivery services.
The Food Delivery Logistic Market is anticipated to grow at a CAGR of 7.3% during the forecast period (2023-2032).
The major applications of the Food Delivery Logistic Market include home delivery, office delivery, and restaurant dine-in.
The COVID-19 pandemic has had a significant impact on the Food Delivery Logistic Market, leading to a surge in demand for food delivery services due to lockdowns and social distancing measures.
The future outlook of the Food Delivery Logistic Market is positive, driven by the increasing adoption of online food ordering, the growing population, and the rising disposable income in emerging markets.
