Online Catering Market Overview
Online Catering Market Size was estimated at 18.74 (USD Billion) in 2022. The Online Catering Market Industry is expected to grow from 20.23(USD Billion) in 2023 to 40.3 (USD Billion) by 2032. The Online Catering Market CAGR (growth rate) is expected to be around 7.95% during the forecast period (2024 - 2032).
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Key Online Catering Market Trends Highlighted
According to the research conducted, the online catering services industry will have good growth opportunities in the future, growing predominantly from the popularity of online food orders and delivery. As consumers increasingly prefer convenience and time-efficient services, online catering sites have experienced broader acceptance. In addition, the market is also benefiting from the rising number of corporate events, weddings and other social functions.
Among the more notable trends in the market is the application of technology, including artificial intelligence (AI) and machine learning (ML), which is meant to ensure customer satisfaction while making the ordering process more efficient and effective. Also, given the increasing usage of cloud platforms and mobile apps, online catering has become more convenient and simpler. In addition, the increasing trend of subscriptions is also creating opportunities for the players in the market to provide specialized offerings to their customers and foster loyal relationships.
Launched marketing campaigns, heightened online presence, and growing acceptance of external food catering are some of the factors that emerged as the key positive impact drives. It is projected that the effects will remain relevant well after the pandemic as people will become used to the practice of catering services.
Online Catering Market Drivers
Rising Demand for Convenience and Time-Saving Solutions
The fast-paced lifestyles of consumers in both developed and developing nations are driving the demand for convenient and time-saving food options. Online catering platforms offer a seamless solution by enabling customers to order customized meals and have them delivered to their doorstep or workplace, saving them the hassle of cooking or dining out. The growing popularity of online grocery shopping and food delivery services has further fueled the adoption of online catering as consumers become more comfortable with the concept of ordering food online.
The Online Catering Market Industry is expected to witness substantial growth over the forecast period, driven by the increasing demand for convenient and time-saving food solutions.
Growing Popularity of Corporate Catering
Another important factor promoting the growth of the Online Catering Market Industry is the spread of corporate catering. Because numerous organizations promote flexible hours, remote work, and general relaxation, the number of firms that need corporate catering is rising. Online platforms provide a convenient, timely, and efficient method for businesses to obtain food for their employees, customers, and special events. The menu can be ordered online, with delivery scheduled and the payment made.
It’s simple and flawless.
Technological Advancements and Innovation
Technological advancements and innovation are playing a significant role in shaping the Online Catering Market Industry. The integration of artificial intelligence (AI) and machine learning (ML) algorithms into online catering platforms enhances the user experience by providing personalized recommendations, optimizing delivery routes, and streamlining the ordering process. Additionally, the emergence of food delivery robots and drones holds the potential to revolutionize the last-mile delivery aspect of online catering, further enhancing convenience and efficiency.
Online Catering Market Segment Insights
Online Catering Market Service Type Insights
The Service Type segment of the Online Catering Market is segmented into Meal Delivery Services, Event Catering Services, Corporate Catering Services, Educational Catering Services, and Healthcare Catering Services. Meal Delivery Services held the largest market share in 2023, accounting for over 45% of the Online Catering Market revenue. The growth of this segment is attributed to the increasing popularity of food delivery apps and the convenience they offer to consumers. Event Catering Services is expected to witness the highest growth rate during the forecast period, with a CAGR of over 8%.
This growth is driven by the increasing number of corporate events, weddings, and other special occasions. Corporate Catering Services accounted for a significant share of the Online Catering Market in 2023. This segment is expected to grow steadily during the forecast period, driven by the increasing demand for catering services from businesses. Educational Catering Services is expected to grow at a moderate pace during the forecast period. This segment is driven by the growing number of students and the increasing demand for healthy and nutritious food options.
Healthcare Catering Services is expected to grow at a steady pace during the forecast period. This segment is driven by the increasing number of hospitals and other healthcare facilities, as well as the growing demand for specialized catering services. Overall, the Service Type segment of the Online Catering Market is expected to grow at a CAGR of over 7% during the forecast period, reaching a market value of over USD 40 billion by 2032. The growth of this segment is driven by the increasing popularity of online catering services, the growing demand for convenience, and the increasing number of special occasions and events.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Online Catering Market Delivery Method Insights
The delivery method segment of the online catering market is anticipated to be a prospering one in the next few years. In 2023, the online ordering and delivery segment was the leading one, generating more than 50 percent of the overall online catering market revenue in the world. This will be driven by the growing popularity of the current online food ordering platforms, which are aimed at providing their clients with convenience. The growth of the mobile ordering and delivery segment is also to be rapid, taking into account that there is an increasing number of smartphones and their numerous users.
The phone ordering and delivery segment is no longer going to be the leading one but remains significant as a large number of people still prefer this way of catering ordering. The walk-in and takeout segment is not going to experience much growth, with people preferring more convenient means to cater and reserving phone-based ordering and delivery as an option. To conclude, the delivery method segment of the world’s online catering market in the next years is to be a prospering one, with the entire sector growing as a consequence of the increasing convenience of the new online ordering apps.
Online Catering Market Booking Channel Insights
The Online Catering Market is segmented by Booking Channel into Online Platforms, Direct Booking, Third-Party Aggregators, and Referral Programs. Online Platforms held the largest market share in 2023, accounting for over 50% of the Online Catering Market revenue. This dominance is attributed to the convenience and ease of use offered by online platforms, enabling customers to browse and order catering services from multiple vendors in one place. Direct Booking is expected to witness the highest growth rate during the forecast period, owing to the increasing preference for direct communication between customers and caterers, allowing for greater customization and control over the catering experience.
Third-party aggregators, such as Uber Eats and Grubhub, are gaining traction due to their wide reach and extensive network of catering partners. Referral Programs are also expected to contribute to market growth as they incentivize customers to refer new users to online catering platforms.
Online Catering Market Catering Size Insights
The Online Catering Market segmentation by Catering Size comprises Small-Scale Catering (10-50 Guests), Medium-Scale Catering (50-150 Guests), Large-Scale Catering (150+ Guests), and Micro-Catering (1-10 Guests). Among these, Small-Scale Catering holds the largest share of the market due to its affordability and flexibility for small gatherings and events. Medium-scale catering follows closely, driven by the increasing popularity of corporate events, weddings, and social functions. Market data suggests that Large-Scale Catering is expected to witness significant growth in the coming years, owing to the rising demand for grand events and conferences.
Micro-catering, though a niche segment, is gaining traction as a convenient option for intimate gatherings and private parties. The overall market growth is influenced by factors such as the increasing penetration of the internet, the convenience of online ordering, and the growing disposable income of consumers.
Online Catering Market Regional Insights
The Online Catering Market is segmented into North America, Europe, APAC, South America, and MEA. Among these regions, North America is expected to hold the largest market share in 2023, owing to the high adoption of online food ordering platforms and the presence of a large number of tech-savvy consumers. Europe is expected to be the second-largest market, followed by APAC. APAC is expected to witness the highest growth rate during the forecast period due to the increasing internet penetration and the growing popularity of online food delivery services in the region.
South America and MEA are expected to grow at a moderate pace during the forecast period. In 2023, the Online Catering Market was valued at 20.23 USD Billion. This growth can be attributed to the increasing popularity of online food ordering, the growing number of tech-savvy consumers, and the rising demand for convenience.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Online Catering Market Key Players And Competitive Insights
Being one of the high-growth markets, the Online Catering Market nurtures severe competition in which major industry actors are seeking ways to maintain their positions by developing innovative strategies. At present, the top industry players occupy much of their time and effort trying to expand their product lines, improve their services and enhance the experiences of their customers. Hence, in the following years, the Online Catering Market is likely to experience significant development due to the increasing popularity of online food ordering platforms and the rising customer demand for food delivery alternatives. As a result, the Online Catering Market Competitive Landscape has become. It will seemingly continue to be highly competitive, as the number of both major industry actors and startups trying to claim a share in the market is expected to grow.
An example of a major Online Catering Market player is Grubhub, which provides a broad range of food delivery services pertaining to various restaurants. The company, having its headquarters in Chicago, Illinois, is primarily focused on the United States market but is also taking steady strides in other markets. Grubhub puts much emphasis on the quality of customer service and online ordering and offers a range of features for more convenient and easy order tracking. Furthermore, the company provides a number of incentives to encourage customer loyalty. Another industry giant is DoorDash, which offers a wide range of food delivery services to other restaurants. The company has also gained a strong footing in the United States market and is now increasingly targeting other markets as well. Much of DoorDash’s success is due to its innovative approach toward service development – the company has developed a loyalty program for its returning customers and is known for launching new features.
Key Companies in the Online Catering Market Include
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Caviar
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Delivery Hro
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Uber Eats
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Grubhub
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Deliveroo
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Postmates
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Glovo
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Seamless
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Takeaway
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Just Eat
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Swiggy
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Foodpanda
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Airbnb
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Doordash
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Zomato
Online Catering Market Industry Developments
The online catering market is anticipated to grow from an estimated USD 20.23 billion in 2024 to USD 40.3 billion by 2032. This growth can be attributed to increasing internet penetration, rising disposable income, and the growing popularity of convenience-oriented services. Recent news developments include the expansion of online catering services to smaller cities and towns, as well as the emergence of new entrants offering specialized catering options such as vegan and gluten-free meals. Key players in the market are Uber Eats, Grubhub, and Doordash, with a focus on innovation and strategic partnerships to drive growth.
Online Catering Market Segmentation Insights
Online Catering Market Service Type Outlook
Meal Delivery Services
Event Catering Services
Corporate Catering Services
Educational Catering Services
Healthcare Catering Services
Online Catering Market Delivery Method Outlook
Online Ordering and Delivery
Mobile Ordering and Delivery
Phone Ordering and Delivery
Walk-in and Takeout
Online Catering Market Booking Channel Outlook
Online Platforms
Direct Booking
Third-Party Aggregators
Referral Programs
Online Catering Market Catering Size Outlook
Small-Scale Catering (10-50 Guests)
Medium-Scale Catering (50-150 Guests)
Large-Scale Catering (150+ Guests)
Micro-Catering (1-10 Guests)
Online Catering Market Regional Outlook
North America
Europe
South America
Asia Pacific
Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
18.74(USD Billion) |
| Market Size 2023 |
20.23(USD Billion) |
| Market Size 2032 |
40.3(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
7.95% (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 |
Caviar, Delivery Hro, Uber Eats, Grubhub, Deliveroo, Postmates, Glovo, Seamless, Takeaway, Just Eat, Swiggy, Foodpanda, Airbnb, Doordash, Zomato. |
| Segments Covered |
Service Type, Delivery Method, Booking Channel, Catering Size, Regional. |
| Key Market Opportunities |
Growing demand for convenient dining Expansion of food delivery services Rise in disposable income Increasing popularity of meal kits Technological advancements |
| Key Market Dynamics |
The rapid adoption of online ordering Surge in popularity of food delivery services Growing preference for convenience Rise of virtual kitchens Expansion of food tech startups |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Online Catering Market is anticipated to reach an overall valuation of 20.23 USD Billion in 2023, showcasing a substantial growth trajectory.
The Online Catering Market is poised to expand at a steady CAGR of 7.95% from 2023 to 2032, indicating a promising growth outlook.
North America is anticipated to maintain its dominance in the Online Catering Market, driven by the presence of key players and a large consumer base.
Online catering services are widely used for various occasions, including corporate events, weddings, private parties, and casual gatherings.
Key players in the Online Catering Market include ezCater, Grubhub, Uber Eats, and Doordash, among others.
Rising disposable income, increasing urbanization, and the growing popularity of convenience-oriented services are primarily driving the growth of the Online Catering Market.
The Online Catering Market may face challenges related to maintaining food quality during delivery, competition from traditional catering services, and regulatory compliance.
Technological advancements such as mobile applications, data analytics, and AI are revolutionizing the Online Catering Market by enhancing convenience, efficiency, and customer experience.
Online catering services are witnessing a shift towards sustainability, dietary customization, and personalized experiences, catering to the evolving needs of customers.
By 2032, the Online Catering Market is projected to reach an impressive overall valuation of 40.3 USD Billion, reflecting a significant expansion in the coming years.
