June 30, 2024
Online Takeaway Food

The Rising Popularity of Online Takeaway Food Delivery

Online Food Ordering Revolutionizing the Takeaway Industry

The emergence and growth of online food delivery platforms has dramatically changed how people order and receive takeaway food. With just a few clicks on your phone or computer, you can now browse menus from local restaurants, add items to your virtual cart, pay online, and have piping hot meals delivered directly to your doorstep. This level of convenience has made online takeaway ordering extremely popular amongst time-starved consumers who don’t want to leave their homes but still want to enjoy their favourite restaurant dishes.

The accessibility and ease-of-use offered by food delivery apps and websites has prompted many traditional takeaway-only restaurants to introduce online ordering capabilities on their own websites or join platforms like Uber Eats, DoorDash, and Grubhub. Customers now have an unprecedented level of choice when it comes to Online Takeaway Food options, with cuisines from all over the world just a few taps away. Food delivery companies have partnered with thousands of restaurants worldwide to offer their menus for online and mobile ordering.

Growing Number of Food Delivery Apps

With the immense success of pioneers like Uber Eats, a number of new startups have entered the online takeaway food, aiming to compete by focusing on hyperlocal delivery within small areas or unique value propositions. Some emerging food delivery platforms specialize in healthy meals, gluten-free or plant-based options. Others cater exclusively to upscale or international cuisine restaurants. The growing competition between startups is keeping delivery and service fees low for customers while pressuring existing giants to continuously improve and expand their own offerings.

Many restaurants have also developed their bespoke delivery apps for marketing directly to local patrons. Offering exclusive deals, rewards programs and quicker estimated delivery times within a small radius are some ways niche delivery apps try to differentiate themselves. Customized loyalty programs on such apps encourage repeat orders from regular customers. Overall, the intense rivalry across the takeaway delivery industry has compelled higher standards of service, convenience, and personalization for consumers.

Impact on Traditional Takeaway Business Model

While online ordering platforms have undoubtedly helped boost sales and expanded customer reach for many restaurants, the ever-rising commission fees charged by delivery companies are also placing pressure on profit margins. Traditional takeaway-only restaurants with limited seating often rely heavily on delivery orders to stay in business. But paying 15-30% of each order value as commission leaves little room for profits. It also diminishes restaurants’ control over the customer experience as delivery apps act as intermediaries.

Some restaurants are pushing back by limiting their involvement with major delivery platforms or starting their websites/apps to cut out commission fees. The growing power of online food aggregators also potentially threatens the business viability of independent takeaway joints that cannot afford high delivery partner fees. On the flip side, online platforms counter that their services boost visibility and significantly increase order volumes for restaurants, more than making up for commission costs.

The relationship between restaurants, delivery startups and customers will keep evolving as the online takeaway market matures further. While lucrative for ordering customers now, rising commission models could drive up food costs or impact the variety of restaurants in areas highly dependent on online delivery in the long run. Sustainable balances would need to be struck to benefit all stakeholders. Overall, competitive pressures and changing consumer habits underline the importance for takeaway restaurants to have an online presence and delivery capabilities today.

Increased Health and Safety Standards

While clearly more convenient, online takeaway food has also raised new concerns around health, hygiene and food safety standards during the preparation and delivery process. Regulators and industry bodies have responded with enhanced regulations, monitoring and certification programs to ensure public health is not compromised.

Key areas that have seen improvements include mandatory training for drivers and delivery staff in safe food handling procedures, temperature controlled delivery bags or backpacks, contactless delivery options during the pandemic, stringent restaurant kitchen hygiene audits before onboarding with delivery platforms, and end-to-end order tracking and feedback systems. Regular customer health scorecards have also made restaurants more accountable. The need to meet heightened health and safety compliance on digital platforms discourages the proliferation of fly-by-night takeaway joints and encourages established restaurants to raise their game.

Broader Economic and Social Impact

The rise of online takeaway platforms has brought about transformational economic and social changes beyond just impacting customer convenience and the restaurant industry. Online food delivery has become a significant source of flexible employment worldwide, enabling many people to supplement their incomes by working as delivery partners, often on a part-time basis. The decentralized nature of work facilitates participation from people of varied backgrounds and abilities. However, contractors do face challenges around social security, paid leaves, insurance and dependency on dynamic algorithm-based payment structures.

On the flip side, the online takeaway food boom has also driven new small business opportunities around packaging, cutlery, delivery bags and insulated containers. Entrepreneurs have multiplied options for restaurants through innovative solutions tailored to the needs of online food delivery. Courier fleet management startups have blossomed too. Meanwhile, ordering food for home delivery has itself emerged as a popular social activity enjoyed with family and friends over video calls during lockdowns, bringing communities closer together even while apart. In summary, online takeaway platforms have played a transformational role across many industries and created wide-ranging social impacts beyond their core food delivery functions.

*Note:
1. Source: Coherent Market Insights, Public Source, Desk Research
2. We have leveraged AI tools to mine information and compile it