United States Online Food Delivery Market Overview

Market Size in 2023: USD 29.1 Billion

Market Forecast in 2032: USD 68.6 Billion

Market Growth Rate: 9.8% (2024-2032)

According to the latest report by IMARC Group, the US online food delivery market size reached USD 29.1 Billion in 2023. Looking forward, expects the market to reach USD 68.6 Billion by 2032, exhibiting a growth rate (CAGR) of 9.8% during 2024-2032. The market is expanding rapidly, driven by increasing consumer demand for convenience and a variety of food options. This growth is fueled by advancements in technology and the rising adoption of food delivery apps and platforms.

United States Online Food Delivery Industry Trends and Drivers:

The United States online food delivery market is experiencing changing consumer habits and technological advancements. The convenience of ordering food through mobile apps and websites has become increasingly popular, driven by busy lifestyles and the desire for quick and easy access to meals. The rise of third-party delivery platforms, such as Uber Eats, DoorDash, and Grubhub, has revolutionized the food service industry, enabling consumers to access a wide range of cuisines from local restaurants and national chains alike. The ongoing development of delivery infrastructure, including faster delivery times and enhanced customer service, is boosting consumer satisfaction and market expansion. Additionally, the integration of artificial intelligence (AI) and data analytics is allowing these platforms to offer personalized recommendations, improving the user experience. Subscription models and loyalty programs are also gaining traction, helping businesses retain customers in a highly competitive market. Moreover, the increasing use of contactless delivery options, spurred by the COVID-19 pandemic, has established new standards for safety and convenience in the industry, further driving market demand.

The market is primarily driven by the shift in consumer preferences toward convenience and time-saving solutions. With more people leading busy lives, the demand for quick, hassle-free food delivery services is increasing. Technological advancements, particularly the widespread adoption of smartphones and mobile apps, have made it easier for consumers to order food online, fueling market expansion. Another significant driver is the growing trend toward digitalization within the food service industry. Restaurants are increasingly adopting online ordering systems to streamline operations, reduce wait times, and enhance the customer experience. In addition, the rise of cloud kitchens, which operate solely through delivery channels, is changing the market landscape, allowing for lower operational costs and faster service delivery. The growing popularity of meal subscription services is also playing a role, providing consumers with fresh, ready-to-cook or ready-to-eat meals delivered to their doorsteps on a regular basis. Moreover, the COVID-19 pandemic accelerated the adoption of online food delivery services as people sought safer, contactless dining options. This shift is expected to have a lasting impact, with consumers continuing to favor online delivery for its convenience, safety, and wide variety of options. Besides, the increasing focus on sustainability is influencing the market, with companies exploring eco-friendly packaging and delivery methods to meet rising consumer expectations for environmentally responsible practices.

United States Online Food Delivery Industry Segmentation:

The report has segmented the market into the following categories:

Breakup by Platform Type:

• Mobile Applications
• Websites

Breakup by Business Model:

• Order Focused Food Delivery System
• Logistics Based Food Delivery System
• Full Service Food Delivery System

Breakup by Payment Method:

• Online
• Cash on Delivery

Breakup by Region:

• Northeast
• Midwest
• South
• West

Competitive Landscape:

• The market research report has also provided a comprehensive analysis of the competitive landscape in the market.
• Major players in the market are actively implementing strategies to uphold and grow their market leadership. Top companies are prioritizing improving user experience with simplified ordering processes, quicker delivery times, and a larger variety of restaurant collaborations. For instance, in June 2023, DoorDash collaborated with major grocery stores such as ALDI, Albertsons, Safeway, Meijer, and 7-Eleven to enable SNAP/EBT payments, increasing accessibility to more than 4,000 sites in the US. This project was designed to address food insecurity and enhance convenience for vulnerable populations, offering SNAP recipients benefits, such as DashPass membership for two months to reduce barriers to fresh groceries. Additionally, there is a strong focus on technological advancement, with a specific emphasis on using AI and ML algorithms to enhance route optimization and predictive analytics to enhance efficiency and lower expenses within the fiercely competitive environment.

Key highlights of the Report:

• Market Performance (2018-2023)
• Market Outlook (2024-2032)
• COVID-19 Impact on the Market
• Porter’s Five Forces Analysis
• Strategic Recommendations
• Historical, Current and Future Market Trends
• Market Drivers and Success Factors
• SWOT Analysis
• Structure of the Market
• Value Chain Analysis
• Comprehensive Mapping of the Competitive Landscape

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