Food Takeaway Sector in India Expected to Achieve 7.7% Growth from 2023 to 2028

New Delhi, Dec 20 (NationPress) In light of the rapid growth of the quick commerce sector, the food takeaway segment in India is forecasted to see a compound annual growth rate (CAGR) of more than 7.7 percent from 2023 to 2028, according to a report released on Friday.

The swift evolution of quick commerce in India is transforming the retail environment, with urban dwellers increasingly opting for speedy delivery services for their everyday needs, as stated by GlobalData, a prominent data and analytics firm.

As consumers turn to immediate access and time-efficient services, the variety of quick commerce options has surged, propelling their rapid growth across the nation.

“The Covid-19 pandemic has significantly influenced the move towards quick commerce, as consumers have favored safer and more convenient shopping alternatives. Quick commerce platforms are meeting this demand by providing fast delivery options that enable consumers to purchase groceries, household goods, and ready-to-eat meals effortlessly,” remarked Shravani Mali, a consumer analyst at GlobalData.

For example, quick commerce provider Blinkit, which is part of Zomato, introduced the Bistro app to ensure food delivery within 10 minutes, competing against established quick food delivery applications like Swiggy’s Bolt and Zepto Cafe to capitalize on the quick commerce trend.

“The rapid rise in the popularity of quick commerce in recent years has opened up profitable opportunities for major players in the market. In the third quarter of 2024, Zomato, an Indian food delivery service, reported a 55 percent year-on-year (YoY) increase in gross order value (GOV),” added Mali.

According to Francis Gabriel Godad, business development manager for India at GlobalData, younger generations, in particular, are significantly driving demand for online platforms.

Consumers, especially working couples and mothers, are increasingly turning to quick commerce solutions due to their busy lifestyles.

Statistics from the Ministry of Statistics and Programme Implementation indicate that in urban India, the labor force participation rate rose from 47.6 percent in 2017-18 to 52.0 percent in 2023-24.

“Thus, the growing acceptance of time-saving services is a key factor fueling the demand for quick commerce solutions,” concluded Mali.