Food de­liv­ery not just about pizza any­more

USA TODAY Weekend Extra - - MONEY - Leo Sun

The U.S. on­line food de­liv­ery mar­ket could grow from nearly $17 bil­lion this year to more than $24 bil­lion in 2023, ac­cord­ing to Statista, as more din­ers stay home.

Many con­sumers as­so­ciate pizza and Chi­nese food with de­liv­er­ies, but a re­cent Acosta and Tech­nomic sur­vey found that din­ers are also in­ter­ested in de­liv­er­ies for ham­burg­ers, chicken wings, Mex­i­can food, bar­be­cue and desserts.

The sur­vey found that 77 per­cent of mil­len­ni­als or­dered a food de­liv­ery over the past three months, com­pared to 51 per­cent of all U.S. din­ers. Forty-four per­cent of mil­len­ni­als or­dered meals from a third-party food de­liv­ery ser­vice, com­pared to just 20 per­cent of all U.S. din­ers.

That’s great news for Grub­hub, which con­trols about half of the third-party U.S. food de­liv­ery mar­ket, ac­cord­ing to Sec­ond Mea­sure. Grub­hub – which owns Seam­less, Eat24 and other plat­forms – also pro­vides de­liv­er­ies for a grow­ing list of fast-food res­tau­rants, in­clud­ing Yum! Brands’ KFC and Taco Bell.

Grub­hub’s top ri­val, UberEats, pro­vides de­liv­er­ies for McDon­ald’s, and the third-largest player, DoorDash, de­liv­ers for Wendy’s and Wingstop.

But that’s not all – many res­tau­rants are also launch­ing first-party de­liv­ery plat­forms to lock in din­ers who are too busy to cook or go out.

Leo Sun owns shares of Grub­hub. The Mot­ley Fool has no po­si­tion in any of the stocks men­tioned. The Mot­ley Fool has a dis­clo­sure pol­icy.

Newspapers in English

Newspapers from USA

© PressReader. All rights reserved.