Within online commerce - Online Food Delivery is one of the hottest segments in India. The growth in Online food delivery in India has been phenomenal – by some estimates it will grow 3X to USD 13 Billion by 2025. Indians love their food! and a traditional cook at home mindset is now evolving to significantly more dine out and order in.
Last week, Zomato announced the launch of Zomato Instant. A food delivery service that serves the so called “instant” cravings – and aims to deliver food items in 10 mins and is almost as affordable as home cooked food.. There has been significant buzz and backlash on the same. There are questions to ponder on the necessity and ethics of such a service – e.g. would there be additional pressure on delivery partners. Do we need 10 mins food delivery? or do we need 10 mins ambulance or medicine delivery?. Such ruminations are important however we at Vumonnic Datalabs are reviewing the - “How” of this puzzle.
So essentially the game plan is that Zomato will develop “finishing stations” in partnership with restaurants and cloud kitchens that will house 20 to 30 dishes. Selections of these dishes would be based on demand predictability and hyperlocal preferences! – This is where Vumonic Datalabs’s analytics comes in handy! – We have shortlisted 16 food groups based on All India transaction volume in Q4 2021 in the Food Delivery segment. These 16 food groups constitute more than 1/3rd orders of all food delivery orders.
It is our prediction that given the quality and process standardisation option for these food groups, and their high demand – the Zomato Instant menu would revolve around these food groups only. Obviously there is a matter of changing preferences across regions, cities and even within cities – we are again best suited for coming with right answers as we provide large volumes of data even at pincode levels.
Keep watching this space for peeling off another layer in the evolution of the Food Delivery market in India.
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Blog written by : Anupam Asthana
Date: 28 Mar 2022
Vumonic Datalabs is a global consumer intelligence platform. We provide high quality, deterministically linked, large structured data that can be used to derive deep consumer, business and market insights. Our proprietary data pipelines deliver unbiased actual transaction data collected in a privacy secure manner via large global panels.