For anyone who thought food delivery was a big deal in 2020, just wait as 2023 gets into full swing. This is the year that experts expect this industry to take off, thanks to the food delivery trends coming into place to create the ideal conditions for growth. This video summarizes why food delivery is more important than ever before:
With more people living in big cities and working longer hours, it is no wonder that food delivery is even more popular today. Experts expect this food trend to continue to rise, along with grocery and meal kit delivery. Here is what to watch for in 2023.
Key Takeaways:
- The global market size for meal kit delivery will reach over $64 billion by the end of 2023, with a CAGR of more than 17% through 2030.
- Food delivery will expand to include the use of robots and drones, especially in larger cities where transportation is more difficult.
- All delivery services will find more eco-friendly ways to deliver groceries, take-out, and meal kit deliveries to consumers.
- Companies cannot compete in the digital world without data and analytics. When it comes to food delivery, understanding these metrics will increase profits.
6 Trends in Food Delivery in 2023
Since 2020, the food delivery industry has seen some record-breaking numbers. Convenience is one reason, although consumers also demand a more cost-effective approach to feeding themselves and their families. As consumers continue to enjoy this amenity, new food delivery trends are on the horizon in 2023.
Image Courtesy of Aaron Allen & Associates
1. Increased Reliance on Data and Analytics
As analytics tools become more commonplace, food suppliers are rethinking what it means to own delivery data. With so much shipping data in the hands of third parties, food suppliers want to better understand and optimize their shipping operations and need data reports at their fingertips. Some food delivery services build in-house analytics models, while others utilize shipping management software with built-in data analytics. Insights into delivery data can help food delivery providers improve their delivery operations and customer experience, employee satisfaction, and revenue.
2. Food Delivery Devices
Food delivery companies are looking for more labor-efficient ways to deliver food to consumers’ doorsteps, and customers are looking for lower-cost delivery options. Drone and robot deliveries successfully meet both requirements. While you will see a rise in even more advanced technologies, the deployment of drones and robots is the latest technology to enter the food delivery space. Drones can be efficient and deliver food quickly, and robots demand less than human workers.
These devices do not need drivers, saving these companies on labor and fuel costs while also being more environmentally friendly. While robot deployment still has several limitations, mostly with distance, drone technology will become more prevalent in 2023. However, experts expect that to change in the future when companies start to realize the benefits of deploying robots, such as:
- More efficient: Robots can navigate traffic better and deliver food more reliably and quickly.
- Improved performance: Robots do not feel fatigued. They do not ask to take an extra break or get disgruntled like humans. They can work longer hours.
- Less expensive: Rising labor costs and payroll liability costs make robots a more cost-effective method to deliver food than hiring a human worker.
- Error-proof: Unlike humans, robots are less prone to making errors. Robots can make mistakes because of the human element of deploying a machine to deliver food.
3. Food Delivery Subscription Services
One of the reasons subscription food delivery services are so popular is that they offer variety and convenience. Doorstep meal delivery is a lifesaver for busy professionals and working families. Also, if customers are tired of eating the same thing over and over again, these subscription services offer dozens of options. Your customers are sure to find something they will love.
4. Rise of Meal Kit Delivery
The global market for meal kit delivery will reach $64.3 billion by Q4 2023 and will grow at a CAGR of over 17% during the forecast period, making meal kit delivery another major trend in food delivery. Busy consumers are looking for convenient, easy-to-prepare meals as a cost-effective alternative to dining out and ordering. Most companies try to make a name for themselves while competing for customers. As this trend continues to tackle issues such as plastic waste, it will be interesting to see what distinctive food options and products these companies produce to gain market share.
Meal Kit Delivery Services Market by Product and Geography – Forecast and Analysis 2020-2024
5. More Eco-Friendly Food Delivery
As customers become increasingly conscious of their environmental impact, food delivery services face the challenge of adapting and providing sustainable solutions that reduce pollution and waste. Diners are more willing to pay for delivery if their establishment had visible sustainability practices. They prefer to order from restaurants that do not use extra packaging for delivery. Here are some eco-friendly food delivery trends you might see in 2023 and beyond:
- Increase in the use of recycled and recyclable packing materials
- Electronic vehicle adoption
- Increase in the support of local food production
- Integration of technology, including IoT and data analytics tools
6. Specialty Diets Are Here to Stay
Consumers will continue looking for healthier alternatives to the standard take-out menu of burgers and fries. However, they are not simply looking for salads versus fried foods. For example, roughly 13% of the population has an intolerance or sensitivity to gluten. Having gluten-free options on your menu will cater to these patrons. Also, consider offering meat alternatives and vegan or plant-based food options. You could also consider incorporating options for keto, paleo, or other trending diets, being mindful that offering a diverse menu is not always cost-effective.
Discover the Latest Food Delivery Trends at the Next SIAL Food Show
Grocery, meal kit, and restaurant food delivery services are becoming increasingly more convenient in 2023. With increased competition and advancements in the technology that drives food delivery, consumers enjoy more food choices, faster deliveries, and better food quality. Find these and other exciting new food trends to watch for at the next SIAL America Food Show this March.
Attend our next show in March, or become an exhibitor and share the latest food delivery trends that work best for your establishment.
