India Online Food Delivery Market

India Online Food Delivery Market Size and Share:

The India online food delivery market size was valued at USD 45.15 Billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 320.31 Billion by 2033, exhibiting a CAGR of 23.10% from 2025-2033. The online food delivery market in India is expanding, driven by the growing usage of smartphones, inflating disposable incomes and familiarity with international cuisines, and rising delivery-only models that reduce fixed costs associated with real estate, décor, and front-end personnel compared to traditional brick-and-mortar restaurants.

The growing internet and smartphone penetration in India is offering a favorable market outlook. With low-cost data plans and high penetration of smartphones, particularly in tier II and III cities, more segments of the population are now hooked to digital platforms. This change is making it possible for food delivery operators to reach farther than urban cities, accessing once-untapped markets. Use of mobile applications and digital payment is also streamlining the ordering experience, making the process more efficient and repeat-prone. Cloud kitchens or delivery-only kitchens are changing the game of operational dynamics in the market. Cloud kitchens have no dine-in space and only cater to online orders. This model enables companies to lower overheads related to conventional restaurants, including real estate and front-of-house personnel. Consequently, cloud kitchens are making more food varieties available at affordable prices, enhancing the value proposition for consumers while improving profitability for food delivery players, thereby offering a favorable India online food delivery market outlook.

Innovations in artificial intelligence (AI), machine learning (ML), and data analytics are utilized to streamline delivery routes, predict demand, and customize customer experiences. Such technologies assist in the shortening of delivery times, the improvement of service quality, and operational efficiency. Predictive analytics also aid in inventory management and food wastage reduction, hence helping achieve sustainability objectives. Government initiatives promoting digital payments, such as the Unified Payments Interface (UPI), are supporting the cashless transaction environment vital for online food delivery. Additionally, regulations related to food safety and hygiene standards have prompted platforms to improve quality control and transparency, boosting people’s trust.

India Online Food Delivery Market Trends:

Rising Internet and Smartphone Penetration

India's digital revolution is transforming consumer reach for online services, including food ordering, fundamentally. The expansion of low-cost smartphones and affordable data plans, especially after the advent of telecom players, are enabling people to get online for the very first time. India’s internet users increased to 90 million in 2025, owing to the use of India languages. This connectivity is enabling food delivery platforms to expand their geographic reach, reaching a more diverse and hitherto untapped base of customers. The ease of mobile apps, frictionless digital payment methods, and order tracking through apps have increased user interaction. In addition, the use of local languages and simple interfaces ensures that food delivery apps are easier to use for non-English speaking consumers. This digital ecosystem not only ensures higher frequency of usage but also facilitates real-time marketing and personalization, ensuring the overall experience is more consumer-friendly and scalable.

Changing Urban Lifestyles and Consumer Preferences

The urban lifestyle in India is bringing a change in food habits, with convenience overtaking traditional cooking. Rising workloads, two-income families, and increased urban migration are taking away the time and inclination for home-cooked meals, especially among millennials and Gen Z consumers. This segment prefers digital solutions that save time and provide variety, and online food delivery is a convenient alternative. Furthermore, cultural acceptance of dining out or ordering in is increasing, backed by increasing disposable incomes and familiarity with international cuisines. Customers are no longer searching for food, instead they are searching for culinary experiences, which food delivery apps enable by offering access to a wide variety of cuisines and restaurants. Meal customization, combo offers, and loyalty schemes also attract users seeking value-added services. The convenience of ordering at any time, from almost anywhere, renders food delivery services an integral aspect of everyday urban life. In 2024, Zomato launched a 15 min food delivery service that offered meals from certain restaurants located within a 2 Km radius.

Expansion of Cloud Kitchens and Operational Efficiencies

Cloud kitchens are becoming a revolutionary force in the Indian food delivery space. Cloud kitchens are delivery-only models that reduce fixed costs associated with real estate, décor, and front-end personnel compared to traditional brick-and-mortar restaurant, thereby propelling the India online food delivery market growth. The model enables food entrepreneurs and well-established brands to introduce several cuisines or brands from one location, enhancing flexibility as well as efficiency. From the consumer point of view, cloud kitchens provide affordable meals with no loss of quality, and from the business point of view, they provide greater margins and reduced risk. With scalability, innovation is promoted, as food brands can test menus and pricing strategies with real-time demand analytics. Centralized kitchens also improve speed and consistency of delivery, particularly when combined with sophisticated logistics and route optimization technology. The IMARC Group predicts that the India cloud kitchen market size is expected to reach USD 3,211.7 Million by 2033.

India Online Food Delivery Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the India online food delivery market, along with forecasts at the country and regional levels from 2025-2033. The market has been categorized based on platform type, business model, and payment method.

Analysis by Platform Type:

• Mobile Applications
• Websites

Mobile applications stand as the largest component in 2024, holding 85.4% of the market. Mobile apps have emerged as a fulcrum of India's online food ordering industry, with increased user interaction and efficiency in operations. The apps provide a seamless user experience to enable customers to explore menus, order food, pay for it, and track delivery in real time. The ease of accessing numerous restaurants and food varieties on one platform is changing the dynamics of meal planning and consumption among Indian consumers. Also, mobile applications enable greater customer-restaurant-delivery staff interaction, resulting in greater transparency and satisfaction. For rural and semi-urban consumers, the support for local languages and easier user interfaces is also making food delivery services more inclusive. As mobile phone usage keeps expanding all over India, mobile apps will be at the forefront of ensuring the scalability and viability of the internet-based food delivery industry by bridging digital convenience and normal needs of the consumers.

Analysis by Business Model:

• Order Focused
• Logistics Based
• Full-Service

Order focused leads the industry with 55.0% of India online food delivery market share in 2024. India's food delivery market is gradually embracing an order-centric business model, which is optimizing operations and improving customer satisfaction. Businesses are focusing on optimizing order processing, tracking orders in real-time, and delivering orders in a timely manner to satisfy the increasing demands of digitally empowered customers. By focusing on the smooth execution of every order, businesses are guaranteeing the consistency of service quality, which is essential in a competitive and dynamic market. This model is focusing on logistics optimization, with platforms investing in technology to enhance route planning, lower delivery times, and better manage peak-hour traffic. Businesses are also leveraging data analytics to forecast customer demand, assign resources, and avoid delivery bottlenecks. At the same time, food delivery platforms are keeping close coordination with partner restaurants and cloud kitchens to reduce preparation times and maintain food quality.

Analysis by Payment Method:

• Online
• Cash on Delivery (COD)

Online leads the market with 91.7% of market share in 2024. Indian online food delivery platforms are increasingly dependent on digital payment options to facilitate easy transactions and maximize user convenience. Online food delivery platforms are supporting a broad spectrum of online payment options, ranging from UPI and mobile wallets to debit and credit cards, and net banking. With customers getting used to cashless transactions, companies are ensuring that the payment process is fast, secure, and hassle-free. Firms are also providing rewards such as cashback, discount, and reward points in order to transition customers towards availing digital payment rather than cash-on-delivery. Such tactics are not just enhancing speed but also diminishing cash handling-related risks. Applications are also constantly developing payment channels with improved success ratios and anti-fraud mechanisms in place, which is instrumental for upholding client trust.

Regional Analysis:

• North India
• West and Central India
• South India
• East India

In 2024, South India accounted for the largest market share of 39.6%. South India has some major metropolitan cities that house a vast number of working professionals, students, and information technology (IT) sector employees. Bengaluru and Hyderabad, especially, are famous for their burgeoning IT industries, which create high demand for quick and time-saving meal options. The long working hours culture and urban lifestyles are driving people towards food delivery platforms that provide instant access to a variety of cuisines. This trend is especially prevalent among millennials and Gen Z, who are at ease with mobile applications for everyday needs and appreciate the convenience of ordering food online. One of the unique aspects of South India's online food delivery market is its diversity of cuisine. The area covers a rich diversity of local foods. Online food delivery websites are capitalizing on this diversity by providing hyper-localized menus catering to specific regional palates. This localizing is boosting user interaction and widening the popularity of food delivery services among various cultural groups.

Competitive Landscape:

Key market players in the India online food delivery market are continuously adopting innovative strategies to improve their business performance and customer satisfaction. Companies are expanding their service coverage to tier II and III cities, targeting untapped markets where smartphone penetration and digital literacy are rapidly increasing. They are strengthening their logistics infrastructure by optimizing delivery networks and introducing features like express delivery and real-time tracking to ensure faster and more reliable service. These platforms are also investing in cloud kitchens to reduce overhead costs and increase operational efficiency. By partnering with local restaurants and launching their own kitchen brands, they are offering diverse and affordable meal options tailored to regional preferences. Simultaneously, they are enhancing user engagement through AI-driven personalization, offering meal suggestions based on customer preferences and order history, which is anticipated to fuel the India online food delivery market forecast.

The report provides a comprehensive analysis of the competitive landscape in the India online food delivery market with detailed profiles of all major companies, including:

• Zomato
• Swiggy
• Foodpanda
• Bundl Technologies
• Fasso's
• Domino's

Latest News and Developments:

• January 2025: Swiggy launched a separate app, Snacc, to offer 15-minute food delivery in select areas of Bengaluru. The app features categories like Indian breakfast, coffee, and beverages. Swiggy reportedly plans to expand Snacc across India, joining competitors like Zomato in the quick delivery market.
• December 2024: Zomato launched its Accelerated Safety Response program, which automatically detects crashes through the delivery partner app and dispatches emergency assistance.
• December 2024: Swiggy expanded its 10-minute food delivery deal, Bolt, to over 400 cities, after its initial launch in Bengaluru, Hyderabad, New Delhi, Chennai, Mumbai, and Pune in October. This expansion came as other startups like Zepto and Swish also scaled up their quick delivery services in the market.
• December 2024: Blinkit, Zomato's quick-commerce subsidiary, launched its 10-minute food delivery app, Bistro, to compete with Zepto's Zepto Cafe. Bistro focused on snacks, meals, and beverages, joining the growing quick-food delivery market alongside competitors like Swiggy Bolt.
• November 2024: WAAYU, a zero-commission food delivery app, launched in Hyderabad and Secunderabad, collaborating with ONDC and the Telangana State Hotels Association. The app aimed to support 3,000 restaurants, offering a commission-free service.

India Online Food Delivery Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, India online food delivery market forecasts, and dynamics of the market from 2019-2033.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the India online food delivery market.
• Porter's Five Forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the India online food delivery industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.