How Food Delivery Services Benefit Society

How Food Delivery Services Benefit Society

Introduction

There has been an exponential demand for food delivery services in the past five years. Research projects that in 2020, more than 50% of food spending will occur outside a restaurant. The web makes it possible to create numerous apps allowing consumers to order food on their phones. For decades, people only made Chinese food and pizza online. Nowadays, all types and cuisines of foods are available online. The investment of billions of dollars has caused the shift to food delivery apps such as Postmates, Grub Hub, Uber Eats, and DoorDash. The increase in food delivery apps is very beneficial for society. There should be more investment in food delivery services because they increase convenience for consumers, strategic profits for businesses, and access for the most vulnerable people in society.

Discussion

Convenience is a crucial benefit of food delivery services and is a key reason why they are taking over the market. The number of persons who have ordered food online increased from 17% to 24% in 2019 (Thompson). The apps have grown astronomically because they offer a revolution in service convenience. The typical professional in modern times rarely has time to go to the restaurant. There is also no time to queue and wait to be served. Millennials spend more time commuting and working than previous generations. They spend the little spare time they have streaming on-demand screen services such as Netflix (Thompson). It has become difficult to prepare food since they are often too depleted and busy to cook.  They also find it too taxing and time-consuming to sit in a restaurant. Food delivery offer convenience by stepping in to ease consumer anxiety whether at work or home. People are able to save more time and use it to finish tasks or recuperate from a tough day.

Online delivery services have led to a revolution in the restaurant industry as they are very strategic for businesses. Entrepreneurs who could not afford the rent and running costs of brick and mortar restaurants can now operate virtual restaurants (Isaac and Yaffe-Bellany). It has become possible to establish exclusively digital establishments that save costs for businesses as they don’t need waiters or dining rooms. The restaurants exist only on the food delivery apps on which they operate (Isaac and Yaffe-Bellany). Delivery services have significantly the essence of what it entails to run a restaurant for the better. Restaurateurs no longer need to rent dining room space. All they need is a space to cook, prepare, and pack the food without the hassle of paying for furniture and tablecloths, or the expense of hiring waiters.

Customers making online orders usually have no idea that the restaurant does not exist physically. The optics translate into high margins of profits for restaurateurs. The significant reduction in establishment and operation costs makes it possible for restaurant set-ups to start businesses, get customers, and earn enough profits to recoup their investments. Previously, start-ups couldn’t take off due to high set-up costs and lack of name recognition. Delivery apps offer businesses a strategic competitive advantage since they can analyze data to identify the market demand for particular dishes (Isaac and Yaffe-Bellany). Restaurants can then use the market data to know what to cook and what to sell. Digital delivery services increase restaurant sales by more than 50% (Isaac and Yaffe-Bellany). The profit margin offered by online delivery services is often higher than that of brick and mortar restaurants.

Access is a core benefit of food delivery services and one of the factors as to why they are here to stay. Access to brick and mortar restaurants is reserved for those who have bus/cab fare or fuel money to get there and for those who are in perfect physical health. Online delivery services enable food to reach those who may be trying to save on fare money and those who are sick or disabled. For instance, online food delivery services have come in handy for cities under lockdown during the coronavirus outbreak as well as for people in self-isolation (Butler). The outbreak has caused a surge in online orders as people are avoiding public places. Food delivery services are, therefore, incredibly important as they enhance access for vulnerable people who are not in a position to go to a restaurant.

Conclusion

Online delivery one of the most exciting opportunities in the food industry today. It has attracted substantive investment from entrepreneurs because it has the potential for high returns. Consumers are not looking for new modes of consuming food; they are looking for new methods of getting the food at their doorstep. Food delivery services are an asset for society since they enhance convenience for customers, strategic profit-making for businesses, and access for the most vulnerable people in society. Food delivery services are here to stay because they solve a lot of gaps in the restaurant industry. Going forward, restaurants that do not offer an online delivery service may have to close shop as they will be rendered irrelevant.