Picture, for a moment, the person most likely to use a multi-restaurant food delivery app or website service. Would that person be between the ages of 18 and 29? What about someone who earns less than $10,000 per year?
National marketing agency Zion & Zion recently released the results of a survey of more than 2,900 U.S. consumers ages 18 and up. It showed 63 percent of those in the 18-29 range have used such a service, followed by 51 percent for those ages 30-44. As for income? More than half — 52 percent — of those who earn less than $10,000 per year have used a food delivery website/app service, as well as 45 percent of those earning between $10,000 and $25,000.
Of the websites/apps used, Grubhub is most popular, employed by 38 percent of respondents, followed by UberEATS and DoorDash. And of those using the services, almost one in four — 24 percent — have done so three or four times in the last three months.
The report, “Food Delivery Apps: Usage and Demographics — Winners, Losers and Laggards,” points out that such delivery services pose complex challenges for restaurants. As the services are only expected to increase, restaurants may lose out if they choose not to participate. Morgan Stanley, according to the report, believes delivery could eventually top 40 percent of all restaurant sales.
Even so, involving a third party may mean losing the ability to provide consistent quality, branding and customer service. Restaurants also may lose revenue to the platforms and drivers. Zion & Zion has been working with clients in the development of app-only brands, modified menus, transport-tolerant packaging and more. It’s worth grabbing a seat to see what happens next.