In 2020, many cafés and restaurants across Australia were forced to close their doors to dine-in customers. As a result, many
had to rethink their business strategies to survive, refocusing their business models on meal delivery and digitalization to generate revenue. With many food establishments able to fully re-open in 2022, a large proportion returned to their pre-pandemic operations, welcoming in-store customers as well as continuing to deliver food.
Restaurant websites, food delivery platforms, and delivery apps are becoming an essential part of food establishments' livelihood in Australia, as people increasingly prefer the convenience of getting their favorite meal delivered to their doorstep due to busier lifestyles. The Australian takeaway food services industry has remained resilient for many years and is continuing to grow. The
annual revenue of takeaway services in Australia reached over 22 billion Australian dollars in 2022, having increased steadily since 2013, despite the COVID-19 pandemic.
Food delivery services
Australia’s food delivery service landscape has changed and grown over the past few years. Following Deliveroo’s exit from the Australian food delivery market in November 2022, the industry remains dominated by three main players: Uber Eats, DoorDash, and Menulog. That same year, Uber Eats took the crown for the largest number of
online food delivery service bookings across Australia by brand. As of 2022, Australian consumers’ most
popular food delivery method was ordering through a third-party app such as DoorDash or Uber Eats. Additionally, more than half of Australians
opted for delivery over picking up food in-store that same year. Low fees, good ordering experiences, and low menu prices were among some of the key incentives for consumers across Australia to opt for a particular food delivery method.
Food delivery service users
As of March 2023, consumers between 25 to 34 years old dominated
Uber Eats users by age, with a share of over 50 percent, followed by those aged 18 to 24. Food delivery services are more popular in urban areas, with fewer users in rural areas. New South Wales had the highest
annual takeaway food services turnover across all Australian states in 2022, amounting to over six billion Australian dollars. Furthermore, the state accounted for the country’s largest
share of meal delivery users by region, with Tasmanians ordering takeout the least. Millennials and Generation Z were the most prominent
food delivery users by generation in Australia that same year, with pre-boomers ordering takeout the least.
Cost of living pressures: how will this affect food delivery usage?
Despite food delivery remaining popular among Australian consumers, many have started to cut back on takeaway spending as a result of cost of living pressures. As of the second quarter of 2022, around 40 percent of Australians had already
cut back on food delivery service usage due to higher living costs, with a further six percent intending to reduce their takeout consumption. South Australians accounted for the largest group of
takeaway consumers by state intending to cut back on their food delivery spending in 2022.
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