Food & Beverages

Food Delivery apps in China lead the food biz


China's food delivery market will turn red hot during this winter’s sub-zero temperatures.

The concept of food delivery apps is breaking all barriers and creating whole new bag of marketing tricks that have already start to serve millions of customers who crave for convenience, are cold-averse and love to be served indoors.

Many customers are now dependent on app-based food delivery firms, which have now fetched the 10 per cent share of China’s catering industry’s annual sales, which is up from 7.4 per cent last year.  By June-end,, the market leader, had 34.02 million active users, followed by (29.89 million) and Baidu Waimai (17.48 million).

According to a survey by the China Internet Network Information Center's China Internet Development Report, more than 295 million people had already used online food delivery services in the first half of this year. We can see the food delivery firms’ fast growth from the latest data that provides estimation of the total profit.

By the time 2018 arrives, around 350 million consumers would have likely used food apps delivery services, estimated total spending would be more than 200 billion Yuan ($30.2 billion), which is higher than 160 billion Yuan spent last year. If absolute numbers are to be believed, food and beverages will have been delivered more than 350 million times this year, up from 256 million times last year, statement issued by the China Cuisine Association or CCA.

Jiang Junxian, director of the CCA, gives the credit of rapid growth of the food delivery apps market to the advent of technology like- reliable telecom infrastructure, nifty smartphones, imaginative apps, mobile payment tools and better logistics capacity of delivery firms.

Consumers of China now refrain from time-consuming visits to restaurants and are reluctant to cook at home due to work pressures. These key factors have attributed to a large extent to growth of food delivery apps market.

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