NEWS |
8 In 10 F&B Businesses See Revenue Up By 15% Through Delivery Apps: Grab Food & Grocery Trends 2022 Report
Written by Amit Sharma, Community Development Manager
Monthly food and grocery delivery spending by consumers in the region was up 24% in 2022 compared to 2021. Meanwhile, on average, merchants also saw a 15% jump in total sales revenue before joining delivery platforms, according to the report. For instance, McDonald's saw its sales from deliveries go up 30% from 10% of pre-COVID levels.
9 in 10 consumers in Southeast Asia (SEA) prefer brands with an integrated online-to-offline experience. Grab's latest Southeast Asia (SEA) Food and Grocery Trends 2022 Report revealed fast-emerging trends in the F&B business landscape and how digital platforms are now an integral part of the consumer journey.
The report, which combined survey insights from over 60,000 food and grocery delivery users in SEA (Singapore, Malaysia, Indonesia, Philippines, Thailand and Vietnam), revealed that today digital means omnichannel. It highlighted that consumers now look forward to being able to discover, engage and order from their favourite brands via some form of digital means. Meanwhile, on average, merchants also saw a 15% jump in total sales revenue before joining delivery platforms, according to the report. McDonald's, for instance, saw its sales from deliveries up 30% from 10% of pre-Covid levels.
Sean Goh, Regional Head of Mobility and Deliveries, commented on the findings, "Deliveries continue to be a prominent part of consumers' lives. In fact, consumers are shifting more and more of their food journey online, which presents additional opportunities for brands to reach and engage consumers online.”
Key Industry Trends
8 In 10 F&B Merchants Agree That A Delivery Platform Is A Must-have For Their Business
Merchants, on average, saw a 15% increase in total sales revenue compared to before joining delivery platforms.
Delivery Users Are Shifting Their Food Journeys Online
More than 90% of consumers pre-purchased food vouchers and read food reviews online; more than 80% made dining reservations or ordered self-pick-up online, and more than 70% ordered and paid for their dine-in meals online. 9 in 10 consumers said they prefer brands with an integrated online-to-offline experience.
Consumers Are Ordering More And Spending More Per Order
The monthly food and grocery delivery expenditures were 30% higher in May 2022 compared to November 2021. Singapore consumers spent most on deliveries, while Vietnamese consumers ordered most frequently in the region. Overall, the heaviest delivery users tend to be young families, and the top 25% of the most-heavy users contributed close to three-quarters (71%) of the region's delivery spending.
9 In 10 Consumers Said They Prefer Brands With An Integrated Online-to-offline Experience
More than 90% of consumers pre-purchased food vouchers and read food reviews online; more than 80% made dining reservations or ordered self-pick-up online, and more than 70% ordered and paid for their dine-in meals online.
Consumers Are Discovering New Merchants Through Delivery Apps
88% of consumers got to know a new store because of delivery apps; 74% browsed delivery apps without having any restaurant or store in mind.
Plant-based Meat Is No Longer Niche; Its Going Mainstream
About one in two surveyed Southeast Asian consumers tried plant-based options in the last 6 months. 86% of consumers ate at least one healthy meal every two to three days. As a matter of fact, 77% of Singaporeans say that they consume at least one healthy meal every 2 to 3 days.
Local Food Reigns
From prata to papaya salad, nasi goreng, and banh mi, local food remains a top trending order in all markets except the Philippines. Coconut shakes, Siew Mai, as well as Thai and Korean cuisine saw a major surge in demand all through 2022.
The recently refreshed Food Services IDP help SME F&B businesses in Singapore go digital faster and optimize on the trends revealed by the Grab report 2022. The new Food Services IDP will address the latest trends such as the shift in consumer behaviour towards digital ordering, e-commerce and food delivery.
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