Consumer demands are driving a substantial revolution in Metro Manila’s food and beverage delivery industry. Standards for food quality are being prioritized more as the industry grows, a reflection of customers’ increasing health consciousness.
Food and Beverage Delivery Trends in Metro Manila
What makes food delivery a trend in the Philippines?
Due to the pandemic, it has been reported that 7 out of 10 consumers now consider food deliveries to be a constant in their lives. It had a significant impact on Metro Manila consumer preferences over food delivery services, which has increased demand for quick and secure food delivery options.
As customers grow more health-conscious, there has been an evident shift toward better eating options. Additionally, the pandemic has sped up the implementation of contactless delivery choices and digital payment methods, improving customer experience overall and guaranteeing transaction safety.
What are the growth projections for the food delivery market?
The food delivery market in the Philippines reached PHP 55 billion in revenue in 2020 and is expected to achieve an annual revenue of $333.30 million by 2022. Industry analysts project that the market will continue to expand, driven by sustained changes in consumer preferences and the ongoing preference for convenience.
Consumer Demographics and Preferences
Who are the primary users of food delivery services?
Young families are the primary users, with more than half of frequent users being young couples with children. Predominantly, these are mostly users that are young professionals, urban dwellers, and students who seek convenience and time-saving solutions.
- Young professionals: Particularly those in the age bracket of 25 to 40 years, often rely on food delivery services due to their busy work schedules and desire for quick, hassle-free meal options.
- Urban dwellers: these include families and individuals living in high-density areas, also form a significant portion of the user base, benefiting from the accessibility and variety of options available through delivery platforms.
- Students and younger consumers: people who are more technologically savvy, frequently use these services for their affordability and ease of use.
What motivates consumer preferences to use delivery services?
Convenience, satisfying cravings, treating family, and saving time on cooking are major factors.
Convenience
- Saves time and effort.
- Meals delivered directly to the doorstep.
- Appealing to busy professionals and families with tight schedules.
Variety of Food Choices
- Wide Access to different cuisines and restaurants.
- Enables consumer preferences to try options they might not have time to visit in person.
Health Consciousness
- Growing demand for nutritious and healthy meal options.
- Caters to those who prioritize their well-being.
Promotions and Discounts
- Incentivizes usage through cost-effective deals.
- Loyalty programs for frequent customers.
Ease of Use
- User-friendly digital platforms.
- Features like real-time tracking and multiple payment options.
- Enhances the overall user experience.
Popular Food and Beverage Delivery Items
What are the most commonly ordered items?
Popular items include pizza, doughnuts, milk tea, cakes, burgers, and bakery products. Cake orders have increased significantly since 2019.
How has spending behavior changed?
There is a notable shift towards spending more on meals perceived to be healthier, such as those featuring organic ingredients, low-calorie options, and meals free from artificial additives and preservatives. This shift at some part is driven by the growing availability of nutritional information and the rising trend of wellness-focused lifestyles.
Market Dynamics and Competition
Who are the leading players in the market?
GrabFood and Foodpanda lead the market, with GrabFood holding 51% and Foodpanda 58% market share in 2021.
Aside from this food delivery apps, there were also on demand delivery services that provide you with a more spacious vehicle than a motorcycle. Some of these logistics providers are Lalamove which has both motorcycle and sedan delivery and Transportify which can offer up to large wing van trucks for bulk deliveries.
Upcoming Event For Food and Beverages Industry
Manila Foods and Beverages Expo (MAFBEX)
The Manila Foods and Beverages Expo (MAFBEX) is an event in the food and beverage industry, held annually at the World Trade Center Metro Manila. Scheduled from June 12 to 16, 2024, this event brings together exhibitors and visitors interacting with the latest trends and offers in the food and beverage industry.
Some of its highlights include:
- MAFBEX Cooks and Competitions: features various culinary competitions, including the Home Chef Competition and the YHE Culinary Competition, highlighting the skills and creativity of both amateur and professional chefs.
- MAFBEX Talks and Workshops: Attendees can participate in informative talks and workshops led by industry experts, discussing range of topics from food safety standards to emerging culinary trends.
- Exhibition Zones: includes specialized zones such as the Franchise Zone, Organic Products section, Brew District, and the International Pavilion, offering a comprehensive view of the industry’s diverse segments.
- Networking Opportunities: serves as a key networking venue, allowing participants to connect with potential partners and customers, fostering business growth and collaboration.
MAFBEX stands as a significant event for anyone involved in the food and beverage industry, providing valuable exposure to the latest advancements and fostering a collaborative environment for innovation and growth.
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