India Foodtech Market to Grow at 12% CAGR till 2021
Growing disposable income and busy lifestyles
of young and working population coupled with increasing internet penetration
and rising smartphone users to drive India foodtech market through 2021
According to a recently released
TechSci Research report, “India Foodtech Market By Operation Type, By
Source of Order, By Payment Method, Competition Forecast and Opportunities,
2011 – 2021”, the foodtech market
in India is projected to grow at a CAGR of over 12% during 2016 – 2021. Growth
in the market is anticipated on account of increasing disposable income,
growing average household income and rising trend of double-income-no-kids
concept. Backed by growing internet penetration from 10% in 2011 to 27% by
2015, and increasing smartphone users from 123 million in 2014 to 167 million by
2015, coupled with budding e-commerce market and rising young working population,
the foodtech market in India is anticipated to grow at robust pace during
forecast period.
Another major factor propelling
demand for foodtech in India is the growing youth population, primarily in
urban regions of the country. The country has a large base of young consumers
who form majority of the workforce and due to time constraints barely get time
for cooking. In India, the concept of ordering food online is gaining
popularity due to various convenience provided by the companies in terms of
delivering food at the doorstep of the customer, option of alternate payment
methods, and continuous announcement of attractive cashbacks/ discounts offers.
On the basis of operation type,
the India foodtech market has been segmented into two categories, namely,
restaurant based and food aggregators. In 2015, restaurant based dominated the
overall market, and is anticipated to maintain its dominance over the next five
years. However, in terms of growth, the other segment i.e. food aggregators
segment is expected to outpace restaurant based segment over the next five
years. Food aggregators acts as a mediator between customers and restaurants,
and provides the option of choosing from different cuisines from multiple restaurant
and food outlets registered with them.
“Yum
Foods, Jubilant Foodworks, Zoamto, and McDonald’s are the leading players in
India foodtech market. These players are anticipated to maintain their dominance
in the market through 2021, predominantly on account of their future expansion
plans. With increasing private equity and venture capital funding, the foodtech
companies are focusing towards expanding their business in Tier II & III
cities across India. With growing competition, online food ordering companies
are focusing on providing faster delivery in major metro cities to increase
their customer base.”, said Mr. Karan Chechi, Research Director with TechSci
Research, a research based global management consulting firm.
“India Foodtech Market By Operation Type, By Source of Order, By Payment Method, Competition
Forecast and Opportunities, 2011 – 2021”, has analyzed the potential of
India foodtech market and provides statistics and information on market sizes,
shares and trends. The report will suffice in providing the intending clients
with cutting-edge market intelligence and help them in taking sound investment
decisions. Besides, the report also identifies and analyzes the emerging trends
along with essential drivers and key challenges faced by the industry.