Swiggy report says GenZ contributes to 40% of food consumption; highlights recent trend of binge-eating

India’s appetite is increasing day by and day and the food services industry is on a sizzling plate, projected to grow by 10-12% annually for the next seven years, according to a recent study by Swiggy and Bain & Company. This translates to a potential customer base of 45 crore people by 2030! Online food delivery, in particular, is expected to grow at an even faster rate with a compound annual growth rate of 18%.

Fueled by a growing population, more eating-out occasions, and a wider variety of food options, India's culinary landscape is undergoing a delicious transformation — delicious for the service providers. But what of the consumers?

While the study reveals a fascinating diversity in how India eats, it also indicates that the top 50, or Tier 1, cities presently account for 70% of food consumption. This wouldn’t be a problem if eating food from outside weren’t basically synonymous with eating unhealthy food. To exacerbate this problem, statistics suggest that this trend will soon seep into the Tier 2 and 3 cities of the country as well.

Further, 70% of consumption came from upper-middle to high income households.

As per the study, GenZ and other youngsters represent a significant chunk of the food consumption pie – a whopping 40%!
Growing up in the age of smartphones and social media, Gen Z is comfortable navigating the digital world to discover new restaurants and cuisines. They're not afraid to experiment, venturing beyond traditional family favorites and trying over three different cuisines and six restaurants in a year!

While GenZ appreciates good food, they also prioritise value for money. Online food delivery platforms allow them to compare prices and offerings before placing an order. Furthermore, this generation is expected to dine out more often as their disposable income increases.

The rise of online food delivery has revolutionized the way India eats. It has not only extended our eating hours (think late-night cravings!). With changing lifestyles, mid-meal snacking is becoming a popular trend. This opens doors for innovative brunch and evening snack options, requiring restaurants to adapt their opening hours.

Delivery platforms have seen an increase in people ordering food items like chicken biryani, fried rice, butter naan, masala dosa and Margherita pizza, among other things, during odd-hours of the day and night.

Convenience, taste, and price are now the holy trinity of ordering decisions. Food delivery platforms have intensified competition by making restaurant discovery and comparison a breeze. However, the rise of these food delivery platforms can have a direct impact on the health of Indians, and judicious use of them is advised.