DIGITAL

&

TRENDSOnlinefooddeliveryintheUnitedKingdomCHAPTER

01OverviewRevenueoftheonlinefooddeliverymarketworldwidefrom2017to2028,bysegment(intrillionU.S.dollars)Marketsizeoftheglobalonlinefooddeliverysector2017-2028,bysegmentMealdeliveryGrocerydelivery2.01.81.61.41.21.00.80.60.40.20.01.271.171.060.950.790.640.520.450.320.20.1720190.520.510.470.490.160.140.440.390.130.110.350.320.25201720182020202120222023202420252026202720283Description:ThemarketsizeoftheglobalonlinefooddeliverysectorwasestimatedatoveronetrillionU.S.dollarsin2023,ofwhich640billiondollarsweregeneratedinthegrocerydeliverysegment,and390billiondollarsinthemealdeliverysegment.By2028,theonlinefooddeliverymarketisforecasttogeneraterevenuesreaching1.8trillionU.S.dollars.ReadmoreNote(s):Worldwide;2017to2028;estimatesSource(s):DigitalMarketInsightsRevenueoftheleadingonlinefooddeliverymarketsworldwidein2024(inbillionU.S.dollars)Revenueoftheonlinefooddeliverymarketinselectedcountries2024RevenueinbillionU.S.dollars200

250050100150300350400450500ChinaUnitedStatesUnitedKingdomSouthKoreaIndia448.9353.348.244.4243.7838.33JapanIndonesia

20.59Germany

17.6France

14.774Description:In2024,Chinawasforecasttobethebiggestmarketforonlinefooddeliveryworldwide,generatingaround449billionU.S.dollarsinrevenue.TheUnitedStatesrankedsecond,withtheonlinefooddeliveryrevenuereachingapproximately353billionU.S.dollarsthatyear.ReadmoreNote(s):UnitedStates;2024Source(s):DigitalMarketInsightsRevenueoftheonlinefooddeliverymarketintheUnitedKingdom(UK)from2017to2028(inbillionU.S.dollars)RevenueoftheonlinefooddeliverymarketintheUK2017-2028,bysegmentGrocerydeliveryMealdelivery807060504030201002017201820192020202120222023202420252026202720285Description:TheonlinefooddeliverymarketintheUnitedKingdomwasestimatedtogenerateapproximately40billionU.S.dollarsinrevenuesin2023,witharound22billiondollarsgeneratedinthegrocerydeliverysegmentand18billiondollarsinthemealdeliverysegment.ReadmoreNote(s):UnitedKingdom;2017to2028Source(s):ConsumerMarketInsightsInternetsalesasaproportionofallfoodretailsalesinGreatBritainfromJanuary2018toMarch2024PercentageofinternetsalesinfoodstoresinGreatBritain2018-202413.0%12.0%11.0%10.0%9.0%8.0%7.0%6.0%5.0%4.0%6Description:TheshareoffoodretailsalesmadeonlineinpredominantlyfoodstoresinGreatBritainsawitsbiggestgrowthinJanuary2021,whenthecoronavirus(COVID-19)containmentmeasuresweretightenedintheUnitedKingdom.Sincethen,theproportionofonlinefoodretailslowlydecreased.MostrecentfiguresshowedthatshareoffoodretailsalesmadeonlinewasataroundninepercentinMarch2024.ReadmoreNote(s):UnitedKingdom;January2018toMarch2024;valuesareseasonallyadjustedSource(s):OfficeforNationalStatistics(UK)CHAPTER

02UsersNumberofusersoftheonlinefooddeliverymarketintheUnitedKingdomfrom2017to2028,bysegment(inmillions)OnlinefooddeliveryusersintheUK2017-2028,bysegmentGrocerydeliveryMealdelivery55504540353025201510551.631.850.630.449.62947.927.34439.223.536.834.427.418.125.422.421.818.614.315.11313122017201820192020202120222023202420252026202720288Description:In2024,therewereapproximately25millionpeopleintheUnitedKingdomusinggrocerydeliveryservices,andanestimated44millionpeopleusingmealdeliveryservices.ThenumberofusersoftheonlinefooddeliverymarketintheUKisforecasttoincreaseacrossboththegroceryandmealdeliverysegmentsinthecomingyears.By2028,over60millionconsumersintheUnitedKingdomwillbeusingonlinefooddeliveryservices.

ReadmoreNote(s):UnitedKingdom;2017to2028Source(s):DigitalMarketInsightsPenetrationrateoftheonlinefooddeliverymarketintheUnitedKingdomfrom2017to2028,bysegmentOnlinefooddeliverypenetrationrateUK2017-2028,bysegmentGrocerydeliveryMealdelivery80%70%60%50%40%30%20%10%73.7%45.4%72.5%44.7%71.3%42.8%69.1%40.4%63.7%37.7%56.9%35.2%53.7%33.3%50.5%32.4%40.4%26.9%27.6%21.2%22.5%19.4%19.4%18%2017201820192020202120222023202420252026202720289Description:In2024,itwasestimatedthatapproximately64percentoftheUKpopulationwasusingmealdeliveryservices,whilearound38percentwasusinggrocerydeliveryservices.By2028,estimatessuggestthatusageratesacrossbothsegmentsofthefooddeliverymarketintheUKwillcontinuetoincrease,reaching45percentpenetrationforonlinegroceryand74percentformealdelivery.ReadmoreNote(s):UnitedKingdom;2017to2028Source(s):DigitalMarketInsightsShareofpopulationbuyingfoodanddrinkonlineintheUnitedKingdomfromJuly2019toMarch2024E-commerceuserpenetrationforfoodanddrinkintheUK2019-202430%28%28%26%24%24%24%22%20%18%16%14%12%10%22%22%22%21%20%20%20%20%19%19%18%14%13%Jul'19

Dec'19

Jun'20

Dec'20

Mar'21

Jun'21

Dec'21

Mar'22

Jun'22

Sep'22

Dec'22

Mar'23

Jun'23

Sep'23

Dec'23

Mar'2410Description:ThefoodanddrinkmarketintheUnitedKingdomsawitse-commerceuserpenetrationratesignificantlyincreaseafterDecember2019,astheCOVID-19pandemicledmoreconsumerstopurchaseonline.Thatmonth,theshareoftheUKpopulationbuyingfoodanddrinksonlinewasapproximately13percent.ByDecember2020,thatfigurehadincreasedninepercentagepoints.AsofMarch2024,aroundafifthoftheUKpopulationpurchasedfoodanddrinksonline.

ReadmoreNote(s):UnitedKingdom;July2019toMarch2024;1974-2042perwave;18yearsandolderSource(s):YouGovShareofthepopulationpurchasingfoodanddrinksonlineintheUnitedKingdominMarch2024,byagegroupE-commercepenetrationforfoodanddrinkintheUK2024,byagegroup25%23%21%21%20%15%10%8%5%0%18-2425-4950-6465+11Description:InasurveyconductedinMarch24,onlyeightpercentofGenZ(ages18-24)consumersintheUnitedKingdomdidthemajorityoftheirfoodshoppingviaonlinechannels.Incontrast,thatfigurestoodat23percentforrespondentsaged65andolder.Overall,the?e-commerceuserpenetrationforfoodanddrinkintheUKwitnessedasignificantincreasesincetheonsetoftheCOVID-19pandemic.ReadmoreNote(s):UnitedKingdom;March2024;1,974-2,042respondentsperwave;18yearsandolderSource(s):YouGovShareofthepopulationpurchasingfoodanddrinksonlineintheUnitedKingdominMarch2024,byregionE-commercepenetrationforfoodanddrinkintheUK2024,byregion30%25%24%21%19%19%20%15%10%5%17%17%0%LondonMidlandsNorthScotlandWalesRestofsouth12/statistics/1401390/uk-regions-food-drink-e-commerce-user-penetrationInMarch2024,around24percentoftheUKpopulationresidingintheSouthernpartofthecountrywasdoingthemajorityofshoppingforfoodandbeveragesonline.Incomparison,thatfigurestoodat19percentforLondoners,and17percentofScots.ReadmoreNote(s):UnitedKingdom;March2024;1,974-2,042respondentsperwave;18yearsandolderSource(s):YouGovCHAPTER

03CompaniesLeadinggroceryonlinestoresintheUnitedKingdomin2023,bye-commercenetsales(inmillionU.S.dollars)UnitedKingdom:Top10food&beveragesonlinestores2023E-commercerevenueinmillionU.S.dollars05001,0001,5002,0002,5003,0003,5004,0004,5004,159.2sainsburys.co.uk3,820.91,5531,332.21,099.9941amazon.co.uk418.9coop.co.uk229.6192.3174.914/statistics/870373/top-online-stores-food-beverages-united-kingdom-ecommercedbTtoppedtherankingofonlinegrocerystoresintheUnitedKingdom,generatinganestimated4.16billionU.S.dollarsine-commercenetsalesin2023.Sainsburys.co.ukrankedsecond,with3.8billionU.S.dollarsinonlinegrocerysales.

ReadmoreNote(s):2023Source(s):ecommerceDB.com;NumberofdownloadsofleadingfooddeliveryandtakeoutappsintheUnitedKingdom(UK)in2023(in1,000s)MainfooddeliveryappsintheUK2023,bydownloadsNumberofdownloadsinthousands4,000

6,00002,0008,00010,00012,00014,000TescoGroceriesforiPhoneJustEat-FoodDeliveryDeliveroo:FoodDeliveryAppUberEats:FoodDeliverySainsbury'sGroceries12,647.72,365.692,339.262,333.491,030.82896.3843.41410.66HelloFresh:MealKitDeliverymyODEONGoustoGopuff—Alcohol&FoodDeliveryGlovo:FoodDeliveryandMoreGAIL'sBakery409.48396.26395.67392.48getir:groceriesinminutesWoltDelivery:FoodandmoreDoorDash-FoodDeliveryfoodpandalocalfooddelivery238.47237.64221.2315Description:Withovertwelvemilliondownloads,TescoGrocerieswasbyfarthemostpopularfooddeliveryappintheUnitedKingdomin2023.ThesecondplacewenttoJustEat,whichrecordedabout2.4milliondownloadsthatyear.Deliveroofollowedthird,withover2.3milliondownloads.ReadmoreNote(s):UnitedKingdom;2023Source(s):AppMagicMostpopularrestaurantanddeliverywebsitesintheUnitedKingdom(UK)inDecember2023,basedonshareofvisitsLeadingrestaurantanddeliverywebsitesintheUK2023,byvisitshareShareofvisits0%2%4%6%8%10%12%14%just-eat.co.ukdeliveroo.co.uk12.29%6.06%5.6%3.19%2.7%16Description:InDecember2023,theonlinefooddeliverymarketplacejust-eat.co.ukwasthemostvisitedwebsiteintherestaurantanddeliverycategoryintheUnitedKingdom,accountingfor12.29percentofdesktoptraffic.Followinginsecondplacewithavisitshareofjustoversixpercentwasdeliveroo.co.uk.ReadmoreNote(s):UnitedKingdom;December2023;desktoponly;category:Foodanddrink-RestaurantsandDeliverySource(s):SimilarWebLeadingonlinegrocerydeliverybrandsrankedbybrandawarenessintheUnitedKingdomin2023Mostwell-knownonlinegrocerydeliverybrandsintheUK2023Shareofrespondents40%

50%0%10%20%30%60%70%80%90%100%TescoAsdaMorrisonsSainsbury'sCo-op96%96%94%94%93%IcelandFoodsWaitrose90%90%AmazonFreshHelloFreshOcado81%80%75%Costco68%Gousto61%AbelandCole33%17Description:Onlinegroceryshoppingcomeswithawiderangeofbenefits.Fromavoidingcrowdedaislestonothavingtoworryaboutfindingasuitableparkingspot,thistypeofgroceryshoppingcanalsosaveyouvaluabletime.But,whichoneoftheonlinegrocerydeliveryservicesarepopularamongthecustomers?ReadmoreNote(s):UnitedKingdom;November2023;1247respondents;18to64yearsSource(s):ConsumerInsightsRevenueofUberEatsworldwidefrom2017to2023(inbillionU.S.dollars)UberEatsrevenueworldwide2017-20231412.21210.91088.364.841.921.50.60201720182019202020212022202318/statistics/1235816/revenue-uber-eats-worldwideIn2023,UberInc.generatedapproximately12.2billionU.S.dollarsinrevenuesinits'Delivery'segment,whichincludesUberEatsandUberDirect.Thisfigureconstitutesanincreasecomparedtothepreviousyear'srevenuesof10.9billiondollars.

ReadmoreNote(s):Worldwide;2017to2023Source(s):UberAnnualrevenueofDeliverooworldwidefrom2020to2023,byregion(inmillionGBP)AnnualrevenueofDeliveroo2020-2023,byregion20202021202220231,4001,2091,2001,119.4980.71,0008006004002000855.3843.7821599591.8UKandIrelandInternational19Description:Deliveroo'sUKandIrelandsegmentgeneratedover1.2billionBritishpoundsinrevenuesin2023,doublethefiguregeneratedinthismarketin2020.Deliveroo'sinternationalsaleshavealsogrownduringthisperiod,increasingfromaround591millionpoundsin2020tosome821millionpoundsin2023.Deliveroo'sInternationalsegmentcompriseseightmarketsacrossEurope,theMiddleEast,andAsia.

ReadmoreNote(s):Worldwide;2020to2023Source(s):DeliverooGrossTransactionValue(GTV)ofDeliveroofrom2020to2023,byregion(inmillionBritishpounds)GrossTransactionValue(GTV)ofDeliveroo2020-2023,byregionUK&IrelandInternational4,5004,1813,8884,0003,5703,5003,0002,5003,0612,9602,8812,0911,8882,0001,5001,0005000202020212022202320Description:TheGrossTransactionValue(GTV)ofDeliverooreachedsevenbillionBritishpoundsin2023,almostdoublethefigurereportedin2020.Accordingtothelatestfinancialrelease,theUnitedKingdomandIrelandrepresentedthecoremarketsforthedeliverygroup,astheirGTVamountedtoapproximately4.2billionBritishpoundsin2023.ReadmoreNote(s):Worldwide;2020to2023Source(s):DeliverooRevenueofJustEatTworldwidefrom2019to2023,byregion(inmillioneuros)JustEatT:revenueworldwide2019-2023,byregionNorthAmericaNorthernEuropeUKandIrelandSouthernEuropeandANZ16,0005,0004,0003,0002,0001,00005325484381,3191,2491,3113707687451,1551,0641,2772355404562,55220222,47020212,11120202,14120231,498201921Description:TherevenuebreakdownofthefooddeliveryplatformJustEatTvariedbyregionin2023.NorthAmericawasJustEatT'sbiggestmarket,accountingforaround2.14billioneurosthatyear.Meanwhile,NorthernEuropegeneratedaround1.28billioneurosinrevenuesin2023.ReadmoreNote(s):Worldwide;2019to2023Source(s):JustEatTKeyfiguresofJustEatTintheUnitedKingdomandIrelandin2022and2023KeyfiguresofJustEatTintheUKandIreland2022-2023Indicator20221.322606.620231.312456.6Revenue(inbillioneuros)Orders(inmillions)GrossTransactionValue(inbillioneuros)Activecustomers(inmillions)AdjustedEBITDA(inmillioneuros)19182313522Description:In2023,JustEatTgeneratedover1.3billioneurosinrevenuesintheUnitedKingdomandIreland.WithintheUKandIrelandsegment,thefooddeliveryoperatorreceivedsome245millionordersthatyearfrom18millionactivecustomers.Incomparison,thecompanygeneratedover2.1billioneurosinrevenuesinNorthAmericain2023.ReadmoreNote(s):UnitedKingdom;2023Source(s):JustEatTHelloFreshbrandawareness,usage,popularity,loyalty,andbuzzamongonlinegrocerydeliveryusersintheUnitedKingdomin2023HelloFreshbrandprofileintheUK202381%80%70%60%50%40%30%26%18%20%10%0%13%9%HelloFreshawarenessHelloFreshpopularityHelloFreshusageHelloFreshloyaltyHelloFreshbuzz23Description:HowhighisthebrandawarenessofHelloFreshintheUK?Whenitcomestoonlinegrocerydeliveryusers,brandawarenessofHelloFreshisat81percentintheUK.Thesurveywasconductedusingtheconceptofaidedbrandrecognition,showingrespondentsboththebrand'slogoandthewrittenbrandname.HowpopularisHelloFreshintheUK?Intotal,18percentofUKonlinegrocerydeliveryuserssaytheylikeHelloFresh.However,inactuality,amongthe81percentofUKrespondents[...]

ReadmoreNote(s):UnitedKingdom;November2023;993respondents;18to64years;respondentswhouseonlinegrocerydeliverySource(s):ConsumerInsightsCHAPTER

04ConsumerbehaviorToppurchasechannelsforfooddeliveryandtakeoutintheUnitedKingdomin2023MaindistributionchannelsusedbyconsumerstoorderfoodonlineintheUK2023Shareofrespondents10%

20%0%30%40%50%50%60%ThirdpartyappByphonefordeliveryorcollection50%Inpersonoverthecounter43%DirectfromachainrestaurantapporwebsiteDirectfromlocalindependentsrestaurantwebsiteorappNoneoftheabove40%38%3%25Description:Inasurveyconductedin2023,third-partyapplications(e.g.UberEats,Deliveroo)werethemostpopularpurchasechannelforfooddeliveryandtakeoutaccordingtohalfofsurveyedrespondentsintheUnitedKingdom.Anotherequallypopularchannelforfooddeliveryorderswasviaphoneforhomedeliveryorpick-up.Additionally,some40percentofrespondentsreportedplacingtheironlinefooddeliveryordersdirectlyfromachainrestaurantapporwebsite.

ReadmoreNote(s):UnitedKingdom;2023;4,000respondents;18yearsandolderSource(s):KPMGOnlinefooddeliverybookingsbybrandintheUKasofMarch2024OnlinefooddeliverybookingsbybrandintheUK2024Shareofrespondents0%10%20%30%40%50%49%60%70%67%JUSTEATDeliverooUberEatsDomino'sPizzaHut52%40%22%Nando's16%14%PapaJohn'sPizzaFoodhub11%BigFoodieFEAST5%5%OneDeliveryOther4%5%26Description:In2024,asurveyconductedamongUKconsumersaboutonlinefooddeliverybookingsbybrandfoundthat67percentofrespondentshadusedJUSTEATinthepast12monthstoorderfood.Deliverootooksecondplace,with52percentofthosesurveyedusingthefooddeliveryplatform.Theseresultsarebasedonarepresentativeonlinesurveyconductedin2024among1,637consumersintheUK.

ReadmoreNote(s):UnitedKingdom;April2023toMarch2024;1637respondents;18-64years;respondentswhoorderedrestaurantandfooddeliveryonlineSource(s):ConsumerInsightsMostimportantfactorswhendecidingwhatplatformtoorderrestaurantfooddeliveryfromintheUnitedKingdom(UK)in2023MainfactorswhenchoosingafooddeliveryplatformintheUK202350%46%45%40%35%30%25%20%15%10%5%38%33%0%DeliveryfeeDeliverytimeDiscountcodesandoffers27Description:In2023,asurveywasconductedtodeterminethemostimportantfactorsforchoosingafooddeliveryplatformintheUnitedKingdom.Themajorityofrespondents,46percent,thoughtthatthedeliveryfeewasthemostimportantfactor.Meanwhile,38percentofrespondentsthoughtthatthedeliverytimewasmostimportant.ReadmoreNote(s):UnitedKingdom;2023;18yearsandolderSource(s):KPMGFrequencyinwhiche-shopperspurchasedfreshfoodandbeveragesonlineintheUnitedKingdomin2023FrequencyofonlinepurchasesoffreshfoodandbeveragesintheUK202340%37%35%30%25%20%15%10%5%29%24%7%3%0%Atleastonceaweek2or3timesamonthOnceamonthOnceevery2or3monthsAtleastonceortwiceayear28Description:IntheUnitedKingdom,approximatelynineintenonlineshopperswerepurchasingfreshfoodandbeveragesatleastonceamonth.Accordingtoasurveyconductedin2023,around37percentofUKe-shopperswereengaginginfreshfoode-commerceatleastonceaweek.Thisfigureis?higherthantheEuropeanaverage,whichstoodat28percent.ReadmoreNote(s):UnitedKingdom;18-70years;regulare-shoppersSource(s):DPD;GfKCHAPTER

05Spotlight:DeliverooAnnualrevenueofDeliverooworldwidefrom2018to2023(inmillionGBP)Deliveroorevenuesworldwide2018-20232,5002,0301,9752,0001,5001,0005001,7351,163772476020182019202020212022202330Description:Deliveroo'srevenuesreachedanall-timehighofjustovertwobillionBritishpoundsin2023,upfromthepreviousyear'sfigureof1.9billion.DeliverooisheadquarteredinLondon,UnitedKingdom,andisoneoftheleadingonlinefooddeliveryoperatorsglobally.ReadmoreNote(s):Worldwide;2018to2023Source(s):DeliverooTotalnumberofDeliverooordersworldwidefrom2018to2023(inmillions)TotalnumberofDeliverooordersworldwide2018-20233503002502002992902841741501191007250020182019202020212022202331Description:In2023,BritishonlinefooddeliverycompanyDeliverooreported290millionordersmadeonitsplatformworldwide,slightlyunderthepreviousyear'stotalof299million.Despitethedecreaseinnumberoforders,Deliveroo'sgrosstransactionvalueincreasedslightly,reachingjustoversevenbillionBritishpoundsin2023.ReadmoreNote(s):Worldwide;2018to2023Source(s):DeliverooAveragenumberofmonthlyactiveconsumersofDeliverooworldwidefrom2018to2023(inmillions)NumberofmonthlyactiveconsumersofDeliverooworldwide2018-2023876547.47.174.63.1322.11020182019202020212022202332Description:In2023,BritishfooddeliverycompanyDeliverooreportedanaveragenumberofmonthlyactiveconsumerstotaling7.1millionglobally,downfromthepreviousyear'stotalof7.4million.Inaddition,Deliverooexperiencedaslightdeclineintotalordersplacedonitsmarketplaces,reaching290millionordersgloballyin2023.ReadmoreNote(s):Worldwide;2018to2023Source(s):DeliverooAnnualappdownloadsofDeliverooworldwidefrom2018to2023(inmillions)Deliveroo:annualappdownloadsworldwide2018-2023161414.0412.911210.7710.451089.16.24642020182019202020212022202333Description:In2023,Deliveroo'smobileapplicationwasdownloadedoverninemilliontimesglobally.Duringtheperiodunderconsideration,theonlinefooddeliverycompany'sappdownloadsmorethandoubledbetween2018and2021,goingfromapproximatelysixmilliondownloadstojustover14millionappdownloads.ReadmoreNote(s):Worldwide;2018to2023;freeappdownloadsfromallappstoresSource(s):AppMagicTopcountriesforDeliverooappdownloadsinJanuary2024(inthousands)DeliverooappdownloadsinJanuary2024,bycountryNumberofdownloadsinthousands020406080100120140160180200220UnitedKingdomItaly194.17151.91France123.19UnitedStatesUnitedArabEmiratesBelgium41.5533.5215.0214.79HongKong34Description:InJanuary2024,Deliveroo's