Thai-tanic delivery dips: Digital food landscape to shrink by 0.6% in 2023

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The digital food delivery landscape in Thailand is expected to shrink by a marginal 0.6% this year, pegging its total value at 86 billion baht according to recent projections by Kasikorn Research Center (K-Research). This change symbolises the first contraction of its rapidly blooming industry and is anticipated to coincide with an 11.3% decrease in the volume of food orders.

 

This decline, as per the research, can be attributed to several reasons: a changing consumer landscape in the aftermath of the pandemic, the cost of living surge, and nagging issues associated with the ordering process.

K-Research notes an 8.6% increase in the average price for each order placed this year in comparison to 2022. A survey in May by K-Research revealed that while 44% of respondents continued to use digital food delivery services, they had reduced their frequency of orders. This reduced reliance on online food delivery is due to a shift towards cooking at home or dining out, underpinned by a reluctance to bear the extra costs associated with online ordering.

A different sector of the respondents, about 42% stated their intent to maintain their current usage of these digital food delivery services. In contrast, 8% showed no interest to utilise it moving forward, while another 6% ruled out food delivery online.

 

by Alex Morgan

Photo courtesy of thaipr.net

 

Full story: https://thethaiger.com/news/business/thailands-digital-food-delivery-market-to-contract-marginally-in-2023

 

-- © Copyright Thaiger 2023-07-31

 

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