Online Food Delivery

In 2024, the projected revenue in the Online Food Delivery market in Latvia is expected to reach US$114.00m.
It is anticipated that the market will experience an annual growth rate of 8.62% from 2024 to 2029, resulting in a projected market volume of US$172.40m by 2029.
The Grocery Delivery market in Latvia is expected to show a revenue growth of 12.9% in 2025.0.
With a projected market volume of US$96.04m in 2024, it is evident that this market holds significant potential.
In global comparison, it is worth noting that China is expected to generate the highest revenue in the Online Food Delivery market, reaching US$450.50bn in 2024.
This highlights the immense size and importance of the Chinese market in this sector.
Furthermore, the average revenue per user (ARPU) in the Grocery Delivery market in Latvia is projected to be US$235.90 in 2024.
This metric provides insights into the spending patterns and potential profitability of each user in this market.
Looking specifically at the Grocery Delivery market, it is expected that the number of users will reach 545.2k users by 2029.
This indicates a significant level of user engagement and adoption of online meal delivery services in Latvia.
Moreover, user penetration in the Grocery Delivery market is projected to be at 22.5% in 2024.
This metric reflects the proportion of the population that actively utilizes meal delivery services, highlighting the market's potential for further growth and expansion.
The online food delivery market in Latvia has seen significant growth in recent years, with a wide range of platforms catering to the diverse culinary preferences of its population.

Definition:

Online Food Delivery refers to the intersection of ordering groceries and prepared meals online. Orders are typically placed through an app or website and delivery times vary.

Structure:

The Online Food Delivery market contains the user and revenue development of two different delivery service solutions: (1) Meal Delivery and (2) Grocery Delivery. Included are services that deliver prepared meals and food ordered online for direct consumption (Meal Delivery) and non-prepared food and beverage products, household, and personal care products (Grocery Delivery). Meal delivery includes the delivery of meals carried out directly by restaurants (Restaurant Delivery) and online delivery services that provide customers with meals from partner restaurants that do not necessarily have to offer food delivery themselves (Platform Delivery). Grocery Delivery consists of fresh, nonprepared products delivered from supermarkets or retailers where delivery is scheduled (Retail Delivery), Delivery that is under 3 hours and operates dark stores or own warehouses (Quick Commerce), and prepared fresh ingredients to be prepared at home, typically offered through a subscription service (Meal Kit Delivery).

Additional Information:

Revenue figures are the gross merchandise value (GMV), defined as the total sales dollar value for merchandise/food sold through the Online Food Delivery marketplace. User and revenue figures represent B2C services.

Meals and groceries ordered online that are directly delivered by the restaurant, retailer, or platform no matter if ordered via a platform (e.g. Delivery Hero, Instacart) or a restaurant/retailer website (e.g. Domino's, Walmart.com)
Online meal and grocery order and delivery both carried out by a platform (e.g. Deliveroo, Grab, Flink)

Phone orders
Click & collect Grocery orders
Ready-to-eat meals

The food delivery market in Latvia has been growing at a steady pace in recent years, driven by changing consumer preferences and the rise of technology.

Customer preferences: Latvian consumers are increasingly looking for convenience and speed when it comes to food delivery. As a result, online food delivery platforms have become popular in the country, allowing customers to order food from their favorite restaurants with just a few clicks. In addition, there has been a growing demand for healthier food options, with many consumers opting for vegetarian and vegan meals.

Trends in the market: One of the biggest trends in the Latvian food delivery market is the rise of mobile ordering. With the increasing use of smartphones and mobile devices, many consumers are now using mobile apps to order food. This has led to the development of new delivery models, such as on-demand delivery, which allows customers to receive their food within minutes of placing an order.Another trend in the market is the growing popularity of meal kit delivery services. These services provide customers with pre-portioned ingredients and recipes, allowing them to cook restaurant-quality meals at home. This trend has been driven by the increasing demand for healthy and convenient meal options.

Local special circumstances: The Latvian food delivery market is highly competitive, with a large number of players vying for market share. This has led to intense price competition and a focus on providing high-quality service to customers.

Underlying macroeconomic factors: The Latvian economy has been growing steadily in recent years, driven by strong export growth and increasing consumer spending. This has created a favorable environment for the food delivery market, as consumers have more disposable income to spend on food and other goods and services. In addition, the rise of technology has made it easier for food delivery companies to reach customers and provide high-quality service.

Data coverage:

The data encompasses B2C enterprises. Figures are based on Gross Merchandise Value (GMV) and represent what consumers pay for these products and services. The user metrics show the number of customers who have made at least one online purchase within the past 12 months.

Modeling approach / Market size:

Market sizes are determined through a bottom-up approach, building on predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies, third-party studies and reports, as well as survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, GDP per capita, and internet connection speed. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing. The main drivers are internet users, urban population, usage of key players, and attitudes toward online services.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. GCS data is reweighted for representativeness.

This report presents a comprehensive analysis and additional information on the Ecommerce market, in a PDF format.