Online Food Delivery

The Online Food Delivery market in Mexico is projected to reach a revenue of US$9.22bn by 2024.
It is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 14.65%, resulting in a projected market volume of US$18.27bn by 2029.
In the Grocery Delivery market, a revenue growth of 28.4% is expected in 2025.0.
The projected market volume for the Grocery Delivery market in Mexico is US$6.49bn in 2024.
When comparing globally, China is expected to generate the highest revenue, amounting to US$450.50bn in 2024.
The average revenue per user (ARPU) in the Grocery Delivery market is projected to be US$356.60 in 2024.
In the Meal Delivery market, the number of users is expected to reach 44.3m users by 2029.
The user penetration rate in the Meal Delivery market will be 26.9% in 2024.
Online food delivery is booming in Mexico, with a wide variety of local cuisine available at the click of a button.

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

Online Food Delivery has become a popular trend in the Mexican market, with an increasing number of consumers opting for food delivery services. The market has seen a significant growth rate in recent years, driven by a shift in consumer preferences towards convenience and time-saving options.

Customer preferences: Mexican consumers are increasingly looking for convenience and time-saving options, which has led to a surge in demand for online food delivery services. The younger generation, in particular, is more inclined towards using technology to order food, making online food delivery a popular choice. Additionally, the COVID-19 pandemic has further accelerated the growth of the online food delivery market in Mexico, as consumers are avoiding crowded places and opting for home delivery services.

Trends in the market: One of the major trends in the online food delivery market in Mexico is the rise of aggregator platforms. These platforms offer a wide range of food options from various restaurants, making it easy for consumers to choose their preferred food. Another trend is the increasing use of mobile applications for ordering food. Many food delivery companies have developed mobile applications that allow consumers to order food with just a few clicks. Additionally, there is an increasing demand for healthy food options, which has led to the emergence of specialized food delivery companies that offer healthy food options.Local Special circumstances: Mexico has a rich culinary culture, which has led to a diverse food delivery market. The market offers a wide range of food options, from traditional Mexican cuisine to international cuisine. Additionally, the market is highly competitive, with many local and international players vying for a share of the market. This competition has led to innovative offerings, such as free delivery and discounts, to attract customers.

Underlying macroeconomic factors: The growth of the online food delivery market in Mexico can also be attributed to the country's growing middle class and increasing urbanization. With more people living in urban areas, there is a greater demand for convenience and time-saving options, which online food delivery services provide. Additionally, the increasing use of smartphones and the internet has made it easier for consumers to order food online. The COVID-19 pandemic has also played a role in the growth of the market, as consumers are increasingly avoiding crowded places and opting for home delivery services.

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.