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Main Mini Project

This research project report by Abhijeet Singh explores consumer perception towards online food delivery applications as part of his MBA degree. It aims to analyze factors influencing customer choices, problems faced during usage, and preferences in payment methods. The report highlights the growth of the online food delivery market in India, driven by digitalization and changing consumer habits, particularly among younger generations.
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0% found this document useful (0 votes)
11 views55 pages

Main Mini Project

This research project report by Abhijeet Singh explores consumer perception towards online food delivery applications as part of his MBA degree. It aims to analyze factors influencing customer choices, problems faced during usage, and preferences in payment methods. The report highlights the growth of the online food delivery market in India, driven by digitalization and changing consumer habits, particularly among younger generations.
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

RESEACRH PROJECT REPORT

" A STUDY ON CONSUMER PERCEPTION TOWARDS ONLINE


FOOD DELIVERY "

Submitted for the Partial Fulfilment towards the awards of the Degree in
Master in Business Administration (MBA)
of
Dr. A.P.J. Abdul Kalam Technical University, Lucknow

By

Abhijeet singh

Roll no.- 2401920700012

Under the guidance of

Ms. Shweta Singh


At

GL Bajaj Institute of Technology and Management,


Greater Noida
G. L. BAJAJ
INSTITUTE OF TECHNOLOGY &
MANAGEMENT
Approved by A.I.C.T.E. & affiliated to Dr. A.P.J. Abdul Kalam Technical University

CERTIFICATE

This is to certify that Abhijeet Singh has undertaken this Project titled “Study on consumer

perception towards online food delivery” for the partial fulfillment of the award of Master of

Business Administration degree from Dr. A P J Abdul Kalam Technical University, Lucknow

(U. P.), India.

I wish him/ her all the best for his/her bright future ahead.

Project Supervisor
Ms. Shweta
Singh
Department of Management Studies

Head of Department
Dr. Vikash Tripathi
Department of Management Studies
STUDENT DECLARATION

I, ABHIJEET SINGH hereby declare that Major Research Project on STUDY ON

CONSUMER PERCEPTION TOWARDS ONLINE FOOD DELIVERY submitted in

partial fulfillment of Degree of Master of Business Administration is the original work

conducted by me.

The matter embodied in this report has not been submitted by me for the award of any other

Degree, Diploma and Certificate.

Abhijeet Singh

GL Bajaj Institute of Technology and Management (Greater Noida)


ACKNOWLEDGEMENT

On the very outset of this report, I would like to extend my sincere & heartfelt
obligation towards all the personage who have helped me in this endeavor. Without
guidance, help, cooperation & engagement, I would not have made headway in the
project.
I am ineffably indebted to Ms. Shweta Singh for conscientious guidance and
encouragement to accomplish this assignment. I am extremely thankful and pay my
gratitude to my faculty and mentor for valuable guidance and support on completion of this
project in its presently. I extend my gratitude to G.L BAJAJ (MBA Institute) for giving
me this opportunity.
I also acknowledge with a deep sense of reverence, my gratitude toward my parents and
member of my family, who has always supported me morally as well as economically.
At last, but not least gratitude goes all my friends who directly and indirectly helped me to
complete this project report.

Thanking you

Name: Abhijeet Singh


Roll no.2401920700012
Course: MBA
CONTENT PAGE

S. No. Topics Page no.

1 Objective of the Study 5

2 Introduction / Industry profile 6-19

3 Literature Review 20-29

4 Research Methodology 30-31

5 Analysis and Interpretation 32-51

6 Conclusion 52

7 Recommendation 53

54
8 Bibliography

9 Annexure 55-57
OBJECTIVE OF THE STUDY

The main objective of the study is as follows: -

 To analyze the consumer perception towards online food delivery applications.

 To identify the factors which influence the customer’s choice of food delivery applications.

 To identify the problems faced by the consumers while using food applications

 To identify how much consumer, feel secure while making online payments on online food
applications.

 To identify how much consumer, use to spend monthly on online food.

 To identify which food delivery app is more preferred by consumers.

 To identify which mode of payment, do consumer prefer more while ordering food online.
INTRODUCTION

In today’s era, the rise of digital technology is reshaping the industries. Consumers are

accustomed to shopping or even ordering online through apps or websites with maximum

convenience and transparency expecting the same experience that they would get from the outlet

itself.

Ordering meals online is process that provides food deliver from local restaurant and other food

organization by using a smart phone application or online websites. The kind of systematic

delivery of food is gaining acceptance with an increased number of people specially the younger

generation using mobile meal ordering applications, there by the buyer can generate an order

with minimal errors and have food delivery at his doorway.

The app displays entire menu by selecting restaurant window, the customer must choose using

a button and access the menu However, and buyers must download the app in their smart phones

first and registered on the app by generating their simple profile which has their address and

payment data. The payment is generally cashless over credit card, debit card and UPI apps or

cash on delivery. The apps functionality will vary from one other in terms of offer, pricing,

customer reviews, promotions etc.


Food panda, Zomato and Swiggy are few of the most well-known mobile food delivery

applications and other chains having own food delivery apps. The ordering process in the

applications is very simple where they offer you to order for very low price in a single tab, the

popup menu will be displayed and the first time and foremost search of your favorite restaurants

cruise dishes from your local area or displayed and you can similarly search for a food openings

based on rankings, delivery period, considering price or you can just put a filter of your liking

food and from wild range food offerings you should select your needs and want. Then your

marked location will be traced on the delivery as per the maps among provided your legal

address manually with specified landmarks and your house numbers.

Once your place is provided you can make a payment of your order where you have many

options like debit card, credit card, UPI, net banking etc. The users are offered with a certain

payback like promo codes offers and minor reductions in the grand total some cafeterias of food

outlets offer good concessions once the payment is completed the order gets established and you

will receive a approval notice by SMS.


Next the restaurants accept your orders and the projected time for the coming of food is notified

to your personal number the estimated arrival time is intended based on time taken for cooking

food and the distance traveled by the delivery person, these applications have become more time

sensitive in nature, and they will have also features like Live tracking with GPS, customer get

alerted when the food is ready then the delivery supervisory is allotted to pick up the order and

deliver quickly at the doorsteps of consumer.


Before 20-25 years back in India companies like Papa John’s, McDonald’s, Pizza Hut etc.

which were having universal existence and delivering food fast foods to the customers doors,

initially people were using Internet to order food during lunch dinner hours instead of using

traditional calling method before and now the Internet is replaced by personalized applications where

customers are not needed to give information of contact and address every time it is automatically

saved in the applications when they are registered. There is huge ability in this business which is

already created a huge employment opportunity in large scale. Pizza Hut was the first company to

deliver online food order off pizza in 1994. Which was the first town of Kansas state in united states

to have delivery of pizza, where two brothers namely Danny Carney, Frank Carney borrowed $600

from their mother and started the business and now the company has more than 18,000 restaurants

worldwide and recognized as world’s largest pizza chain by number of locations. Universally, online

food delivery market is estimated about $113 billion in 2020, and which is one of the limited industries

which is growing compound annual growth rate 30% year to year.


The food delivery industry started in India by 1890’s around 125 years ago by Indian Dabbawalla’s

while under the British rule Indian dabbawallas meals delivery system in busy metropolitan areas such

as Mumbai which is a lifeline of Mumbai, the work of the dabbawalla’s is to deliver meals directly to

people at their place of work procuring from there from home and now system is modernized where

they use and take advantage of services using text message emails website and distributing thousands

of employees successfully throughout Mumbai using main transport off local trains and known as best

delivery systems in the world.


Online food delivery Industry

 Rapid digitalization coupled with a growing online consumer base and purchasing power of

individuals has fostered the growth of Online Food Delivery Market in India.

 In January 2021, Top 2 players Swiggy & Zomato recorded orders in volume of 1.8-2 million

per day.

 Swiggy has introduced the Swiggy genie and Swiggy COVID care package along with

grocery delivery services.

 Zomato has taken the company public with the first round of the IPO closing recently with

29.04 million equity bids.

 Amazon has started the food delivery service – Amazon Foods in Bengaluru delivering

across 62 pin-codes throughout the city.

 College students, working couples and office goers are the key target audience of these food

tech companies.

 Features that have contributed to the success of the online food delivery market in India are

generating a code referral system, easy & user-friendly dashboard, social media integration,

customer integration with push notification and cross-platform compatibility, etc.

 Although the players are mainly concentrated in the urban regions of the country, with

Bangalore, Delhi and Mumbai representing the three largest markets, vendors are now also

targeting smaller cities, as they have strong growth potential.

 Furthermore, owing to the rising cases of COVID-19, some of the leading players like

Zomato, Swiggy, McDonald’s Corporation and Domino’s Pizza Inc. have introduced

contactless delivery service.


Online food delivery assists individuals in ordering and receiving their desired food products at their

doorstep. It involves browsing the website or application, selecting from a wide variety of available

cuisines and making the payment through a variety of methods.

The website/application also intimates the user about the expected duration of food preparation and

delivery. These features, in confluence with attributes such as ease, speed and precision of delivery,

are increasing the demand for these services in India.

Variety in cuisines is one of the top reasons for recurrent use of online food ordering apps, followed

by good discounts and convenience.

The online food delivery market in India is growing with the evolving lifestyle patterns and eating

habits of Indians. The market is also witnessing growth on account of the increasing access to high-

speed internet facilities and the boost sales of smartphones. This, in confluence with hectic working

schedules and rise in disposable income for people, is propelling the online food delivery market growth

in India, especially in urban areas.


Restaurants and cafes also find it profitable to sell their food through online mediums since it reduces

a significant number of operational overheads.

Moreover, the rising trend of the on-the-go food items and quick home delivery models that offer

convenience, ready-to-eat options and cheaper food delivery service are escalating the demand for

online food delivery services in the country.

The contactless food delivering services ensure that the food reaches the customer without being

touched by bare hands and is delivered safely with adequate social distancing measures. This has

alternatively proved to be favorable for the market as many people now prefer ordering food from

their preferred restaurant instead of going out to eat.


Major Food Delivery Apps in India

Swiggy

Swiggy is one of the top-rated food ordering mobile applications in India. It was aroused by the

prospect of giving entire sustenance requesting and conveyance arrangement from the best nearby hotels

to customers. The service which provides customers offering from any restaurant with no minimum

order method and receives an amount from all nearby hotels collaborates with.

Zomato

Zomato order is launched by popular restaurant finder Zomato. It operates from all major cities with

huge popularity in a quick span of time. Zomato is the biggest rival for Swiggy in India

Uber Eats

Uber Eats is a popular online food ordering app which operates in all major cities including Mumbai,

Chennai, Hyderabad, Delhi and more. The mobile app available for both android and iOS devices.

This is a venture of Uber Technologies, Inc. Who is also own popular taxi service across the globe.

The app allows users to pick favorite food from nearby restaurants and delivers to the spot in quick

time.
Food panda

Food panda is a prominent online food ordering website and mobile app which is operating in 44

different nations across the globe. The company headquartered in Berlin, Germany and found the

service in [Link] firm has partnered with nearly 40000 local restaurants in various cities to provide

on time.

Domino’s

Domino’s is a prominent Pizza delivery app which is available in android ad iOS platforms. The

telephone call pizza ordering service no upgrades as a mobile app to place an ordering without

calling. Domino’s provides different coupons and offers for customers to choose the best availability

to taste with continent payment options.

Pizza hut

Pizza hut is a delivery app service which is operating in several countries. In India, Pizza hut operating

in several cities for providing on time food deliver to users. It offers all most loved arrangements,

pasta, pizza, beverages and sweet. Pizza hovel application offers quick get to and neighborhood

bargain.
E-commerce

Electronic business is occupational model that allows corporations and persons to buy and sell goods
and services over the Net. it is directed over mainframes tablets smartphones and other smart devices.
There are three types of E-commerce business to business B2B, business to clients B2C, customer to
customer C2C where online food delivery apps fall under business to business and business to
consumers group as their interlink between restaurants and consumers.
Evolution of E commerce in India

The idea of E commerce what's mission came in 1991, which was a time even the Internet particularly
did not exist in India. by late 90s, people were familiarized to Internet but for the greater number of
people, it constant to be the same and luxury with especially was not in need and people came to know
that they can do transaction using Internet. in the year 1999, K Venkateshwaran started [Link]
which was first E-commerce company in India. it started selling books movie CDs watches and grocery
between February and October 2000 later the ecommerce sector was grown greatly all over the world.
Retail food delivery is a courier service in which a restaurant, store, or independent food – delivery
company delivers food to a customer. An order is typically made either through a restaurant or grocer’s
website or mobile app, or through a food ordering company. The delivered items can include entrees,
sides, drinks, desserts, or grocery items and are typically delivered in boxes or bags. The delivery
person will normally drive a car, but in bigger cities where homes and restaurants are closer together,
they may use bikes or motorized scooters.
Recently, online food delivery through third party companies have become a growing industry and
caused a delivery revolution. Customers can, depending on the delivery company, choose to pay online
or in person, with cash or card. A flat rate delivery fee is often charged with what the customer has
bought. Sometimes no delivery fees are charged depending upon the situation. Tips are often
customary for food delivery service. Other aspects of food delivery include catering and wholesale
food service deliveries to restaurants, cafeterias, healthcare facilities and caterers by foodservice
distributors.
The first food delivery service was for naengmyeon (cold noodle) in Korea, recorded in 1768. Haejang
guk (hangover soup) was also delivered for the yangban in the 1800s. Advertisement for food delivery
and catering also appeared in the newspaper in 1906.
 Meal delivery

A meal delivery service is a service that sends customers fresh or frozen, prepared meals delivered to
their homes and offices. These services individually package proportioned meals to assist with eating
a healthy diet. These services cook and prepare meals for customers. Meals may come in small
Tupperware containers and are often labeled with nutritional information. There are also many options
for specific diet types like vegetarian and vegan. These services often operate on a subscription
business model rather than by individual order as in pizza delivery or with the broader category of
online food ordering.
An alternate type of meal delivery service is a meal kit, which distributes ingredients and recipes that
customers prepare themselves. Meal delivery orders are typically, on demand, intended to be eaten
right away, and include hot, already prepare food. While some service providers offer subscription
services, ordering for delivery usually involves contacting a local restaurant or chain b telephone
ordering is available in many countries, where some stores offer online menus and ordering. Since
1995, companies such as [Link] have their own interfaces where customers order food from
nearby restaurants that have partnered with the service. Meal delivery requires special technology and
care, since the food items are already cooked and prepared, and can be easily damaged if dropped,
tilted, or left out for long periods of time. Hot bags are often used to keep food warm. They are thermal
bags, typically made of nylon that passively retain heat.

 Delivery of ingredients

Community supported agriculture schemes work on a subscription box model, where a box of
vegetables, dairy product, fish, or meat is delivered periodically from local vendor. Various meal kit
delivery subscription services have started in Europe and North America since 2007. These typically
have premeasured ingredients designed for accompanying recipes.

 Grocery Delivery

Grocery delivery companies will deliver groceries, pre-prep meals, and more to customers. The
companies work with brick-and-mortar stores or their own line of grocery items. These orders are
typically larger and more expensive than normal meal deliveries and are often not meant to be eaten
right away, rather they are to replace items someone has run out of, like flour or milk. They are almost
always done online, and typically take at least one-day deliver, though some companies offer same
day delivery.

Many delivery services are required to offer delivery within two hours because frozen and fresh foods
must be delivered before they spoil.

Grocery delivery differs greatly from meal delivery in the sense that it is usually sent as
a parcel through common mailing services like USPS or FedEx, if it is only non-perishables. Since
non-perishable items are normally packaged before arriving at grocery stores, they can easily be
repackaged and delivered to customers without any special care. Sometimes, dry ice is added to
keep perishable items fresh. Fresh and frozen foods complicate delivery which is done, usually by
store/provider employees or third-party services.

The grocery delivery business emerged, with hundreds of niche delivery companies springing up
offering a variety of different services from weekly grocery restock to pre-planned, pre-measured
family meals to simplify cooking. Online retailer giants have hopped on board too. [Link], for
example, offers Amazon Fresh delivery service. Amazon purchased Whole Foods Market in 2017, and
by 2018 Amazon had added Whole Foods items to its Prime Now service, for 2-hour delivery in certain
markets.

As the food delivery sector has grown, businesses have turned to virtual restaurants, also known as
ghost kitchens, to fill the need for inexpensive kitchen space to handle the increased volume. A ghost
kitchen site will be purpose built to be delivery only and have separate areas of stoves, refrigeration
and storage space to accommodate food preparation teams of several different restaurants. As they are
often located in less densely populated areas of a city, they also have parking areas for the delivery
vehicles. Companies providing these services are often subsidiaries of the delivery companies. Ghost
kitchens also allow for the creation of virtual restaurant brands – restaurants that exist only online, with
no bricks and mortar presence. The ghost kitchen has also gradually developed into a shared space ghost
kitchen. They simultaneously share the same space for multiple ghost kitchens and then equip them
with complete table wave and space.
Review of Literature

• Hall (1977) investigated that the millions of people who “eat out” every day have a wide variety of
needs and tastes from a quick lunch to a luxurious meal with elaborate service. Because of these
differences there are many kinds of restaurants varying from street stands for a hot dog or bowl of
noodles to elaborate restaurants with the best cooking

There are millions of people away from their homes everyday either by necessity or by choice. The
restaurants and catering business have developed to feed this huge number of transients office and
factory workers, school children, military personnel, travelers, and 6 people out to have a good time.
Because there are so many to feed, the restaurant and catering business is one of the largest and fast-
growing industries in the world.
 Parasuraman, Zeithaml and Berry (1988) Perceived quality and price are thought if as a cue to
assume a product’s value. Xia and Monroe (2009) viewed that at a certain point, perception of lower
quality of the product will evoked when there is a price reduction or there will be questions on the
retailer’s intention to reduce the price. Price will be a primary factor when consumers search product
in a web and this would show that customer behavioral intention are related to the price cues that are
more readily accessible from memory.
 Brymer (1991) states that the hospitality industry is comprised of those businesses which practice the
act of being hospitable; those businesses which are characterized by generosity and friendliness to
guest. This business that comprises the major segments of the industry; food service, lodging, travel
and recreation.
 Schiffman and Kanuk (1994) stated about consumer perception saying “as diverse individuals, we
all tend to see the world in our own special ways. “Reality” to an individual is merely that individual’s
perception of what is “our there” of what has taken place. Individuals act and react on the basis of their
perceptions, not on the basis of objective reality. Thus, to the marketer, consumers’ perception is much
more important than their knowledge of objective reality.
 Mill (1998) examined that the most popular day of the week for consumers to dine out is Friday,
followed by Saturday and Thursday Sultan and Henrichs (2000) in his study concluded that consumer’s
willingness to and preference for adopting the Internet as his or her shopping medium was also
positively related to income, household size, and innovativeness. Vijay, Sai. T & Balaji, M. S. (May
2009), revealed that Consumers, all over the world, are increasingly shifting from crowded stores to 
the one-click online shopping format. However, in spite of the conveniences offered, online shopping
is far from being the most preferred form of shopping in India. A survey among 150 internet users,
including both users and non-users of online shopping, was carried out to understand why some
purchase online while others do not. The results suggested that convenience and saving of time drive
Indian consumers to shop online, while security and privacy concerns dissuade them from doing so.
The work of Kim and Park (2005) using U.S. samples suggests that their positive attitudes as well as
willingness to search for pre-purchase information leads to a strong likelihood that they will buy online.
Online shoppers are required to have computer skills to use the Internet for shopping. Hence, those who
are not comfortable with using the computer, will likely do their shopping at the traditional store,
modern shop, or discount store (Monsuwe, 2004) because it will be faster shopping there than in the
internet shop. Goldsmith and Flynn (2004) state that the home catalog is another traditional selling
channel where people can shop at home because of the varieties of products offered in the catalog. They
can order through the phone or by mail. It is convenient except that they are not able to touch and feel
products before purchasing.
 Grunert (2000) stated that “people seek food, not nutrients.” The common beliefs underlying all these
classifications are that food has social and psychic meanings that meals serve as communicative
symbolism, and “that eating is an experience that may be invested with many intellectual and emotional
values quite apart from metabolic utilization of the food”. Eating is a deeply engrained source of
satisfaction, and the restaurant customer wants an eating experience which combines food, service,
docor, and indefinable extra.
 Schiffman, Scherman, & Long (2003) in his study researched that “yet individual attitudes do not,
by themselves, influence one’s intention and behavior. Instead that intention or behavior is a result of
a variety of issues relevant to the situation at hand, in this case online buying. Over time the Internet
buyer, once considered the innovator or early adopter, has changed. While once young, professional
males with higher educational levels, incomes, tolerance for risk, social status and a lower dependence
on the mass media or the need to patronize established retail channels.
 Guda Van Noort, M.A Peter Kerkhof, Ph.d. and Bob M. Fennis, Ph.d, (2007) two experiments,
the impact of shopping contexts on consumers risk perceptions and regularly focus was examined.
They predicted that individuals perceive an online shopping environment’s riskier and that an online
shopping environment, by its risky nature, primes a prevention focus. The findings in Study 1,
demonstrate these effects by using self-report measures for risk perception and prevention focus. In
Study 2, replicated these finds and demonstrated that the effect of an online shopping environment
carries over to behavior in a domain unrelated to shopping.
 Abdullah and rozario, 2009, only service quality, location of the food outlet and ambience have a
positive impact. Food quality revealed an unsuspected result of a negative relationship. The study
shows that although perception of customers towards food quality was low, their satisfaction has still
high.
 Deore and Shete, N.d online food ordering has been adopted by majority of restaurants offering
delivery of food. The customer using online food ordering have been showing gratitude with the
technology and marked that online ordering has met the expectations. The advantages of online
ordering are improved order certainty, enhanced yield, and
 improved customer relationship management.
 Amin, P.D and Amin.B. (2010) made an attempt to summarize the key findings from various research
studies relating to gender-based differences in case of online shopping activities. The stronger influence
of perceived case of purchasing on both attitudes and online shopping intentions for female compared
to males indicate that online shopping intentions and attitudes are sensitive to female perceptions given
a higher demand for the physical environment or strong desire for the sensory pleasures associated
with touching the product. Finally, the gendered nature of conventional buying emerged clearly women
prefer emotional and psychological involvement in the online and offline shopping process, where
men focus on efficiency and convenience in obtaining shopping outcomes from actual product.

 Banerjee, Dutta, and Dasgupta. (2010) conducted a study on “customer’s attitude towards online
shopping”. The study revealed that among the 202 respondents who shopped online, 89.1% were
satisfied and 96.1% satisfied customers also intended to indulge in online shopping in the future. It
could be concluded that the availability of extensive and current information was the most important
factor which influenced Indian customers to shop online. The researcher also revealed that there was
a significant association between online shopping and monthly family income, frequency of internet
usage, and time spent per session on Internet usage.
 (Kimes, n. d) 2011, online food ordering service is a major part of restaurant business. Some food
supply chain managing restaurants like pizza hut, dominos, mc Donald they have created mobile apps
with the help of that customer can place order through mobile apps. While telephone is restricted to
the hotel or restaurant. using mobile app will provide more convenience to consumer. 

 Sherath Murath Algaz & Huluk Hekimoglu (2012) In the article “A study on TAM: analysis of
customer attitudes in online food ordering system” published by “Elsiver Procidia social and
behavioral sciences” The researcher have used TAM Technology Acceptance Model in this paper to
study buyer acceptance of ordering online food, this paper says that the consumer attitude varies
according to easy & suitable of ordering food online also consistency of retailers & many exterior
influencers.

 Mr. Mathews Joao (2012) In the article “Customer Perception of Electronic Food Ordering”
published by “Pondicherry University of Distance Education” In this article the intention of researcher
is to benefit restaurant workers for improved plan their electronic ordering networks, The objective of
study is to provide easy access in placing the orders & payments, to know the pro’scon’s of electric
food ordering. To find customer perception and knowledge of electronic ordering that influences heir
buying decision, and to analyze which channel is used more frequently in electronic food ordering, the
researcher have collected data by both primary & secondary data mainly sampling by non-probability
sampling method of 100 sample size, the outcome of study describes that respondent feel secured with
electronic food ordering & has more demand for cash on delivery.
 Kanwal Gurleen. (2012) focuses on the understanding of demographic profiles of adopters and non-
adopters of online shopping. For this purpose, the data from 400 respondents was collected in the form
of questionnaires. The study has been conducted in 3 cities of Punjab, a sample of urban respondents
were selected from the Jalandhar, Ludhiana and Amritsar. The paper also analyses the various reasons
for adoption and non-adoption of online shopping.
 (Ahsan et al., 2013) in food ordering and delivery services cloud services are playing very vital role
in food ordering and delivery services such as customer service, relationship management, supply
chain management etc. due to technological moment food ordering and delivery services wants to
ensure that ordered food must deliver at right place at right time and to right person.
 (Prabhavathi et al., 2014) when research conducted on preference and spending pattern on consumers
some factors were identified as affordability, social influence, healthy menu, and service quality.
Lifestyle also plays a critical role in consumption of food restaurant provide satisfaction by improving
the taste of food also relaxation with friends.
 (Vaghela, 2014) The perception of customer is online shopping food and other accessories is more
expensive, it’s taken more time to deliver the products, and they are facing problems while making
online purchases. Most of the customers are facing problems like return of bad/wrong product,
confusing sites and ineffective customer service. According to, customers most alarming barrier for
online shopping are unable to verify product personally, online payment security. In food delivery
services people are facing similar problems.
 (Zulkarnain et al., 2015) found that there a significant positive relationship between website quality
and website trust but also a significant positive relationship between service quality and customer
satisfaction. Research also provides valuable insights for operating online food ordering services.
Loyalty also plays a vital role in any firm’s success which leads to high profits and long-term growth.
 (Jayasubramanian et al.,2015) The study is taking place to identify the factors that may influence
customer’s online shopping satisfaction. Generally, the success of online shopping essentially depends
on the customer satisfaction during their purchase.

 Yu-Je Lee, Ching-Lin Huang, Ching-Yaw Chen (2015) The purpose of this study is to use structural
equation modelling (SEM) to explore the influence of online bookstore consumer’s perception on their
purchase intentions. Through literature review, four constructs were used to establish a causal
relationship between perception of online shopping and consumer’s purchase intentions. Results of
this study show that product perceptions, shopping experience, and service quality have positive and
significant influence on consumer’s purchase intention, and shopping experience is most important.
According to a recent sectoral report published by IBEF (Indian Brand Equity Foundation), food
has been one of the largest segments in India’s retail sector, valued at $490 billion in 2013. The Indian
food retail market is expected to reach Rs.61 lakh crore ($894.98 billion) by 2020. The Indian food
processing industry accounts for 32 percent of the country’s total food market, one of the largest
industries in India and ranked fifth in terms of production, consumption, export and expected growth.
The online food ordering business in India is in its nascent stage but witnessing exponential growth.
 (Bhotvawala et al., 2016) As opposed to ‘Delivery as a service’ companies, aggregator delivery
services generate a platform for consumer to navigate through many restaurants hosted on their
websites, discovering restaurants and placing orders manually. The study was based on the comparison
of growth and operating strategies of four such food ordering and delivery companies in a booming
Indian market (swiggy, Zomato, Food Panda, and Tiny Owl). The market is expected to grow 40%
annually owing to a larger disposable income from a wealthier middle class (also with long, erratic
working hours).
 H. S. Setu (2016) in article “Customer Perception & Satisfaction on Ordering Food via Internet a Case
of Food [Link] in Manipal” published by “seventh Asia pacific conference on global business,
economics, finance & sciences” The aim of study is to examine the scholar insight behaviour &
satisfaction of online food spending & offer answers to online sellers grounded on outcome of research.
This study is created on non-probability convenience sampling method, data is composed from 212
student respondents of Manipal University. The outcome of a student response that online food
delivery apps has are very innovative and saving the time as per their convenience in day to day life,
Research reviles that customer buying gets affected by personnel& experience of friends, family
decisions on online forms & felt safe of online payments.

 Shamsher Sing & Ravesh Rana (2017) In the article “study of consumer perception of digital
payment mode” published by “Journal of internet banking & commerce” This paper discuses growing
use of internet, mobile penetration, government initiation of digital India & different modes of
electronic transition made POS point of sale. The researchers have discussed facilities like online
wallets prepaid credit cards, debit cards different UPIapps, the objective of study is to discovery
perception & influence of demographic aspects on acceptance of digital mode payment. The structured
questionnaire is used as research tool for 150 sample size & ANNOVA analysis is used. Researcher
found that consumer perception of digital payment has important & helpful impact on adoption of
digital payment.

 Dr. Mithali Gupta (2019) In the article “A Study on Impact Of Online Food Delivery App On
Restaurant Business Special Reference To Zomato & Swiggy” published in “International Journal Of
Research & Analytical Reviews” This paper discusses the current progress of internet boosting
extension of online food facilities & different requirement factors or reasons of online food ordering,
The foremost objective of this study is to learn the effect of Zomato & Swiggy on restaurant business
& research is created on secondary data from papers, magazines etc., here researchers have discussed
a constructive and harmful effects of food delivery apps on restaurant. Helpful factors like using
technology, which is easy, fast and comfortable. The outcome of food delivery applications on
restaurant can benefit operatives to encourage customer loyalty, improve profitability & enlarge into
new market segments.

 Shantashree Dass & Debomalya Ghose (2019) In the article “Influence of Online Food Delivery
Apps on Operations of The Restaurant Business” published by “International Journal of Scientific &
Technology Research” In this research paper researcher describes the profits of integrating online food
delivery apps inside restaurant business & impact of food delivery apps on inventory organization of
restaurant. The objective of study also leans the numerous problems faced by restaurant services & to
recognize the position of third-party subcontracting logistics for food delivery. This study is
exploratory, mutually quantitative & qualitative procedures are used for data collection the responses
are calmed by restaurants by conducting survey sampling method to 125 sample size. The researcher
found that the quality of food declines when carried in packets which is main issue faced by restaurants,
and also found food delivery aggregators initially where charging low and reasonable commissions to
restaurant but now they have increased the commission's up to high as 20-25% these prices are very
difficult in modern days’ competitions of restaurants.
 Preetha & Iishwarya (2019) In article “Factors Influencing The Intention To Use Food Online Order
& Delivery App Via Platforms Using TAM” (Technology Acceptance Model) published by “Blue Eyes
Intelligence Engineering & Sciences Publications” This paper aims to estimate the aspects influencing
the intentions of food online order & delivery applications, the objective of study is to know food app
quality, intention & usage of applications, descriptive study is conducted using survey technique
method. From the analysis researcher found that quality function & smooth run of application has
resulted in more adoption of food apps. Customer adoption perception towards food apps is more
influenced in terms of security, information, operating system, different features, etc.

 N. Thmaraiselvan, G. R. Jayadevan, K. S. Chandrasekhar (2019) In the article “Digital Food


Delivery Apps Revolutionizing Food Products Marketing In India” published in “ International Journal
Of Recent Technology Engineering” In this paper researchers have chiefly examined the growing &
importance of digital apps in food delivery arrangements run by the food provider mainly fast food
complies for sustainable business in future days, this paper is purely analytical based on secondary
data was discovered identify & clarify variables that drive the suitability of food aggregator, new trends
& future markets & outcome says that technology is potential tool for food providers to offer great cost
& productivity improvements for food providers as well as customer.

 Gopi Mistry, Palashver Vansant, Abhisheak Malwal, Nimish Kothari & Assta Chopra (2020) In
article “Consumer Behaviour Towards Food Delivery” published by “Global Scientific Journals” The
purpose of researchers is to discovery buyer behaviour concerning food delivery apps, the study shows
maximum favored app use by costumer to order food online &factors foremost to which can be
considered as most preferable apps. The main objective of research is to discover consumer behavior
that influence choice of online food delivery app, to determine factors influencing selection of online
food ordering app, to find out main preferred food delivering app understand customers towards rating
of service Qualitative research is used in this research with structured questionnaire tool. Researcher
found that zomato ranks as highest in most of the aspects like on time delivery; payment options &
behavior of service provider but Uber eats are more affordable. By the increase of usage of internet in
India ordering 11 foods was becoming more popular. These days’ online food ordering in India has
been increasing in urban areas. In rural areas there is no noticeable increment in rural areas, marketers
such as Food Panda, Swiggy, Zomato, Uber Eats should know the consumer behavior to develop their
performances. They should know the customers in order to update them according to the tastes of the
people. This is an attempt to know about strategies and trends of the marketers who deliver food online.
According to The City Pages, Minneapolis/ St. Paul reviewed about one Vietnamese restaurant in town
by Moskowitz (1999) “Customers are stocking up in pursuit of fresh, simple Vietnamese food made
with an emphasis on clean flavor and bright herbs, delivered quickly, and priced reasonably".
Research Methodology
Research Design:

The study is descriptive research as it allows identifying whether customers are willing to purchase

online, and the problem statement is already known in this study.

Data collection:

Primary data: Through structured survey & interaction with online food delivery app

employees.

Secondary data: It is collected from research papers, articles, websites etc.

Sampling plan:

Simple random sampling is used, Kanpur city is chosen as the sample frame, Customers who order

food online are chosen as the sample unit, contains sample size of 90 respondents.

Data collection tool:

Questionnaire is a research tool used to conduct surveys, It includes specific questions with the goal

to understand a topic from the respondents’ point of view.

Tool for Analysis:

Excel, it allows users to input and analyze data and also enables users to create tables, graphs and

even infographics to effectively present research findings.

Scope of study

The geographical scope of study which helps local restaurants and businesses in up gradation to

online platform or delivery, evaluate the pros-cons, customer demand aspects and revels further

improvements need to be made in the food delivery application.


FINDINGS
Data analysis and interpretation

Descriptive Statistical Analysis

The collected data was processed and analyzed within the time bounded of the research plan. The

data collected from 90 samples are analyzed carefully and interpretations are made accordingly.

Diagrams such as column chart are used for the purpose.

Table showing age of respondents

Age Class Number of respondents Percentage (%)

Below 20 5 6

20-30 75 83

30-40 8 9

Above 40 2 2

Total 90 100

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr


Table showing the male-female proportion of consumers

Gender Number of respondents Percentage (%)

Male 39 43

Female 51 57

Others 0 0

Total 90 100

female male

Table showing the usage of food delivery applications

Status Number of respondents Percentage (%)

Yes 75 83

No 15 17

Total 90 100

yes
no
Table showing the monthly spending of consumers for ordering food from
various food delivery apps.

Status Number of respondents Percentage (%)

Below 1000 61 68

1000-2000 18 20

2000-3000 5 5

Above 3000 6 7

Total 90 100

below 1000
1000-2000
2000-3000
above 3000

Table showing the preference of consumers among different food delivery apps.

Status Number of respondents Percentage (%)

Zomato 37 41

Swiggy 31 34

Uber Eats 6 7

Food Panda 0 0

Others 16 18

Total 90 100
zomato
swiggy
food panda
uber eats
others

Table showing how the consumers know about food delivery apps

Status Number of respondents Percentage (%)

Social media 50 55

Visual advertisements 14 16

News paper 0 0

Friends and family 26 29

Total 90 100

social media
friends and family
newspaper
visual ads
Table showing the preference among mode of payment

Status Number of respondents Percentage (%)

COD 33 37

Debit card 10 11

Credit card 3 3

Online payment 44 49

Total 90 100

COD
debit card
credit card
online payment

Table showing the level of agreement that the consumers are influenced by the
offers available on food delivery apps.
Status Number of Respondents Percentage (%)

Strongly agree 23 25

Agree 34 38

Neutral 24 27

Disagree 7 8

Strongly Disagree 2 2

Total 90 100
strongly agree
agree
neutral
disagree
strongly disagree

Table showing the flexibility in usage of food delivery apps

Status Number of respondents Percentage (%)

Strongly Agree 21 23

Agree 50 56

Neutral 15 17

Disagree 3 3

Strongly disagree 1 1

Total 90 100

strongly agree

agree

neutral

disagree

strongly
disgree
Table showing the level of agreement that the consumers take decisions to order
food depends on customer reviews of the restaurant.
Status Number of Respondents Percentage (%)

Strongly agree 24 27

Agree 43 47

Neutral 19 21

Disagree 4 5

Strongly disagree 0 0

Total 90 100

The above table shows that 47% of respondents take decisions to order food from a restaurant
depends on customer reviews. 27% strongly agree, 21% are neutral, 5% disagree and nobody
belongs to strongly disagree.
Table showing that the perception of food delivery apps is influenced by service
quality.
Status Number of Percentage (%)

respondents

Strongly agree 26 29

Agree 46 51

Neutral 16 18

Disagree 2 2

Strongly disagree 0 0

Total 90 100

The above table shows that 51% of consumers agrees service quality would influence the perception
on food delivery apps. 29% strongly agrees that, 18% are neutral, 2% disagrees and nobody strongly
disagrees to the statement
Table showing that the consumers decisions depend on rating of hygiene factor.

Status Number of respondents Percentage (%)

Strongly agree 31 34

Agree 3 40

Neutral 18 20

Disagree 5 6

Strongly disagree 0 0

Total 90 100

In the table, 40% of consumers agrees the rating of hygiene factor in food delivery apps are useful
while making a decision. 34% strongly agrees, 20% are neutral, 6% disagrees and 0% strongly
disagrees.
Table showing the level of agreement of consumers that the food delivery apps
will save the effort of visiting hotel

Status Number of respondents Percentage (%)

Strongly agree 33 37

Agree 38 42

Neutral 12 13

Disagree 5 6

Strongly disagree 2 2

Total 90 100

The table shows that, 42% agrees the food delivery apps will save the effort of visiting, 37% strongly
agrees, 13% are neutral, 6% disagrees and 2% strongly disagree.
Table showing that the consumers getting sufficient quantity of food from food
delivery apps

Status Number of respondents Percentage (%)

Strongly agree 15 17

Agree 43 48

Neutral 27 30

Disagree 3 3

Strongly disagree 0 2

Total 90 100

Among the 90 respondents, 48% agrees that they get sufficient quantity food on food delivery apps.
30% are neutral, 17% strongly agree, 3% disagree and 2% strongly disagree
Table showing the level of agreement that the availability of food from food
delivery apps is as per my taste

Status Number of respondents Percentage (%)

Strongly agree 14 15

Agree 45 50

Neutral 25 28

Disagree 6 7

Strongly disagree 0 0

Total 90 100

The above table shows that 50% agrees that food available on food delivery apps is as per the
consumer’s taste. 287% are neutral, 15% strongly agree, 7% disagree and nobody strongly disagree.
Table showing the difficulty in using food delivery apps.

Status Number of respondents Percentage(%)

Strongly agree 11 12

Agree 18 20

Neutral 30 34

Disagree 28 31

Strongly disagree 0 0

Total 90 100

From above table it is clear that 34% are neutral to the statement that the food delivery apps are difficult
to use. 31% disagrees, 20% agrees, 12% strongly agree and 3% strongly disagree.
Table showing that the online payments are safe and secure for
consumers
Status Number of respondents Percentage (%)

Strongly agree 14 16

Agree 38 42

Neutral 27 30

Disagree 9 10

Strongly disagree 2 2

Total 90 100

The above table shows that 42% agrees that the online payments are safe and secure, 30% are neutral,
16% are strongly agree, 10% disagree and 2% strongly disagree.
Table showing the satisfaction level towards quality of food

Status Number of respondents Percentage (%)

Highly satisfied 15 17

Satisfied 57 63

Neutral 18 20

Dissatisfied 0 0

Strongly dissatisfied 0 0

Total 90 100

The above table shows that 63% are satisfied with the quality of food, 20% are neutral, 17%
are highly satisfied and nobody belongs to dissatisfied and strongly dissatisfied.
Table showing the satisfaction level towards price of food

Status Number of respondents Percentage (%)

Highly satisfied 9 10

Satisfied 49 54

Neutral 26 29

Dissatisfied 6 7

Strongly 0 0

dissatisfied

Total 90 100

From the above table, it is clear that 54% are satisfied with the price of food, 29% are neutral, 10%

are highly satisfied, 7% are dissatisfied, and nobody is highly dissatisfied.


Table showing the challenges faced while ordering.

Status Number of Percentage (%)

respondents

Poor network connection 16 18

No of available restaurants are limited 26 29

Delivery time is more 13 14

Not available in some areas 35 39

Total 90 100

As per the table, 39% are facing a challenge of not available in some areas, 29% are facing no. of
available restaurants are limited, 18% face poor network connection and 14% are facing a challenge
of more delivery time.
Findings
Among 100 respondents, 80 % of the respondents have agreed as they are users of online food
delivery application, and 20 % respondents are not using as they are non-users.
Among 80 respondents’ Maximum respondents i.e., 57.50% are using Zomato, 26.25 % are users
of Swiggy. and 16.25% respondents are users of Pakwan food paradise for online food ordering.
It has been found that among 80 respondent’s maximum no of respondents are influenced by
social media i.e., 56.25 %. about 18.75 % of respondents by Television & 18.75 % by word of
mouth, 5 % by newspapers and 1.25 % of respondent by other source.
Among 80 respondents 32.50 % of respondents are using application once per month, 30 %
respondents using occasionally, 27.50 % respondents are using at least once in a week and 10% of
respondents are using once in alternate week.
Among 80 respondents’ maximum numbers of respondents are preferred to order at night for
dinner i.e., 61%, 30 % prefer at evening snacks, 8.75 % of respondents prefer for afternoon lunch.
Among 80 respondents,47.50 % of respondents have insisted that they have experienced easy to
operate the application, 21.25 % of them found moderate, 17.50 % of are saying flexible, 10 % of
them are saying slight easy and 3.75 % of them are saying that application is slight difficult to use.
Among 80 respondents, maximum number of respondents have got their delivery accurately on
time i.e., 56.25%, 23.75 % of respondents have got delayed service deliveries and 20 % of
respondents have got the service delivery early before time.
Among 80 respondents, maximum number of respondents insist that they are influenced by offers
to use the application i.e., 47.50 % of respondents are agreeing, 32.50 % of respondents are neutral
about it, 10 % of respondents are agreeing strongly,7.50 % of respondents are disagreeing, 2% of
respondents are strongly disagreed view of influencing offers.
Among 80 respondents 58.75 % of respondents are agreeing the innovative function of feature,
21.25 % of respondents are saying their views are neutral, 13.75 % of respondents have strongly
agreed the innovative feature, 3.75 % are disagreeing and 2.50 % of respondent are strongly disagree
the feature.
Among 80 respondents most of the respondents are preferring to have cash on delivery on
doorstep i.e., 55 %, 36.25 % of respondents are opting different UPI applications online, 7.50 % of
respondents using debit or credit cards to order food via apps and 1.23 % of respondents have given
response of internet banking.
Among 80 respondents most of the respondents have insisted that packaging was found good i.e.,
63.75 %, 20 % of respondents have got best packaging of food while delivery, 15 % of respondents
got neutral views on it and 1.25 % have experienced bad packaging of food.
Among 80 respondents 55 % of respondents are saying ordered food was delivered fresh and hot
every time, followed by 43.75 % of respondents have sometimes got delivery of food fresh and hot
and 1.25 % of respondent was not delivered fresh and hot food.
Among 80 respondents most of respondent have insisted that they have got good quality of food
when it was delivered i.e., 75 %, 13.75 % of them are neutral about quality, 10 % of respondents
have insisted that they got best quality of food and 1.25 % of them are saying the quality was worst.
Among 80 respondents’ maximum numbers of respondents have insisted agreed that the hygiene
and safety was maintained on the time of delivery i.e., 73.75 %, 23.75 % of respondents are saying
sometimes, and 2.50 % of respondents are saying no.
Among 80 respondents 56.25 % of respondents are saying the price charged for delivery is
affordable, 27.50 % of the respondents got the delivery free of cost and 16.26 % are saying the
delivery charged high.
Among 80 respondents, most of the satisfied towards availability i.e., 62.5% of respondents,
21.2% of respondents are having neutral views, 13.8% of respondents are highly satisfied and 2.5%
respondents distasted.
Among 80 respondents, most of the respondents have satisfied and insisted that the concern of
safety and hygiene was well maintained by delivery person i.e., 63% of respondents, 28% of
respondents are neutral about their decision, 5% of respondents are highly satisfied with hygiene
concern of delivery person, 4% of respondents are dissatisfied, 1% respondent is highly dissatisfied.
Among 80 respondents, most of the respondents are satisfied with customer care in concern of
solving quarries and problems i.e., 56% 0f the respondents, 35% of the respondents are neutral about
the decision, 5% of the respondents are highly satisfied with customer care and 4% of respondents
are dissatisfied with concern to customer care.
Among 80 respondents, maximum number of respondents have overall satisfaction among food
delivery application i.e., 55% of respondents, 31 % of respondents are saying neutral, 8% of
respondents are highly satisfied, 3% respondents are dissatisfied of the service given by food
delivery application and 1% of respondent is highly dissatisfied of application service in Noida.
Conclusion
After studied the customers’ perception toward online food ordering, it is concluded that every system

has its strengths and weakness. The purpose of this online food ordering system is basically to save the

time of the customers especially when he/she has to invite people for any occasion. The chief reason

of electronic ordering is convenience. This study found that online food ordering is reasonably popular

among residents in Kanpur City. Nearly 83 percent of the respondents were aware of the electronic

food ordering. Young customers are more likely to use online, mobile or text ordering. Customers

between 20-30 years of age ordered more online food. The factors which influence the customer’s

choice of food delivery applications are quality of food, price of food, offers available, packing of

food, delivery service etc. The male and female consumers have same level of perception on food

delivery applications.
Recommendations

 Need an improvement in delivery time.

 The online payments make more safe and secure

 Food delivery apps must want to make easier to use.

 Quantity of food-on-food delivery apps has to be increased

 They must want to take a look on hygiene factor of food delivery apps.

 The service quality of food delivery apps needs to improve much more.

 The regular hygiene and behavioral trainings should be provided to delivery representative for
more systematic and smooth delivery which can decrease negative reviews and satisfy more 

numbers of customers.

 The delayed food delivery services should be given some concisions in prices as the freshness

and quality of food depreciates due to delay which can manage the dissatisfaction rate among

customers.
Limitations of the Study

 The study is restricted only to users of online food applications.

 The study is conducted only in Noida.

 The opinion of the taken sample can’t be taken as the opinion of the whole population.

 It may or may not be biased because data mainly depends on respondent’s view.
Bibliography

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