Online food industry attracting tier II and III: Survey
Online food industry attracting tier II and III: Survey

The online food industry is now expanding to tier-II and tier-III cities like never before, says a survey conducted by online food ordering service

The online food ordering is driven by an increase in disposable income and acceptability to experiment, as also the fact that it enables people to avoid the chaos of traffic and never-ending waiting lines of restaurants and have their favourite food within the comfort of their homes.

The survey indicates that 15 percent of the total online food orders on come directly from tier-II and tier-III cities.

Of this, tier-II cities contribute to 57 percent and tier-III to 43 percent of the total orders from these places. Moreover, around 60 percent of these orders are from high ticket restaurants.

But foodies don't shy away from ordering food from local vendors as indicated by the 40 percent orders for them.

Customers are also opting for online payments. The current ratio of orders between online payments and Cash on Delivery is 2:1 in tier-II and tier-III cities.

“Internet has paved a way of convenience for both the service provider and the end user, With tier-II and tier-III cities becoming evidently open towards experimenting, the opportunities seem huge in terms of market penetration," said, Shachin Bharadwaj, CEO and founder,

The survey also highlighted that while an average food order by a family is for minimum Rs 450, the preferred food items include biryani, pizza and rolls.

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