This study explores the role of food delivery apps in transforming local businesses by enhancing operational efficiency, expanding customer reach, and fostering digital adoption. A quantitative research methodology was employed, collecting survey data from Swiggy and Zomato users. Statistical analyses, including regression and factor analysis, were conducted to evaluate key business benefits. The findings reveal that while restaurants dominate food orders (44.7%), the increasing demand for grocery (30.3%) and pharmacy (22.4%) deliveries presents new growth opportunities. Delivery apps significantly improve operational efficiency (β = 0.294) by streamlining processes and reducing costs. Customer retention (β = 0.262) and delivery speed (β = 0.257) also contribute positively to business performance, whereas brand visibility and direct revenue impact remain limited. Furthermore, these platforms drive digital transformation, increasing customer exposure (0.700) and enhancing digital marketing skills (0.687). However, long-term user retention remains a challenge, with only 2.6% of users staying for over two years. The study concludes that food delivery apps serve as vital tools for business optimization, enabling market expansion and technological adaptation. Businesses must leverage these platforms strategically to maximize benefits and sustain long-term growth.
- Quote paper
- M. Arul Jothi (Author), 2024, From Neighbourhood to Network. Role of Online Food Delivery Apps in Transforming Local Business, Munich, GRIN Verlag, https://www.hausarbeiten.de/document/1583324
