Home delivery is the fastest-growing segment of the eating out market, yet it accounts for only around 5% of total spending on eating out at present. This suggests that it is a market with huge potential for growth in the future.

However, the fragmented nature of the market is hampering more rapid development of sales and the market is still in its infancy in terms of the number of national chains active.

Another point holding back the market is that many businesses in the sector are also eat-in restaurants and there is conflict between the two parts of the business in that the eat-in side often take preference over the home delivery. Potential therefore exists for more players to emerge which are dedicated home delivery operations.

This report focuses on home delivery of food and drink (where drink is being ordered with a meal). Such a service typically involves the placing of an order by telephone, via the Internet, via interactive TV (iTV) or in person.

Where some operators also offer a delivery service to offices, some reference is made to this aspect of their business but is not included in Mintel’s estimates of market size.