Delivery gains ground as summer boosts spending habits
Britain’s delivery sales have seen a year-on-year increase of 9.4% according to CGA by NIQ’s latest Hospitality at Home Tracker
July saw another consecutive month of unbroken sales growth this year, reflecting sustained consumer demand for delivery options, despite a deceleration from the double-digit growth recorded in May and June.
Conversely, takeaway and click-and-collect sales remain static, with a slight decline of 0.2% in July compared to the same month last year. This is a marginal improvement from the 1.1% decline in June, suggesting the rate of decline is slowing.
Overall, combined delivery, takeaway and click-and-collect sales in July 2024 were 5.3% higher than in July 2023. This represents the 14th consecutive month of year-on-year growth for the sector, further solidifying its resilience despite shifting consumer behaviours and external economic pressures.
The split between food and drink sales in delivery and takeaway channels has remained stable, with food sales comprising 90.3% of the total and drink sales accounting for 9.7%. This consistency highlights the ongoing preference for home-delivered meals over other options.
The comparison with July 2023 sales highlights shifting consumer preferences, with consistent delivery sales growth indicating convenience and at-home dining are firmly in favour.
The sunshine surge
While delivery sales growth has cooled slightly since June's Euros spike, consumers still value the convenience of having meals brought directly to their doorsteps. Additionally, consumers are taking advantage of the good weather to enjoy meals on the go, or as a more budget-friendly option during a month when many focused their spending on events like the Euros tournament and Olympic Games.
Karl Chessell, director at CGA by NIQ, comments: "Looking ahead, restaurants can continue to capitalise on these trends by offering versatile menu options catering to both delivery and takeaway customers. Plus, seamless customer experiences are crucial for maintaining this positive momentum, from online ordering to timely delivery.
"Furthermore, pushing drinks remains an opportunity to upsell and generate incremental sales that are easily added to food-based orders, while offering consumers greater choice than they are likely to have available at home."