Off-Premises Dining Becomes the Norm
Three-quarters of US restaurant orders in 2024 were consumed outside traditional dining locations, according to National Restaurant Association data. This marks a structural shift in how Americans access meals, driven by the maturation of third-party delivery platforms rather than lingering pandemic behavior.
The numbers are significant. The US online food delivery market reached $353 billion in 2024 and is projected to hit $473 billion by 2026. Americans now spend an average of $1,566 annually on delivery—roughly 3.7 orders monthly at $35 per order.
Demographic Divide
Younger consumers are driving adoption at meaningfully different rates. Forty percent of Gen Z and Millennials order from delivery apps weekly, compared to 21.5% of Gen X and 10% of Baby Boomers. Over half of US consumers now view delivery and takeout as "essential" to their lifestyle, rising to 67% among Gen Z.
Urban-rural gaps are equally stark: 40% of city dwellers use delivery apps weekly versus 15.3% in rural areas. This geographic concentration suggests market expansion may be approaching natural limits.
Trade-offs Emerging
Despite growing spending, value sensitivity is increasing. Eighty-two percent of delivery customers prioritize daily specials and discounts when selecting restaurants, indicating price sensitivity could limit future growth if economic conditions tighten.
YouGov data from March 2024 shows fast food frequenters (ordering 15+ times monthly) increasingly rate delivery orders as "most satisfying" compared to counter or kiosk orders. Drive-through remains dominant for in-car consumption (59%), while app delivery leads for office environments (29%).
What This Means
The shift represents genuine behavior change rather than temporary convenience. Grubhub reported over 1.6 million family meal orders in 2024, indicating at-home entertaining has become a delivery use case. Parents order last-minute meals weekly at roughly double the rate of non-parents (50% vs. 26%).
The sustainability of current spending levels warrants scrutiny. Food spending per person has increased 15% since January 2022, but academic research suggests meal delivery apps may negatively impact health outcomes through promotion of less nutritious options. Environmental concerns around packaging are also influencing purchasing decisions.
History suggests the convenience-versus-cost calculation will determine whether this growth continues or plateaus.