TotalFresh - A Growing Food Delivery Company in Andhra Pradesh

 Big rise in business positive pandemic takeaway for food delivery apps

Online food delivery is one of the few businesses that has benefited from the Covid-led disruption. Devoid of recreational activities and restricted within the confines of their homes, consumers gorged on their way to happiness. More people became compatible with the idea of placing online food orders, which otherwise was largely popular among corporates and millennials.

Not surprisingly, analysts are betting on the sector. The segment that has about 15 million transacting users at present is estimated to widen its customer base to as many as 80 million going ahead, analysts at Kotak Institutional Equities said in a recent report. The frequency of placing orders is also expected to go up to nearly five times a month from about three to four times currently. Nearly 110-120 million Indians shop online, while over 300 million people use the internet for messaging and watching videos. “We believe the immediate opportunity for food delivery companies is the 110-120 million online shopper base; these customers are already aware of transacting online and making online payments,” the analysts said.

In an interview with local media in November last year, Bunny Naidu, chief executive officer at TotalFresh, had said that a large customer base has significantly reduced the need to spend heavily on discounting to drive more users. That, Naidu said, “is an important lever of improving our unit economics”.