Market Overview
The South Africa online food delivery market size reached USD 1.04 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 2.16 Billion by 2033, exhibiting a growth rate (CAGR) of 7.61% during 2025-2033. This growth is driven by widespread smartphone usage, enhanced internet connectivity including 4G and 5G networks, and increasing adoption of digital payment solutions, which together improve user convenience and expand service reach across the country.
How AI is Reshaping the Future of South Africa Online Food Delivery Market:
- AI-powered recommendation systems personalize food choices based on user preferences and past orders, improving customer engagement and boosting repeat business.
- Smart delivery route optimization utilizes AI algorithms to reduce delivery times and increase efficiency, elevating the customer experience and operational productivity.
- AI chatbots enhance customer service with 24/7 support, instant responses, and seamless order modifications, increasing trust and satisfaction.
- Integration of AI with mobile payment platforms streamlines transactions, supporting the growing use of digital payment methods including mobile wallets and cards.
- AI analytics help companies forecast demand, manage inventory, and tailor marketing promotions, driving smarter business decisions.
- Collaboration between AI startups and food delivery companies accelerates innovation, as seen in recent expansions and technological upgrades in the industry.
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Market Growth Factors
The South African online food delivery market is experiencing robust growth, projected to reach approximately US$2.72 billion in revenue by 2025, with a compound annual growth rate (CAGR) of around 7-9% through the coming years. This expansion is driven by increasing smartphone penetration and widespread internet access, particularly among urban and middle-class consumers. Platforms like Uber Eats, Mr D Food, and Checkers Sixty60 dominate the landscape, offering diverse options from restaurant meals to groceries. The market benefits from post-pandemic shifts in consumer behavior, where convenience has become a priority, leading to higher user penetration rates exceeding 30% in meal delivery segments.
A key trend is the rapid rise of grocery delivery integration within food platforms, with services like Checkers Sixty60 holding over 80% market share in on-demand groceries and reporting significant sales growth. This blurring of lines between meal and grocery delivery caters to time-strapped households seeking one-stop solutions for essentials and prepared foods. Retailers are investing in ultra-fast delivery models, often under 60 minutes, fueled by mobile-first strategies and partnerships with major chains like Pick n Pay and SPAR. This segment is expected to see double-digit growth, outpacing traditional meal delivery.
Consumer demand for convenience and variety is a major driver, accelerated by urbanization and a growing middle class prioritizing quick, contactless options amid busy lifestyles. Health-conscious choices, including vegan and artisanal offerings, are gaining traction, alongside affordable quick-service meals from chains like McDonald's and Nando's. Economic factors such as high unemployment push value-seeking behavior, while platforms enhance accessibility through promotions and reliable logistics. This combination sustains high engagement, with millions of active users relying on apps for daily needs, supporting sustained market expansion despite infrastructure challenges in rural areas.
Market Segmentation
Platform Type Insights:
- Mobile Applications
- Websites
Business Model Insights:
- Order Focused Food Delivery System
- Logistics Based Food Delivery System
- Full-Service Food Delivery System
Payment Method Insights:
- Online
- Cash on Delivery
Regional Insights:
- Gauteng
- KwaZulu-Natal
- Western Cape
- Mpumalanga
- Eastern Cape
- Others
Recent Developement & News
- October 2025: Chowdeck, a Nigerian food delivery service supported by Y Combinator, announced plans to expand into South Africa, Kenya, and Ivory Coast. Having amassed 1 million users, the company aims to broaden its offerings to include grocery and medicine delivery, suggesting a strategic growth and service diversification in the region.
- September 2025: The South African government partnered with local internet service providers to enhance digital infrastructure and accessibility. This initiative improves internet connectivity in urban and rural areas, facilitating easier access to online platforms, thereby indirectly boosting the online food delivery market.
- July 2025: Reports indicated a significant rise in digital payment adoption in South Africa, with mobile wallets and card payments becoming standard for online orders. This shift supports faster transaction processing and increased consumer confidence, promoting frequent use of online food delivery services.
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About Us
IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
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