Saudi Arabia Online Food Ordering and Delivery Market, By Region, Competition, Forecast & Opportunities, 2020-2030F

The Saudi Arabia Online Food Ordering and Delivery Market was valued at USD 2.98 Billion in 2024, and is expected to reach USD 8.22 Billion by 2030, rising at a CAGR of 18.42%. The Saudi Arabia Online Food Ordering and Delivery market is experiencing steady growth, driven by is experiencing robust growth, driven by multiple factors. The increasing penetration of smartphones and the availability of high-speed internet have made food delivery services more accessible to a broader population. Mobile applications have transformed consumer behavior, offering unparalleled convenience for ordering food from a wide range of restaurants.

Also, the diverse culinary preferences of Saudi consumers have led to a broadening of food delivery options, catering to various tastes and dietary needs. Strategic partnerships between local and international food delivery platforms have further enhanced service offerings and expanded market reach, enabling faster delivery times and improved customer experience. These factors, along with a fast-paced urban lifestyle, are contributing to the dynamic growth of the online food delivery market in Saudi Arabia, positioning it as a key player in the region.

Key Market Drivers

Rising Internet Penetration Across the Region

Rising internet penetration across Saudi Arabia is a key driver of the online food ordering and delivery market. As a part of this, according to a recent study, at the beginning of 2024, when internet penetration was 99.0%, there were 36.84 million internet users in Saudi Arabia.With widespread access to the internet, an increasing number of consumers are turning to digital platforms for convenience and efficiency in ordering food.

As internet penetration continues to grow, a larger segment of the population is gaining access to food delivery apps, making the process of browsing menus, placing orders, and tracking deliveries easier than ever. The surge in smartphone usage, coupled with reliable internet services, has accelerated the adoption of mobile applications, reshaping consumer behavior. This growing connectivity has led to an increased demand for quick, on-demand services, with food delivery becoming a preferred choice for many. As the digital landscape continues to expand, the online food delivery market in Saudi Arabia is poised for significant growth, driven by enhanced accessibility and consumer convenience.

Key Market Challenges

Strict Government Norms

Strict government norms pose a significant challenge to the growth of the online food ordering and delivery market in Saudi Arabia. Regulatory requirements related to food safety, hygiene standards, and operational licenses can complicate the processes for both food delivery platforms and restaurants. Businesses must comply with numerous regulations to ensure they meet health standards, which can result in higher operational costs and delays in service.

Also, the Saudi government has set specific guidelines for delivery personnel, including restrictions on working hours and the type of delivery vehicles used. These regulations, while aimed at ensuring safety and quality, can increase the complexity of managing food delivery operations. Also, any changes in government policies or the introduction of new regulations could disrupt the market, making it more challenging for businesses to adapt quickly. Despite these challenges, businesses in the sector are working to navigate these norms to meet consumer demand while maintaining compliance.

Key Market Trends

Shift Towards Digital Platform & Convenience

The shift towards digital platforms and the growing demand for convenience is a prominent trend in the Saudi Arabia online food ordering and delivery market. Consumers are increasingly turning to mobile apps and websites to order food, seeking the convenience of browsing menus, making secure payments, and receiving deliveries at their doorstep with just a few taps.

This shift is being driven by the busy, fast-paced lifestyles of urban residents, who prefer the efficiency and ease of digital platforms over traditional dining options. Food delivery platforms are increasingly integrating features like real-time tracking, personalized recommendations, and diverse payment options, making the experience even more seamless. Also, consumers are looking for greater flexibility in terms of delivery times and the ability to access a variety of cuisines from different restaurants. As a result, food delivery services are continuously innovating to meet these demands, ensuring that convenience and digital accessibility remain at the forefront of the market.

Key Market Players

Hunger Station LLC
Jahez Group
Talabat
Uber Technologies, Inc.
Mrsool
The Chefz
ToYou
Shgardi
Swiggy Limited
Zomato Limited

Report Scope:

In this report, the Saudi Arabia Online Food Ordering and Delivery Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Saudi Arabia Online Food Ordering and Delivery Market, By Operation Type:

Food Aggregators
Restaurant-Based

Saudi Arabia Online Food Ordering and Delivery Market, By Source:

Mobile App
Website

Saudi Arabia Online Food Ordering and Delivery Market, By Payment:

Cash on Delivery
Card Payment
Others