Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Growing Appetite for Online Food Delivery in Saudi Arabia Will Boost the Market to SAR 820 Million  Join our daily free Newsletter

MENAFN Press - 25/09/2013
No. of Ratings : 0
Add to Mixx!

(MENAFN Editorial) Otlob.com, the leading regional online food delivery platform which is celebrating its 14th anniversary this year, has today announced that the pent-up demand for online food delivery in the Kingdom of #SaudiArabia will continue to expand at a fast pace to reach SAR 820 million by 2020, marking a staggering growth of 47x of the current size. This will be fuelled by the high gross domestic product (GDP), well-urbanised regions, changing lifestyles and an emerging online culture of a young and tech-savvy population. The Kingdom of #SaudiArabia ranks 3rd in terms of smart phone penetration globally, ahead of countries like the United States, Britain, #France and #Germany and 64th in terms of internet penetration.

The leading group of online ordering platform Otlob.com, an OTVentures portfolio company, has strong presence in the Kingdom of #SaudiArabia where it has recently expanded its operations to cover Riyadh, Jeddah, Dammam, and Khubar, with a menu database of over 400 restaurants and food chains.

Sami Zaki, General Manager of Otlob.com, said: "The consumer foodservice sector in the Kingdom of #SaudiArabia has been growing tremendously, and is expected to continue on the same trajectory. Estimated at a total value of SAR26 billion, the growth of the sector is driven by a young futuristic population, rising purchasing power and internet connectivity and modern and changing lifestyles. This presents a tremendous opportunity for both the delivery/take-away subsector which is estimated at 23% of the total market, or about SAR 6 billion. Of that, the share of the online food delivery is just 0.3%, or SAR 18 million. Both traditional food delivery and online food delivery currently have lower penetration rates compared to other countries around the world, which creates big opportunities for food retailers in the Kingdom."

In the United States, the delivery/takeaway sector captures 45% of the total consumer foodservice industry. In the United Kingdom, the takeaway culture is quite popular and captures 40% of the total industry, while in #France takeaway forms only 9% of the market.

The dine-in, takeaway and delivery and online food industry is the Kingdom of #SaudiArabia is expected to reach SAR 36.6 billion by 2020, marking an increase of 38%. This positive outlook has fueled a growing interest from domestic and global restaurants and food chains to invest in their online delivery channels. Online food delivery is now topping the agendas of these restaurants and food chains in the Kingdom, looking at ways to compete in this green market and take advantage of the opportunities it represents. The online delivery culture is expected to grow dramatically in the next 10 years, when 10 per cent of the people ordering food delivery or take-away will do that online. This represents transactions worth around SAR 820 million.

Sami Zaki added: "Restaurants and food chains in #SaudiArabia realised that the time is right to have a fresh look at their business model in order to capture the latest online and digital trends. Being one of the global pioneers of online food ordering, Otlob.com is assisting these food outlets in launching new revenue streams through online and mobile platforms. Our finger is constantly on the pulse of evolving technology, so we are able to provide them with the latest, up-to-date solutions that will help them further build their businesses."

"Restaurants and food chains are now creating an online presence through Otlob.com to become an extension of their brick-and-mortar outlet. This allows them to reach a wider range of customers. For consumers, Otlob.com offers a convenient, time-saving, user-friendly online marketplace with the widest gastronomic range from which they can choose on the online platform or via Otlob.com mobile apps for iOS or Android."

Otlob.com has so far curated over 400 restaurants and food outlets for the discerning Saudi consumer in Riyadh, Jeddah, Dammam and Al Khobar.

As the leading online food ordering portal in Saudi Arabia, Otlob.com allows customers to create one single account that they can use on Otlob in any of the countries where the portal operates. To offer customers a seamless experience, Otlob.com allows them the option to save as many addresses as they want and thus route the order to the desired address at the click of a button, browse their order history or the most loved and most ordered food items in any restaurant, create favorite orders that can be placed at the click of a button, or place advance orders delivered at a set time.

Registration on Otlob.com is very simple allowing customers to create their profiles with multiple delivery addresses in a few seconds. Otlob.com also allows customers to save and select their address location on a map to avoid delivery delays.

About Otlob.com
Otlob.com is a global pioneer of online food delivery ordering and the first online food ordering portal in the Middle East region, having launched its services in 1999 in Egypt. Part of the OTVentures Group, Otlob.com is the largest food ordering website in the Middle East with presence in Egypt Saudi Arabia.



  MENA News Headlines
 Apr 28 2017 - Iran, Russia defense ministers discuss Syria crisis in MoscowTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 27 By Fatih Karimov – Trend: Iranian Defense Minister Brigadier General Hossein Dehqan and his Russian counterpart, Sergei Shoigu, held ...

 Apr 28 2017 - Uzbekistan, Kuwait hold first round of political consultationsTrend News Agency
(MENAFN - Trend News Agency ) Tashkent, Uzbekistan, April 27 By Demir Azizov– Trend: The first round of political consultations between the foreign ministries of Uzbekistan and Kuwait was ...

 Apr 28 2017 - Russia fulfilled its S-300 missile system deal with Iran - Rostec CEOTrend News Agency
(MENAFN - Trend News Agency ) Last year, Russia fulfilled all its commitments under the contract to deliver S-300 air defense systems to Iran, said Sergei Chemezov, the CEO of Russia's state ...

 Apr 28 2017 - Azerbaijani currency rates for April 28 (UPDATE)Trend News Agency
(MENAFN - Trend News Agency ) Details added (first version posted on 09:33) Baku, Azerbaijan, Apr. 28 Trend: Official exchange rate of the US dollar and euro to Azerbaijani manat for ...

 Apr 28 2017 - OPEC oil price dropsTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 28 By Elena Kosolapova– Trend: The price of OPEC basket of thirteen crudes stood at $48.90 a barrel on April 27, compared with $49.63 the ...

 Apr 28 2017 - Tase: EU measures on Ankara divert attention from real challengesTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 28 By Anakhanum Hidayatova – Trend: PACE's decision to bring back monitoring of Turkey's commitment to its obligations to the Council of ...

 Apr 28 2017 - Iran commander thanks health minister for helping 'resistance' in SyriaTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 28 By Khalid Kazimov – Trend: The Commander of Iran's Quds Force Qassem Soleimani in a letter to Health Minister Mehdi Qazizadeh Hashemi ...

 Apr 28 2017 - Turkish armed forces strike back at PYD positions in SyriaTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 28 By Orkhan Quluzade – Trend: Turkish Armed Forces struck back at positions of the Democratic Union Party (PYD) terrorist group in ...

 Apr 28 2017 - Israeli gymnast says happy to perform at FIG World Cup in BakuTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 28 By Leman Zeynalova – Trend: Israeli gymnast Nicol Zelikman says she is happy to participate with her program in Baku. She today ...

 Apr 28 2017 - Tase: EU measures on Ankara divert attention from real challengesTrend News Agency
(MENAFN - Trend News Agency ) Baku, Azerbaijan, Apr. 28 By Anakhanum Hidayatova – Trend: PACE's decision to bring back monitoring of Turkey's commitment to its obligations to the Council of ...





Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  

Middle East North Africa - Financial Network

Main News
News By Industry
News By Country

Search News
Market Indices
Quotes & Charts

Global Indices
Arab Indices


Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks

Saudi Arabia 

Economic Calendar
Financial Glossary

Financial Calculators

RSS Feeds [XML]

Corporate Monitor


Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters

© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help