The food delivery market in the United States and around the world has grown impressively over the years. Growth has been compelling in the pandemic-hit years of 2020 and 2021, with continued strong momentum for market players.
Many seasoned players in the restaurant industry have ventured into online food delivery, and many new players have also emerged as professional delivery agents between food suppliers and consumers.
According to the Statista report, the online food delivery market in the United States is expected to generate $66.56 billion in revenue in 2022. Of this amount, $34.24 billion in revenue is expected to come from food delivery. consumer platform. Revenue from this market is expected to grow by 9.69% CAGR to $96.37 billion from 2022 to 2026.
Investors interested in the online food delivery market may find the TipRanks website traffic tool very useful in identifying top performers in the space. The traffic data used in the tool is provided by SEMrush Holdings (NYSE: SEMR), a leader in website usage monitoring services.
According to the Website Traffic tool, the top two players (by market capitalization) in the food delivery market are profiled below.
McDonald’s Corporation (NYSE: MCD)
The $173.4 billion company is a fast-food giant, operating through its chain of more than 40,300 restaurants worldwide. It is recognized for its delicious menu, including burgers, fries and other products, as well as for the quality of its food and its zeal to innovate.
Over time, the company has strengthened its growth opportunities through digital means. Its revenues in this area totaled $18 billion in 2021 and $5 billion in the first quarter of 2022.
Additionally, nearly 80% of McDonald’s restaurants have launched delivery services. Orders can be booked through the company’s app (available in the UK and will launch in Canada, the US and Australia in 2022) or through food aggregators including DoorDash, Inc. (New York Stock Exchange: dash) and others.
The impact of the increasing use of digital means and online food ordering can be seen in the increased number of visits to the company’s website. According to the TipRanks Website Traffic tool, estimated traffic to MCD’s website (mcdonalds.com) increased 146.82% year-over-year in May 2022, at the time of writing.
Additionally, website traffic has increased 161.5% since the start of the quarter and 223.87% so far in 2022.
Further, the upward trend in the stock’s growth outlook is evident from its strong buy consensus rating based on 22 buys and four takes. MCD’s price target of $279.33 suggests upside potential of 19.19% from current levels. Over the past year, MCD shares have edged up 0.6%.
The $82.4 billion business is a well-known coffee chain around the world. In addition to coffee, the company offers tea and other beverages and food products like sandwiches, salads and pastries, and operates a chain of more than 34,000 stores worldwide.
The company is investing heavily to improve its technology and drive sales of its products through extensive digital customer relationships. Online ordering and fast deliveries have been beneficial.
At the time of writing, total estimated visits to the Starbucks website increased 123.9% year-over-year in May 2022. Additionally, a 40.94 increase in Website traffic has been recorded since the start of the quarter and an 80.5% growth since the start of 2022.
Currently, the company has a moderate buy consensus rating based on 12 buys and nine takes. The SBUX price prediction of $93.62 suggests upside potential of 30.3% from current levels. Over the past year, shares of SBUX have declined 35.2%.
Rising demand and changing consumer preferences have propelled the demand in the food delivery market. Players are strengthening their competitive strengths to take advantage of pent-up demand and increase their market share.
From several investment choices, the TipRanks website traffic tool can help investors select companies with strong growth prospects.
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