It’s Thanksgiving, Let’s Talk About Food
We like food, and we like it delivered. There’s a reason why food delivery services are springing up like mushrooms after the rain. Bring out the online menu, complete with photos of delicious food only a click and a courier away, and we don’t have to be ‘hangry’ ever again. But, come Thanksgiving, Christmas or Fourth of July, and we are back to the home kitchen and instead of browsing sites, we’re fighting over leftovers in the fridge. According to 7Park Data’s latest analysis of consumer behavior, based on purchases from millions of anonymous users in the United States, the overall number of food delivery orders has been steadily growing over the past two years. But, we see pronounced drops in order volume during the days following major US holidays. See the chart below.
“As regional successes like GrubHub/Seamless (Chicago, New York) and Postmates (San Francisco, Los Angeles) go national, we see an explosion in order volume.”Byrne Hobart, lead analyst at 7Park Data
Whether the drops are a result of an outstanding holiday meal with plenty of leftovers, time spent traveling, or post-feast dieting, the impact doesn’t last long — those of us relying on food delivery services get back to online food ordering once we settle back into everyday life.
And, speaking of everyday life, how much do people typically spend on food delivery services per order? To find the answer, we looked at users’ weekly average basket size in 11 major cities across the United States in 2016 (through October). Based on our analysis, food delivery service users on the West Coast on average spent more per order than users in other major US cities.
San Jose, located 42 miles south of San Francisco and in the heart of Silicon Valley, is in the lead with an average of $36.24 spent per order this year. It’s not surprising if we factor in the city’s lively business tech community and the 59.6% above the national average cost of living. Well aware of the dangers of stereotyping, we’ll just mention that San Jose (also known as ‘Man Jose’) has the highest single men to single women ratio in the nation.
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When looking at days of the week, we didn’t find any noteworthy changes in spending, just a slight uptake during weekends in most cities profiled in our analysis. Although, the number of Monday orders has been increasing since 2014. More on that in our upcoming Insight Report, where we’ll compare and discuss food delivery companies and consumer trends. So stay tuned for more on food. In the meantime, enjoy your Thanksgiving holiday and don’t forget to subscribe to our blog.