Why young Australians are turning their backs on UberEats and are now going to bars and restaurants to eat out
- Australians are turning their back on third-party delivery apps, research reveals
- Report found 33 per cent were more likely to dine out during the last year
- This compared to 20 per cent using online delivery services like UberEats
- Businesses are launching their own apps to combat prices on third-party apps
Australians are turning their back on third-party delivery apps and are instead opting to eat out at restaurants and bars, new research has revealed.
The Future Grazing Report by SilverChef found 33 per cent of Australians were more likely to dine out during the last year, compared to 20 per cent using delivery services.
Third-party delivery app UberEats saw unprecedented growth rates when it was downloaded on smartphones across the country five years ago.
But the research indicates the novelty and convenience of home delivery is wearing off, with customers more inclined to go out for a feed.
Australians are turning their back on third-party delivery apps and are instead opting to eat out at restaurants and bars, new research has revealed
The use of online food delivery has decreased across all age groups, with 35 per cent of baby boomers admitting they use the service less than the year preceding.
Gen X followed with 28 per cent noting a decline and 27 per cent of millennials.
The flattening of delivery apps comes as 50 per cent of hospitality owners revealed the majority of their sales in the past year came from in-house diners.
A quarter of restaurants said they have decided to decrease their reliance on the third-party apps, while 35 per cent have taken actions to financially safeguard their operations, with some choosing to list menu items that carry higher profit margins.
It was also revealed three in five hospitality owners have noted the delivery apps cutting into their overall profit lines.
To combat this, 13 per cent of businesses created their own delivery services in a bid compete with the costs associated with third-party apps.
The Future Grazing Report by SilverChef found 33 per cent of Australians were more likely to dine out during the last year, compared to 20 per cent using delivery services (stock image)
Giorgina Venzin of Paw Paw Café and Asian Kitchens said they were quick to join UberEats when it launched in Brisbane.
‘It was a great way to garner some additional exposure, however, we had no idea how quickly the app would grow and how high the margins would eventually become,’ she said.
But Venzin Group eventually chose to launch their own service.
‘When third-party delivery apps became the norm we had to come up with a way to bring customers back to communicating with us directly,’ Ms Venzin said.
‘We decided to develop our own app which allows customers to order the same great menu they get when they dine in, without the delivery markup or compromised quality.’
Third-party delivery app UberEats saw unprecedented growth rates when it was downloaded on smartphones across the country five years ago. But the research indicates the novelty and convenience of home delivery is wearing off, with customers more inclined to go out for a feed