Investing.com — Recent survey of 1,451 respondents shows continued upside potential for the restaurant and grocery delivery sector, suggesting increased user spending and untapped opportunities has been.
The survey, conducted by Oppenheimer, found that 64% of restaurant delivery customers and 70% of grocery delivery customers are spending more than they were six months ago due to product improvements such as faster delivery times and fewer order errors. It became clear.
This trend has led to increased confidence, with Uber Delivery and DoorDash (NASDAQ:)’s 2025 and 2026 gross transaction volume (GTV) and gross order value (GOV) forecasts raised by 2%.
Restaurant delivery departments have a huge opportunity to further increase order frequency. Despite strong spending trends, 40% of restaurant delivery customers remain infrequent customers, indicating room for growth.
The survey highlighted that “product improvements could increase frequency,” with 60% of respondents citing faster delivery times and fewer errors as the main reasons for increased spending.
Additionally, 23% said they were attracted to apps’ ease of use and the convenience of not having to cook.
“Overall, 40% are infrequent users, suggesting there is still a significant opportunity to increase the frequency of existing users,” Oppenheimer said in the note.
However, macroeconomic factors are influencing cost-conscious consumers. Approximately 33% of non-users refrain from using restaurant delivery apps due to cost concerns. Interestingly, 71% of these consumers were unaware of the cost-saving benefits of monthly subscriptions like Uber One and DashPass. This highlights a significant marketing opportunity to acquire new users.
In contrast, the grocery delivery sector has lower penetration than restaurant delivery (57% vs. 67%), with 73% of non-users preferring to shop in person.
Despite this, grocery delivery services have shown high retention rates, with only 7% of respondents reporting a decrease in spending over the past six months. Improved delivery speed and order accuracy increased spending for existing users.
The study also found that the partnership between Uber Technologies (NYSE:) and Instacart (NASDAQ:) has been successful, with 82% of online grocery users using Instacart to order from restaurants. , found that 38% of restaurant delivery users use Instacart. App.
“These results not only show positive results for CART, but also suggest that this partnership is accretive to UBER’s existing user base and therefore, in our view, an attractive It’s an acquisition candidate,” Oppenheimer said.
The investment bank raised its price targets for Uber and DoorDash shares to $95 from $90 and $160 from $145, respectively.
