International Journal of Management, Technology And Engineering ISSN NO : 2249-7455

POPULARITY OF ONLINE FOOD ORDERING AND DELIVERY SERVICES- A

COMPARATIVE STUDY BETWEEN ZOMATO, SWIGGY AND UBER EATS IN
LUDHIANA
Ashish Raina 1, Varinder Singh Rana 2, Dr. Arun Singh Thakur 3
1
Research Scholar & Assistant Professor, Faculty of Hospitality, GNA University, Phagwara (Punjab)
2
Dean, Faculty of Hospitality, GNA University, Phagwara (Punjab)
3
Assistant Professor, UIHMT, Panjab University, Chandigarh

ABSTRACT

Developments in technology and reliance on internet has pitched a new pathway for
marketing through mobile applications. According to worldwidewebsize.com the internet
holds 15- 50 billion active websites. These websites and applications have outdated many
traditional ways of marketing and selling products. A combination of marketing intelligence
and technology has reached to the development of mobile applications which use internet as a
medium to advertise products as well as services. Customers as well as business houses now
a days have a contemporary perception of products and services available in the market.
Marketing strategies are based on online marketing which suits demands of today’s
customers. Keeping in view the online services this paper aims to study the perception of
customers ordering food through online food delivery apps viz. Zomato, Swiggy and Uber
eats in Ludhiana. The research is focused on the people who already use above mentioned
food delivery apps. A survey was conducted for purposeful analysis to study various
attributes of all three applications to conclude that which amongst the three applications is
having the best overall satisfaction with customers of online food ordering customers in
Ludhiana.

Key words: Online food delivery, Zomato, Swiggy, Uber eats, Customer satisfaction

INTRODUCTION

Service sector in India is dependent on the Hospitality industry as it has emerged as one of
the main industry in India in 21st century. The needs and desires of the people has been taken
care by hospitality industry over the time (Prajogo & Sohal, 2006). It is very frequent to find
customer loyalty and customer satisfaction as prime aspects in the hospitality industry which
indeed are dependent on the products and services supplied by the company meeting the
expectations of the customers. According to Boston Consulting group in 2015 the food

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market in India was around 23 trillion Indian rupees and it is expected to reach 42 lakh crores
by 2020. Technology is playing its key role in revolutionizing the food service delivery
experiences. Dependency of technology has led customers to use online food delivery options
to customize their meals with their preferences and get them reach their doorsteps with few
clicks on mobile devices. Online food delivery services provide aids in terms of convenience,
saving time and effort for the customers which is enough reasons to get used to these
services. An increase in the food delivery services available to the customers and services
offered have resulted in an increase in terms of customer expectations from these service
services. The services are convenient enough to search for restaurants with desired cuisines.
Entire menu remains displayed on the app service and the customer can choose from the
menu with a click of a button. These app services differ in terms of features offered and
customer values systems.This research paper aims to study analyze the views of the
customers using Zomato, Swiggy and uber eats in Ludhiana.

Zomato:- Zomato was started by Deepinder Goyal and Pankaj Chaddah in year 2008 from
India. It is a restaurant search and discovery service providing restaurant locations and menus
to the customers along with images of the food dishes and reviews given by previous
customers. Initially the services were started under the name Foodiebay and in November
2010 the name was changed to Zomato as the brand name of the company. Zomato has
reached heights of success and is operational in 24 countries around the globe.

Swiggy:- Nandan Reddy, Rahul Jaimini and Sriharsha Majety from Bangalore have started
are the founders of the food delivery company Swiggy. Company was started in 2014 and is
operated by Bundl Technologies Private Limited having a valuation of $1.3 billion and its
total funding around is $465.5 million.

Uber Eats on the other hand is an American online food delivery service based in San
Francisco, California. Uber has diversified as a food ordering and delivery service under the
name stylized as UberEATS in the year 2014.

A study on the relevant literature has been described below followed by the survey and its
results. Finding and conclusions of the responses from the customers in the specified location
are also shown in the paper.

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LITERATURE REVIEW

Serhat Murat Alagoz & Haluk Hekimoglu (2012) determined a noticeable growth in e-
commerce with a substantial speed worldwide, similarly food industry has been noticed to
grow by the time. Researchers have used Technology Acceptance Model (TAM) model to
study the online food ordering system. Ease and usefulness of the online ordering and
delivery services has been emphasized as a major factor towards the acceptance and growth
of these services.

Varsha Chavan et al. (2015) in their studies aimed to gauge the impact smart device based
interface on business management and service delivery have concluded them as a supporting
factor for restaurants in taking orders and delivering foods with more convenience. Authors
have stated online services as more convenient, user friendly and most effective tools for
food businesses.

Ansar Z. & Jain S. (2016) specified the growth in the ecommerce industry as prime factor
for the success of online food ordering and delivery services. Research has mentioned that
more than 400 food delivery apps are nurturing in India with a funding of about $120 million
from venture capital firms and other such investors. Considering the fact that a minimum 3
meals are consumed by each individual in a day the food industry is called as a repetitive
business industry which attracts the interest of investors and entrepreneurs towards this
growing business segment.

H.S. Sethu & Bhavya Saini (2016) have wonderfully investigated the perception, behaviour
and satisfaction of students towards online food ordering and delivery services. The study
emphasized the online food ordering and delivery services helping students in time
management and having their favourite food at any time of the day. Researchers have also
revealed that easy access to internet as one of the supporting factor to the use of such services
by the students.

Leong Wai Hong (2016) in his studies has published the online food ordering and delivery
services as an efficient system to improve productivity and profitability of restaurants
through online marketing and business strategies.

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OBJECTIVE
To study the customer satisfaction amongst the people ordering food from Zomato, Swiggy
and Uber eats in Ludhiana city.

SCOPE OF THE STUDY

The study aims to gauze the customer reviews and satisfaction towards the available online
food ordering and delivery services in Ludhiana. The study further compares various aspects
of the three available food delivery services in the area. Based on these factors the findings of
the study can help service providers meet customer expectations in a better way. On the other
hand new customers of the online food ordering and delivery services can choose best out of
all available options in their residential location. Therefore findings from the study can be
helpful for residents as well as service providers in Ludhiana.

RESEARCH METHODOLOGY

Primary data which is the base of this study was collected in the form of questionnaires filled
by random customers of online food ordering and delivery services from Ludhiana.
Qualitative research was applied to observe the collected data with the help of computational,
statistical & mathematical techniques. Out of 250 circulated questionnaires 161 complete
responses were collected from the respondents from the research area. Considering
homogeneity and the small size of population, all subsets of the frame are given an equal
probability and non-probability sampling (convivence sampling) method was adopted in
respondent selection and data collection. Target population was a mix of students, business
men, government employees with different age groups and educational qualifications.

LIMITATIONS OF THE STUDY

A sample size of 162 respondents is enough to gauze the reviews and satisfaction of
customers living in Ludhiana but keeping in view social and cultural variations amongst the
population, the results of the study cannot be generalized to each and every past of Ludhiana
or its adjacent locations.

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DATA ANALYSIS AND ELUCIDATIONS

Characteristics Online food Percentage from Total number of

ordering Total respondents
consumers respondents

Gender
Male 96 59.3 162
Female 66 40.7 162
Age in years
15-20 25 15.4 162
20-25 80 49.4 162
25-30 3 1.9 162
30-35 31 19.1 162
Above 35 23 14.2 162
Educational qualifications
Post Graduate 47 29.0 162
Graduate 94 58.0 162
School Going 15 9.3 162

Others(uneducated) 6 3.7 162

Profession
Students 74 45.7 162
Home makers 43 26.5 162
Government officials 7 4.3 162
Working in 38 23.5 162
private/Business owners
Marital Status
Married 86 53.7 162
Unmarried 75 45.7 162
Other (single parent) 1 0.60 162

Most Active Service

150

100

50

0
Swiggy Uber Eats Zomato
1 2 3

Figure 1.1

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Elucidation 1.1

Figure 1 interprets that the customers of the online food ordering services have chosen
Zomato as most active app in Ludhiana. Out of 162 respondents 29 have voted Swiggy, 18
have chosen Uber eats and 115 have witnessed Zomato as most active online food delivery
service in Ludhiana.

Service availing maximum offers

150

100

50

0
Swiggy Uber Eats Zomato
1 2 3

Figure 1.2

Elucidation 1.2

In the opinion of respondents in Ludhiana Zomato offers maximum promotional offers in the
form of discount coupons to its customers as 115 respondents have clicked Zomato, 29 have
chosen Swiggy and only 18 respondents have selected Uber eats as maximum discounts
offering food ordering service.

Staff Professionalism
120
100
80
60
40
20
0
Swiggy Uber Eats Zomato
1 2 3

Figure 1.3

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Customer Support
120
100
80
60
40
20
0
Swiggy Uber Eats Zomato
1 2 3

Figure 1.4

Elucidation 1.3 & 1.4

Figures 1.3 and 1.4 witnesses the opinion of respondents according to which the employees
including delivery staff as well as customer support agents of Zomato maintain high
standards of professionalism followed by Swiggy and Uber eats. Out of total 162 respondents
106 have put their opinion to Zomato, 38 to Swiggy and 18 to Uber eats in terms of courtesy
and professionalism in different locations of Ludhiana.

Packaging Material
120
100
80
60
40
20
0
Swiggy Uber Eats Zomato
1 2 3

Figure 1.5

Elucidation 1.5

The quality of the packaging materials has also been reported best for Zomato as compared to
Swiggy and Uber eats in Ludhiana. A total of 98 respondents have expressed the quality of
packaging materials used by Zomato as better over Swiggy and Uber eats whereas 42
customers have preferred Swiggy and 22 have chosen Uber eats for the packaging materials
quality.

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Overall Satisfaction
120
100
80
60
40
20
0
Swiggy Uber Eats Zomato
1 2 3

Figure 1.6

Elucidation 1.6

While gauzing overall satisfaction in the customers of online food ordering and delivery
services total 113 respondents from Ludhiana have expressed their trust in Zomato, 31 in
Swiggy and 18 respondents have picked Uber eats as their preferred food ordering service.
Thus, Zomato has been found as most popular service among the customers in terms of
overall satisfaction among the three surveyed services.

FINDINGS

 Zomato is the most preferred online food ordering & delivery service over Swiggy
and Uber eats in Ludhiana.
 Swiggy stands second after Zomato in the opinion of the online food ordering services
in Ludhiana.

CONCLUSION

On the basis of responses from the customers of online food ordering services in this
particular research, it is concluded that Zomato is the most successful food ordering online
service in Ludhiana. Customers have reported Zomato as most active online food delivery
service availing maximum promotional offers in terms of discounts, with courteous and
professional delivery staff as well as supportive customer care. Respondents have also chosen
Zomato for providing best packaging materials and overall customer satisfaction over Swiggy
and Uber eats in Ludhiana.

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REFERENCES

1. Ansar Z. & Jain S. (2016). Food Services –The Growth Engine “Do you have an
appetite”. International Journal of Management and Social research Review, 1 (3),
185
2. H.S. Sethu & Bhavya Saini (2016), “Customer Perception and Satisfaction on
Ordering Food via Internet, a Case on Foodzoned.Com, in Manipal”, Proceedings of
the Seventh Asia-Pacific Conference on Global Business, Economics, Finance and
Social Sciences (AP16Malaysia Conference) ISBN: 978-1-943579-81-5. Kuala
Lumpur, Malaysia. 15-17, July 2016. Paper ID: KL631
3. Leong Wai Hong (2016), “Food Ordering System Using Mobile Phone”, A report
submitted to BIS (Hons) Information Systems Engineering. Faculty of Information
and Communication Technology (Perak Campus), UTAR.
4. Prajogo, D.I. & Sohal, A.S. (2006) 'The relationship between organization strategy,
total quality management (TQM), and organization performance––the mediating role
of TQM', European Journal of Operational Research, vol. 168, no. 1,pp. 35-50.
5. Serhat Murat Alagoz & Haluk Hekimoglu (2012), “A study on TAM: Analysis of
customer attitudes in online food”, Procedia -Social and Behavioral Sciences 62 (
2012) pp. 1138 –1143
6. Varsha Chavan, Priya Jadhav, Snehal Korade and Priyanka Teli (2015),
“Implementing Customizable Online Food Ordering System Using Web Based
Application”, International Journal of Innovative Science, Engineering &
Technology, Vol 2 Issue 4, April 2015.

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