FINAL RESEARCH PROJECT SYNOPSIS

Name – Ravi Raj Rana 094/2018

Mentor – Prof Smita Sharma

1.0 TITLE: Impact of Online Food Ordering Applications on Traditional Food Industry in India

2.0 INTRODUCTION

2.1 BACKGROUND - About the online food service industry

With the boom in digital industry across the globe, it’s had its impact on the Indian economy too.
The online food ordering firms have sprouted up in bulk. India's rising middle class has driven
the growth of the online food delivery sector, with research firm RedSeer Consulting saying
order numbers rose 176% in 2018. Key highlights are:
 The industry is dominated by local start-ups Swiggy, backed by Naspers and Tencent, and
Zomato, which counts Sequoia as an investor.
 Uber Technologies launched its India food delivery service UberEats in 2017 .
 Uber rival Ola also launched a food delivery service and bought Foodpanda in 2017.
 Amazon.com Inc is planning a foray into the burgeoning online food delivery business in
India this year
Indian online food delivery market is currently exhibiting robust growth. Five years ago, there
were only a handful of online food aggregators. Today, the industry is a behemoth that ferries 80
million orders each month in over 500 cities. In all, food aggregators like Zomato, Swiggy, and
Uber Eats deploy over 400,000 delivery boys and girls daily on the ground in the country. The
growth of the online food delivery market in the India has been primarily driven by:

 Increasing disposable incomes, urbanization and changing consumer lifestyles.

 Increasing penetration of internet and smartphones have further facilitated the growth of the
market.
 In addition, growing participation of Indian women in the workforce has also increased the
preference for prepared meals and a large young population has expanded the customer base.

The two biggest players in the Indian online food delivery market are Swiggy and Zomato. Other
major players include Food Panda, Uber Eats, Dominos, etc. The online food delivery market is
mainly concentrated in the urban regions of the country with Bangalore, Delhi and Mumbai
currently representing the three largest markets.
2.2 IMPORTANCE AND PURPOSE OF STUDY

Ordering food online is convenient and restaurants gain from the extra visibility. But who is
raking in the profits? Five years into the food delivery boom, many restaurants have now come
to the conclusion that they are losing more than they gain. The biggest irritant is the steep
discounting game which has started to hurt margins. Restaurants—both big and small—say they
are increasingly finding themselves being coerced into accepting terms and conditions
favourable to online aggregators. These include:
 Funding a large part of the discounts
 Using only the aggregators’ fleet to fulfil delivery
 Drastic reduction in meal preparation time
 Complete non-transparency over how in-app recommendations work and what restaurants
can do to get recommended more often.

Moreover, aggregators have now also entered into other businesses such as opening up of dark
kitchens (which only prepare food for delivery) or owned-food brands, apart from exclusively
serving cuisines that are favoured among diners in particular areas of a city where demand for
such food is high—which is, again, seen as a direct threat to restaurant chains.
For decades, India’s restaurant business was largely built on dine-in as well as deliveries in the
neighbourhood, but a surge in smartphone penetration and cheap mobile data plans has helped
fuel access to food ordering apps. Backed by some of the world’s largest venture funds, Zomato,
Swiggy, and Uber Eats have disrupted the market. Over 90% of India’s organized food services
market is dine-in, with delivery now at 8% (estimated sales of ₹12,140 crore), according to a
2019 food service report compiled by the NRAI. Food aggregators have, in a sense, emerged at
 an opportune moment. But over time, as online food orders have started to surge, what was
supposed to be a symbiotic relationship between the two booming sectors is turning sour.
This study will help evaluate the impact of online food service apps on conventional restaurant
business in India

2.3 RELEVANCE OF STUDY & APPLICABILITY OF RESULTS

2.4 REVIEW OF LITERATURE

3.0 OBJECTIVES OF THE STUDY

4.0 HYPOTHESIS
5.0 RESEARCH METHODOLOGY
6.0 REFERENCES

7.0 Advancements in mobile technology are rapidly

8.0 changing the nature of learning by allowing exible and
9.0 instance access to rich digital content. Mobile learning
10.0 (m-learning and further mobile learning apps) can also
11.0 Advancements in mobile technology are rapidly
12.0 changing the nature of learning by allowing exible and
13.0 instance access to rich digital content. Mobile learning
14.0 (m-learning and further mobile learning apps) can also

The study, titled 'Digital Platforms Reign in the Food Ordering Market', said the growth in
online food ordering market has been attributed to the rising number of women in working
population in most of the metro cities.
According to the study, 95 per cent of the respondents surveyed order food online, owing to
promotional offers and discounts, while 84 per cent individuals said its hassle-free and time-
saving.

It added that 78 per cent of the individuals order food online because its convenient. And 73
per cent order food online because of a wide variety of cuisines on a single-click.
Bengaluru gets the highest number of online orders as compared to other cities with 20 per
cent of the market share acquired by the southern city, the report said.
It is followed by Mumbai, Pune, Delhi and Hyderabad with a share of 18 per cent, 17 per
cent, 15 per cent and 12 per cent, respectively, while other cities accounted for 18 per cent of
the market share.

The National Restaurant Association of India (NRAI) Tuesday said it has raised concerns
over deep discounting and data masking by food ordering and delivery firms such as Swiggy,
Zomato and Foodpanda.

The restaurants' body said it flagged issues regarding misuse of dominant position, in a
meeting with the app-based food ordering and delivery firms.

Impact of Online Food Services on Restaurant Business in India

The format of home delivery or the takeaways have gained a lot more customers in locations
such as malls, offices and big-party orders for residential complexes. People missing
breakfast on the way to work, order-in. People who desire a better choice of corporate lunch
or party, order in too. Everyone seems to be in awe of the online food order and delivery
option for the convenience and immediate source of food at home.
The changing urban lifestyle of the average Indian is dramatic enough to be favourable for
the food-on-the–go and quick home delivery models to grow at higher rates. The ever-
increasing population crowded metro cities and longer travel times are drivers for the
convenient, ready-to eat and cheaper options of having food and groceries delivered at your
doorstep.
 1.3 SIGNIFICANCE OF THE STUDY
 This study will help to understand the reasons for growth in the online education
Industry. About 33 percent of college students are taking at least one course online,
according to a survey by the Babson Survey Research Group. Online Education
industry is expected to grow to USD 1.96 billion over the next 5 years.
 This industry has a lot of potential so this study will help us to understand the factors
that a student takes into consideration while selecting any app for his/her studies.
 It will also help us to understand the opportunities that are present for the new players
and the role of Big Data and AI in the growth of this sector.

1.4 OBJECTIVES
 To understand the impact of online education on coaching institutes.
 To determine the scope of online education in India in future. (AI, Big Data)
 To understand the impact of online learning activities on learning outcomes of
students.
 To understand the perception and attitude towards the online education apps.
 To understand the factors which a student takes into consideration before selecting
any online learning app.

15.0 LITERATURE REVIEW

YEAR INFERENCE
2018 The Disruptive Power of Online Education by Desiree Wieser, Jürgen-Matthias
Seeler

1) The cognitive and constructivist approach towards learning, the facilitation of

a whole programme through a blended, cohort-based format, the deployment of
and commitment to the Learning management System (LMS) in use, as well as
the embedding of collaborative learning in online education in combination with
a strong faculty commitment can be referred as key pillars and at the same time
as
major strengths of the study programme.

2015

Mobile applications’ impact on student performance and satisfaction by Maha

Alqanhtani and Heba Mohammad
1) Perceived usefulness, Content quality, Ease of use of application, Layout
design enhances the m-learners’ performance.
2) Perceived usefulness contributes the most in selecting any application for
further use.

2012 Efficiency of Online vs. Offline Learning: A Comparison of Inputs and

Outcomes by shweta singh and Tina C. Mims
1) As preference for online learning increases, mostly due to the convenience
and flexibility it offers students, universities find themselves increasing the
number of online format courses to meet the growing demand.
2) The results indicate a difference between online versus offline formats when
considering the number of hours students spend studying as an indicator of
student performance.

16.0 RESEARCH METHODOLOGY

Initially, Secondary Research was undertaken to understand Online Education Industry and
the reasons behind its growth. Research Papers from various journals were referred in this
 regard. Through this project we will try to expand our understanding of what factors
determines the customer’s decision for Online Courses in India. The thorough study of
research papers will help in drafting the questionnaire for students. It also helped me to
understand the problem at hand in a better manner and paved way for primary market
research.
After drafting the questionnaire, primary research will be undertaken.
RESEARCH DESIGN
Exploratory research design as well as Descriptive research design will be used in this study.
For getting more in-depth knowledge about online education Industry, secondary research
was undertaken (Exploratory). Further secondary research will be undertaken to understand
the scope in future. For getting descriptive analysis of the problem at hand, conclusive
research will be done.
RESEARCH INSTRUMENT
For getting insights from students and to quantify the results, a structured questionnaire will
be used. The questions will revolve around on factors which are considered important before
going for online education, the challenges which are being faced by them while learning
online etc.

SAMPLING PROCESS

Convenience sampling will be done to choose the students.

SAMPLE SIZE

Sample size will be calculated after preparing the questionnaire. Since factor analysis will be
used in this study therefore the minimum no. of sample size depends on the no.of variables
that will be used in the questionnaire.

17.0 REFERENCES

Singh, S.S., Rylander, D., & Mims, T.C. (2012). “Efficiency of Online vs. Offline Learning:
A Comparison of Inputs and Outcomes”, International Journal of Business, Humanities and
Technology, Vol. 2 No. 1 pp. 93 – 98
Desiree Wieser, Jürgen-Matthias Seeler, (2018), Online, Not Distance Education: The Merits
of Collaborative Learning in Online Education, in Andreas Altmann, Bernd Ebersberger,
Claudia Mössenlechner, Desiree Wieser (ed.) The Disruptive Power of Online Education,
pp.125 – 146