The food delivery market in Saudi Arabia was estimated to be worth US $10 billion in 2023 and is expected to grow to US $14.9 billion by 2028 growing at a 8.1% compound annual growth rate. The meal delivery segment drives the lion’s share of the market at 88% in 2023 but it has been losing share to the grocery delivery segment driven by new entrants and changing grocery consumer habits.
The Future of Food Delivery in Saudi Arabia
The KSA food delivery market, worth US $10 billion in 2023, is expected to hit $14.9 billion by 2028, with food-delivery startups playing a central role in driving that growth, capitalizing on shifting consumer needs. These startups snagged 45% of the $600 million raised by KSA's Foodtech sector, marking a transformative shift in dining experiences and highlighting their pivotal role in Saudi Arabia's evolving food landscape.