Singapore’s food delivery industry has seen rapid growth, driven by accelerating urbanisation, changing consumer preferences and technological advancements. With on-demand food services becoming a way of life, the industry is shifting toward faster, more efficient and tech-driven solutions.
As more consumers opt for convenience over dining out, F&B businesses must rethink their operational models to stay competitive. From AI-driven personalisation to cloud kitchens and sustainable packaging, the future of food delivery is shaping a new era for restaurants, virtual brands and food entrepreneurs.
Market growth and consumer trends
Singapore’s online food delivery market is booming. In 2023, it was valued at approximately USD 621.78 million and is expected to reach USD 965.56 million by 2030, growing at a CAGR of 8.33%.
Several key factors are driving this growth:
1. Rise of food delivery apps
Platforms like GrabFood, Foodpanda, and Deliveroo have made ordering food easier than ever.
2. Consumer preference for convenience
A study by Deliveroo found that 60% of Singaporeans order food delivery at least once a week.
3. Increase in virtual brands & cloud kitchens
More restaurants are shifting to delivery-only models to cut rental costs and scale faster.
Demand for speed
Consumers now expect 30-minute deliveries, pushing restaurants to optimise kitchen operations.
Shifting consumer trends
Additionally, consumer behaviour is shifting. Studies found that:
- Burgers and milk tea are the most popular delivery items as reported by GrabFood in its 2025 food trends round-up.
- 38% of consumers are influenced by food photography when ordering according to the 2024 Restaurant and Alcohol Online Trends report.
- Eco-conscious dining is rising, with many opting for restaurants using sustainable packaging as shared in 15 Food and Beverage Industry Trends in Singapore by FHA HoReCa,
With such trends shaping the industry, F&B brands must adapt quickly to capture the growing market.
How technology is reshaping food delivery
Tech innovations are driving efficiency and improving the customer experience in Singapore’s food delivery industry.
1. AI-powered personalisation
Food delivery apps now use AI-driven algorithms to recommend dishes based on user preferences, previous orders, and time of day. This increases order frequency and enhances customer satisfaction.
2. Robotics & automation in kitchens
Some restaurants and cloud kitchens implement robotic chefs and automated food prep systems to ensure speed, consistency, and cost efficiency.
3. Sustainability & green deliveries
The push for eco-friendly packaging and carbon-neutral deliveries is stronger than ever. Companies are investing in:
- Biodegradable packaging
- Electric delivery bikes & drones
- Reusable containers
4. Expansion of quick-commerce
Beyond restaurant meals, food delivery services now cater to groceries, pharmaceuticals, and daily essentials – all delivered in under 30 minutes.
Why Ghost kitchens are the future
One of the most significant trends shaping the future of food delivery is the rise of ghost kitchens, also known as cloud kitchens or virtual kitchens.
What are ghost kitchens?
A ghost kitchen is a delivery-only kitchen with no dine-in space, designed to serve online food orders efficiently. These kitchens reduce rental costs, streamline operations, and allow restaurants to focus on delivery fulfilment.
Benefits of ghost kitchens for F&B brands:
- Lower overhead costs – No need for expensive dine-in spaces.
- Faster market expansion – Scale quickly without multiple physical locations.
- Better efficiency – Focus purely on delivery operations.
- Higher profit margins – Reduce staff and operational expenses.
How SmartCity Kitchens helps restaurants thrive
As Singapore’s food delivery landscape evolves, cloud kitchens offer a future-proof solution for F&B brands looking to scale delivery operations efficiently.
SmartCity Kitchens provides state-of-the-art cloud kitchen facilities designed for delivery-first restaurants. Our kitchens help businesses:
- Expand without high rental costs
- Reach more customers through top food delivery platforms
- Optimise kitchen efficiency with tech-driven solutions
- Reduce operational risks with a fully managed space
Whether you are an established restaurant or launching a virtual brand, SmartCity Kitchens empowers you to succeed in Singapore’s growing food delivery market. Get in touch with us today!
