U.S. Food Delivery Apps See Slower Growth in 2025

A Cooling Market

After years of explosive pandemic-era expansion, the U.S. food delivery market is showing signs of fatigue. In 2025, growth has slowed to 3% year-over-year, compared to double-digit increases in 2020–2022, according to Bloomberg.

Platforms like DoorDash and Uber Eats still dominate, but rising delivery fees, regulatory crackdowns, and consumer frustration are changing the economics of a sector once seen as unstoppable.

The Numbers: From Boom to Plateau

U.S. food delivery sales projected at $152B in 2025, up from $147B in 2024 (Statista).
Growth slowed to 3.4%, compared to 14% in 2022 and 8% in 2023 (CNBC).
DoorDash holds 65% U.S. market share, Uber Eats 25%, Grubhub 8% (WSJ).
Average delivery order value rose to $41.50 in 2025, up 7% year-over-year.
Delivery fees now average $5.99 per order, with service fees adding another 10–15% (NYT).

DoorDash: Still the Leader, But Facing Pressure

DoorDash remains the market leader, but its momentum is slowing.

Q1 2025 revenue reached $3.2B, up just 2% year-over-year (Financial Times).
The company introduced a tiered subscription model, charging $14.99/month for premium benefits.
Delivery drivers (Dashers) are pressing for higher pay, with average earnings at $19 per active hour in 2025 (Washington Post).

While still profitable, DoorDash is facing consumer fatigue as fees climb.

Uber Eats: Diversification Push

Uber Eats is diversifying to sustain growth.

Food delivery revenue grew 4% in 2025, compared to 18% in 2022 (CNBC).
Expansion into grocery and retail delivery now accounts for 22% of Uber Eats sales.
Strategic partnerships with chains like McDonald’s and Starbucks remain critical.

However, analysts warn Uber Eats risks overextension in a cooling market.

Consumer Pushback: Too Many Fees

Rising fees are the biggest driver of consumer frustration.

A Morning Consult survey found 61% of U.S. consumers believe delivery apps are “too expensive.”
Nearly 30% of app users reduced delivery frequency in 2025 due to higher fees (NYT).
Delivery apps now cost 25–35% more than dine-in or pickup, according to WSJ.

Some restaurants are encouraging direct online orders to avoid high commission rates charged by apps.

Restaurants Push Back Too

Restaurants are also voicing frustration.

Apps charge commissions of 15–30% per order, squeezing already thin margins (National Restaurant Association).
In 2024, 41% of independent operators considered leaving platforms due to costs (Eater).
Some cities, including New York and San Francisco, have introduced caps on delivery fees to protect restaurants (Reuters).

This tension has sparked lawsuits and regulatory scrutiny nationwide.

Regulatory and Legal Pressures

The Federal Trade Commission (FTC) is investigating deceptive fee structures.
New York City’s permanent 15% delivery fee cap remains in legal battles with DoorDash and Uber Eats (NYT).
California regulators are weighing new rules requiring transparency in driver pay (Los Angeles Times).

The regulatory environment could reshape the economics of the sector.

Growth Areas: Grocery, AI, and Drones

Despite challenges, delivery apps are betting on new revenue streams.

Instacart leads grocery delivery, valued at $30B, but Uber Eats and DoorDash are expanding aggressively.
AI-driven personalization increased order frequency by 12% in pilot tests (TechCrunch).
Drone delivery trials in Texas and California cut delivery times to under 10 minutes (CNBC).

These innovations may revive growth, but profitability remains uncertain.

The Future of Food Delivery Economics

Analysts suggest delivery will remain a staple of U.S. dining, but at a slower growth trajectory.

By 2030, the U.S. delivery market is forecast to hit $200B, with compound annual growth of just 4% (Statista).
The sector must navigate rising consumer resistance, regulatory limits, and restaurant partnerships.
As Financial Times puts it: “The days of explosive delivery growth are over; the challenge now is making the model sustainable.”

Conclusion: The Boom Years Fade

Food delivery apps transformed how Americans eat, but in 2025 the sector is entering a new, tougher phase. With growth slowing, fees rising, and regulators circling, companies like DoorDash and Uber Eats must adapt or risk losing momentum.

For diners, the future of food delivery may mean fewer discounts, higher costs, and more limited options. For restaurants, it’s a reminder that convenience comes with a price tag.