Market Size for Food app in 2026 [Example]
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1. Total Addressable Market (TAM)
High-level market for your niche.
Your audience is a part of this community.
Money
Annual spendings
$150 billion
People
Annual customer base
1.2 billion
Calculations
Step-by-step logic
The global food app market is a rapidly growing sector driven by convenience and changing consumer habits. With over 1.2 billion people estimated to use mobile apps related to dining, delivery, and food discovery, the total available market (TAM) accounts for a projected annual expenditure of $150 billion, factoring in subscriptions and delivery fees across various apps worldwide.
This number incorporates all potential users, ranging from casual diners to full-time food enthusiasts, thus illustrating the overall size of the market to which your food app can appeal.
2. Serviceable Addressable Market (SAM)
The portion of your TAM that you can realistically reach.
These people are your potential customers.
Money
Annual spendings
$30 billion
People
Annual customer base
250 million
Calculations
Step-by-step logic
The serviceable addressable market (SAM) focuses on users who actively seek food-related apps within specific demographics and areas where digital penetration is strong. Assuming 20% of the TAM corresponds to individuals who are actively engaging with food apps on a regular basis, we derive a SAM of approximately 250 million potential app users.
With average annual spending expected at around $120 per user on food delivery services and related subscriptions, the serviceable market size reaches around $30 billion, recognizing the realistic reach of your product given geographic and competitive constraints.
3. Serviceable Obtainable Market (SOM)
The portion of SAM that you can realistically capture.
These people are your customers.
Money
Annual spendings
$3 million
People
Annual customer base
25,000
Calculations
Step-by-step logic
The serviceable obtainable market (SOM) narrows down to what can be realistically captured in the first year of business. Aiming for around 0.01% of the SAM, which translates to approximately 25,000 users, seems attainable through targeted marketing efforts, user engagement, and effective acquisition strategies.
If each user spends on average $120 over the year, the annual revenue for your food app in its first year could realistically be projected at $3 million, establishing a grounded target for your initial business performance.
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