Meal delivery has become one of the most popular subscription services in the market. HelloFresh, the global leader in meal delivery kits, declared yearly revenues of €1.3 billion, which is a 41% increase from 2017. The U.S market alone is expected to reach over $4 billion by 2020. People are certainly enjoying their meal delivery.
But that’s not the question. As much as people are turning to meal delivery as opposed to traditional grocery shopping, are meal delivery kits actually saving individuals and family money? We can use very simple statistics to break it down.
Canadians spend more on food than any other weekly expense. On average, a Canadian household spends $119/week on store-bought groceries. That’s about $6,176 per year. If you combine eating out with groceries, the average four-person household will spend $11,948.
The closest approximate value for what Canadians are spending on meal delivery is $10/meal per person. If we extrapolate that cost with the average four-person family, it adds up to $280/week. Extending that out to the year, the cost rises to $14,560.
If you speak to anyone who frequently uses meal delivery services, they’ll tell you that the biggest thing they’re saving is time. The time it takes to grocery shop, think of a meal, and prepare that dish shrinks significantly with these delivery kits. All of the ingredients (in most cases) are provided and most meals take no more than thirty minutes.
There’s also the experiential aspect of meal delivery. Discovering new dishes to enjoy yourself or share with your family is another reason these services have become so popular. And since these boxes come equipped with the exact amount of ingredients needed, there’s less food wasted after meals. That also means there are no leftovers, which is a factor in how much you end up spending per week.
One thing to keep in mind is that most meal delivery services in Canada put you on long term subscriptions. You’ll need to know when the introductory price ends and the real cost kicks in, and when those payments come out of your account. Products, like Butter, can help you manage subscription costs.
Here’s a comparison of the top meal delivery services in Canada:
Lowest weekly cost for 2 people - $144.34
Monthly cost for 4 people - $288.68
Lowest weekly cost for 2 people - $164.50
Monthly cost for 4 people - $329
Lowest weekly cost for 2 people - $125.86
Monthly cost for 4 people - $251.72
* Cost based on receiving food 7 days/week. Check each website for actual prices.