Food delivery app continuance: a dual model and segmentation approach

Abstract

PurposeThe outbreak of the COVID-19 pandemic has led to the pervasiveness of food delivery apps (FDAs) and the increased scholars’ attention for the topic of FDA continuance usage intention. However, the limited understanding about possible segments of FDA users has hindered food retailers from providing FDAs with a personalized manner, which impairs the effectiveness of marketing strategies. Thus, this study aims to first explore key antecedents of users’ continuance intention toward FDAs and then segment and profile Taiwanese users based on the identified antecedents of FDA continuance intention and demographics.Design/methodology/approachAn online survey was implemented to collect responses from FDA users in Taiwan. With a response rate of 82.4%, the final sample of 326 respondents (average age = 28.3; female = 54.9%) was analyzed by using two techniques of structural equation modeling (SEM) and cluster analysis.FindingsThe results indicate six antecedents of users’ continuance usage intention towards FDAs, including information quality, system quality, information quality, perceived usefulness, perceived enjoyment and satisfaction. Additionally, three distinct clusters of FDA users are successfully identified, labeled as “value sensitive users”, “time-sensitive users” and “security sensitive users”.Originality/valueThis study is one of the pioneers that explores the possible segments in FDA market, which helps FDA providers and food retailers develop more focused and appropriate strategies to encourage users to continue using FDAs. Our findings contribute to building an optimized version of “FDA Tech” that becomes an omni-channel solution to serve the increased home-delivery needs in the new normal era.