Lycopene is a desired ingredient in food formulations, yet its beneficial effects on human health remain largely underexploited due to its poor chemical stability and bioavailability. Oil-in-water emulsions may offer multiple advantages for the incorporation and delivery of this carotenoid species. Engineering and processing aspects for the development of emulsion-based delivery systems are of paramount importance for maintaining the structural integrity of lycopene. The selection of emulsifiers, pH, temperature, oil phase, particle size, homogenization conditions and presence of other antioxidants are major determinants for enhancing lycopene stability and delivery from a food emulsion. Process and formulation optimization of the delivery system is product-specific and should be tailored accordingly. Further research is required to better understand the underlying mechanisms of lycopene absorption by the human digestive system.