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A Comprehensive Guide On Why You Should Build On-demand Delivery App in 2023

A Comprehensive Guide On Why You Should Build On-demand Delivery App in 2023

With the advancement in modern-day, cutting-edge technologies, the scope and the growth of on-demand delivery apps have skyrocketed. With the emergence of such apps, various industry verticals are automating their services to facilitate growth. We have already witnessed the emergence of on-demand apps for services like groceries, ready-to-eat meals, cab services, home maintenance, and utility-based services, among others.

To put matters into perspective, the food delivery market alone is expected to reach $320 billion by 2029 (BusinessofApps). This highlights the scale of on-demand delivery apps in our daily lives and their scope of growth in the years to come.

So, let’s dive deeper into on-demand delivery app services and everything around it.

What is an on-demand delivery app?

We all have a smartphone or a gadget that is accessible to us 24x7. Now, check your phone to find out if you have any apps from the categories mentioned below -

  • Ready-to-eat meals delivery apps, i.e., Grubhub, Uber eats, DoorDash, etc.
  • Instant riding or cab services, i.e., Uber, Lyft, Easy Taxi, etc.
  • On-demand grocery delivery apps, i.e., Instacart, Walmart, FreshDirect, etc.
  • On-demand home services apps, i.e., Mr. Right, Task Rabbit, Thumbtack, etc.

There can be various other domains that are not listed here. So, if you find any app from the above category or anything similar, you’re already utilizing an on-demand delivery app. It is now quite clear that such apps help users access several need-based services whenever and wherever they want.

On-demand delivery apps: Types

Like any other utility-based mobile applications, even on-demand delivery apps can be divided into a few broad categories -

Business to Consumer (B2C)

This is one of the essential categories of on-demand delivery apps. This particular category includes delivery services directly to the consumers or ends users by charging them some fee or service charges. For example - delivering ready-to-eat meals to consumers by linking consumers through different food outlets around the city.

Some of the game-changing on-demand delivery apps based on business to consumer category are -

  • Easy Taxi
  • Uber Eats
  • Task Rabbit

According to “Grand View Research,” the B2C market was valued at around $3.67 trillion in 2020, and the market is expected to grow at a rate of CAGR 9.7% between 2021 and 2028. With such huge potential in B2C, it makes sense to create an on-demand delivery app for the B2C market.

Business to Business (B2B)

Business-to-business, in short, connects businesses based on the general economic principle of demand and supply. But with the rise of modern cutting-edge technologies, the B2B on-demand delivery apps have also taken a huge turn.

Some of the notable B2B on-demand delivery apps are as follows -

  • Bolt
  • Metro wholesale
  • Walmart wholesale

According to Forrester's estimation - B2B marketplaces are projected to cross $1.8 trillion by 2023, accounting for 17% of all B2B sales. The market is ready for new ideas and businesses, now is the time to hop in to enjoy the unlimited possibilities.

Consumer to Consumer (C2C)

Consumer-to-consumer can also be called person-to-person (P2P) on-demand delivery apps. On-demand delivery apps under the P2P category provide a sense of security and are quite celebrated among consumers.

Some of the big names under this category are as follows -

  • Local Guddy
  • Glocalzone

Though smaller in scale in comparison to B2B and B2C, C2C still has immense potential and business opportunities. Thus, if you are willing to dive into this segment of on-demand delivery apps, this is a great time to be in.

On-demand delivery apps: Benefits

As you are now familiar with on-demand delivery service apps, let us take you through some of the benefits of these apps.

Ease of access

On-demand delivery apps are built using optimized frameworks to serve their customers. Therefore, these apps tend to have simple and interactive UI/UX. This helps the consumer of that service as well as the business. So, it’s definitely a win-win situation for both parties.

Numerous add-on features

On-demand delivery apps provide various additional features that help end users consume those services in the most efficient way possible. For example - multiple payment gateway systems decrease the need to pay hard cash.

Cost optimization

Since on-demand delivery services are based on cutting-edge technologies with minimal human interventions, there is a considerable cost cut in different processes. This is achieved by reducing the recurring expenses through the optimized placement of warehouses and utilizing the power of digital applications to reduce the complexities of human resources This, in turn, helps in optimizing the cost and resources.

Business growth opportunities

Massive popularity drives user traffic, ultimately expanding your user base and boosting revenue. With on-demand delivery apps becoming a person's need, business growth opportunities will continue to soar in the years to come. Therefore, if you have an idea, this could be the right time to start with an on-demand delivery app.

On-demand delivery apps: Cost

There is still no such way in which you can directly predict the cost of any application, and on-demand delivery apps are no exception to that. However, there are various factors or metrics based on which we can surely get a closer estimation -

  • Type of the application (domain)
  • What features do you want in it?
  • Cross-platform compatibility
  • Add-on services

Suppose you want to build an on-demand delivery app in the ready-to-eat food delivery domain. Then the cost approximation could be around - $70k to $150k initially. Note: this is just an approximation based on data from various sources like LinkedIn and not the exact data.

How to build your own on-demand delivery apps?

In the 21st century, there are different ways to build an on-demand delivery app, and yes, you do not need coding skills.

Hire app developers with Turing.com

Turing.com provides the world’s best developers of silicon valley caliber who can work for you to turn your on-demand delivery app idea into a reality. Turing’s AI-based Intelligent Talent Cloud system helps in matching the right developer for your requirement. Sign up today and build your dream team within 3-5 days!

Utilize app builders

There's no need to worry if you have a limited budget and do not possess any coding skills. Numerous app builders are available over the internet to help you shape your ideas into reality. Some of the prominent ones include:

  • Appery.io
  • Fliplet
  • Zoho Creator
  • Swiftic
  • GoodBarber

Therefore, just be ready with your requirements and let the app builder do all the work.

Hire freelancers

Hiring a freelancer would be great if you are looking for an independent consultant to guide you through your idea concerning feasibility, development process, design patterns, scope, etc.

Outsource development

Outsourcing development can be an efficient way to build your own on-demand delivery app, especially if you have a limited budget. You just need to find what suits you better while keeping in mind - cost, tech stack, and type of on-demand delivery app, among other factors. This can help you clearly understand what you need to do and how.

On-demand delivery apps: Features

There is no shortage of features you can add to your on-demand delivery apps. Mostly, adding features should depend on these factors -

  • Type of on-demand delivery app
  • Budget constraints
  • Tech stack you are opting for
  • Type of approach for building the app

Thus, you can choose what components you want in your on-demand delivery app after clearly considering all these aspects.

Let’s quickly go through some of the must-have features for an on-demand delivery app -

  1. Multiple payment gateway systems
  2. Registration feature
  3. Search option
  4. Cart and checkout system
  5. Rating and reviews
  6. Push notifications

Closing notes

We now know that there is potentially a huge growth margin with the on-demand delivery apps both in terms of business opportunities and increasing consumer base. We have recommended most of the solutions and metrics in this article based on which you can turn your idea into reality.

Therefore, you should start planning now if you want to get a head start. Depending on your cost analysis, you may consider hiring and choosing what suits you best. In addition to that, do not forget to check the future scope and growth rate of the domain you are going for. For example, the future growth and scope of food delivery apps is excellent.

Now, to develop such an application, you must be looking for a skilled team of app developers. If you think about going for independent developers or building a team of app developers, sign up at Turing. Here, you get access to the world’s best software developers through a seamless process. Join today and start your 14-day risk-free trial period now!

Author

  • Content Writer - Turing.com

    Abhishek

    Abhishek is a Geek by day and Batman by night. He loves to talk about Data, and his passion encircles around Trekking, Hitch Hiking, Gardening, and analyzing Ancient Indian Texts. His geeky stuff got highlighted at Microsoft, Code Project, C-sharp Corner, etc.

Frequently Asked Questions

An on-demand delivery app is a customized application that empowers customers to purchase a product or service and get it delivered right to their doorstep. The massive digital proliferation and ease of online access have made on-demand delivery apps a runaway success.

The different types of on-demand apps in high demand in 2022 are food delivery apps, transportation booking apps, general home utility services, and medicine delivery apps, among others.

While the cost of building an on-demand delivery app might vary based on the complexity, features, and developers’ locations, the average cost of building an on-demand delivery app ranges between $50k - $90k.

On-demand means the availability of products or services based on the customized demands of the customers. It is a highly convenient model of delivery that has simplified the procurement process for the end users

The market for on-demand delivery apps has grown tremendously in recent years owing to numerous factors, such as ease of access and better digital connectivity. It is the future of businesses, and thus it is highly logical to invest in an on-demand development project in 2022.

On-demand apps provide access to a bigger pool of service providers for customers. These on-demand apps provide doorstep delivery services in different verticals per the demand. The orders and the logistics are processed within the app to ensure the streamlined delivery of services.

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