How to Make On-Demand Delivery App: Features, Cost, and Monetization?

The world is going mobile and we can find apps for every on-demand need, ranging from automobiles to groceries to fashion to food. Mobile apps help people with a variety of features, letting them do their daily work effortlessly.  A lot of on-demand delivery apps are making our lives easier and more comfortable. Today’s on-demand delivery apps allow you to order anything from car to grocery to food to your doorsteps in no time.  Also, these apps offer you top-notch services without compromising on quality.  

Important Features of the On-Demand Delivery App 

On-demand delivery apps have a lot to offer to business owners, here are a few features that every on–demand app has to offer:   From the driver app to the customer app to the admin console, you will get everything to run a successful online business.  

Features of Customer App

• Registration: Customers can easily log in from the app with their email id or social media accounts.  
• Real-time tracking: Customers will be able to keep track of their deliveries in real-time. 
• Payment gateway integration: A great comfort to the customers, where they can easily pay for the order.  
• Reviews & Ratings: Customers can easily share their experiences from the app.  
•  Push notification: Send notification to the users for any new offers and new products.   

Features of Driver App  

• Service details: Let your drivers get the customers’ details from the driver app.
• Accept & reject request: Drivers have the freedom to accept and reject orders from the app.  
• Earning tracker: Help your drivers to maintain their finances with the earning tracker from the app. 

Features of Admin Console

• Real-time analytics: View and manage insights of the customers and driver from a single dashboard. 
• Manage driver’s logbook: Manage incentives, commissions, penalties, and earnings of the driver from a single dashboard.
• Efficient user management: Manage all the activities of the users from payment to discounts. 

Which Businesses Need an On-Demand Delivery App?

From food to grocery to healthcare to cab to gifts to home services to logistics, almost every business needs an on-demand delivery app.  

Here are a few examples: 

Cab Services 

The last decade has witnessed a massive growth in the cab service. Booking a nearby cab using GPS and map navigation has become a new normal. Moreover, users can always share their experiences from the customer app.  

Food and Grocery Delivery  

Due to the Covid pandemic, a greater number of people have started ordering food and grocery online due to which these on-demand delivery apps have become competitive.  Today, the world needs more of these apps that can deliver food and groceries to people’s doorsteps. 

Healthcare 

Medical apps and on–demand doctors are in enormous demand as it saves time for both patients as well as doctors.  These apps let patients communicate with doctors on mobile devices anywhere and anytime. The best part about these on-demand apps is that patients can access the services 24/7 from any doctor.  

 Flowers and Gifts 

Gift and flower shops can take their business online by building an on-demand delivery app for their customers. The best part is that customers can order flowers or gifts from the app just by sitting home and surprise their loved ones. Moreover, these delivery apps also allow users to schedule the delivery time.  

On-Demand Delivery App Industries Breakdown 

On-demand apps can be classified into three categories:

1. P2P (Person to Person)

In person to person, a consumer usually needs a product or service from another, who are using the same app, for example, DoorDash, Deliveroo, Uber Eats, etc.   

2. E2P (Enterprise to Person)

In this case, brands build their own on-demand app to deliver their products to the consumers and users have to download the app to order the product, for example, Starbucks, Dominos, Pizza Hut, Chipotle, etc.  

3. E2E (Enterprise to Enterprise)

E2E on-demand apps keep the businesses on the same page. Many businesses depend on smaller businesses to run efficiently and successfully so they need an app for them to run the business smoothly. These apps are made for service providers, suppliers, etc.  

How to build an on-demand delivery app? 

Creating an app alone is not going to work, you need to build an ecosystem that works for everyone.  And, when we talk about an ecosystem, it consists of three parts, which are customer app, driver app, and admin panel.   

1. Customer app lets the users go through the menu and make orders from an Android or an iOS app. 
2. Driver app informs the drivers about new orders. They can see the order status and delivery address from an Android or an iOS app. 
3. Admin panel lets the owner manage the entire ecosystem from a single dashboard. 

How much does it cost to create an on-demand delivery app? 

First of all, the on-demand delivery app budget consists of many things. For example, MVP (Minimum Viable Product), product development, marketing, partnership, tech support, and client support.   Let’s look deeper: 

1. Team Size & Place of Development 

Basically, the team consists of a project manager, UX/UI designers, Android and iOS developers, backend developers, and QA testers.   Depending on your budget, you can hire more designers and developers to speed up the process to create a delivery app.  Moreover, you also need a marketing expert to market your product into the market.   Now, if we talk about the place of development, the price again varies from place to place. So you have to figure it out according to your needs. 

2. Features 

How do you stand out from your competitors? Well, features play an important in making the app better. Every customer needs an easy-to-use app with the most features in it.  So if you want to stand out, make sure you have the maximum features for your customers.  From customer app to driver app to the admin panel, you need to give the best experience to your customers, drivers, and the admin panel respectively.  

3. Marketing 

Let’s assume you have hired the best developers and designers and now you have the best product in the town. What if your product remains unknown and hides under the crowd? Of course, your entire efforts will go in vain.   That is where marketing comes into place. You need to figure out your budget and see what works for your app.   In the end, it all comes down to which country your app is being developed, your marketing cost, and features that would decide the cost of the app development.  

Ways to Monetize your on-demand delivery apps 

Well, you are building an on-demand app and of course, you want to make it profitable soon. There are a lot of ways to monetize your on-demand app.  

• Store fee 

As you have an online delivery app, charging a fee from store owners for listing on your app can be one of the ways to monetize your business.   Another way to monetize your on-demand business is that you can charge for every order from the stores.   

• Ads 

One of the most common strategies to earn from your app is to run an ad for restaurants and getting paid. In this case, restaurants will pay to rank higher on the search results of your app.   

• Peak hours 

You can take advantage of this model and charge high from customers. During peak hours like night and rainy days, you can get higher revenue for your business.  

Conclusion  

It is 2021 and it’s time to launch your own on-demand delivery app. The online delivery market is growing at a rapid pace and the world still needs these apps to make a difference in the world.  But there are a few challenges that would come your way. You need a huge investment in the beginning because you need a minimum of 3 apps as discussed above.  One more challenge is attracting new customers and retaining them. The online delivery business can only sustain itself if there are a large number of orders and drivers are ready to deliver orders.   Eventually, if you are all set to tackle these challenges, you are on your way to make your startup profitable.

And, if we talk about the app development cost, it will cost you between $50k to $100k, which can be a huge investment when it comes to a startup or any other person wanting to start their own delivery app business. Customization of app will cost you even more and you definitely want to look for a valid solution.

We, at JumpGrowth, offer affordable, user-friendly & white label delivery app solution. Our solution is branded and changed according to your needs. Our plans are very inexpensive and we charge just $5000 for one time branding setup and from there just $150k per month for upkeep and server management.