The outbreak of the coronavirus pandemic has shaken the economy of all the countries. Businesses of all kinds have borne the worst hit because of the pandemic. An increase in losses, lower profits, and the slump in business were at the lowest in decades.
The fear of the virus forced the public to remain inside their homes for safety. The people only stepped outside if necessary. This fear of the people forced and motivated them to download the on-demand grocery Apps to get to fulfil their basic grocery requirements.
March 2020 has seen a massive increase in the downloads of on-demand apps. Whether it is popular apps like Grofers and BigBasket or the local and regional apps, there has been an approx 200% increase in the number of downloads in the month.
If we keep the pandemic aside, the on-demand grocery apps are still very important for us. Apps like Grocery, and BigBasket, have seen such success in the digital market, that the superstores like DMart and Reliance Fresh are also trying to get into the space.
The reason that such stores are trying to create an online presence is that more and more people are choosing the apps over the stores. Whether it’s packed grocery goods or other edible items, grocery apps cover everything.
Getting an On-Demand Grocery App for your business is beneficial too as you don’t have to maintain a separate store, you can keep all your products in the warehouse itself and deliver them according to the order made.
After grocery, toiletries, cleaning supplies, and kitchen supplies come next. All these supplies are also available on all the on-demand apps.
Grofers is very popular among buyers because of its efficient search feature. The search feature can help in finding the desired and related products to the product searched.
It not only saves time, but it is also very easy and convenient as you get all your supplies delivered to your doorstep. No crowded stores, no travel hassles, or no time wastage, shop at the moment or save it to purchase later.
How Does The On-Demand Grocery Delivery App Earn Money?
According to surveys, grocery apps earn up to $25 billion per year. The market is ever going and is expected to provide an earning of approx $28 billion by 2023.
If you are still not attracted to getting an on-demand grocery app for your business, then maybe these sources of income for such apps can change your mind about it.
The main source of income for all the on-demand grocery apps is the delivery fees. Such apps charge a little extra for delivering the products, which in turn becomes an important source of earning for such apps.
They add a delivery fee to every single order to earn more money. This is the reason that they earn even after providing the products at a lower cost than the market.
Even if you can not provide the products at discounts, charging a little more for the delivery services can get you a stable and proper income for your business. You can get the delivery prices calculated according to the location and quantity of the order.
The commission is another common source of income for the on-demand grocery apps.
If you are planning to create an on-demand grocery app for your business, firstly you should decide on the local stores that you want to include in your app.
The big apps charge a commission ob the local stores to include their products on the app. You can also charge a commission on the orders placed by the users for the products of such local stores.
Another way to tear is by charging a monthly price for the app in the local stores.
Another way to earn through the on-demand Grocery App is through advertising. Ads are a very common and convenient way to way earn movies whether it is for the grocery app or any other app.
You can provide the screen to other apps or websites for promotion through your app. This can be a win-win for the promoter client as well as you. You can charge some price for the advertisement on your platform.
You can attract more customers to yours as well as the promoter apps by providing offers and discount coupon codes.
Why should you Get an On-Demand Grocery App for your Business?
RedSeer, an advisory firm, stated that according to the estimates of the professionals, the on-demand grocery apps will grow many folds in the near future and anchor the fresh supplies market.
It suggested that apart from the fresh supplies market, the apps will also take over the market of frozen meat and provide the meat supplies to all the households.
If fast supplies are improved, the freshness of the product delivered will enable the suppliers to get more customers for their business and earn even more.
The market for fresh groceries and frozen meat is highly unorganised as the prices and quality of the products are quite different from each other.
In future, the apps can provide a categorised supply of such products and earn. The online market is expected to swing between $140 and $430 million.
Grofers is a startup of a Gurgaon based developer which has been expected to have a total income through the net sales of $300M in 2019, according to ecommerceDB.
Another popular on-demand grocery app, BigBasket, is a Bangalore-based startup of 5 developers and the company was later purchased by Aditya Birla Group.
The company has annual sales of more than $443 million, which is the highest in the country among all the other grocery apps.
While BigBasket is one of the most commonly used apps for all brands under the Fast Moving Consumer Goods (FMCG) chain, Grofers attracts consumers in the staples section. The report of RedSeer should that only these two apps share more than 80% of customers all over the country.
Types of Best Grocery Apps
The inventory model platform manages the delivery, inventory keeping, and orders for the local and other brands which can be stocked in your house or a small rental warehouse.
Such apps app may also have a chain of outlets all over the country according to your budget and services. The best example of the inventory model app is D-Mart, which has seen enormous growth during the pandemic and lockdown.
The aggregator is an online platform through which you can venture with the local stores as well as the superstores and collect the orders for the customers.
The user can place an order for the product through any store nearby. Such apps divert the order request to the store and the store manages to procure the product orders and your delivery agent will make the drop at the doorstep of the customers.
The burden of storage and inventory gets scattered on the local stores and there is no need to maintain one or more warehouses. The best example of an aggregator is Amazon and Flipkart.
Under the marketplace, you can add the vendors like an aggregator but the customer does not have the option to select the seller. The customer just orders the product and it is your responsibility to procure and provide the product asked.
The owners of such platforms perform the function of shipment. BigBasket was initially started on a similar model but it changed after being sold to Aditya Birla Group.
Essential Features of an On-Demand Grocery Delivery App
Before you decide to get a grocery delivery app, you should know the essential features that should be present in an on-demand Grocery Delivery App. You should try to include all the features in your grocery app.
- Top-of-the-line navigation from page to page
- Outstanding UI/Ux for better navigation and the best looks
- Login and Signup features
- Profile setup for the shareholders
- Best connectivity with the maps and location
- Categories, filter and voice search
- Search bar
- Connectivity with all the payment gateways
- GPS tracking
- Assistance Bot
Customer – Mobile App
- Sign up
- Sign in
- Shop by category
- Add/Remove items to the cart
- Browse by best sellers
- Browse by brand
- Filter the items
- Online payment
- Apply coupons
- Track orders
- Previous orders
Administrator – Web App
- Manage stores
- Manage orders
- Manage delivery locations
- Manage payments
- Manage reviews
- Analytics & Reports
How to Choose the Technology Stack?
Choosing the best and perfect technology stack for the app is very important and crucial for developing any kind of grocery delivery app whether it is based on the aggregator, inventory model or marketplace.
Before deciding on the stack, you will have to keep in mind the future growth you want to achieve and how you wish to maintain the created platform. You can choose from the following options for getting a platform developed:
Application for Smartphone
There are numerous platforms through which you can create a grocery app but firstly you should decide the type of app. You will have to choose the platform according to the type of app you want, whether you want a hybrid app or a native app.
For Hybrid mobile app development, you can use Flutter and for the native one, you can use React Native for development.
Development of Web Application
To create an app for the web, you can choose between Angular or React for the frontend.
There are numerous options to get a backend development however, PHP and NodeJs are always preferred for the job. You should only use an experienced and informed developer for the PHP or NodeJs for backend development.
To create a database for the platform, you can use MySQL or MongoDB.
3rd Party Services
You should get 3rd party services for the day-to-day and problem-solving operations like:
- SMS: Twilio
- Email: Sendgrid
- Location Tracking: Google Map
- Push Notification: Firebase
If you have an idea for an on-demand grocery delivery app and want to get it online, you can contact the professional developers at SAG IPL.
We have a team of experienced developers that can help you in creating an online presence for your Online Grocery Delivery App. We have pre-created frameworks and sample models for the on-demand grocery delivery apps.
You can make your dreams come true easily and accurately. Our team will create an effective and user-friendly app for your business. Share your idea with us and we will help you in every way possible.
If you want to get in touch with our developers’ team or schedule a meeting, contact SAG IPL at 0141-4072000 or [email protected] You can also Whatsapp us on +91 7023472073. We are happy to help you.