An idea of an online food delivery service mobile app appealing to you? Is it your goal to make a good food delivery app? Do you want to be a part of a $300 billion business by 2025? Wait. As a food delivery firm or start-up, you must identify specific criteria such as the target audience and effective online food delivery app development processes and compare your concept to existing food delivery applications.
In the past few years, the market for on-demand apps has seen a significant increase in revenue and traction. When consumers couldn’t leave their houses and couldn’t go out to eat or buy food, the industry grew significantly in 2020. The online food business will produce more than $301,822 million in 2021 and continues to increase.
From 2022 to 2025, Statista projects the online food delivery sector’s income to rise by US$449.292 million globally and by US$45.352 million in the United States. In the United States, the online food delivery industry is anticipated to increase by 12.2 percent.
Finally, we propose that you evaluate your app concept with a competent food app development business. We have provided a complete food delivery app development guide for you that must be required to review before taking a step to establish a mobile food delivery app.
3 On-Demand Food Delivery Business Models You Should Be Aware Of
If you are interested in food delivery application development, you need to know three primary business models. Let’s look at these categories and learn about their advantages:
Model of Restaurant to Consumer
Through the Restaurant-to-Consumer Model, restaurants serve customers food on their premises. Several well-known fast-food outlets are examples of this model, such as Burger King and Domino’s. Several organizations implemented meal delivery via mobile applications and joined delivery platforms to modernize the procedure. They may also collaborate with meal delivery partners like DoorDash to avoid serving themself.
In the food-delivery revolution, Domino’s was a game-changer. A speech recognition system is employed among the most recent inventions from the firm to place orders. A smartphone app follows delivery progress and lets you know when it will arrive. Drone delivery automation is also being investigated.
Model of Aggregators
Technically, the Delivery service aggregation model is a part of the Platform consumer concept. Being separate is worthwhile. Under the aggregator model, the Platform operates as a mediator between the customer (user) and several local eateries.
Customers will receive support from the Platform if they have problems with their delivery or purchases from these hotels or restaurants. This Platform is charged an undisclosed sum of money for each successful transaction.
Some companies employing this approach are Delivery Hero, GrubHub, and JustEat. Further, several businesses have developed subscription-based models requiring customers to pay a monthly fee for additional services like home delivery or discounts.
Model Of Platform To Consumer
Some of the most extensive restaurant delivery services utilize Platform to Consumer models, including Uber Eats. This strategy incorporates all smaller restaurant alternatives and allows clients to purchase from them via the app platform. Restaurant partners maintain their courier fleet in this manner.
This strategy is more successful since platforms create revenues from consumers and restaurants by charging a predetermined amount of money to the other as a service charge. The model’s value proposition for restaurants is that they may place and process orders via an optimized mobile application or online Platform, which substitutes the old ordering approach via phone calls.
Food Delivery Apps: Core Features To Build For Your Business
If you are a food start-up, you should be familiar with the features of a good food delivery app and food discount apps. Let’s go over the stages needed to create a food delivery app:
App Module for the Customer
- Nearby Restaurants: It allows visitors to see all the best and closest restaurants based on their location. Customers may also look up the menu, pricing, and reviews before placing a meal order.
- Search Filter: Allow your app’s users to find cafés, restaurants, and bars based on location or cuisine. You may also tailor your search criteria to specific foods, places, favorite cuisines, and other online users’ tastes. It simplifies meal ordering.
- Order Placement: Customers may make orders for tasty meals from their favorite restaurants with only a few clicks. A customer can choose the meal they want to add to the cart before checking out. They can then proceed with placing the order finally.
- Tracking in real-time: Using the geolocation map, they can follow their meal orders. Customers may be confident that their items will be delivered thanks to Google Maps integration. Additionally, customers can determine how long it will take to arrive. This contributes to increased trust in the service.
- Integration of Payment Gateways: Integration with payment gateways enables consumers to pay online using credit/debit cards, internet banking, and other methods. To pay for the meal they want to purchase, Restaurants may receive cash by connecting payment channels such as PayPal, Stripe, and others.
App Module for Delivery Drivers
- Register or log in
Drivers can create accounts and log in using their cell phone numbers, Gmail accounts, and other social media sites. Sign-up should be an easy process for new members. The ability to log in should be straightforward for them.
- Profile Maintenance
Each driver’s profile can include their email address, telephone number, name, and contact information. A photo can also be uploaded to ensure that their identity is visible. Thus, a user has access to essential information about them no matter where they are.
- New order notification alert
This function will alert drivers when any placed by the buyer orders. If the drivers are not using the application at that time, they will be notified by the sound of the orders that have been placed.
- Easy To Manage Multiple Deliveries
Furthermore, drivers can react to various food delivery requests simultaneously. They will accept any order within a specific radius of another delivery location.
- Integration of GPS Maps
The delivery driver must take the most efficient and quickest route to the user’s location to deliver a last-minute delivery on time. This will also help him go to the proper delivery address in line with the customer’s desire.
Administration Dashboard Module
Performance evaluation: An admin oversees every activity taken by the delivery person or users of the food delivery app. The admin dashboard allows users to keep track of delivery timings, drivers, planned and canceled orders, and access driver information.
Order Request Management: Control everything from pick-ups to dispatch and order scheduling. This allows you to handle orders effortlessly and get them to your clients on time.
Stay Updates: Receive real-time updates and alerts about the driver or restaurant owner, such as when they update their profile, restaurant information, or hours of operation.
Administration of Payments and Commissions: Through this administrator interface, food delivery services and restaurants may set commission rates and payments for each food order.
Technical Requirements OF Best Food Delivery App To Beat The Marketplace
Reliable project infrastructure: A significant amount of time and effort will be required to create server-side applications for aggregators and new deliveries that include logistics.
Whenever the number of people using the service increases unexpectedly, the performance of servers and the hardware used by the network resources quota are affected, so it is necessary to:
Strong security measures
The security of the mobile application must be considered from the start. Sensitive information, such as contacts and payment data, should be securely saved and encrypted to prevent information leakage and exploitation of the app’s business logic, resulting in loss of reputation and confidence.
Elegant admin interface
The simpler your admin interface is, the more you can accomplish in a shorter amount of time. This can lead to you taking on more orders in less time, and faster order processing leads to higher customer satisfaction, which leads to more repeat customers.
Monitoring Financial and Technological Metrics
Every facet that creates money, including long-term activities, should be documented and tracked automatically in the database. This comprises the number of orders processed each day, the number of returned orders, restaurant refusals, and the average time for delivery, among other things. This can assist you in diagnosing, actively managing, and avoiding problems.
Detailed Documentation
Documentation is as essential as the on-demand food delivery app development. Identifying problems with the app becomes practically hard without appropriate documentation and Create thorough documentation and keep it up to date at all times.
How Much Does a Minimum Viable Food Delivery App Development Cost?
The application’s features determine the cost of food ordering app development. An average restaurant’s online ordering system will cost from $12000 to $25000 as part of an app to provide food. If you opt to buy a complex app that is also part of the restaurant’s online ordering procedure, the app’s developer will most likely cost you approximately US $40,000.
The cost of labor is an essential factor in determining development costs. Different countries and locations charge different rates for work. US and UK developers charge between $70 and $225 an hour for developing apps. For food delivery applications in Eastern Europe, prices range between $50 and $170 per hour.
Another thing to bear in mind is that creating an iOS app is somewhat less expensive than an Android app because android apps require extensive testing, which costs a lot of money.
Do you have an Idea?
Conclusion
Big businesses such as UberEats and Doordash may have dominated the online food delivery market. However, there are several chances for new or existing companies trying to get into the market and target specific audiences through their applications.
Suppose you’re in the process of creating a feature-rich food delivery app. In that case, it is critical to understand the food delivery industry you intend to target, the problems or issues you will face, and, lastly, your ultimate aim.