With the rise in eCommerce and the growing digital dependency amongst people, delivery applications are one of the most lucrative business opportunities. One of the main reasons why a delivery app has so much potential for success is because it reaches out to many different niches.
Trends in the food delivery sector show that it is expected to grow at an annual rate of 7.5%, leading to a market volume of about $164 million by 2024. Creating a delivery app can therefore be a shocking decision.
There are many types of delivery applications, and online delivery services have grown because of the need for quick courier and transport services. Many big and small businesses also rely on third-party delivery applications for their operations.
Businesses have also leveraged developing delivery applications as they have helped enterprises improve their services, make procedures seamless, and increase their overall revenue.
How do Delivery Applications work?
The range of on-demand delivery applications can be vast, ranging from food items, clothing items and other essential and non-essential items. A delivery app that uses an on-demand mechanism allows clients to order and deliver goods from their desired locations.
Most delivery service applications have a display dashboard that helps them follow a specific path. They can pick the item they want to deliver, then select the GPS location to where they want it delivered. After following this simple procedure, they must wait until the estimated time.
This procedure is similar to ride-sharing applications, since they follow the exact mechanism. Delivery applications can be instrumental tools for businesses when they want to facilitate their clients. They are intuitive, user-friendly, and are very convenient.
Using online delivery applications, customers can receive products at their doorstep without commuting to the delivery store.
Different Types of Delivery Applications
As mentioned before, there are multiple delivery application models, each offering different products and services. Below are some of the main types of delivery apps that are dominating the eCommerce sector.
Food Delivery Apps
The Covid pandemic has accelerated the demand for food delivery applications. Today, most people make dinner plans by looking up their favorite restaurants on these applications. Food delivery apps allow you to place an order, track it on the GPS map, and receive the food through a delivery guy.
Restaurants usually sign up with delivery companies running the delivery app and pay them commission for each order. Food delivery apps that offer services to customers and restaurants are seeing a massive boom.
Food delivery apps and platforms leveraged consumers’ value for online food delivery services. Along with customers, restaurants also benefit from the utility of food delivery applications.
Many online companies are bringing in a major profit from the thriving food delivery industry. However, the food delivery industry is highly competitive. Regardless of the market competition, on-demand food delivery services can be very profitable due to the increased customer base.
Cannabis Delivery Apps
The cannabis industry is expanding into different states as its use in medicine loosens. This opens up business opportunities regarding delivery applications and services. There is an eclectic range of cannabis products in the market and a diverse group of regular consumers.
Many cannabis companies and retail stores use delivery apps to send their products directly to customers. Consumers of such products prefer this option when purchasing cannabis products because it keeps them from going to dispensaries.
Healthcare Delivery Apps
Delivery apps do not only have to encompass products, but they can also offer essential services. For instance, patients suffering from injuries or conditions that impair them from frequent doctor visits can rely on healthcare delivery apps for treatment in the comfort of their homes. Treatment via delivery can mean emergency service and prescribed medicine delivery right at your doorsteps.
Transportation Delivery Apps
Delivery applications have singlehandedly made transportation easy. Ride-sharing applications allow individuals to commute from one place to another without walking to the nearest bus stop. Delivering transport services through an application platform means that you can request your pick-up and drop-off destination. After that, you have to wait for the platform to pick you up and drop you off to your preferred destination.
Car Rental Delivery Apps
You can also find car rental services on delivery apps. These applications allow users to rent a car without physically travelling to rental assistance. Users can pick the vehicle they want to rent and select the real-time location feature to drive off from where they want to begin.
How much does it cost to build a delivery app?
When it comes to the cost of delivery applications, it largely varies on the type of product and service you are providing. It will also change the components you need to take your delivery business online.
Secondly, costs for delivery applications will also increase depending on the features you need to integrate. Finally, it is also important to note that each solution you offer will come with a cost.
Taking your delivery business online requires you to build a comprehensive technology suite. A complete interface requires a customer application. This is a platform where your customer can easily navigate different instructions and make a booking in the shortest amount of time.
Another aspect of an all-encompassing application for delivery is the delivery agent. In this element, the delivery agents that use your application can find it easy to cater to the needs of customers. A good delivery agent process instantly notifies each agent of customer demands.
The app can also optimize the routes available for each delivery agent. Overall, the features for a delivery agent allows them to complete their delivery duties smoothly, quickly, and without any confusion and complications.
The dispatcher panel is another feature of a delivery application that is important. You can also refer to this as the vendor panel, which is the shareable dashboard your vendors and partners can see. It can increase collaboration and pave the way for seamless work.
Along with the dispatcher panel, you also have the admin panel. In this dashboard, you can look over all the activities on the delivery application. You can also manage all aspects of the delivery business from the admin panel.
Calculating Delivery App Cost
The cost for developing a delivery app equals the time it takes for the app to complete, along with the hourly development rate you have agreed to. When building a customized delivery application, you need to hire a team of developers.
Moreover, if you want to build a delivery application that offers a range of features and requires different expertise, the cost will go up since you will have to hire a bigger team. Building a delivery app with more functionality will also take longer to build, which will further drive up the cost due to the hourly development rate.
However, hiring different developers to work on your delivery application can increase the cost of development. Therefore, people who want to build a delivery application rely on ready-to-build engines that allow you to customize everything according to your needs.
For such solutions, you can use different licensing plans and sign up with them on a payment basis. These cost-effective solutions can be an excellent opportunity to create a delivery application quickly and provide a solution with all the standard delivery features.
Most Common Delivery App Features
Some features are standard and critical to a delivery application, and the list of features you integrate into your app can affect the success and cost of your application. Features such as auto-location detection, menu viewing platform, and setting drop-off location are instrumental for customers.
These features allow customers to view their favorite restaurants and glance over their menus. It also allows them to add their orders and set their location on the map for delivery agents to follow.
The delivery agent application and the vendor panel dashboard will each consist of different features that optimize functionality for specific users. Real-time tracking is also a feature that is critical for the credibility of a delivery application.
With real-time tracking, users can track delivery agents and see how long it will take to receive their service. Besides these standard features, a delivery application should also unique features to help it stand out from the competition.
The advanced features of a delivery application can be covid-specific. For instance, contactless deliveries are an option that many delivery companies are implementing. This feature mitigates the risk of spreading a virus through deliveries.
Moreover, delivery applications can also integrate similar features, such as an alert for positive cases. Other features, including reviewing and verifying driver profiles, can help build a consumer’s trust in the application.
Should I Create A Delivery Mobile App Or Web App?
You have the option to either create a delivery mobile application or a web application. A web application and a mobile application both have different qualities and advantages.
If you have a mobile delivery app, users will have to download it through an app store. Since they can use the app on their phone, the food delivery application will be able to access the database and hardware of the phone if you allow it.
A mobile application for your delivery service can put you at a massive advantage, thanks to the overwhelming number of people who use a phone worldwide. On the other hand, web applications run on your browser and are single-page.
There is also a hybrid choice, which means your delivery app can be available as mobile and web apps. Overall, it is much more likely for consumers to use their mobile to access delivery services since they can allow the application to access their current location through GPS.
How to Make Money from a Delivery App
Building a delivery app can be a good option if you want to make money. Today, the traditional brick-and-mortar retail store is becoming outdated. Online solutions are a more lucrative option, and the on-demand delivery applications are becoming irreplaceable.
The revenue generation model includes delivery charges. You can also receive advertising revenue for displaying banners and discounts if you work with different businesses. Businesses often pay delivery applications for their promotion on their platforms. In return for their promotion, the application can increase their sales.
Once the sales increase through the delivery application, you can further earn through commission charges. So you can charge a percentage of the amount a user pays for their order. Commission charges are a significant source of revenue for delivery applications. These commission rates are often pre-defined and can vary according to the order size.
Find a Delivery App Design & Development Partner
Suppose you want to start a successful delivery business. In that case, you need to find your niche, pick a design according to your service, and partner with effective delivery services to develop your interface and get it running.
A good development partner will lay down the framework for your delivery app, whether it involves food delivery, essentials, laundry, healthcare, cannabis products, or more. They will also help you create an interactive and responsive customer and delivery agent apps.
How To Market Your Delivery App?
Are you launching a delivery app? You must know how to market it correctly. If you do not sell your application correctly, you may not get a single download. You must first build a high-functioning app for any marketing strategy to work. Moreover, your delivery application should serve a large market base and effectively solve their problems.
Marketing can require investment, and you will have to invest your time and money to get more people to use your delivery app. With good strategy and implementation, your marketing can be very impactful.
One of the many ways to market your delivery app is by using an online influencer to review your app. Building a good relationship with an influencer can define your application’s success trajectory.
As you can see, a delivery application can be a great way to kick-start your business in the digital world.
It can help you leverage many different ideas and enter into various other industries. Overall, a delivery app can open up your options and allow you to collaborate with businesses from multiple sectors.
Angelo Frisina is a highly experienced author and digital marketing expert with over two decades of experience in the field. He specializes in web design, app development, SEO, and blockchain technologies.
Angelo’s extensive knowledge of these areas has led to the creation of several numerous award winning websites and mobile applications, as well as the implementation of effective digital marketing strategies for a wide range of clients.
Angelo is also a respected consultant, sharing his insights and expertise through various podcasts and online digital marketing resources.
With a passion for staying up-to-date with the latest trends and developments in the digital world, Angelo is a valuable asset to any organization looking to stay ahead in the digital landscape.