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March 13, 2021In recent years, on-demand food delivery industry has grown significantly all thanks to the evolution of mobile apps. Companies such as Grub hub, Uber eats, etc., are already providing quality online food delivery services to their customers. Therefore, in order to compete with these giants the first thing is to focus on Food Delivery App Development. In this blog, you will learn about the various features that your food delivery app should have. So without a further ado, let’s get started.
Food Delivery App Development Market Size and Stats
- The online food delivery industry is expected to grow from 16 billion USD in 2017 to 57 billion USD in 2022.
- 37% of customers spend at least 50 USD while ordering food online. This largely differs from the average 25 USD spent by people while eating at restaurants.
- Restaurants that do not offer online food delivery services are expected to lose more than 75% of their customers by 2021.
Types of Food delivery Mobile Apps
Before developing a food delivery app, you must understand the basic models which are dominating the market. Given below are the various types of food delivery apps:
1. Apps with Logistics Support
These types of apps provide delivery services with third-party logistics executives. Basically, the third-party logistics member picks up the food from the restaurant and delivers it to customer’s home. These apps have high potential as they are also ideal for small-scale businesses that don’t provide delivery services.
2. Dedicated Restaurants apps
In short, dedicated restaurant apps are an extension of your restaurant business. These kinds of apps are suitable for restaurants, which already have a delivery process. By launching a food delivery app, these restaurants can provide the best dishes to the customers at their doorstep. At the same, this will help the restaurants target a wider audience.
3. Aggregator food delivery Apps
These apps act as a link between customers and restaurants. The customer’s request from the app is forwarded to restaurants. The restaurant then prepares and delivers the ordered food to the customer’s home. The one thing that lacks in aggregator food delivery apps is that it does not contain a fixed delivery system. Therefore, this app is only suitable for large-scale businesses that have their delivery systems.
Check Out: 7 Major Challenges Faced by Food Delivery Apps
Revenue Model of food delivery apps
1. Commission
Charging commission fees is a common income source for many businesses as it helps in generating high revenue. The app owner charges a particular fee for every order placed on his/her app. This practice is followed by food panda, one of the leading food delivery companies.
2. Advertisements
Advertisements are probably one of the easiest and most reliable ways of generating income for app owners. They promote services of other restaurants on a particular section of the app for a particular cost.
3. Delivery charges
There are a large number of small restaurants that don’t provide delivery services. They generally hire delivery service companies and pay a handsome amount for their services. This monetization technique has benefited many businesses.
Challenges Faced by the Food delivery Business Owners
There are many challenges restaurant owners face while managing an online food delivery business. Let us take a look at some of them:
1. Cut-throat Competition
The competition in the food industry is getting intense each day. Anyone who is planning to start a business in this field can face a lot of competition. To stay ahead in the competition, you must provide your customers with features that other apps don’t offer.
2. Deciding the features
Another major challenge that business owners’ face is deciding what features should be integrated in the app. Having the right features not only helps in the efficient performance of the app, but also helps in staying ahead of the competition. Hence, before launching the actual app, a beta version of the app should be launched to analyze the customer behavior.
Key features of food delivery app
As we have already discussed that various food delivery business owners face difficulties while selecting the right features to integrate with their app. Therefore, given below are some of the key features one must integrate with their food delivery app:
1. Catering Management
With this feature, users can create a special type of platter that can be used to serve guests at a party. The order can be placed in two ways, either through a platter or setting a particular amount of budget for each person.
2. Customer Review
This is perhaps one of the most important features a food delivery app should have. This feature allows the customers to give reviews about food packaging, quality of food, the behavior of the delivery person, and much more. Reviews help business owners to analyze the behavior of their customers and how to prepare strategies according to that.
3. CMS Integration
Content Management System or CMS is a core feature of every mobile app. With the help of CMS, restaurants can manage the content on their app. It allows the restaurant owners to change various details of their businesses such as changing the address, prize menu, delivery charges, and much more.
4. Real-Time GPS Tracking
With Real-Time Gps Tracking, customers can track the status of their order. They can also check when the order was placed, how much far the delivery boy is from their place, and much more.
5. Book for others
This tool allows users to book an order for other people simply by putting their location and making payment in advance.
Conclusion
While getting a food delivery app developed, it is important to know what kind of market you want to target, what difficulties you will face and what strategies you will implement for that. A food delivery app must fit into the customer’s schedule, give free options, be user-friendly, and should work well for the restaurant owners. Therefore if you are planning to take your food delivery business online, the first thing to do is to hire an experienced Food Delivery App Development Company.
At Phontinent Technologies, we provide various On-Demand App Development Solutions to our clients based in USA, UAE, and India. We offer on-time delivery of projects at an affordable cost.
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