Grocery Delivery App Development- Complete Handbook For Your Startups
Lokesh Kumar
May 06, 2024
Grocery delivery is the new normal, and multiple households are utilizing it for their needs. But have you noticed that traditional grocery shopping has been totally replaced by online shopping? The whole credit goes to the grocery app development that has transformed multiple businesses into modern ones.
Some readers might question whether there are already mu
ltiple grocery shopping apps, so there is no need for more. Yes, innovative grocery apps are still needed to make grocery shopping more convenient.
For example, there are very limited grocery apps that work on voice-based technology. This is just one example; you can do more with grocery delivery mobile app development. You only need an idea. If you are wondering how to develop a grocery app for business, we have created an article for you.
It will work as a complete guide for you. So, are you ready for an ultimate recipe for your next grocery app for business?
Okay, let’s start with some real-time stats to understand the grocery delivery market.
Grocery Delivery App Development- Understanding The Market
Grocery shopping habits are the same, but the medium has changed. It didn’t happen overnight. Online grocery shopping surged after the pandemic, and now it is normal for people to order groceries just by sitting on the couch.
Let’s read some stats to understand the grocery delivery market, trends, and online grocery shopping behavior.
- The grocery delivery market is forecasted to reach US $1,381 bn by 2029, and the number of grocery delivery app users is expected to be 2,466.0m.
- The expected compound annual growth rate (CAGR) for 2024-2029 is 12.03%.
- Retail delivery is on the top($1095 billion-2029) among other segments of the grocery delivery market.
- In the USA, 65% of millennials buy groceries online.
- Maximum users prefer online grocery delivery apps due to fast delivery, time-saving, and convenience.
- The grocery delivery market is rapidly growing because of the easy availability of online grocery delivery services.
- An increasing number of smartphones help grocery delivery business owners to target a wide range of audiences.
All these statistics portray the big picture of the grocery delivery market. Suppose you want to start a grocery delivery startup. In that case, it is the right time, and with the help of an experienced grocery delivery app development company, you can launch your app for business.
The Types of Grocery Delivery Apps
When developing a grocery app for a startup, it is best to know the key types of online grocery ordering apps. If you are new to this segment, this will give you an idea of what kind of app you can develop. These types also represent the business model. So, let’s have a look at what these are.
#1. Aggregator Grocery Delivery App
Following the aggregator business model, these types of apps have tie-ups with different grocery stores in and around nearby locations and offer a broad range of products on a single platform. The users can purchase and order products from some of the best stores using a single app instead of roaming around from corner to corner. Once the customer confirms and pays for the purchase, the concerned store or delivery team delivers the groceries to the customer’s doorstep. Apps like Shipt are one of the best examples of aggregator grocery delivery apps.
#2. Multi-Vendor Marketplace App
The multi-vendor marketplace app works like a platform where vendors meet customers or vice-versa. Here, vendors can promote their products, list their products, run discount campaigns, and more.
The grocery ecommerce marketplace apps look similar to the aggregator apps, but their functionality is different. For example, you need your delivery team to deliver the stuff to customers’ places, as Amazon does.
#3. Grocery Chain App
Grocery chain app development allows you to expand your business as much as you can. Here, from listing the products to delivering them to customers, everything will happen by your own team. It gives you freedom to set up brick-and-mortar grocery stores with online grocery delivery facilities across cities or different locations, as apps like Walmart do.
#4. Single Store Grocery Delivery App
Are you looking to transform your brick-and-mortar business online? The best idea is white-label grocery delivery app development. You can develop a fantastic app for a single store that could help you grow your business and boost revenue.
Now, you have much information about grocery app development, from market stats to the types of grocery apps. So, it is time to know how to develop a grocery delivery app. But wait. Are you aware of what features to consider for your next app?
Let’s continue with the blog!
Essential Features of a Grocery Delivery App
Features are essential when the focus is on providing the best user experience. Do you know what makes top grocery apps popular? It's their features. A feature-rich grocery app will automatically help extend your business.
So, let's start with the table of features.
All these mentioned features are standard, and you can find similar features in most grocery apps. But, if you want to make your grocery app development investment worthwhile, then it would be best to include some advanced features as follows:
- Voice-Based Ordering- allows users to create a grocery shopping list and order it via a single voice command.
- Personalized Recommendations- AI & ML-based product recommendation features will help you create high-grade customer satisfaction.
- AR-VR Shopping- it will allow your users to shop for grocery products with an in-store experience virtually.
- Scheduled Delivery Slots- These will help customers get their groceries delivered hassle-free at the desired time.
- Quick Reordering- it can be in two ways: subscription-based or order-history-based to reorder the products.
- Hyperlocal Delivery- customers can choose products online from their nearby stores and get them delivered quickly.
Steps to Develop a Grocery Delivery App for Business
For developing a perfect grocery delivery app, the development approach plays a crucial role. The steps to build a grocery app are as follows:
#.1 Market Research
The first step is to identify your target market and audiences. Here, you need to find out how the grocery delivery market is performing, what trends are in, what is out-of-scope, and what the existing needs of the customers are so an app can solve them.
#2. Competitor Research
To survive in the competitive landscape of the grocery delivery market, it is important to research competitors. The best way to do this is to study their business model, explore their app's features, find out their USPs, and, lastly, discover what unique things you can do with your app where your competitors lag.
#3. Planning
It is time to utilize the research you have done in steps 1 and 2. Make a plan based on market and competitor research. Here, you need to decide on the timeline of the project development, a list of features and functionalities you need in your app, the business model you want to implement, and others.
#4. Hire On-demand Grocery Delivery App Developers
One of the most important steps is to hire grocery app developers. To develop your dream, you need expertise, and you can access it through hiring experts. The best way to hire experts is to hire them from a trusted mobile app development company with a proven track record in developing seamless apps. Once you hire the developers, you'll start the half marathon. They'll take care of the rest of the work, from designing to developing the app.
#5. Designing & Development
Your hired development team will start by wireframing the app to create its blueprint. This will give you an idea of how your app will look after development. Here, you can also take your call to add or remove components from your app. Once the wireframe is ready, the designers will work on its visual aesthetics, and then developers will develop the front end and back end to shape the app.
#6. Test & Launch
Once your app is ready, it is time to check its quality by putting it into testing. Here, QA professionals will test your app via a variety of testing modules to unlock your grocery app's potential. Once all bugs are removed, launch your app on platforms like Google Play Store or App Store.
#7. App Maintenance & Updates
It seems that the app development lifecycle ends after launching, but it's not. For better customer satisfaction, you need to maintain your app and keep it updated. It helps in the seamless execution of the app.
#8. Marketing and Promotion
Marketing and promotion are equally important for business growth as grocery app development and maintenance. You can leverage digital marketing to promote your app through multiple digital channels, as most users these days prefer online grocery shopping. This will connect you with broad audiences.
The Cost to Develop an On-demand Grocery App
Now, you might also be interested in knowing how much it costs to develop a grocery app for business or what grocery app development costs. The average cost to develop a grocery app is dependent on multiple factors, such as -
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App's Feature Complexity
The complexity of features is one of the criteria that influence the app development cost. Complex features lead to more cost.
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Mobile App Development Platform
Whatever mobile app development platform you choose, the cost will be accordingly. For example- Native Grocery App Development (Android, iOS) and cross-platform app development.
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App Developers Experience
Developers' experience is also a significant cost-affecting factor. In simplified form, if developers are experienced, then hiring costs will be different compared to junior developers.
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App Developers Location
Location plays an important role in the developer's hiring and app development costs. For example, the hourly rate of app developers in the USA starts from $100/hr or more, while in countries like India, you can hire experienced grocery app developers at $20/hr onwards.
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Design Complexity
App designing covers a significant portion of overall app development costs. If it is complex, then the design cost will be higher, and it will affect the total cost.
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Third-party API Integrations
Third-party API integrations sometimes require more time and licensing fees, which increase the project development cost.
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Regulatory Compliances
If you develop the grocery app based on compliances like GDPR, CCPA, and PCI DSS, it will also increase the development cost. Similar to API Integration, it increases the project development timeline. On the other hand, there might be chances that you must pay a compliance fee.
Based on all these factors, the grocery app development fee can be decided. However, the approximate cost to develop a grocery app ranges between $20,000-$30,000 for a single platform and a simple version. If you need an advanced grocery app, its cost starts at $35,000 and continues. You can also choose cross-platform grocery app development that will help you target broad audiences.
How to Earn From A Grocery App?
There are multiple ways you can earn a good amount from the grocery delivery app. Here are some of the key monetization models to consider:
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Subscription Based Model
Following this model, the customer pays for a subscription, which can be weekly, monthly, or yearly. You will earn from the subscription fee.
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Commission Based Model
When a customer shops from different grocery stores, on every purchase transaction, you can set a commission.
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Third-Party Advertising Model
With this model, you can earn from allowing third-party businesses to showcase their ads on your grocery marketplace.
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Premium Listing
Including selling grocery products online, you can charge a premium listing fee from the grocery stores to show their products or listings on the top of your platform.
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Delivery Fee Model
Here, you can charge an amount for fast and premium delivery or set a delivery fee based on distance, demand, day, and timing.
The Conclusion
If you are looking to own a startup, grocery app development is one of the most profitable ideas. The only things that matter are how you develop it and who will develop it. The best option is to choose the best option from grocery app development companies. In terms of developing a grocery app, this article can help you as a complete handbook for your startup.
How IMG Global Infotech Can Help You With Grocery App Development Services?
When it comes to hiring a grocery app development company, IMG Global Infotech can be a perfect choice for you. We have extensive expertise in developing cutting-edge grocery apps for startups, grocery stores, and grocery delivery chain businesses. Our team of grocery app developers has in-depth industry knowledge and experience in utilizing the latest tech stack to create seamless online grocery delivery mobile apps. So, if you have any queries, then you can connect with us anytime; it would be pleasant for us to provide you with the best solution.