Delivery service apps have changed the way customers eat and shop. As a result, the demand for delivery service apps has grown rapidly in recent years and this growing demand has created a big investment opportunity for business.
Furthermore, according to my research, the sector is predicted to reach a staggering $291 billion by 2027, showing that these apps are becoming ingrained in our daily lives rather than simply being a trend. Hence, investing in delivery service app development can be a lucrative business opportunity for a business that wants to capitalize on this trend.
So, if you want to create a delivery service app, read this blog.
Quick Summary: This blog will help you understand how to create a delivery service app, the development stages, and the costs involved. It will also help you understand how the app works, which tech stack to use, its key financial benefits, and how to make money with it.
Introduction of the Delivery Service App
Delivery service apps are mobile or web-based platforms that allow customers to order their favorite products for delivery to their locations. Such apps offer a range of options and work by streamlining the process of ordering, payment, and delivery, all within the app interface. Hence, demand for such apps is increasing very rapidly, and there is no sign of slowing down.
So, if you also want to create a delivery service app, hiring an on demand app development company to attain the desired goals would be better.
Market Analysis of Delivery Service App
Platform Delivery – Worldwide
Source: Statista
- According to forecasts, global platform delivery income is expected to rise significantly, reaching an astounding US$282.50 billion by 2024.
- It is anticipated that this trend will continue at a 4.54% annual growth rate (CAGR 2024–2029), with a predicted market volume of US$352.70 billion by 2029.
- Furthermore, it is predicted that by 2029, there will be 1.6 billion customers in this sector.
- According to projections, the percentage of users will be 16.7% in 2024 and rise to 19.5% by 2029.
- Additionally, the average revenue per user (ARPU) is anticipated to be US$218.10.
How Does Delivery Service App Work?
If you want to know how delivery service applications work, here is a brief explanation:
- Users select their favorite items on the delivery service app, specify all the delivery details, and then proceed to checkout
- The application assigns the delivery task to any nearby available driver.
- User tracks their delivery status in real time on a map interface.
- Users and drivers can communicate through in-app messaging or phone calls for clarification or updates.
- Once delivered, users receive a notification and confirm receipt through the app
- Now payment is processed securely within the application, either upon delivery or online.
Top Industries Employing Delivery Service Apps
In recent years, mobile ordering applications have changed industries by providing efficient, convenient, and fast delivery solutions. Here is a list of top industries using such applications:
- Retail
- Logistics
- E-commerce
- Courier
- Healthcare
- Food and Restaurant
- Grocery and Essentials
- Pharmacy Delivery
- Beauty and personal care
- Alcohol and Beverage
1. Retail
Retail businesses have started integrating delivery services to offer customers an enhanced shopping experience. These services allow customers to order products online and receive them at their doorstep.
2. Logistics
Delivery apps benefit the industry by optimizing routes and improving the efficiency of package deliveries. The app provides real-time tracking and updates, enhancing operational transparency and customer satisfaction.
3. E-commerce
E-commerce brands like eBay and Amazon rely on delivery service apps to maintain their competitive edge. These kinds of apps ensure that products are delivered reliably and quickly, contributing to enhanced customer satisfaction and retention.
4. Courier
Delivery apps help courier services streamline operations, allowing for efficient package tracking and real-time communication with customers. This has also improved delivery’s speed and reliability.
5. Healthcare
In the healthcare industry, delivery apps are used to transport medical supplies and documents. This ensures that significant health needs are met in a timely manner, improving operational efficiency and patient care at the same time.
6. Food and Restaurant
Delivery service apps have changed the food industry by allowing customers to enjoy their meals at home. As per the food delivery app development company, the applications also have expanded the market reach for restaurants and boosted their sales.
7. Grocery and Essentials
With delivery apps, customers can order groceries and other household essentials online. In the industry, delivery applications have become significant, especially since the COVID-19 pandemic.
8. Pharmacy Delivery
Pharmacies use delivery service apps to ensure that medications are effectively and promptly delivered to patients. This service is significant for immobile or elderly patients who depend on regular medication.
9. Beauty and Personal Care
The beauty and personal care industry uses delivery service applications to ship products like skincare. Businesses stock up on cosmetics and other self-care products without leaving the house.
10. Alcohol and Beverage
Delivery services apps cater to the need for convenient drinks and party supplies delivery. It makes entertaining at home effortless.
Benefits of Developing the Delivery Service App
Nowadays’ delivery service apps have become a game-changer for every industry and business, offering a direct line to customers who crave efficiency and craves. Apart from this, here is a list of key benefits that demonstrate why businesses must invest in e-commerce, grocery, courier, health, or food delivery industries:
- Reach a Wider Audience
- Boost Sales and Revenue
- Gain Competitive Advantage
- Brand Building and Recognition
- Improved Operational Efficiency
1. Reach a Wider Audience
The delivery service apps transcend geographical limitations. With the app, customers can browse the business’s offerings and apply orders within your service area. Hence, it broadens the business’s potential customer base that increase sales.
2. Boost Sales and Revenue
Delivery service apps allow businesses to reach new customers beyond just local area and tap into a wider market. Take assistance from a healthcare app development services provider to develop an app that encourages impulse purchases through targeted promotions and easily accessible menus.
3. Gain Competitive Advantage
In the current digital age, daily apps are positioning businesses as customer-eccentric and tech-savvy. This shows a business’s commitment to convenience and innovation, which gives entrepreneurs a significant advantage over competitors.
4. Brand Building and Recognition
An effective app strengthens a specific brand identity and also increases local brand awareness. Positive interaction through the delivery and service app reinforces the business’s brand image, building trust and establishing entrepreneurs as a front runner in convenience.
5. Improved Operational Efficiency
Delivery service apps streamline order management and dispatch processes. Businesses can use valuable customer data to make informed decisions, optimize delivery routes, and track driver performance for improved efficiency.
In my 15 years of career, I have developed many apps, and delivery service apps are one of them. Developing the delivery service app was an exciting journey as I have learned many new things about the market. When working on that, I noticed a growing demand for such applications as consumers increasingly prefer online ordering and home delivery.
Access to a reliable and fast delivery service is a priority for many businesses and individuals. Hence, this shift depicts how developing a delivery service app has become significant. The app benefits customers by providing convenience and timely delivery, while businesses earn more revenue. So, if you are also looking to create a delivery service app, this blog will help you learn the easiest way to develop it. So get ready to bring your ideation for a delivery service app into reality.
Pramod Jangid (Project Manager)
Key Steps to Create a Delivery Service App
Are you wondering how to create a delivery app? Well, the process of service delivery application development is straightforward. However, if you are not a pro, you are advised to hire a mobile application development services provider company. Professional will help you to attain the desired outcome with the following key steps:
- Research the Delivery App Industry
- Choose the Best Tech Stack
- Craft an Intuitive UI/UX
- Develop the App
- Testing and Quality Assurance
- Launching and Marketing
- Provide Continuous Support and Upgrades
1. Research the Delivery App Industry
When developing a delivery service app, conduct market research first to understand your target customers and their needs. Additionally, it examines what the current delivery service apps are doing and analyses the trends that are needed to stay competitive in the market.
2. Choose the Best Tech Stack
Tech stack means programming leagues, frameworks, and databases used to create a delivery service app. Hence, you are responsible for picking the best tech stack to match your project’s requirements. However, if you are unfamiliar with the tech stack, hire mobile app developers to choose the most suited tech stack.
3. Craft an Intuitive UI/UX
User interface and user experience are the two most critical parts of the app development process on which success depends. Hence, design an intuitive interface that is visually appealing and user-friendly. Also, your UX must guide users seamlessly through the ordering process.
4. Develop the App
Now, with a clear vision and appropriate tech stack, we can start the delivery service app development. Here, you must ensure that your app integrates all the critical features and focuses on scalability, reliability, and flexibility. Hence, you can hire dedicated developers to attain these objectives.
5. Testing and Quality Assurance
Testing is a critical phase that cannot be overlooked, as it ensures that your application is error-free and works flawlessly. With the help of the quality assurance team, test your app. It will help you identify the bug and technical issues so that they can be resolved then and there.
6. Launching and Marketing
After your app testing, you can launch it. Make sure that your app is available in popular app stores like the App Store and Google Play Store. However, launching an app is not enough. You have to promote it so that more people can know about it.
7. Provide Continuous Support and Upgrades
A successful delivery service app constantly evolves. Hence, monitor your app’s performance and collect user feedback to implement necessary improvements. Ask an eCommerce app development company to update your app regularly by adding new features, secure patches, and other updates, staying competitive, and keeping users engaged.
Must-Have Features of a Delivery Service App
If you want to provide an exceptional user experience and drive your business growth, your delivery service app is equipped with significant and trending features. So, get ready for the secret of developing the on demand app development solutions that excite and engage your users.
1. For Customers Panel:
Real-time Order Tracking | Provider users with live updates on the delivery progress of their ordered product, including arrival time and driver location on a map. |
Transparent Pricing | Create a delivery service app displaying upfront costs, including fees, taxes, and other charges. |
Multiple Delivery Options | With a successful enterprise mobile app development, ensure flexibility with next-day, same-day, scheduled, and express delivery for the user’s convenience. |
Push Notification | Keep users informed about their order confirmation, delivery updates, promotions, and other information. |
Review and Rating System | Make a delivery app that allows users to give ratings and leave feedback based on their experience with your product. |
2. For Delivery Driver Panel:
Navigation Assistance | Ensure your app is optimized with a mapping tool, providing turn-by-turn navigation for effective and smooth delivery. |
Delivery Confirmation | Create a mobile app that lets users capture proof of delivery to ensure accountability and track completion. |
In-app Communication | With this feature, drivers and customers can communicate with each other via phone calls or chats within the application. |
Performance Tracking | Create delivery service app that displays driver performance metrics as it encourages them for continuous improvement. |
Earning Overview | This feature provides transparent information about drivers’ earnings. It must include completed deliveries, total earnings, and a breakdown of fees. |
3. For Admin Panel:
Order Management | It allows users to view, manage, and track orders in real-time, including delivery drivers, customers, and order status details. |
Inventory Management | With this feature, users can track the available items, low-stock alters, and manage product information for accurate order fulfillment, |
Business Analytics | Through detailed reports and data visualization, users can gain insights into delivery trends, customer behavior, and overall performance. |
Financial Management | Les users track expenses, revenue, and delivery fees, manage payments, and make financial reports to make informed decisions. |
Scalability and Security | Ensure your delivery service app is built to handle growth and has robust security measures to protect business and user data. |
Cost Analysis To Create a Delivery Service App
Now that you are completely well-versed in delivery service app development, let’s discuss the mobile app development cost. Well, nobody can give you an exact figure for the development of the delivery service app. However, for a rough estimation, you can expect the $8000 to $28000 for the overall app development.
Remember that this cost can fluctuate based on factors such as app design, features, functionality, secret compliance, delivery service app development company, and more. Additionally, the complexity of your app can also impact the healthcare, courier, grocery, and restaurant app development cost, as mentioned in the table below:
Delivery Service App Development | Estimated Cost | Time Frame |
Simple Delivery Service App Development | $8000 – $13000 | 3 to 6 Months |
Medium – Complex Delivery Service App Development | $13000 – $21000 | 6 to 9 Months |
High-Complex Delivery Service App Development | $27000+ | 10+ Months |
With this table, you might get what your delivery service app can cost. However, apart from the cost to create a delivery app, you also need to consider its maintenance cost.
The app’s maintenance scope includes server hosting, adding new features, updating security patches, and much more. The delivery service app’s maintenance cost is 15 to 20% of the overall app delivery app development cost.
If you need any help in preparing an accurate budget for your delivery service app, consult with an iOS or Android app development services provider. Professionals will carefully examine your project and make a budget accordingly.
How Does the Delivery Service App Make Money?
Do you know how to make money with a delivery service app? Well, as per the courier, food, and medicine delivery app development company, businesses can earn money with their app in several ways. If you also want the same, you must adopt the following app monetization strategies:
- Membership
- Commission Fee
- Delivery Fee
- In-app Advertising
- Subscription Services
1. Membership
Apps offer subscription plans to users that give them access to perks like exclusive discounts, free deliveries, or faster delivery times.
2. Commission Fee
The app charges businesses a percentage of the order value as a commission for every sale that comes through the app.
3. Delivery Fee
Customers pay a delivery fee on top of the order total. The fees can be variable or flat, depending on the distance between shops and the customer’s location.
4. In-app advertising
Delivery apps sell ad space on their platforms to businesses, generating additional revenue by indirectly charging customers more.
5. Subscription services
It’s another way of making an app with a delivery app. These services offer customers an annual or monthly fee in exchange for discounts on orders and deliveries.
Examples of On-demand Apps
Here is a list of the on demand delivery apps based on different industries that you must consider to know what they are offering so that you can build a delivery app accordingly:
- UberEats
- HealthTap
- Shipt
- FedEx
- Amazon
- DHL Mobile
- Instacart
- Sephora
- Drizly
1. UberEats
It’s one of the best food delivery apps that allows users to order food from different restaurants. Users can browse menus, track their orders in real-time, and pay securely within the app.
2. HealthTap
It’s a healthcare app that has changed primary care by providing affordable and ongoing care. It connects patients with doctors virtually for health consultation.
3. Shipt
This retail app collaborates with major retailers, such as Costco and Target, to offer a wide range of products or household essentials.
4. FedEx
The app provides businesses and companies worldwide with a broad portfolio of transportation, e-commerce, and business services.
5. Amazon
This e-commerce app is loaded with useful tools that help users discover new products or arrivals and increase their confidence in their purchases.
6. DHL Mobile
It’s a courier or parcel tracking app that gives users an estimated arrival window time, allowing them to make necessary schedule changes.
7. Instacart
It’s a grocery app that sells products to customers who need products delivered from local stores. Hire a grocery delivery app development company to develop an app, allowing customers to view orders in their area, and the products are then shipped and delivered to customers.
8. Sephora
It’s a beauty that allows users to redeem points as Beauty Pass members at the Reward Boutique and receive a birthday gift.
9. Drizly
This is an alcohol and beverage delivery app that makes it easy for users to get everything they love from their local wine stores in an app experience.
Tech Stack For Delivery Service App Development
Component | Technologies |
Version Control | Git, GitHub, Bitbucket |
Frontend | React Native, Flutter, Swift, Kotlin |
Backend | Node.js, Java (Spring Boot) Python (Django/Flask), |
API Integration | GraphQL, RESTful APIs, SOAP |
Database | SQLite, PostgreSQL, MySQL, MongoDB, Firebase |
Analytics | Google Analytics, Firebase Analytics |
Push Notifications | Apple Push Notification Service, Firebase Cloud Messaging |
Authentication | OAuth, JWT |
Deployment | Apple App Store, Google Play Store, TestFlight, Firebase App Distribution |
Wrapping Up!
Demand for delivery apps is increasing rapidly and is not expected to slow down. Hence, it’s’ a right time for entrepreneurs to invest in on demand delivery app development who want to expand their business.
However, the mobile ordering app development process requires in-depth research and a complex mindset. Hence, anyone who wants to create a delivery service app must consult an API development company.
Dev Technology is an experienced on demand delivery app development company that speeds up the development process and reduces costs. We at Dev Technosys ensure that clients attain their business goals related to delivery service app development within their budget.
Frequently Asked Questions
1. How Much Does It Cost To Create a Delivery Service App?
The cost to develop a mobile app can fluctuate as per projects’ requirements as mentioned below:
- Simple delivery service app development: $8000 – $13000
- Medium complex delivery service app development: $13000 – $21000
- Complex delivery service app development: $26000+
2. How Long Does It Take To Create a Delivery Service App?
The timeline to build delivery app can vary depending on its complexity level. However, on average, the time required is 3 to 10 months.
3. How to Reduce the Cost to Create a Delivery Service App
Here is a list of strategies to reduce the cost to build a delivery app:
- Set clear goals for your app.
- Prioritize the development of an MVP
- Develop a cross-platform app.
- Use open-source tools and templates.
- Regularly test your app.
4. Why Should We Choose Dev Technosys To Create a Delivery Service App?
Dev Technosys is a mobile app development company that helps clients to leverage comprehensive delivery service apps best fitted for all industries sizes and types.