On-demand services are great for both people and businesses, whether they’re offering food, groceries, or drugs. As on-demand shopping platforms have grown, they have pushed traditional stores out of business for customers’ daily needs.

The market for grocery shopping online is expected to hit $965.4 billion by 2032, rising at a rate of 14.3% per year from 2023 to 2032.

That’s right, you want to open an online grocery store or make an app like Instacart that delivers groceries when people need them. So, one question comes up: “How much does Grocery Delivery App Development Cost?” For the second question, we have you covered.

Before you leave this blog, make sure you read the whole thing to find out the grocery delivery app development cost and what features affect that cost. You can make money from your shopping app, too. Let’s start!

 

Future Predictions & Projection of Grocery Delivery Service

• This market for grocery delivery in the US is expected to bring in US$257.50bn by 2024.
• The market is expected to reach US$455.20bn by 2029, with a compound annual growth rate (CAGR) of 12.07% from 2024 to 2029.
• It is also expected that the Retail Delivery market will be worth US$195.40bn by 2024.
• China is projected to make the most money in the Grocery Delivery market around the world, hitting US$266.00bn in 2024.
• It is also expected that the average income per user (ARPU) in the Grocery Delivery market will be $1,860 in 2024.
• It is thought that 180.3 million people will use it by 2029 for sure.

 

What Is An On-Demand Grocery Delivery App And How Does It Work?

Online grocery apps let consumers select grocery stores to deliver to their doorstep. The system is nothing fresh the transformation to mobile applications has made it inexpensive and thus widespread. With a smartphone app like Coles, users no longer need to assign a domestic worker to pick up food; they can simply order it with a few clicks.

This is how a typical on-demand grocery application works:

• Users must give access to the location or insert their full address manually. The app will automatically list grocery shops close.
• Users can simply choose from a wide range of products, make payments, and select the time and date of shipping.
• Consumers can also arrange for pick-ups straight from the supermarket. All you need to do is place an order for the necessities of the grocery that you need and choose a pick-up time as per ease.

 

How Much Does It Cost to Build a Grocery Delivery App?

The cost will go up as the project gets bigger and more people work on it. So, if you want to develop a grocery app, you’ll want to know the required budget.

It’s important that your project needs are taken into account before you find out the grocery delivery app development cost. It changes the cost to make a grocery delivery app generally.

We can only give you a rough idea of Grocery Delivery App Development Cost for a grocery delivery service, though. The cost to build a mobile app is usually between $8000 and $25000. Take a look at the table below:

 

App Complexity	Cost Estimation
Simple Grocery Delivery App Development	$8000-$15000
Medium Grocery Delivery App Development	$15000-$20000
Complex Grocery Delivery App Development	$25000+

 

 

These are just the basic estimates of mobile app development cost. You can calculate the cost by using the below formula:

Total Grocery Delivery App Development Cost = hourly rate of developers * development time

Now that you know the grocery delivery app development cost, it is time to hire a grocery delivery app development company.

 

Factors That Can Affect The Grocery Delivery App Development Cost

The users’ expectations with grocery apps are raising day by day, and definitely, the future of these apps is bright where we will experience lots of updates. On the other hand, the process to develop a grocery delivery app like Flink requires lots of effort, where the price also includes if you are planning to launch for your own business. The grocery app development costs depends on various factors, which are following-

 

 

1. Platform

It is okay that you have decided to launch your grocery app. But have you think about the platform? There are two major platforms for mobile apps one is Android, and another is iOS. Most users worldwide use Android smartphones, but iPhone users are more, so you have to decide about it in the US. For your information, the development cost of iPhone is more as compared to Android apps. If you want to target both platform users, cross-platform grocery app development will be cost-effective.

 

2. Features and Functionality 

Features & Functionalities are other crucial factors that affect the grocery app development cost. In simple terms, you can understand it as more features more cost. Although the basic features will be included in the essential grocery app development cost, if you need additional features such as geolocation, in-app video call, etc., it will be added to the additional development cost.

 

3. UI/UX

Usually, the users are attracted by the UI/UX of the app, and if an app lagging it, then there will be a high chance of uninstallation. Therefore, to have an impressive app, you need to spend the money.

 

4. Testing  

Although the developers will develop the fine backend for you, flawless and bug-free app testing is required. Suppose any extra tool is required, then it will increase the grocery delivery app development cost.

 

5. App Security

An on demand app development company always focuses on security solutions, so to integrate it, they add some more elements that require little cost added to the app. User security and privacy are the primary concern due to the increasing hacking attacks on the applications.

 

6. Custom Animations 

It is a fact that animations have a significant effect on a person’s mind. Suppose for handling an enterprise app; if any training is required, then custom animations can work great. These animations or visual elements can make your grocery app great.

 

How To Develop An On-Demand Grocery Delivery App?   

Right now, there is huge competition in the online grocery delivery market, and to find new opportunities, you should have a specific selling point for grocery app development. To that end, some businesses offer appealing rates, others confuse with a lot of choices, and yet others depend on the tech facet. Whether you’d like to develop a grocery delivery app or a website, the features of a grocery app would be more or less identical.

So, here is a step-by-step process signifying ‘How to develop an on-demand grocery delivery app?’

 

1. Choose A Business Model

If you are looking to build an on-demand grocery delivery app for your grocery store, there is a wide range of options available. So, the first step should be to validate an app idea with an IT consulting firm. Now choose the most suitable business model for your on-demand grocery delivery app. To help you with it, here are some of the popular business models of grocery delivery applications.

 

• Aggregators

Aggregators list all retailers and their products in the vicinity. This type of app allows the user to purchase these stores. They use associate drivers to deliver the goods, but the shipment of the product differs in the store. One such example is Instacart, a popular US-based Flipkart food app that joins the market that is steadily growing in India.

 

• Marketplace Model

Marketplace applications get their options, and delivery men take orders and deliver the groceries to the porch. If you don’t have a previous grocery-related business but want to run a grocery app, then contact an online marketplace app development company; this is the most appropriate type of app for you. Bigbasket and Grofers are some such illustrations that are popular in India.

 

• Recognized Grocery Chains

Big app stores like WalMart and the Kroger mobile app have their very own applications for their clients. Through these apps, customers can conveniently order from grocery stores and deliver them to their homes.

 

• Single-Store Marketplace

Developed by individual stores, these apps are specifically built for daily store customers. The app designing and maintenance, taking orders, and distributing them are all controlled by a single retail outlet. They can get more biz their way this way.

 

2. Focus on the Three Different Panels

You can’t just make a single grocery application and earn success. When it comes to on-demand app development, there are three parts to the application and every business owner should consider it during grocery delivery app development.

 

• The Consumer App 

This would be the user app. The model will be hosted in the app store for download and installation. The consumer app needs to be full of attractive attributes and needs a beautiful UI/UX layout and design.

 

• The Owner App

It is the aspect that needs to be designed with the utmost priority because if anything goes wrong on the admin side of the operation, users won’t get their supplies.

 

• Distribution Agent App

This is for the person who is going to make the delivery. The deity of grocery delivery apps is completed with this app. It will bind the customer with the dealer and the delivery person, allowing them to get excellent services.

So, we can say that three panels need to be developed when we are looking for grocery app development. To find out the actual grocery app development cost, you have to add all of these costs to it.

 

3. Think of App Layout And UI/UX

An attractive UI/UX architecture goes a long way when it comes to designing on-demand grocery apps. When you’ve started designing your grocery store app, ensure that your app has a strong UI/UX design and design. The more appealing it is, the more fun it will be for the user to use it.

And the more they like using the application, the more people will begin using the app. A visually appealing interface is completely important to keep users retain. It is advisable to hire dedicated developers who can create an amazing UI/UX design to communicate your concept of a grocery app to your target audience.

 

4. Finalize Tech Stacks for Grocery App Development

The fact is that the tech stack is also one of the significant factors that influence the grocery app development costs. For developing these kinds of app, you are require a specific tools and technology required, which are the following –

• Database– MongoDB, HBase, Mail Chimp Integration, Cassandra, PostgreSQL
• Front-end Development- js, React, Angular, Vue.js
• Back-end development – js, .NET, Java, PHP
• Android Development- Java, Kotlin
• iOS development – Objective-C, Swift
• Push Notifications – io, Twilio
• Real-time Analytics– Apache Flink, Cisco, IBM, Hadoop, Spark, Big Data
• Cloud Environment– AWS, Google, Azure

 

5. Begin Grocery Delivery App Development

Finally, when you gather all the essential information about developing a grocery app, you can finally start the grocery delivery app development process. It is the major steps of all as you will require a dedicated team for grocery app development. So, either hire one or connect with a well-known grocery delivery app development company.

 

6. Test & Launch Your Grocery Delivery App  

Next, when you are done creating a grocery delivery app, carefully test and launch an on-demand grocery delivery app on the desired development platform, i.e., Google Play Store and App Store. This process will require additional grocery delivery app development cost, but the decision will be worth it.

 

7. Grocery Delivery App Maintenance  

At last, avail grocery delivery mobile app support and maintenance services to keep your grocery app alive for years to come. Although it is not a mandatory grocery delivery mobile app development process, but should be considered if you are planning for log-term basis.

 

Key Features Of Grocery Delivery App Development 

The reason to describe the App panel separately in this guide to evaluate the grocery app is the app panel always has a profound impact on the grocery app development cost. The app panel contains almost all features of the app that decides the cost of an app. So, as per the grocery app development company, below are the different panels features of grocery delivery app development-

 

#1. Customer Panel  

It is for end-users to sign up and log in for ordering their required grocery app items. Following are the features of the customer panel.

• Signup/login 

First, users have to sign up with their respective e-mail id or phone number, or social media id; once signed up for the app, they can use the app any time.

 

• Profile Management

Under this tab, they can add or modify their profile details, such as adding an alternate e-mail id, phone number or permanent delivery address.

 

• Browsing Product Listing 

It is one of the essential features of any grocery app. It allows users to view all the products in the categorized format so they can choose and order.

 

• Search Option Including Filters

If users cannot find the products, then they can easily search them via applying various filters.

 

• Add to Cart

It works as a physical cart but is digital. The user can add single or multiple items to it. The best part is the cost calculator inbuilt with this option whereupon adding or deleting the items, the total cost changes that a user has to pay after check out.

 

• Multiple Payment Option

It allows users to pay for their purchases via their debit or credit card or net banking. Most of the advanced apps have mobile wallet features also including the basic payment facility.

 

• Applying Discount Vouchers 

This feature allows the users to apply the discount vouchers and coupon codes.

 

• My Offers

Under this tab, the users can see the offers they have got on their account.

 

• Choosing Time Slot For Delivery

It is one of the exciting features that facilitate the users to choose the delivery time at their convenience.

 

• Order Tracking

A user can track the actual time location of their order.

 

• Push Notifications 

The grocery app users get real-time notifications about the ongoing deals, offers and other information regarding the app.

 

• Help & Customer Support 

It directly connects the app customers or users to customer support for any help.

 

• Ratings & Reviews

Customers can rate and review the grocery brands or food brands with ease.

 

#2. Delivery Partner Panel

The delivery partner panel contains the features of grocery app development that help the delivery service personals to manage their task.

• Registration

The delivery boy can easily register themselves with ease to put their social id number, phone number, e-mail address, and other information. Once registration is done, they can quickly start taking orders for delivery.

 

• Delivery Request

The delivery personals can accept or reject the delivery request as per their availability and queue status.

 

• Push Notifications

In case of updating the real-time status, a delivery boy can send push notifications.

 

• Live Map Feature

The delivery uses this feature to deliver the package to the provided address. In addition, this feature is equipped with a Google Map API that showcases the real-time statistics of traffic and roads.

 

• Route Optimization

This feature facilitates the delivery personals to optimize the route for fast delivery.

 

• Availability

The drivers or delivery boys can display or hide their availability. However, sometimes it happens that it is impossible to take the delivery orders due to heavy workload so they can manage it perfectly.

 

• Delivery Time Slots

The delivery staff gets the information about the customer’s desired delivery time slot.

 

• Earnings & Delivery Reports

If delivery men want to see their earnings, then they can easily see this. Via this option, they can observe their daily, weekly, and monthly earnings. They generate delivery reports like in a particular month how many customers they have served.

 

• Ratings & Reviews

The delivery boy writes reviews about the customers and rates them on the five-star rating system.

 

• Help and Customers Support

In the event of any help, the staff can contact the support with ease.

 

 

#3. Admin Panel Features 

• Single-Click Dashboard

The centralized system facilitates the admin to manage all the tasks. It also includes the overall information handling of the user panel as well as the customer panel.

 

• User Management

The admin has control over all users’ activities that includes delivery boy and end-user. An admin can add or remove the users, modify their details, reset their account and do many other activities.

 

• Driver Management

This features to include in grocery app development allows the admins to have full access to driver’s information such as contact information, trip details, social id details, no. of days served, handled total customers in a day, current status, and availability.

 

• Product Management

Admin can add multiple products as much as can. He also has control to modify the product details, including price, quantity, product details, remove products, and many other details.

 

• Order Management

The grocery app-admin/manager manages the orders with ease. Once the order is confirmed, then they send it to the delivery person. The admin can track the order status, delivery status, live location of delivery vehicle, total earning, etc.

 

• Reset Passwords

In the event of password misplacing, the manager can reset the password for the delivery account, user account, or both.

 

• Payment Management

When you create a delivery service app, allows management to track all payments done by customers. The admin can generate the report of monthly or quarterly received payments.

 

• Campaign Management for Email, SMS, Social Media

For brand promotion, campaign management is a highly required activity, and you will be amazed to know that it is one of the most delicate features of the grocery app. An admin can run multiple marketing campaigns for multiple products at multiple locations.

 

• Promotions & Discount Coupons

As per need, promotional offers and discount coupons can be generated.

 

Challenges & Solutions of Grocery Delivery App Development 

The rise of e-commerce has revolutionized the way we shop, and grocery delivery apps have become an integral part of modern life. However, developing such apps comes with its own set of challenges. Here are some of the key challenges and potential solutions:

 

Challenge #1: Designing a brochure with hundreds or even thousands of items that is easy for customers to find their way around.

 

• Solution: You can use smart search, groups, filters, and suggestions.

 

Challenge #2: Getting people to buy things they can’t see, touch, or smell.

 

• Solution: Users should be able to rate products and leave reviews. Each place in the catalog should have information about materials and nutritional value of business app development. Each product card should also have a lot of photos.

 

Challenge #3: Retaining customers.

 

• Solution: Use a system that makes suggestions based on AI, give special deals, make it easy to reorder, add personal tags, and add any other customization grocery delivery app features you think are important.

 

Challenge #4: letting the customer know enough about the state of their order.

 

• Solution: Add a GPS tracking service to the app, like Google Maps.

 

Challenge #5: Dealing with the huge amounts of data that your app will always produce.

 

• Solution: Make sure that Grocery Delivery App Development Companies are made up of skilled professionals who can build a solid system for keeping, sharing, and getting large amounts of data.

 

Challenge #6: Giving three types of users (buyers, admins, and shoppers/couriers) enough features at the same time.

 

• Solution: Make two apps: one for buyers and one for shopping or delivery people. An admin page is also there to handle both types of people.

 

Benefits of Grocery Delivery App Development 

There are several benefits of the grocery app development not in terms of services but also in business generation. More than 43% of users prefer to order grocery items from the mobile app, and it is just an example. So as per the grocery delivery app development services provider, below are the key benefits that you would like to read-

 

1. Time-Saving Approach

From the customer’s point of view, it is such a time-saving option where a user has to add the items in the cart and pay directly via multiple options.

 

2. Order Tracking Facility

It is directly related to the comfort of the users. For example, there is no need to go to the store; a user can order from their respective locations. Once the order has been done, then a user can track their order with comfort.

 

3. A Tool For Increasing Sales

Suppose if you are running a physical grocery store, still not generating the revenue as per expectations, then a grocery app can promise you what you are looking from a long time. It works as an excellent tool for increasing sales. The reason is you can provide various options to your customers that they can enjoy while shopping the grocery products.

 

4. Targeting Large Customer Base

The grocery app empowers you to target a large customer base. For example, suppose you are already focusing on an area and want to increase your service area. Then, via a fine grocery app, you can target that particular location and increase sales.

 

5. Best Tool To Study The Customer Behavior

Via the grocery app, you can efficiently study consumer behavior. For example, you can track the pattern that on which items customers are focusing and ordering. Once you get the data, you can increase the frequency of that item on your app.

 

 

 

6. Better Customer Relationship Management

You can make better relations with the customers by offering personalized deals & offers. It will also generate trust among the customers.

 

7. Payment Comfortability

Multiple payment gateway provide comfort to the users as they can smoothly pay from their favored method.

 

8. User Engagement Via Customer Loyalty Program

The customer will find it more interesting to get the extra rewards or specialized offers for being loyal to the app. It can also motivate the other users to increase the activity on the app.

 

Why Is It Important to Fix a Budget for Your Grocery App Development Project?

The value of setting a budget in the process will be explained before we get into the specifics of grocery delivery app development cost. Setting a budget helps you understand how everything fits together and helps you take the right steps to build your grocery delivery app. That’s why you should remember these things before you start working on the growth of your business: 

 

 

● Helps identify the actual needs

For many reasons, it’s important to set a budget for your grocery app development project. First, it helps you figure out what your job really needs. By figuring out grocery delivery app development cost, you can decide which features and functions are most important to the success of your app. This keeps you from spending money you don’t need to and makes sure your resources are used well.

 

● Aids in market research

Second, having a budget helps you study the market. Recognizing your financial limits lets you look into possible ways to make money and make money online. This knowledge can help you a lot as you decide what features to add to your app, who to target, and grocery delivery mobile app development cost.

 

● You need the MVP

Third, you need a budget to make an MVP. An MVP is a simple version of your app that lets you try your idea and get feedback from people who might use it. You can figure out the scope of your MVP and make sure it fits with your financial goals by making a budget.

 

● Need to save for marketing

Finally, you need a budget to save money for marketing. Getting people to download your grocery delivery app development costs a lot of money. You can make sure that your app gets to the right people and gets the amount of attention you want by setting aside money for marketing.

 

How To Monetize Your Grocery Delivery App?

What should you do now that you’ve made an app for grocery delivery? Is this the end? Not at all. To make a lot of money, you need to find ways to make money off of your grocery delivery app. So, we’ve made a list of the most common ways for big app like Wolt to make money.

 

 

1. Commission-Based Model

The commission-based strategy is one of the most common ways for grocery delivery apps to make money. Businesses can make money from it because it takes a cut of every order made through the app.

In this way of making money, the grocery delivery app works with nearby businesses like stores, shops, or restaurants in exchange for a cut of every sale the app makes possible. For every sale that comes through the app, a fee of a certain amount is taken.

 

2. Collaborative Partnership

Many on-demand grocery delivery apps use smart relationships with other businesses or platforms as a way to make money. This helps them get more users, keep those users longer, and get more money. In this plan, the grocery delivery app works with other platforms or services that support it to create a link that is good for everyone.

These shopping apps can also reach new markets by working together, raise knowledge of their brands, and increase the number of transactions. If the app uses the skills and customers of linked companies or platforms, it can make more money and give customers a better, more complete experience.

 

3. Surge Pricing

During times of high demand or low supply, on-demand grocery delivery apps often use surge prices as a way to make more money. It means briefly raising the prices of goods or services in order to make money off of the higher demand and get more drivers or delivery partners to sign up.

With surge pricing, the shopping app can change prices on the fly based on the market, like during busy times, special events, or times when demand is higher than supply. In surge pricing, algorithms and real-time data analysis are often used to pick the best surge increase to add to the base price.

 

4. In-app Advertising 

In-app ads are a common way for on-demand grocery delivery apps to make money. With this method, ads are shown in the app’s interface to grocery delivery app development cost. Banner ads, pop-up ads, or paid material that has been placed on purpose may be in the delivery app.

The cost to develop a grocery delivery app Like Blinkit shows relevant and customized ads by using user tastes or demographic data, among other targeting methods. This increases conversion rates and makes money.

 

5. Delivery Service Fee

The delivery service fee is often how on-demand buying and delivery apps make money. In this type of business, the app charges users for each delivery that is made through its website. The money from this fee is used to keep the app running. It’s part of the total price of the order.

 

With the delivery service fee, you can cover the grocery delivery app development cost of running the business that delivers packages with the help of an android app development company. It takes care of things like paying drivers, handling shipping, customer service, and keeping the app’s infrastructure in good shape.

 

Let’s Create A Top-Notch Grocery Delivery App!

It takes more than just writing code for a cool app to make a successful grocery delivery service. You need to make a solid business plan for your company to do well.

The best way to do this is to work with the best mobile application development company who can do both the technical work and the business planning.

We at Dev Technosys have the newest tech stacks and years of experience that will help you make a great grocery delivery app.

Set up a free meeting to talk about how we can make your grocery delivery dreams come true.

 

Frequently Asked Questions

1. How Long Does It Take To Develop A Grocery Delivery App?

The time to build a grocery app will be between 2-8 months or can go above. Basically, it depends on the factors like app complexity, features and tech stack.

 

2. How Much Does It Cost To Build A Grocery Delivery App?

The cost to develop a grocery mobile delivery application can be around $10000-$25000. Depending on your project requirement, the cost can fluctuate.

 

3. How To Make Money From Your Grocery App?

You can make money from a grocery delivery app by leveraging the below methods:

 

• In-app purchase
• Subscription model
• Collaboration model
• Freemium model

 

4. What Are the Benefits Of Developing Online Grocery Delivery App?

The benefits of developing online grocery delivery app are mentioned below:

 

• Loyalty programs
• Tracking
• Multiple payment options
• Inventory management
• Manage orders

 

5. What Are The Examples of Top Grocery Apps?

Following are the best examples of top grocery apps

• Instacart
• Amazon Fresh
• Walmart
• Kroger
• Shipt
• Thrive Market
• Whole Foods
• Peapod
• FreshDirect