Food Delivery Industry is Gaining Attention From Investors: 3 Lessons of iFood (Brazil’s Top Food Delivery App) That Recently Valued $500M

online food delivery app

Author Bio: This blog is written with the help of Ankit Shah, who has over 12 years of experience in the web and mobile app development industry. He has guided to develop over 500 mobile apps for iOS and Android platforms. He has special expertise in food delivery app development, so we took his help while writing this blog.

Are you a food delivery startup and facing problems like managing a number of orders, quality control, employee management, and reviews and ratings? Then, your business needs to invest in food delivery app development to manage the entire business. Herein we have mentioned 3 lessons that you as an owner of the food business can learn from iFood, Brazil’s top food delivery app. This app has recently become a unicorn with funding of US $500million and manages an entire business through food delivery solution.

More and more people are engaging in food delivery apps…Why?

To enjoy good food and slow evenings.

With the online food delivery app developments from a humble cup of tea to a sweet craving for a cupcake to a lavish party order, everything is available at a finger touch. Convenience is the king and through app development, you can easily meet the concept of “no prep meals” of Gen Z and can smoothly optimize your operational systems.

The food delivery ecosystem has noticed promising food delivery app development like UberEats (USA), FoodPanda (Germany), and GrabFood (Singapore). All these apps have managed their delivery network and food quality to come forth on consumer’s expectations.

With these best food delivery app development like DoorDash, GrubHub. Recently, we at Space-O Technologies had an intense discussion with our food app developers and one of our food delivery app consultant about the growth and scope of online food ordering systems.  

We came to know about a shocking International Food Delivery Ecosystem stats which is worth around the US $94.38million. These statistics made us search intriguingly for more food delivery apps. With the help of our brilliant marketing and sales team, we came to know about iFood app. The Brazil-based food delivery startup has funding of US $500million and is known as “unicorn” of the food app segment.

Before moving ahead to the lessons of the iFood app, let’s know more about the on-demand food ordering app. 

Some Insights Into iFood- Food Delivery App

online food delivery app

Image Credit: iFood

  • iFood app has 86 percent of market share and is the most prominent unicorn in Brazil. 
  • The app claims itself as Latin America’s biggest food delivery service operating in over 480 Brazilian cities with more than 50,000 restaurants. 
  • Movile announced an investment of US $500mn in the food order app and made it the biggest-ever venture capital investment in the Latin American technology segment.
  • The bulk of that investment of US$400mn came through Naspers and Innova Capital, Movile’s traditional financial backers.
  • The app is a fusion of free shipping, affordable pricing, and never-ending famous restaurants to choose from.

After knowing these amazing growth figures of the ifood app and food delivery industry, we are sure you are having a keen interest in knowing what made the investors invest such a huge amount in the iFood app. Here are the 3 lessons that you should keep in mind when developing your own food delivery app from customer engagement and investor investing point of view. 

3 Lessons of iFood App You Cannot Miss Out  While Developing Your Own Food Delivery App 

#1 Listing of famous restaurants

If you are planning for an online food ordering app, the listing of hotels and restaurants plays a vital role. Your target audience can be an amalgamation of:

  • A fitness freak 
  • A food junky
  • A person with food specifications 
  • One who orders dishes from only one specific restaurant 

From where does such a specific understanding comes in us? We have developed over 50 on demand food ordering apps like Zomato, Postmates, Seamless and Doordash along with unique features and functionalities. During the development process, we researched a lot on the target audience, delivery preferences, feature integration, market demands. We guide our client from research to deployment stage of his app development.

Food ordering app must have a fusion of registered restaurants on the portal which suits every individual taste. The major advantage for your food app is the “student exchange” or “student migration” from one country to another. Today’s Gen Z wants to do all by themselves. Living alone comes with a lot of responsibilities and today’s millennials are not all that cooking friendly. Who will wash the plates? Kitchen mess? Thus, they rather order online.

#2 Coupons with pricing benefits

Why is the digital world so popular than brick-mortar spaces?

Because…it provides users with heavy discounts, 365 days in some or the other way.

The popular discount pattern is coupons and buy one get one. People understand the language of “XYZ% OFF” and they start surfing more to avail the advantage. Now, with your food delivery app idea, you can definitely go for offers like:

  • Pricing sale (flat 50 % or upto 50% on specific restaurants)
  • One+one free (order an item get another free)
  • Cash or point collection vouchers (collect some points in the mobile wallet and get off for that specific amount)
  • Order food three times from the app and get three free deliveries at your doorsteps

This will increase organic traffic to your app and word-of-mouth publicity will bring incredible credibility for your food on demand app. Notifications and weekly discount alerts will inform your users about the app, which will in return help with brand recall.

Tip: Do not send access notifications or alerts to your users. It sometimes becomes annoying. See to it that you are providing genuine discounts and there is no technical glitch in the app performance.

Our expert developers team at Space-O Technologies have worked on various food ordering projects like Bevy (USA), Fungry  (Texas) which provide an excellent on demand solution in its respective market place. We perform in real-time and gain great response for your Uber food delivery app model.

#3 Earn using the food app

Who will drop the idea of earning while eating food?

No one…Right? Enjoying and earning are a very rare combination available in the flourishing market. 

People encourage cash backs through payment gateway integration in the apps. As there are two benefits it makes the food cheaper, and secondly, it makes the second order at half price. People will tend to use your app for such an advantage.

For instance, iFood app gives $15 to earn each day through an app. When a user buys food for $30 through a QR code present in the app, he gets a cashback of $15 (only once a day) on that order and is gathered in his payment wallet. Thus earning and eating makes the app more engaging.

In a Nutshell

After studying these 3 lessons of iFood, food delivery app development, we hope that you are able to refine your Uber for food delivery app idea. If you want more clarity on the on demand app solutions, you can cross-verify it with us. 

The food delivery app genre has a lot to offer as with each passing day, there is an increase in workaholism which does not leave any spare time to perform daily chores. In the old days, there was no economic imbalance, no one used to dream about a high lifestyle, but now, it is a completely different scenario. Thus, there is more need for instant online app solutions. 

If you have any query or confusion regarding food delivery app development cost, how to integrate an online food ordering system in your business, being a leading mobile application development company, we will consult you without charging a single penny. Just fill our “contact us” form with your requirements, one of our sales representatives will connect with you soon.

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