How to Make On Demand Delivery App for Your Business [Simple and Complete Guide]

1. Introduction

Being an on-demand app development company, we receive a lot of questions and inquires related to on-demand mobile app solution from the different delivery businesses. Today, we are writing a post so that we can share it with all our clients who want to develop on-demand mobile application in future and we are also making it public so you can get the basic idea and clarity for on-demand app business.

On-demand apps are a luxury in disguise.

On-demand has been an in-demand industry trend and is a constantly evolving concept.  With the wave of Uber and apps like Uber, there are now delivery services for unimagined sectors. Whether you want to order a cheeseburger or want a medicinal refill, demand what you need, using the right app for it. 

In fact, we have observed a constant growth increase in the interest of “delivery apps.” And thus, prepared a complete guide on on-demand delivery app development for the curious delivery startups and entrepreneurs.  

on demand delivery app

The on-demand app world has widespread horizons and if you are planning to enter with a delivery management app, it is very much necessary to build a competitive delivery app. 

First things, first! Validate app idea before marching forward into the ocean of app development.

2. Research and Validate

The reason behind the idea validation is, your “delivery app for anything” should discover its target audience’s needs and potential market more accurately, which saves time and money. By adhering to these simple rules, you can get a rough vision of future app prospects and growth potential.

  • Verify the needs of the target audience

 If you are planning to develop an on demand delivery app, verify that your app satisfies the actual pain points of the users. Study the needs of your target audience and make them a core ingredient of your app offering.

You can use online surveys, share your idea as a query on social networking focus groups, use the forums. In short, users should clearly confirm they are ready to spend money on it. This will only happen when their real-time hustle is met by your app offerings.

  • Analyze your competition through app stores:

 Keep a close eye on your competitors. App stores are a place which will give you new ideas, competitor’s mistakes, customer feedback, ratings, and consistency of their technological evolution. 

If you are going to develop an app for only one platform from iOS or Android, it does not mean that you will ignore the other. Spend some time on the other one too, you never know which idea struck surfing in the app world.

  • Post your idea on Product Hunt: 

Make a page of your mobile app idea to get feedback from an engaged community on Product Hunt. This website is known for new technology products and is a great platform to assess the popularity of any startup idea. To create a page, you will have to draft product description, desktop icon, good visual content, make your personal account to answer all the queries and discussion questions.

  • MVP app development: 

Minimum Viable Product (MVP) is an app developed and launch with a limited set of functions. Track your audience’s response to it and collect feedback from first users. Try to sell your app, by developing a basic version in a minimal budget.

Nowadays, the main question is not how to do something but whether it should be done at all? Before investing big, make your ideal idea stronger by these validating steps.

Let’s move on to our next stop.

Features that can leverage your idea and can make your app relatable.

3. Important Features

In this outrageously growing on demand economy, we have gathered some features for the driver’s app, customer’s app, and admin’s web app in a generalized form which can be used in  on-demand mobile apps development.   

Customer’s App Features

  • Registration- A simple and easy registration using social media account or an email can easily help users manage their account. The phone number based registration is a good option for an on demand delivery courier app or delivery alcohol app. This can also maintain business data for on demand delivery companies. 
  • Real-time tracking- The GPS tracking solution feature, builds trust among the users for the app. This allows users to track the status of their order and ensures fast reliable service.
  • Payment gateway integration- This feature is a great convenience to the users. They can pay on the spot and can get an instant receipt for it. The payment gateway integration needs to be safe, reliable and fast like Paypal & Stripe. You should also consider offering multiple payment options including COD, eWallets, net banking.
  • Reviews & Ratings-  The review and ratings are actual feedback on which a service provider has to give more efforts. Now, the users can share their service experience and can rate the app as per the overall functionality of the app. It is sought of a report card for the entrepreneur.
  • Push notification- The most important feature of an Uber for delivery is “push notification”. The notifications spread awareness about promotional offers, the launching of new services, and the like alerts. It is a constant brand recall for users and smart feature utilization for delivery app startups.

Driver’s Feature 

  • Accept & reject request- The drivers are the core resource when it comes to delivery service app. Their service counts in the business goodwill, thus it is apt to give them authority to accept-reject request within a given time period.
  • Service details- The app provides delivery drivers with customer contact, performance, service histories, earning, and related statistics on their dashboards.
  • Optional Availability- The service provider can choose their availability. They can get available to offer their service, at their own will. Thus, they earn as per their availability.
  • Earning tracker- The earning tracker helps the driver in maintaining his finances and can plan his working day accordingly. A service provider can also integrate commission earnings as a sub-feature into the app, for an extra income.

Admin Features

  • Efficient user management- The admin can handle all the customer activity, right from payments, discounts, or any online query. Thus, it allows easy access to the administration, which can help maintain the company’s goodwill.
  • Manual or automatic algorithm- The last-mile delivery software must have an efficient “matching algorithm.” The automatic algorithm matches a suitable driver as per the customer requests. The manual algorithm needs an admin who can analyze and select a suitable driver for a particular request sent by the customer.
  •  Manage driver’s ledger- The admin can manage commissions, incentives, earnings, and penalties. This track record feature makes smooth profit sharing, which results in efficient service and customer satisfaction. 
  • Real-time analytics- Real-time analytics helps admin to view the insights of app-based services and its usage among the users. A company can easily make out the loopholes, as the analytics can show the exact area that needs to be improved.

These are some of the main features which an on demand delivery app should necessarily integrate for effective functionality. But the question is how to be sure that the integrated features will work for you and the users? Next up, is the answer to it.

4. Features to Integrate

Every app has a specific purpose that it serves to the targeted niche. There are some questions that you should ask yourself while planning the features.

  • Will these features make the user’s life easy?
  • Are the features satisfying the main aim of the users’ of the app?
  • Will my application take more loading time if I integrated this particular feature?
  • Are these feature in my budget?
  • Are the features matching the user perspective?

Put yourself into a consumer’s shoe and meet his daily struggling points. Integrate those features which are easy to remember and solve their purpose in minimal taps. No one wants a cluttered and confusing navigation app. 

We have curated 3 steps for you as “check-points” during your feature integration process.

Step-1 Prepare a checklist- Jot down your ideas related to features and their functionalities. Approach an experienced mobile app development company and cross-verify your ideas.

This will eliminate the unnecessary ones.

Step-2 Budget Planning- After the elimination, you will be having important features to integrate into the app. Run a budget analysis to know whether it is a viable option or not. If it sets in your budget, commence for integration or you can search for alternative options to fit in your app’s budget.

Step-3 User acceptance test- Through this test you will come to know the actual difficulties faced by the users while using your app. Give your users a chance to interact with the app for a short period and take their feedback. This can actually improve the workings of your apps and its features.

We are sure that if you follow these steps thoroughly, you will never invest for a wrong set of features that results in unsuccessful app development. After evaluating the features that you want to integrate, you might have a question about its cost. Right?

Not to worry. We are here at your rescue.

5. Estimated Cost

The app development cost is majorly based on which platform are you opting for and the hourly charges of the mobile app development process. For more clear idea we have prepared a formula which will give you a rough estimation for your app.

Suppose that the mobile app development company is charging $30 per hour.

Apply this simple formula.

Estimated Development Hours * Developer’s Hourly Cost = Total Mobile App Development Cost

Deliverables Basic Features Estimated Man Hours
(iOS/Android)
User’s Application
(iOS/Android)
1. Registration/ Login 15
2. Push Notification 6
3. Real-Time Tracking 18
4. Payment Gateway Integration 10
5. Search Filtration 8
6. Delivery/ Pickup 20
Subtotal: 77
Driver’s Application
(iOS/Android)
1. Accept-Reject 10
2. Earning Tracker 18
3. Availability (Online/Offline) 6
Subtotal: 34
Admin Web Services 1. Algorithm (Manual/Automatic) 40
2. User Management 20
3. Driver’s Ledger 30
4. Analytics 60
Subtotal: 150

We hope that you are able to calculate and decide the developing of your delivery app.

6. Guide to Technical Part

After cost estimation and feature identification, you will have to decide on which platform will your app work. Normally apps are deployed on both the platforms to obtain wider options. 

“Survival of the fittest.” The saying fits in well when it comes to the competitive app world. Technical partners like us, who have a creative development team of over 200 iOS app developers and Android app developers can create immense business opportunities for you.

We have been in this app world for 9 years now, and are striving to cross boundaries with more on-demand apps. You have to just be clear about the solutions that you want to provide with your app features. Rest all technicalities is the job of a mobile app development company. Now, moving ahead, let’s have a look at the different businesses that require on-demand delivery apps to flourish in the market. 

7. Businesses which needs on demand app

#1 Courier service- Uber for courier can help in peer to peer delivery service. It can help people to courier stuff from their location to another. It saves a lot of time and efforts, thus a mobile delivery app like Postmates can bring convenience to the users. Courier app can be made for laundry delivery services (Rinse), beer delivery (DoorDash), grocery delivery (GrubHub).

#2 Transport and logistics service- The ever-evolving transport industry has an immense opportunity for Uber alternatives. After Uber, apps like Uber, Lyft, Hailo, Bla Bla Car have made their success marks and still counting. With the population explosion, the taxi and truck service segment is going to expand. Thus, you can go for Uber for trucking or Uber clone app development.

#3 Food delivery service- Food delivery apps like Zomato or UberEats have changed the food delivery service segment. Online food delivery is encouraged by users, as after a long day at work, everyone likes ready to eat food. Thus, the segment is crowded but provides on demand solutions and has a lot of opportunities like taxi industry.

#4 Moving and furniture delivery service- The shifting business can also use delivery apps. It can be the best delivery tracking app for users. The company can also easily manage its fleet management solutions to avail effective business and efficient task completion like Lugg or Dolly.

#5 Healthcare service- Nowadays there are medicine delivery apps, healthcare apps which allow professional health care service at home. Users can track in real-time their ordered medicines or doctor’s commute time.

If you are serious to create your own on-demand delivery app, you should consider these industry segments as they are the most profitable and successful till date. 

Now, let’s check out how do on demand delivery apps make money, which will help you in your revenue-generating model. 

8. Monetize Your App

Here are some of the monetization ways for your on demand delivery apps.

Delivery Charges

No restaurant wants to keep its users waiting long for food. Your delivery management app can be their logistics partner and avail revenue from the delivery fees. Now, the fees can be kept hidden inclusive in the item or you can go for a flat fee charge. Such on-demand apps can give benefits to your on-demand delivery companies by delivering medicines, groceries, or food.

For instance, Postmates get more than 90% of the profits from delivery charges. They also have special discounts like $3 from $5 to engage more audience on their online delivery app.

Interest from merchants

You will tie-up with a bunch of merchants for your home delivery app. Being their potential partners you can convince restaurants to work on a percentage basis. Your service is adding up to their company’s revenue, thus from the total bill certain percentage can become your source of income. 

Peak hours

This monetization approach lets you play around with the delivery app. You can easily limit the menus, locations, and can raise the prices for peak hours. For instance, UberEats works with this business model for revenue generation. The users have to purchase at the given prices as they cannot bargain nor are willing to visit the pick-up place. Remember, change the prices when there is maximum demand in the market on your portal.

In-app paid features

Now, there are freemium models or paid features in the app that can be directly purchased by the users to avail special benefits. Those benefits can be free delivery services, combo packs, free servicing options, whatever is profitable to your business. Study the price structure to make it relevant for both the parties. 

In-app advertising

The apps like Seamless and Zomato have successfully generated revenue from the in-app advertising delivery app solutions. You as an on demand delivery app builder can lure your merchants into marketing tactics. Advertising is the pioneer of marketing, an in-app ad will give them more exposure compared to their other competitors on the app. They can be the first one to address their targeted niche. Show them other benefits on how on demand apps can change the face of business.

on demand delivery app

Now let’s dive into the current delivery service apps who are booming in the on demand app stream.

9. Best On Demand Delivery Apps

We have curated these on demand apps country wise so that you know the actual trend that the users are engaging too.

U.S.A

  1. Uber- This ride sharing economy has disrupted the transportation industry as much as Steve Jobs for the IT sector. An app like Uber has given a new approach to the logistics service and thus is a convenient form of commute for the U.S. residents and tourists.
  1. Drizly- On demand apps have opened doors for all kinds of “delivery at your doorstep” genre. Alcohol delivery app, Drizly, is the most popular app for any kind of booze orde. Their Uber alcohol delivery completes orders from 1 to 1000s of liquor bottles at a time.
  1. Postmates- This on demand delivery app firstly was created with an idea of delivering different kinds of goods. Eventually, as they saw the growing demand of food sector, they switched to food deliveries and have become an unbeatable food application of the time.
  1. Soothe- An on demand massage app, Soothe, provides the right quality of relaxation at home, office, or hotel. Soothe massage, has certified and licensed therapists. The convenience of this app is its policy of anywhere, any day, spa availability. The users check availability and real-time tracking of the therapist arriving at the location.

Canada

  1. Datenight- The on demand babysitting app, Datenight, connects busy parents with local babysitters. The delivery app delivers reliable babysitter for the child and allows parents to pay via credit card, saving parents the last-minute dash to the banks. The babysitter apps have become an in-demand trend to meet otherworldly desires.
  1. Go Fetch- The dog walking app connects to perfect walkers, and allows scheduling dog walks, daily appointments, with all insured walkers. Payments are made automatically through online transactions. 

Australia

  1. DiDi- The rideshare app is a fast and reliable taxi solution who has landed down Uber services. The app allows taxi and private car services and is known for its accurate pickups and drops. 
  1. Foodora- This is a premium food app, which serves the best cuisines throughout Australia. The app has a curated list of best restaurants and follows the streamlined process of ordering and delivering food.

UAE

  1. CAFU- The on demand gas delivery app, CAFU, is a reliable fuel delivery platform for customers. It is fast, safe, easy-to-use fuel delivery app, that delivers quality petrol at the user’s home, office, or anywhere where the car is parked. 
  1. Talabat- It is a food delivery app for the Middle East. The name itself means “orders” in Arabic and it orders food delivery orders very well. The fastest on demand food delivery solution that makes every big order reach on time with its fleet management skills.
  1. Keno- A car wash app, which provides the best car wash service. The UAE is known for luxurious cars and with it also comes the desert region. Thus the car care industry and car wash industry has an immense opportunity in the Middle East.

Europe

  1. Deliveroo- The food app, helps in ordering food from best restaurants, fusion with quick delivery and takeaway services. The delivery management software of the app makes it the most desired food delivery solution.
  1. Hailo- Hailo taxi booking app, has made the most when it comes to using mobile commerce network. It matched the British technology platforms and is a convenient revenue-generating platform for drivers and 24/7 available option for users.

Thailand

Line Man- The on demand delivery apps have outgrown the app genre. The LineMan app delivers food, grocery, courier, messenger, and taxi services.  A seamless ordering, delivering and payment integration makes it a successful Uber for delivery model.

10. Make Your Own Delivery App

Now, after going through the on demand delivery app business guide, we assume you must have theoretically made the app, ready to launch. A mere idea is not what makes app successful, constant improvisation with current technological trends will let you stay a long time in this hyper-competitive market.

So, cross-verify your on-demand delivery app ideas with us as we are one of the leading mobile app development companies based in India, Canada, and the USA. We have already developed over 40 on demand apps for different categories. Have a look at Glovo, Ninja Delivery, and Lacy delivery apps to have a clear idea. For a more versatile look at our work, you can visit “our work” section on our website.

If still not satisfied then use these apps and test them to know our skills, until you feel we are the utmost choice when it comes to on demand apps.

In any case, if you have any queries related to on demand delivery app development, app development timeline of on demand delivery apps, delivery app source code, delivery app design, get in touch with us through our contact us form. One of our sales representatives will guide you through it. He will not only clear your doubts or queries but also help you to understand the development process of on demand apps. The consultation won’t cost you any money. 

This page was last edited on July 12th, 2019, at 9:48.

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