On-Demand Business Models: Your Catalyst to Start-Up Growth
In the dynamic business landscape, on-demand business models have emerged as a game-changer for start-ups, revolutionizi [...]
How Much Does it Cost to Create an App Like Instacart?
Are you tired of buying groceries while leaving the comfort of your home? Performing this operation every day is a boring task. Also, people nowadays are busy with work and hardly get time to purchase groceries. The grocery delivery app has acted as a boon for people like these. One can order groceries anytime at their convenience and also check the prices online. It's a great way for users to order the items in just a few clicks and receive them in a few hours. Many grocery apps are available such as FreshDirect, GoPuff, Shipt Shopper, etc. Out of all, Instacart is the one that enjoys the maximum popularity.
Before going into the details of the cost estimation of a grocery delivery app like instacart, first have a brief knowledge about what exactly Instacart is, why it's popular, and what features it possesses.
What Is Instacart?
Instacart is an on-demand delivery app founded by Apoorva Mehta, Brandon Leonardo, and Max Mullen. This application has different categories: food, pantry, seafood, dairy, baked goods, frozen food, alcohol, meat, liquor, etc. Simply talking, it is a grocery delivery service that allows shoppers to purchase for the customers and then deliver it to their homes. Its popularity has made it one of the USA's widely known grocery delivery apps.
Stats On Instacart For Your Grocery Delivery App Development
- Instacart has increased its shopping with 200,000 new additions.
- Instacart has also expanded its reach with a tie-up with 30,000 stores and is still growing to add more.
- More than 500M products have been enlisted in the Instacart app.
- Instacart is available in more than 5500 American cities, and about 85% of US houses order from it.
On-Demand Grocery Delivery App- Business Model
A business model is basically a plan that every firm creates to generate money. Such a business model has a definite set of strategies that are beneficial from the business perspective. It helps them in framing policies that are helpful in generating revenue combined with product promotion and generating sales.
From the on-demand perspective, there are three business model categories.Let's discuss them briefly here;
Multi-Vendor Marketplace Model
The online grocery marketplace has become a massive success, and it is only due to the multi-vendor marketplace. There are several platforms that don't keep their own stocks but place them on the multi-vendor marketplace. These act as the bridge between the store owners and the customers. It is a perfect place for purchasing groceries straightway from the stores. So, no difficulty is faced as per shipping is concerned. This is because this shipping department is directly managed by internal logistics.
Shopping Model
Another prominent business model is the shopping model. Here, the user does not have the power to pick the grocery shops of their choice. Whenever the customers place an order, the platform automatically sends the request to the vendors that supply those items and eventually sends them to their respective destinations.
Hyper Local Marketplace Model
Such a business model helps in fulfilling the customer's demand quickly. The delivery takes place from nearby stores through an online platform. Here, the delivery of the food items includes groceries, alcohol, beverages, food, etc. This includes the market, which has reduced items, is practically self-sufficient, and caters to the needs of the locals. It is based upon the strategy of supplying the end product to the users in a short span of time.
Ecommerce Business Model
This ecommerce model is the best way of generating revenue via multiple channels. The subscriptions, service charges, merchandising, promotions, and so on helps in making more sales. The on-demand grocery apps utilize the network of personal shops to pick up and deliver the items to the customers. They can simply place an order for their favorite items through the dedicated app and then perform shopping. The products are delivered on the same day and within the scheduled time.
How Does Instacart Works
The first step is user registration and sign-in, where the user creates their account. After signing in, the user can search for the desired products and order them. Once the payment is complete via an online payment portal, the seller receives the order and prepares for delivery. Admin will monitor the commission share and transfer the payments to the grocery store. The grocery store will confirm and deliver the order straight to the customer through the delivery personnel. Likewise, the seller can also list items and update stock via the seller app.
Revenue Model
Commission
Several commission charges are levied on various goods. These charges depend upon the products in trend, basically in demand.
This revenue model is implemented when other facilities are offered as per the subscription plan.
Service Charges
Profits are earned through online stores whenever a transaction takes place.
Advantages Of A Grocery App Development
Let us have a look at some of the reasons why business owners need to invest in grocery app development.
Low Room For Operational Errors
Automation reduces the chances of errors, while manual deliveries have a high chance of them. Through a grocery delivery app development, easy navigation for your customers can be facilitated.
Multiple Payment Gateways
Through a grocery delivery app development, companies can offer their customers a chance to pay via seamless payment modes. As per the advanced payment modes, the customer can pay via multiple online modes.
Groceries At Any Time
With an app development like Instacart, groceries will be delivered to your customers at any time of the day.
Loyalty Programs
Customer loyalty is an important aspect of grocery delivery app development. As building customer relationships is a timely process, only a great app service can increase client retention.
Mobile Advertising
The grocery app development will increase the potential of mobile advertising. There are a lot of people who will search for local stores on their phones and find it hard to get timely grocery deliveries directly from them. Through the app, however, the delivery will be more organized and guaranteed to reach the customer's location in time.
Features Included In The Grocery Delivery App
The features to be added to the grocery delivery app vary as per the customer, delivery boy, and vendor. This is because the role of all these is distinct. If you want to be at the top of this niche, you must add functionalities that are much better than instacart. Also, they must work at a top-notch level.
Customer App
The customer app will include all the features that make it look exquisite. More emphasis is made on the user interface and the experience. No compromise is made on that. Some of the features are stated as under;
Sign -Up
The basic feature is to make a person use the app, so the sign-up characteristic is extremely important. For that, the customer needs to fill up the details like email and phone number. Now, there is another option where social media integration helps in the smooth login of the application.
Search And Filter
There is a search bar that helps the customers in searching for particular items. The filter options remove the unnecessary things that the user doesn't want. The combo of these features is the best thing ever.
Tracking Orders
The constant updation of the items is the requirement of the customer. They want to know where their orders have reached. For that, the customer is updated about their order status in real-time.
Vendor Panel
The vendor needs to have proper handling of the items, orders, and discounts that are applicable to the products.
Order Notifications And Management
The vendors get to know about the latest orders in real time. The facility is also offered to the vendors to add orders, make a proper listing, check the status, and monitor everything regarding the amount.
Tracking Payments
The vendors can add their account information and view any pending payments.
Rejecting Orders
This feature is handy if the item is unavailable or out of stock. So, if the order comes, this attribute clearly rejects the order.
Delivery Boy App
The Delivery Boy App streamlines deliveries, ensuring swift and efficient service. Track orders, manage routes, and enhance customer satisfaction
Order Request
It facilitates the delivery boy to decide on accepting or rejecting the request, depending upon the availability/non-availability of the item.
Route Optimization
This feature shows the best route, i.e., quick and shortest at the same time to reach the destination.
Chat feature
In case of any issue the customer faces, this feature allows smooth communication between the driver and the customers.
Smart, Affordable, And Fast Grocery Delivery App Development Solutions
Tech Stack For Grocery Delivery App Development
The grocery delivery app developed by Hyperlocal Cloud will be built as per the latest tech stack. Our seasoned app developers have all the right knowledge to develop a top-notch delivery app. Let us have a look at some of the latest tech stacks:
Programming Languages
Kotlin And Java Are The Best For Android App Development, While Objective-C And Swift Are Best Suited For IOS App Development.
Toolkits
Android Studio Is Well Known For Its Commendable Code Editing, Debugging, And Highly Flexible Build Environment.
Apple Xcode, for Apple iOS apps, is also integrated with support for Git repositories.
SDK
Multiple Components Are Available For Android App Development, Along With Third-Party Add-Ons.
For Backend — Python, PHP, and ROR
For Database — MySQL
For Location Tracking — Google Maps
Get a free consultation to discuss your specific needs and budget.
Cost To Create A Grocery Delivery App Like Instacart
The cost of a grocery delivery app like Instacart depends upon numerous factors. some of them are illustrated as under;
Depending On The Location
Location plays a key role in deciding the budget of the grocery delivery application. So, while starting the development process, the location of the developers is kept in mind.
| Location | Development Cost |
| Europe | $50 per hour -$120 per hour |
| US | $60 per hour- $150 per hour |
| India | $10 per hour - $80 per hour. |
Development Process And Complexity
The grocery delivery app development process is a sequential way of performing development activities. It includes everything from project ideation, research, planning, development, designing, quality assurance, launch, post-maintenance, etc.
| Development Process | Basic App | Medium App | Advanced App |
| Research & Planning | $1000-3,000 | $3000-$5000 | $5000+ |
| Designing & Development | $2000-40,000 | $45000-60,000 | $80,000+ |
| Testing | $5000-10,000 | $10000-15,000 | $15,000+ |
| Launch & Maintenance | $2000-5,000 | $5000-10,000 | $10,000+ |
| Business Analysts | $2-4,000 | $4-8,000 | $8000+ |
| Project Manager | $4-6,000 | $8000-10,000 | $10,000+ |
The important thing is that this is just an estimated price. Depending on your requirement, the budget will be fixed.
It's true that the complexity of the app design and the integrated features will play a significant role in determining the development cost. If the app has a simple design and basic features, the development time and charges will likely be lower. On the other hand, if the design is more advanced and customization is required for the features, additional charges may apply.
In addition to the design and features, the overall development process involves various stages and individuals such as business analysts, consultants, project managers, salespeople, marketers, and more. Each of these individuals contributes to the development process and has their own associated costs.
It's essential to consider all these factors when determining the budget for a grocery delivery app. It's recommended to consult with a development team or professionals who can analyze your specific requirements and provide you with an accurate estimate based on those needs.
Why Choose Hyperlocal Cloud For Grocery App Development
With 13+ years of experience in app development, we are a team of specialists that know how to produce output in a shorter time. Our developers can build the apps from scratch or use white-label solutions. It completely depends upon the client's needs. Our analysts are the best person that will unravel the complications present in your project. On that basis, the cost breakdown of the grocery delivery app will be framed.
We dissect everything from top to toe and then perform cost projections. We follow a transparent pricing model where you will know every minute thing regarding the expected outlay. Hyperlocal Cloud has kept the horizon for personalization with respect to the features, designs, interfaces, and platforms. The only thing that you need to do is to share your idea of a grocery delivery app and let us take care of everything.
So, what are you waiting for? Step ahead, connect with our team, and initiate your grocery delivery app development journey.
Conclusion
Certainly, grocery delivery apps indeed have significant potential in the current and upcoming years. To ensure the success of your app in the market, it is crucial to focus on incorporating both sophisticated and basic features while ensuring a bug-free performance.
To achieve this, partnering with a reputable app development company like Hyperlocal Cloud can be beneficial. With their expertise gained from working on over 100 projects, their team of expert app developers can provide top-notch app development services. They can offer constant updates throughout the app development journey to keep you informed and involved.
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