Grocery App Development Cost: Everything You Need To Know

As the online shopping and on-demand industry provide convenience to customers, the demand for a grocery delivery app is rising significantly. A grocery delivery app helps users to get their selected grocery items delivered to their doorstep in a short amount of time.

The pandemic has the greatest impact on grocery delivery apps. Before the pandemic, there were 3% - 4% customers who used an online grocery app. But during and after the pandemic, the number of users rose to 10% - 15%.

An online grocery delivery app comes with lots of benefits for businesses. That’s why many entrepreneurs have started opting for such applications. Due to the increase in competition, it is hard to find a company that can build/develop/create an online grocery app under budget. That’s why we bring you the guide for grocery app development cost. In this blog, you will learn the cost breakdown for app development for online groceries, elements that affect costs, a checklist for choosing a grocery delivery app development company, and many more. Let’s get started:

Future Of Grocery Delivery Apps

Let’s take a glance at the future of the grocery delivery business through some stats:

• The overall revenue in the grocery delivery business is estimated to reach $627.30 billion before the end of 2023.
• The income shows a CAGR of 16.11%, expected to result in a marketing volume of $1,140 billion before 2027.
• The ARPU segment for the grocery delivery business is projected to reach $449 by the end session of 2023.
• User penetration in online grocery business can rise to 18.2% in 2023.

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How Much Does Grocery App Development Cost?

Grocery app development cost ranges from approximately $8,000 - $25,000. The final cost of the app can vary based on the specifics of the app development process provided by the client, such as app’s size, operating system, additional features, and third-party integrations.

Let’s go through the cost breakdown for grocery app development to understand the cost factors in depth

How Does App Size Affect Grocery App Development Cost?

An application’s size has a huge impact on development costs. Multiple screen apps require an additional workforce to complete the task, which can result in a hike in the cost of development. For a better understanding, see the mentioned table below:

App’s Size	App Screens	Cost
Small App	15-25	$8,000 - $12,000
Medium App	30-40	$15,000 - $25,000
Large App	45+	$30,000 - $60,000+

The size of an application depends on a business model, target audience, and number of features and pages.

Cost Breakdown According To The Region Of Development

The app development cost also depends on the region where the application will be developed. Here is the cost breakdown according to region:

Region	Cost/hr
USA	$80 - $100
UK	$70 - $85
Europe	$65 - $75
Australia	$60 - $70
India	$25 - $50

We offer our clients an exclusive hourly rate of <$25/hr. We help companies to avail a grocery app that falls under budget.

How Does App’s Platform Affect Development Cost?

Your choice of platform significantly impacts the cost of grocery app development. For instance, a single-platform app can cost less, but having a hybrid and cross-platform application will cost more.

Platform	Cost
Android	Starting From $10,000
iOS	Starting From $22,000
Cross-Platform	Starting From $30,000
Web	Starting From $40,000

Now, you can choose what type of platform you want to choose according to your budget.

Advanced Features Of Grocery Delivery Apps

To stand out from your competitors, it is important to have top-tier features on your online grocery app. You can also decide on custom features to meet your customer’s pain points and gain an edge in the market. Remember, custom and additional features can increase the development cost as it requires paid frameworks and technicalities. Let’s see some advanced features that are important to have in a delivery app like Instacart:

GPS Tracking

This feature helps a user to track the live location of a delivery partner with other information like estimated time of arrival, call & chat options, and details of the delivery person, etc.

Behavior Tracking

The behavior tracking records every user activity on the app and suggests new products every time they visit. 

BOPIS (Buy Online and Pick-up In-Store)

The BOPIS feature will help users book orders and schedule pick-up from the store at their convenience.

Cart Sharing

The cart sharing feature helps multiple users manage a cart at once. It provides an opportunity for shops to generate more sales.

Wishlist

This feature lets users list their favorite groceries and keep them in a titled category. It will also allow them to buy all items by shifting them into the cart.

Schedule Delivery

The scheduled delivery feature lets users decide their delivery time and date. Users can also schedule a time and date for grocery pick-up.

Rapid Delivery

Users can choose a rapid delivery feature that alerts a vendor about a priority order while checking out. Users pay an extra amount to try this feature.

E-Wallet

An integrated e-wallet will let users add money only for grocery purchases. It can help users to manage their monthly budget & expenses.

Multiple Payment Gateways

With this feature, users can pay by various methods like credit/debit card, UPI, Amazon Pay, Google Pay, and PayPal.

Access Control

Admins can easily add, replace or modify a user profile on the platform thereby having complete control over who has access to the marketplace and who doesn’t. Our white label grocery delivery app is rich with every necessary feature required to run an app. Apart from this, requests for any custom feature can charge approximately $20,000. Hence, the requirement for an additional feature can cause a hike in overall development costs.

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Business Benefits Of Grocery App Development

Developing a grocery app comes with lots of business benefits. It can provide many benefits and help you conduct your business comfortably. Let’s know some benefits of having a grocery delivery app.

Brand Awareness

A business owner can easily engage with more customers by offering loyalty programs. You can also create social media accounts with your brand name and reach your target audience by using hashtags. Sponsoring local events and collaborating with local grocery stores are some of the best practices to increase brand awareness. Let’s go through more ways to boost awareness:

• Offers users reusable delivery bags so that it reminds them of the grocery business every time they see it.
• Create a unique packing experience by analyzing modern trends.
• Insert a thank you card with the name of the customer and launch a social media campaign to boost business awareness.

Cost-Effective

An online grocery delivery business is a sustainable and cost-effective business to start. By developing an online app, you can reach a broad audience quickly. You don’t have to establish a physical shop and invest in groceries; you have to connect vendors, register them into the app, and start generating profits.

Business Scalability

An online grocery platform lets business owners expand their product lines or create new categories. In this way, a grocery business can increase its products from time to time, due to which it is successful in attracting new customers. Offering loyalty programs to frequent customers also helps in business scalability. For instance, Kroger and Albertsons have launched eCommerce memberships with discounts and perks in return for an annual fee.

Money-Making Model For Online Grocery Business

The revenue model for your online grocery business depends on the chosen business model. But here are some common ways to make money from a grocery delivery app:

Commission

Charge commission on each successful sale from your platform. You can determine the amount that can be taken from the sales. This revenue strategy is only applicable when an entrepreneur runs their business on conditions of a multi-vendor marketplace. It can be a fixed or unfixed amount percentage that can be adjusted according to the business strategy.

Subscription Membership

You can demand a subscription membership fee from your customer in return for some exclusive app features. For customers, you can offer them subscriptions in return for benefits like priority delivery, scheduled delivery, no delivery charges, bulk orders, vouchers, and coupons. The payment made to purchase a membership is directly credited to the admin’s account. It helps admins maintain recurring payments in their business.

Service Charges

You can ask vendors to pay for service charges for using your platform if they haven’t purchased your membership. This will stimulate them to buy the membership to avoid paying service charges.

Promotions

In order to stand out from your competitors, When users search for groceries, multi-vendor stores have to pay extra to appear at the top. You can also group this revenue model in membership to increase the chance for subscriptions.

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Our seasoned developers are experts in tailoring high-end grocery delivery apps with first-grade features, next-generation UI, and built-in security. Start your journey with us now.

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Tech Stack We Use To Develop A Grocery Delivery App

Our expert team of developers is aware of every contemporary technology that is required to develop a cutting-edge online grocery app. So here is the tech stack we use:

Programming Languages	UI/UX	Cloud & Notifications	Backend & Database
Kotlin	Photoshop	AWS	Redis
Java	Illustrator	Xamarin	Cassandra
XCode	After Effect	Firebase	Elasticsearch
Objective C	Sketch	PushWoosh	PostgreSQL
Swift	IN Vision	Heroku	Node.JS
Android SDK	Flinto	Azure	MongoDB

How Does Hyperlocal Cloud Help You Develop A Grocery App?

Our grocery app development cost comes under budget and offers numerous features and functionality. With 13+ years of experience, we are professional in creating every type of on-demand app that can revolutionize any business. We have a 150+ team of developers who are well-versed in dynamic technologies to create a grocery delivery app. We have served 1250+ clients worldwide and helped them uplift their businesses with mobile apps, online platforms, and clone apps.