Placing an order to taste the culinary staple like Peri Peri Chicken at home or a basket full of items for households – a delivery app makes it simple. Delivery app business remarkably gives a starting point for new-age entrepreneurs to launch their venture.
Often when you start with a research, too many jargons can gobble the idea of a delivery startup right at the beginning. We don’t want to nip this wonderful idea in the bud. This blog covers the fundamentals of the business that you need to begin with. Let’s get started!
Delivery Business Idea
First of all, you’d need to think of what you can sell on the platform – is it fruits and vegetables? Or tasty food platters? Does it matter for grocery delivery? Will the demand for liquor & beverages be too high? How about delivering water or medicine? What if you can take the whole lot?
South Africa has a phenomenal hyperlocal market for the aforementioned category types. Consider these categories for fulfilling on-demand delivery, such as within 30 minutes to 1-hr. If you are confused to take all, just begin with a single kind to gauge the popularity.
Recommendation: Food, fruits & vegetables, groceries, alcohol, etc. has a big market.
Inventory of Items
Customers would want to see an inventory where they can find easily available items. If your delivery app doesn’t offer them, it’s something you should work upon.
To help with that, you can conduct research on commonly purchased items online or offline. Guess what’s more interesting? Talk to family and friends, they shall give you a picture of what people like to shop a lot.
Build a solid inventory from time to time and upgrade items by checking in the latest buying trends, consumer behavior, pricing changes, competitor offers and so on.
Recommendation: Even a small inventory can start well if they are in great demand.
Delivery Apps for Business
A lot of searches using Google on “how do I create a delivery app” has created great excitement. Though creating or developing an app by yourself is a great idea, it may not be feasible immediately for two reasons – time & cost.
Of course, you can put yourself in the shoes of a developer, pursue a developer training and develop the apps – especially to enhance your skills and career scope. But, again, it may take a good amount of time to start from scratch.
On the other hand, white label delivery apps facilitate an ideal alternative. No expensive investments or hardcore training – a ready-to-start platform allows you to launch the applications easily. Basically, the app functions to help with the following:
- Collect & manage orders
- Track & deliver orders
- Lucrative offers
- Branding & reach
Recommendation: Consider white label delivery apps with a suite of necessary features like order management, delivery tracking, digital wallet, repeat order, etc.
Payment Integration
Payments via Cash on Delivery and Online Payment Modes are accepted in different South African regions. Both options being convenient from a consumer point of view, a payment integration makes it simpler for you to collect and keep track of payments.
Different payment gateway options are available in South Africa, which includes:
Delivery Partners & Integration
Hiring good and reliable delivery drivers is one of the key factors to focus upon for the delivery app business. Having a network of delivery partners result in high-quality delivery yet may prove expensive if the business doesn’t expand proportionately.
So, considering one of the following options:
- Payroll – Delivery partners on a monthly payroll.
- Per-delivery – Payments made to delivery partners on a per-delivery basis.
- Delivery integrations – Partner with existing delivery or logistics partners.
Recommendation: Option 1 & 2 weigh equal based on existing market requirements. If followed by critical observations and analysis, option 3 is quite easy to substitute work yet less rewarding towards profitability.
Business Model & Earnings
The delivery business thrives on different models of earnings, mainly covering:
- Earnings on delivery services
- Commissions on sale of items
- Advertising & marketing
Followed by streamlined execution, a delivery app business model achieves palpable success and profits through on-demand deliveries at the customer’s doorstep.
Recommendation: Utilize each model in a well-balanced manner to earn profits.
Marketing & Advertising
Reaching out to people will help you gain a positive word of mouth at the start. But, you also need to take certain steps along the way, which includes:
- Introductory discount offers
- Social media marketing
- Influencer marketing
- Reward programs
Remember, budgeted investments powered by smart marketing strategies effectively earn great publicity rather than heavy investment on poor marketing tactics.
Recommendation: Intro offers, special promotions, social media outreach and word of mouth works right at the start to shore up app downloads.
How do I shape my business to achieve great success in this niche?
As it boils down to the quality of services and customer satisfaction rendered, your business mainly thrives in this niche with:
- Timely & accurate delivery
- Discount offers
- Prompt customer service
- Grievance redressal
- Response to feedback
Launching into the untapped market shall yield impeccable results, in terms of profitability, brand recognition, increasing sales and revenue generation.
Want to launch your very own delivery apps? Quickly connect with us at +91-8456955615.
