The hankering for restaurant-made food items and the most convenient 30 minutes delivery has got all the appreciation from foodies. For entrepreneurs, the on-demand food delivery business is an all-time favoring option.
The latest survey report from Statista reports that the market volume of food delivery businesses will grow at a CAGR of 11.5%. Overall, the market size of the food delivery business will be $154.34 billion by the year 2023.
Grubhub – A compelling food delivery business
Grubhub is a leading food delivery business of this era. The number of smart initiatives introduced by Grubhub has created an impact among other food delivery businesses. Let us see the number of creative offerings provided by Grubhub.
- In order to suffice the hunger of college students in a jiff, Grubhub empowers the delivery of orders through drones.
- Next to this, smart ordering through the all-time favorite Alexa. Grubhub supports ordering through a bunch of smart gadgets like smart TVs, smartwatches, etc.
- Recently, Grubhub has revamped its application by improving its features. Users can know the list of nearby restaurants that provide curbside pick-up in a map view.
- Grubhub+ is a premium membership plan that encompasses benefits like unlimited free delivery and much more.
Let us quickly walk through the three types of food delivery businesses in the next section.
Get to know the three types of food delivery business models
The reason why restaurants collaborate with aggregator platforms is that they get exposure. The core operation of an aggregator-based food delivery platform is to list any number of restaurants in the local surroundings. This list serves as a checklist for users, who would want to find a restaurant to order food. But restaurants cannot depend on an aggregator platform for delivery services. The restaurants have to make the arrangements for delivery services at their own cost.
The logistics-supported model is identical to the aggregator model as far as the concept of listing restaurants. But the plus point for restaurants is that they can avail themselves of the delivery services, which are backed by the platform itself.
In contrast to the above-said types of business models, the restaurant model will operate independently. You will arrange amenities for delivering orders and also develop ordering software.
How to develop a food delivery app within a while?
Perform a simple analysis of the time taken for app development, then you will get to know how time-consuming it is. Instead of going through prolonged app development stages, simply choose the clone solution.
Since we have been discussing the Grubhub app, you can directly choose the Grubhub clone script. By choosing this clone app, you can taper the time taken for deploying your app. If you are questioning how you can reduce the time involved in app development, then you must know that it is a completely ready-made app.
A briefing on how to lay the foundation for your business
Stage 1: Market analysis
This is the first and the most vital stage as you will analyze the marketplace. Analyzing the marketplace is inclusive of identifying and understanding the customers, competitors, and market gaps.
This stage will take time, as a strong foundation will help you build a long-lasting business. For knowing your customers better, start with examining their pain points. Those pain points can be taken as inputs and highlighted in your business.
Stage 2: Business model selection
By the time you start off your business, you would have chosen the business model. Implement the business model that is apt for your budget and target customers. In case you are planning to implement either the restaurant model or the logistics-based model, you need to make the necessary arrangements.
Stage 3: App designing and development
Another crucial stage is the app’s designing and development phase. Incorporating the required features will come under the UX phase. And making the app user-friendly by incorporating icons, themes, etc., will fall under the UI phase.
As we discussed in the above section, the wiser option for your food delivery app is the Grubhub like app development. Choosing such a high-standard clone solution is end-to-end beneficial for your business.
Existing money-making channels in food delivery businesses
Peak hour charges
At times, the demand for certain food items will surge up during peak hours. To balance the situation, businesses generally increase the rate of those items.
Delivery charges don’t carry any standard rates. Based on the location or distance from the restaurant’s location, delivery charges will vary.
Advertisers, either restaurants or third parties make use of your platform for promoting their businesses. Hence, it is an additional money-making channel.
Summing up, if you decide on the business model, then you are all set to start your business with an app like Grubhub. Start soon and reap hefty benefits.