There’s a simple gadget with which, hopefully, you are reading this blog on. If not, check your pockets or desks, and there lies an electronic device, named smartphones, capable of encompassing the entire world in them. When you look back in time, the introduction of the Internet and the massive reception of smartphone apps happened synonymously. Enter apps like Uber that provided the ultimate convenience of availing services at doorsteps anytime. And it did not take long for other businesses to adapt to this wildfire. Uberisation happened, and the grocery delivery market was no exception.
‘Second fiddle’ can be an appropriate term to describe the status of grocery delivery apps. Until recently (read COVID-19), brick and mortar stores were people’s first choice to shop groceries. With the COVID-19 pandemic propelling people to hibernate in their homes, the search for an alternate medium to avail of groceries was on. You could have, probably by now, guessed the ultimate winner in this regard – on-demand grocery delivery apps!
Following the success of on-demand grocery delivery apps like Instacart, Walmart Grocery, etc., a sea of entrepreneurs is parading into the sector. Do not worry if you are the one with the same intention because you have company. However, sharing the room with elite grocery delivery apps is no easy feat. One needs to hit the bull’s eye with different aspects of developing & launching a grocery delivery app to stand a chance of doing so.
This blog is curated with such an intent in mind. Explore more to unravel some of the fundamental and critical aspects of grocery delivery app development.
The Booming Market of Grocery Delivery Apps – A Glance
Before venturing into any market, it is ideal to analyze market projections and arrive at a reasonable conclusion. Some stats that signify the exponential growth of the grocery delivery market include,
It is to be duly noted that the grocery delivery market forecasted a positive turnaround of events even in the pre-COVID-19 era.
According to a report by Cushman & Wakefield,
Online grocery sales in the US amounted to $28.6 billion in 2019.
The market forecasted a healthy, double-digit CAGR of 20% for the past four years.
e-Grocery sales accounted for 2.3% of the total grocery sales in 2019.
However, COVID-19 appears to be a potential game-changer in every aspect. Online grocery delivery sales took off since the lockdown phase in March.
According to Statista,
Daily download rates of top grocery delivery apps like Instacart, Walmart Grocery, and Shipt surged by 218%, 160%, and 124% in 2020.
Walmart Grocery experienced a maximum rate of 54,000 downloads per day, and Instacart followed closely with 38,500 downloads per day.
According to the Market Intelligence firm, Bricks Meets Click,
35% of US consumers utilized online grocery delivery services by June 2020 – the number leapfrogged by 3X since August 2019.
Market Research – Better Clarity in Approach
After having identified the vastness and the exponential growth of the grocery delivery segment, it is time for you to set foot into action. However, numerous grocery delivery apps are being launched every day, and only a handful of those are becoming successful. If you can identify one common thread among every successful grocery delivery app, you’ll inevitably find a feasible & sustainable action plan. Having profound knowledge on some of the fundamental questions like,
- Who are my target audiences?
- Why should people opt for my grocery delivery app?
- What is my platform’s USPs?
- Who are my top rivals in the sectors?
- What are customers expecting from a grocery delivery app?
If you have answers to these questions, proceed to the next section. If not, here’s a collective term that can help you find answers to these questions – ‘Market Research.’
By conducting extensive market research, you can identify top competitors in your locality and lend your ears to analyze customer expectations as well. Clarity is crucial for any entrepreneur who aspires to venture into the segment where there’s a neck-to-neck competition.
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