Getting food delivered to your home is a modern convenience that is gaining mortentum. There are so many on-demand food delivery apps in the market, each one closing the gaps that exist and improving the offering for the end customer

Uberization of the food industry and the collective offering has given rise to a new level of comfort. A lot of companies within this segment are competing with each other to gain the top position. Doordash, a $13Bn on-demand food delivery company, recently filed for an IPO confidentially. They claim to have filed the form S-1 with the SEC. At the moment, this company has not revealed the price of the share or the total number of shares to be made available.

With this public listing, the company will be able to gain some capital, which is required to take the next growth jump. The company is currently ranking at the top in the on-demand delivery segment, and recently raised $700Mn in funding. The company has a 38% market share in U.S. alone. 

The IPO will significantly improve the company’s growth mode. 

Let’s take a look at the on-demand food delivery statistics, which will help us understand more about the industry and the on-demand needs.

The Statistics

The annual growth rate for the revenue in the on-demand food delivery segment is $9207Mn in 2020

The maximum revenue is generated in China alone. 

60% of the restaurant operators say that offering delivery has helped them increase their sales. 

Customers who place an online order with a restaurant will visit that restaurant 67% more frequently than those who don’t

With the high influence of the on-demand food delivery startups, and the growth in the revenue of the food industry, it has become even more tough for new startups to penetrate into this market. 

An app like doordash needs quite a good planning effort combined with ideal solutions. To ensure you can create a good on-demand food delivery app, you need to work on the lessons you have learnt from this on-demand food startup.

Lessons Learnt from Doordash

There are a few lessons, which if you incorporate in your app, you would benefit from the solution you get.

In-depth Understanding of the Industry

Whether you are new to an industry or, you have been working on a solution within the industry, you need to have a strong understanding of the segment. With Doordash, they started with understanding the pulse of the customers operating within the industry. They started out on a small scale, and gradually began to grow. The reason being, as a small scale business, you would know the operational issues you might have to face, and while scaling, you would be able to mitigate the issues and be able to find the ideal solution.

When you work around small number of restaurants and begin managing a particular area, then you would be able to scale it better than working on a large number of restaurants all at once. The planning would be better with a small scale, and you would know just how to move ahead.

Be involved in the process

Doordash is a slightly differentiated on-demand delivery startup. It did not leave all the operations and process on the restaurant partner. It involved itself into the operations and kept an eye on how the on-demand segment can work best.

Right from delivering user-friendly menu solutions, to offering a range of delivery options, the company has essentially offered a good range of solutions to the users. They worked on improving the comfort offered to the users and enhancing their experience.

Keep updating the app

It is important to stay updated and keep updating the app for your users. Your users are looking for constant improvement in the offering, which can enhance their experience. As per the new niche needs, and the user’s expectations, try to introduce features that can ably improve your conversions.

Group ordering feature is new to the doordash app, and it keeps updating the app feature to keep up with the audience needs.

Apart from group ordering, there are other features too that the app seems to be integrating into the solution. 

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Tips to Create an Outstanding On-demand Food Delivery App

If you are planning to enter the on-demand food delivery segment, then you should have a solid business plan, and the objectives defined for the solution.

Here, we will take you through the business app solution tips that will help you create a successful app solution.

• Research and study the market: If you plan on entering a new segment or creating a solution for an existing segment, then market research is important. It will help identify the needs of the market, know what holds maximum value to the customers, and will help you define the ideal solution. before setting forth with the solution, study the users, their experience with the existing app, feedback on what they would like to introduce in the app and other details
• Define the growth path for the app: When you are planning a solution, you should also plan for the growth of the app. It is important that you know how you want to scale the business, what are the profit margins you are looking for, how you want to approach the scaling and other details related to growth. When you are talking growth, you should also increase the valuation for the company. 
• Competition Analysis: It is important that you understand the competition, analyze how they function and know what you can do different before you begin operating in the industry. The gaps that exist in the competition’s app will help you define the solution for your business.

Summing Up

It is important to have a goal defined and the objectives decided for the app solution. when planning the app, along with the requirements, you should also choose a good partner who can support you with the technology needs. 

Coruscate has been helping businesses deliver the ideal on-demand app solution for the food delivery segment. We have been resolving great many queries with our expertise and experience. Having developed a few solutions in this industry, with an in-depth understanding of the market and the audience, we have gained experience in validating and ideating the solutions. 

If you have an on-demand app solution query, then connect with us with your idea.

Note: We do not make clones of any exact application, clone means to us is how better we can execute your app idea with existing app features and experience.