The current pandemic situation and the imposed restrictions have made the food delivery apps very popular among people as food is one of the basic necessities of life. Now, as one cannot visit the restaurants, they place the order online and wait for the delivery. The demand for online food can also be considered as the rippling effect of COVID 19. Food delivery app development companies have been doing a tremendous job by designing and creating the app as per the requirement of the restaurant owners and making it viable for them to reach their consumers.
Also, now this is the only way the restaurants can make money for their survival and further betterment as dine-ins are completely prohibited in many countries. Uber is basically a company that provides services in the taxi industry and a few years back they started UberEATS as a complementary business field of their company. And in today’s time, UberEATS is considered to be one of the most trusted food delivery Apps. Food delivery app development company not just develops the apps but also gives some actionable tips as the food delivery market has a great potential for robust growth.
BUSINESS MODEL OF UBER EATS:
Uber is the world-known service provider in its field and is among the top 20 food delivery apps in the world. It has revolutionized both the industries, the transportation industry as well as the food delivery industry. Mobile App Development Company San Francisco focuses on the various elements to develop an app like UberEATS.
-UberEATS follow the restaurant aggregator business model and also it has its own delivery agents which acts in two ways:
a) It follows a conventional food delivery model where a number of restaurants are listed on the app and consumers can place their order through the app.
b) Using its own logistics to deliver the food to the consumers from the restaurants who do not have any delivery service, definitely increases their reach.
Such apps like UberEATS provide services for three different groups of users and they are- The end customers, the restaurant owners, the courier, or the delivery service and then charge the fee per order accordingly. It happens in the following steps:
-The restaurants register themselves on the food delivery apps by creating an account, put in their address details, also uploading their augmented menu with the respective prices and high pixel images of the food items.
-It’s now customer turn to sign up an account, browse the place and food through experience, rating, etc., then finally chose the meal and place the order to the particular restaurant through an app.
-Now it is the turn of delivery guys, who will get a notification once the order is placed and if the destination is nearby then they send their approval to the restaurant for pick up and reach the restaurant on time to pick-up the food delivery and then take it to the doorstep of the customer.
And from the back end, all the details like calculation of the approximate distance of restaurant and the delivery location, transactions, real-time tracking of delivery boy, everything is handled by UberEATS. This is how they follow the basic activity of placing the order at the restaurant.
Now, let’s look into the monetization model followed by the UberEATS. They follow basically three strategies:
1)Service fees to be charged from the restaurants which will be approx. 15% to 40%
2)Delivery fees to be charged from the customers which will be usually $2-$8 per order, depending upon the distance between the delivery address and the restaurant.
3)Marketing & Promotion- The restaurants pay for the better ranking on the page of the food delivery app which increases their visibility among the end-users and opens their platform to accept orders from new users.
THE MINIMUM VALUE PROPOSITION OF FOOD DELIVERY APPS LIKE UberEATS:
-Proper market research/study will help to explore the places with tremendous potential which are yet to be explored.
-Maintaining the quality of your food and service is a primary requirement for the success of any business.
-Proper marketing and advertising techniques warm up your potential customers about your restaurant.
-They have the option of advance search filters which helps the customers to choose the restaurant as per their preference.
-After the order is placed 2-3 times the app itself starts giving custom-made suggestions as to the preference of the users.
-Real-time order tracking gives an exact update to the users on when the restaurant has accepted the order when the food is being prepared when the delivery boy has reached the restaurant when your food is picked up, how far is the delivery boy from the delivery place, etc.
THE UNIQUE SELLING FEATURES OF A PERFECT FOOD DELIVERY APPLICATION:
We should look into the requirement of the food delivery apps from three different points of views who are the major elements of the application, these are mentioned below:
From the restaurant point of view
-A signup page for restaurants wherein they can feed all the required information about the restaurants like name, address, working hours, contact person details, etc.
-Facility to launch discount and promo codes for the users.
-An integrated content management system that allows uploading the proper menu along with their pictures.
-Order tracking and order management features enable tracking the status of order when it is placed when expected to deliver etc. along with the ability to handle multiple orders.
-Availability of cross-communication interface which allows the interaction of restaurant with the delivery boy and the customers quite easily.
From the customer point of view
-The ability to sign up allows the customers to fill in their basic details like name, address, google location, etc.
-Ability to place the orders directly from the online menu
-Ability to choose a restaurant as per the requirement of food, fastest delivery, user ratings, etc.
-A secure payment gateway that not just facilitates payment but also accepts a different kind of promo code.
-Ability to save the name and location of the restaurant as per one preference so that one can easily place the repeat order to the same restaurants easily.
-Ability to track the order placed like when the food is being prepared, when the delivery boy reaches the restaurant for pick up, has he sanitized his hands or not before picking the order.
-Facility to chat and talk with the delivery person or restaurant owner at any point in time.
From the delivery guy point of view
-Sign up facility should be there for delivery guys as well.
-Facility to estimate the delivery time of the order from the location of the delivery person.
-An order management process that enables them to handle the deliveries of multiple orders.
-Facility of cross interface communication which allows the delivery person to contact the restaurant or the customer at any point of time for any type of their query.
-An account history page enables them to keep a record of all their deliveries as per the locations.
The above points show that the food delivery business is not just valuable but also one of eth fast-growing business. With the soaring technology, the value and importance of the food delivery app grow by default. Hence, it is very important to consider every necessary element to create the MVP of the business for a successful venture.