The advancement of technology gave rise to the concept of on-demand apps for almost every on-demand service, including grocery delivery. However, people are advised to practise social distancing since the outbreak of Coronavirus and so they require the on-demand grocery app. Thus, it helps them to stay home and get their groceries delivered to their doorsteps.
Recently, Instacart witnessed a huge profit and it is the most downloaded grocery delivery app between February 2020 and March 2020. The Instacart app’s download has increased by 218%. In contrast, the Walmart Grocery app and Shipt app’s download percentage has increased by 160% and 124%, respectively.
As per the report of The Information, the pandemic tremendously increased Instacart’s sales of $700 million transactions in April 2020. The online grocery delivery service industry announced that they would hire 3,00,000 more delivery executives.
This is evident that the online grocery delivery industry is thriving. With the Instacart app’s huge popularity, many are fascinated to create a similar app like Instacart. If you are the one who plans for the Instacart clone app development, this blog is for you.
Grocery delivery app’s business model
You have to know about the business model of on-demand grocery delivery apps before jumping into the app development process. Here is the 3 tier customer retention strategy that Instacart follows.
This customer retention strategy helps to bridge the gap between customers and delivery executives. The three major players in the three-segment consumer strategy are Retail partners, Shoppers, and Buyers.
Instacart has partnered with many grocery stores. Once the stores registered, the store name will be listed in the app and they can display the products available in their store.
Next, the shoppers will buy the products and sell them to the buyers. The shoppers get a notification message once the buyer places an order. Upon confirming the order, the delivery personnel will collect the product from the store and deliver it to the buyer.
As we all know, that buyer being the end customer, places the grocery order via the app. They can choose any grocery store for ordering groceries as multiple grocery stores have been registered with the app. Despite this, they can order from multiple stores and get them delivered all at once. Buyers can fix the date and time for grocery delivery at their convenience. They make a payment via the app or cash on delivery.
How does a grocery delivery app like Instacart work?
As we get to know the business model, the workflow of the Instacart like app is simple. Here it is for your reference.
- The buyer installs the app and registers with it by following the on-screen prompts. They have to allow location access. Or else, they have to specify their address manually by typing.
- Now, the app will display the nearby grocery stores. They can choose a grocery store in their locality and select the products they want to buy. All the selected products will be moved to the cart.
- Before making a purchase, they can exclude any products if they do not want to buy. In addition to this, they can include any products.
- After reviewing the products list, they place the order. The shopper confirms the order request and prepares the order. The buyers can opt for self-pickups from the grocery store. Otherwise, the delivery executive will be assigned to deliver the ordered groceries.
- Payment will be made via the available payment methods on the app. It is the buyer’s wish to give ratings and reviews for the service and app.
Indispensable features of the Instacart clone app
We have discussed the business model and working model of grocery delivery app like Instacart. Feature-set integration is an essential part of app development. The functionality of the app changes if you opt-out of any essential features. Here are essential features of the Instacart clone app.
- The foremost feature you have to concentrate on is Easy Registration. It is an essential one for app success. Allow your users to register with the app automatically and manually.
- Users can browse for all the available groceries using Browse Products and they can search for any specific products using the Quick Search feature.
- You can let the app users schedule their grocery delivery with the Scheduled Delivery feature.
- Users do not have to choose the groceries every time they purchase; instead, they can use the Reorder feature to quickly place the order with the previously ordered items.
- Once users confirm the order, they make a payment using Multiple payment options. Upon order request confirmation, they can check the order status using Order Tracking.
- Using the Manage Profile feature, store owners can manage their profile with ease.
- The store owners can track the delivery person’s real-time location upon confirming the delivery request using the Live Tracking feature.
- With the Offers and Discounts feature in the admin panel, the admin can provide some discounts & offers to gain loyal customers.
- Uttermost, the Manage Ratings and Feedbacks feature allows the admin to analyze the feedback provided by the user in the app. Taking this into consideration, they can offer better service to the customer.
The cost of developing the Instacart clone app and revenue models to earn income from your app
Now, you have a clearer insight into the must-have features added in the Instacart clone app. Coming to the app development process. You can prefer the Instacart clone script as this solution is highly customizable and fully scalable. When it comes to the app development cost, it solely relies on app platform, app features, app functionality, geographical location, and several other similar factors.
One major advantage of using the Instacart clone script is that you get more profit in return while investing comparatively less amount for app development. Consider the following revenue models to earn income from the Instacart like app.
Delivery fee-based revenue model
- You can charge a delivery fee from buyers for every order they place. You can fix the pricing depending on the delivery time duration. For example, you can charge them $5.99 to deliver the order within 2 hours of placing the order and charge them $7.99 for delivering the order within 1 hour.
Markup fee-based revenue model
- You can fix some percentage of money from grocery stores when they sell the product at a higher price. Because, some stores prefer to charge extra beyond the marginal price to the buyer. On the other hand, some charge the buyer only a marginal price.
Membership fee-based revenue model
- You can let your buyers avail free deliveries for orders valued above a certain amount of money by offering a monthly/yearly subscription.
Service fee-based revenue model
- For every delivery service, you can collect a particular amount of money from buyers. Additionally, they have to pay a small amount of money for the shopper as a tip.
At Uber Like App, we cater for you with a 100% customizable white-label solution that suits your business needs. Our scalable solution is offered at an economical price. Also, we assure you that we provide a user-friendly UI that helps to improve user engagement and retain your target customers.
As everyone wishes to build an app like Instacart, launching your app straight away using the Instacart clone script helps you boost your business to a great extent. Reach out to us for Instacart clone app development and launch your grocery delivery app in an instant.