How To Build Your Own Online Grocery Delivery Business

1. How To Build Your Own Online Grocery Delivery Business? -Oyelabs Technologies

2. Is Starting an Online Grocery Delivery Business a Good Idea? Yes, the stats mentioned above clearly shows the trend that more and more businesses are willing to come online. The year 2020 has also been significant. Due to obvious reasons and safety concerns, more customers than ever are ordering groceries online. So, if you are thinking of providing online grocery delivery solutions, I would say it’s a win-win startup idea.

3. Online Grocery Delivery Services & Verticals Services ● ● ● Home delivery Pickup from local store Hire personal shopper You can provide same day delivery services as users want quick deliveries. With Instacart Express, Instacart is providing home deliveries as quickly as within 1 hour to stay ahead of the competition. Verticals Daily Grocery – Right now is the perfect time to invest in a business that deals with the everyday grocery items supply. Be it a single-vendor grocery delivery business or a multi-vendor grocery delivery business, you have the choice to select any online delivery business model you are fine with. Fresh Meat supplies – On-demand for fresh meat delivery services requests has also surged recently. TenderCuts, Licious, ZappFresh are some of the startups doing well in these categories. Pet Supplies – If you are looking for a unique business idea, pet food on demand could be one of the great options. Given that there are only a few online platforms available that supply pet food items, you can leave a mark.

4. Steps To Build Your Own Grocery Delivery App! Step 1 – Finalize Your Business model The business model is as simple as picking up the ordered items from the vendor and delivering it to the customer. Grocery delivery service providers generally tie up with multiple grocery wholesalers. This way, they get a wide selection of products. The online grocery delivery business works on the core model of fast, usually same-day, delivery of grocery as per customer’s convenience. It also makes sense as most of these items that users order under the umbrella of grocery products have short shelf life. Moreover, customers prefer getting fresh items as far as food shopping is concerned. Step 2 – Choose Your Grocery Delivery Solution There are 3 major app solutions you can choose from 1. Custom App Solution With a custom-build mobile app, you have complete control over the design and user experience. You can ask the developer to create a fully customized app as per your needs and features requirements. A custom-build app will enable you to stand out from your competitors.

5. Steps To Build Your Own Grocery Delivery App! 2. Readymade App Solution As the name suggests, a readymade app is already built and you can directly buy it, as it is or with some minor modifications, from its developer or the development company. All you need to do here is choose the product you think has all of your required features included in it and get it. The developer of the app will modify the app as per your branding needs, such as the app logo, app name, theme and deliver it to you. 3. SaaS Based Solution Using a SaaS based grocery app, you can manage your grocery delivery business with a monthly subscription model. These apps are already designed and are ready to use. Once you subscribe, the app is prepared for your business with the required customization. You can then connect your grocery outlet to the app in no time. To know more about these grocery delivery solutions and their advantages and disadvantages click here.

6. Steps To Build Your Own Grocery Delivery App! Step 4 – Build Your Brand (+ Legal Aspects) Choose a name that is brandable. How? Think about the other players, their names and how they have named their businesses. Go with something that will click to your audience and target market. Just thinking about it won’t be sufficient. You need to do the research. See if the name is not already taken by someone else. Check if the domain name is available. Register it with a domain registrar as soon as you finalize it. Tip: It’s time to form a legal entity. Register your company as a legal entity such as an LLC or corporation. It will safeguard you from being held personally liable in case your business is sued. Get legal advice to register for taxes and open a business bank account. Finally, you need to obtain necessary permits and licenses.

7. Challenges you might face and how you can overcome them! ● Highly Competitive Market: This market has become highly competitive. You are just starting to acquire users and vendors on your platform. Imagine you have to compete with established names such as instacart, Walmart, Fresh Direct and more. Solution:Before launching your grocery delivery services, do a thorough market researchand check if there are any existing service providers in your target areas. Let’s say there is, you need to figure out how you can establish your own market niche. For example, if your competitors deal in grocery foods, you can target the farm-to-table grocery market on weekends. It will provide your business a chance to stand out. ● Delivery Challenge With regular online stores, delayed deliveries, delivering wrong items by mistake, returns tackling these issues on daily basis is affordable. But for your business, these delays and poor customer service may prove detrimental. One more unsatisfied customers and you are out of business. Solution: Sign up with reliable delivery service providers that can meet your customers’ demand. Optimize your delivery network for fast deliveries by carefully dividing it into hyper-local networks.

8. Challenges you might face and how you can overcome them! ● Storage Infrastructure & Quality Assurance: Grocery items are perishable and need to be stored (and delivered) in refrigerated chambers. Setting up a storage infrastructure can significantly increase the cost of operations. Apart from this, some customers do not want to buy groceries online because of quality concerns. Solution: Integrate a robust, inventory management system API such as JIT (or Just-in-time) with your online store. It would help you automate things better and to reduce storage cost. ● Low-Profit Margins: Let’s face it. Customers today have more choices than ever before. They are going to compare different stores, marketplaces before placing their orders. Moreover, well-established companies are already offering competitive pricing. This leaves you with minimal scope to increase your profit margins. Solution: You can offer more competitive pricing than your rivals. But operating like this, sustaining your business might be a challenge. Try to find out and list locally produced items that are not offered by others. This way you won’t have to compete.

9. Wrapping Up! The Online Grocery Delivery Business market possesses a lot of scope and has a lot of potential to grow. With the right features and approach towards developing your own grocery delivery app you can take advantage of this growing market and be successful in the process. Building the right app and hiring the right developers for your app would be the key to the success of your business .