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from $30 000

Food Delivery App Development

Contemporary food delivery platforms serve as vital tools for automating food businesses. Additionally, they play a crucial role in boosting customer demand, serving as effective marketing instruments

Presently, 60% of smartphone users in Russia utilize applications to place food orders from diverse cafes, restaurants, and fast-food establishments. The food delivery market in the country has witnessed a remarkable 150% growth in the past year, accompanied by a notable 250% surge in the volume of orders

We will explore the pivotal elements involved in developing a food delivery application. Our recommendations aim to guide you in crafting high-quality, reliable software that will capture the interest of potential customers

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How does the app make money?

Prior to embarking on app development, it is crucial to determine how the application will consistently generate revenue. Numerous key strategies are applicable to both large and small catering businesses. 

Typically, these businesses leverage specialized software designed for food delivery. It is crucial not to confine yourself to a sole income source. A thriving food delivery application should employ various financial models to guarantee a consistent cash flow.

    Сommissions

    Earning commissions from establishments is a widely adopted monetization method, involving receiving fees from restaurants or cafes for connecting them with potential customers. Maintaining a fair commission structure for delivery app services enables collaboration with small businesses, contributing to an overall increase in profit levels.

    Direct payment

    Charging customers for delivery directly to their doorstep is known as paid delivery. This method offers flexibility, allowing you to set fees as a fixed amount or a percentage of the total order value, providing various options to suit different preferences.

    In-app advertising

    In-app advertising stands as another popular and effective income source. Numerous cafes and restaurants are eager to invest in securing a prominent spot on the main recommendations page of your app. This mutually advantageous arrangement not only ensures a steady influx of new customers for the establishments but also generates additional profit for the app.

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    Proprietary software or aggregator services?

    Creating a food delivery app inevitably demands entrepreneurs to make strategically vital decisions. Based on the company's specific goals and business model, it is essential to determine whether to:

    • Develop a proprietary delivery app.
    • Utilize the services of an aggregator.
    • Opt for pre-existing solutions from a third-party delivery service.
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    The first option

    The first option is suitable for large chains that provide catering services. Businesses willing to invest in creating and maintaining their own delivery app can establish a dedicated customer base.

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    Service-aggregator option

    On the other hand, opting for an aggregator service allows online visibility of your menu on their platform, making it accessible to potential clients. This way, consumers discover your establishment and place orders. Utilizing an aggregator service provides businesses with the opportunity to swiftly build their customer base at a reasonable cost to the aggregator.

    By simply adding your business to the platform, you become accessible to all users of the service. The aggregator service also offers a logistics solution to deliver your products to the customer. Examples of aggregators include Deliveri Club or Yandex Food, which provide their couriers and logistics for companies. The service's couriers transport food from their warehouses or establishments to customers.

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    Third-party services option

    If you lack the resources to develop the app and handle order deliveries internally, it's advisable to explore third-party food delivery services. In this scenario, your consumers will consist of users from your website, social media platforms, and those residing or working in proximity to your establishment. Notably, you won't incur the platform's commission for the order itself; rather, charges will be applied solely for the delivery to the customer.

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    Advantages and disadvantages of using your own software or an off-the-shelf solution

    Highlighting the positives, the primary advantage is the cultivation of your own customer base, accompanied by significant cost savings through the elimination of aggregator commissions.

    Having your own application empowers you to offer users a swift and personalized ordering experience, exercise control over marketing campaigns (introduce custom sections with promotional offers, implement customer loyalty programs, gamification, and more). Additionally, it allows you to tailor the logistics service to suit your specific business needs.

    However, drawbacks of this approach include the substantial implementation costs, the requirement for an in-house team of couriers, and the allocation of resources for its operation.

    Opting for a pre-existing software aggregator is a suitable choice for businesses not aiming to pursue a distinctive marketing strategy or establish an extensive network of stores, cafes, or restaurants. In such cases, the primary focus lies in enhancing product quality and service for loyal customers.

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    Building a «client-company» business process

    A mobile application for food delivery is designed to facilitate effective interaction between the client and the company. Therefore, in the development of a mobile application, emphasis should be placed on the following stages of the «client-company» connection, specifically:

    • Decision to order a meal
    • Selection of a place and a dish
    • Placement of an order
    • Transfer of information and food preparation
    • Delivery by courier
    • Customer checkout

    This process reflects a transparent system of interaction and increases customer satisfaction and loyalty to the application.

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    Main elements of the system

    An integral component of the system is the website, strategically designed to attract visitors and furnish them with information regarding available establishments and dishes. For effective management of offerings and orders, each restaurant establishment should possess its dedicated administrative panel. Additionally, a moderator admin panel is essential to oversee content quality on the platform and address any potential disputes.

    For optimal accessibility, it is imperative to develop the app on both iOS and Android platforms. In the case of handling deliveries in-house, specialized software for drivers and couriers becomes a requisite.

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    Key Functions

    The app should fulfill a minimum set of capabilities, including:

    • Furnishing comprehensive information about the dish (including data on calories, nutritional value, ingredients, and the restaurant's cuisine);
    • Displaying the address and estimated delivery time;
    • Supporting various online payment systems;
    • Tracking the precise arrival time of an order;
    • Offering the option to provide feedback.
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    Development Steps

    1. Business functionality configuration

    First, we implement the core functionality for your business. We create a personal account for registering your establishment on the platform; a public interface for integration with accounting services to acquire goods; tracking their quantity, availability, and other details. Additionally, we provide an interface for adding products and dishes with detailed descriptions, quantities, and other characteristics.

    2. App development

    We develop a mobile application for customers based on the business-provided product database. We implement a user authentication system, a search system for the software, a cart for selected items, a purchase checkout system, order delivery tracking, and payment for selected items.

    3. Integration of analytics and monitoring

    On the third stage, we integrate analytics for meticulous user behavior tracking. This enables us to identify and resolve emerging issues, ensuring continuous improvement of the interaction with the application.

    4. Support system development

    On the fourth stage, we focus on creating a support system designed to resolve disputed issues. This system provides support to both customers and businesses, offering necessary assistance regarding the platform's usage.

    5. Logistics system integration

    We integrate the logistics system with the business platform and the mobile application for users. This functionality allows businesses to monitor the delivery of their products. For the buyer, it provides a clear understanding of where their order is and at which stage of the delivery process.

    Recommendations to be taken into account in the development of

    To achieve optimal efficiency, application development should consider incorporating a straightforward loyalty program for customers. Introducing a point accumulation system can incentivize customers to place repeat orders. Additionally, contemplating promotions that enhance customer engagement and contribute to increased sales is worthwhile.

    The implementation of table reservation features is also essential to boost establishment attendance. Incorporating notification mechanisms can aid in demand management, elevate the average transaction value, and foster customer loyalty.

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    Technical support and further development of the software

    In addition to developing the program, it's crucial to factor in the costs of promotion and technical support, which may include:

    • Advertising the software product.
    • Investments in App Store Optimization for effective promotion.
    • Hosting maintenance.
    • Placement in mobile app stores.
    • Regular updates to the application.
    • Managing reviews and feedback.

    Incorporating these expenditure items into the project budget ensures the sustainable long-term development of the application.

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    Cost of work

    Minimum
    from 

    $30 000

    Development time — 2+ months

    8+ screens

    • 2 operating systems support
    • Unique design
    • Authorization
    • Showing data from database
    • Feedback form
    • Navigation depth up to 3 screens
    • Admin panel
    Medium
    from 

    $50 000

    Development time — 4+ months

    13+ screens

    • Minimum functionality
    • User account
    • Third party services connection
    • Payment system integration
    • Push-notifications
    • Data upload forms
    Maximum
    from 

    $100 000

    Development time — 5+ months

    15+ screens

    • Minimum & Medium functionality
    • Chats
    • Settings screen
    • Data search in the app
    • Filters
    • Customization of native solutions
    Minimum
    from 

    $30 000

    Development time — 2+ months

    8+ screens

    • 2 operating systems support
    • Unique design
    • Authorization
    • Showing data from database
    • Feedback form
    • Navigation depth up to 3 screens
    • Admin panel
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    FAQ

    • How to choose a performer?

      Selecting a software development contractor is a pivotal decision that significantly influences the success of the entire project. Consider the following suggestions when seeking a dependable developer:

      • Read Reviews and Examine Portfolios: Seasoned developers take pride in their reputation and willingly share their experiences. Take the time to read reviews and thoroughly go through portfolios.
      • Don't Hesitate with Companies Offering Ready-Made Solutions: While exploring options, don't dismiss companies providing off-the-shelf solutions. However, exercise moderation in your approach, ensuring the solution aligns with your project's specific needs.
      • Exercise Caution with Questionable Contractors or Methods: Prioritize trust in your decision-making process. If a contractor or their methods raise doubts, it's crucial to steer clear. Trust forms the foundation of successful cooperation.
    • How much will it cost to develop the app?

      Determining the precise cost of food delivery software is a challenging task. The final estimate is contingent on various factors, including the chosen business model, functionality, and developer rates. The selection of technology—whether fully native or based on ready-made templates—also plays a crucial role.

      The lower end of the cost spectrum starts at $10,000 and encompasses basic functionality, with development taking a minimum of 3 months. For a project aiming to compete effectively with other applications, the cost may rise to approximately $20,000, with a projected timeline of up to six months. 

      It's important to note that these figures provide a general overview, and actual costs may vary based on specific requirements and development conditions.

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    The proper approach to app creation

    In the rapidly evolving landscape of digital business technologies, the imperative to develop bespoke software has become indispensable. Yet, prior to committing to its development, a comprehensive analysis of market saturation is crucial. Additionally, it is essential to evaluate the financial capacity of your business, gauging its ability to incorporate additional expenses.

    Conducting a thorough examination of the market and studying the experiences of successful companies is strongly recommended before taking decisive action. Creating an application is a substantial investment that holds the potential to elevate your business to an entirely new echelon.

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    By submitting your inquiry, you will receive:

    • A consultation with a manager
    • Gathering and formalization of your requirements
    • Recommendations and ideas based on your objectives
    • A commercial proposal tailored to your company
    • A final estimate with complete details of the work
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