How is your mood today?
Fulfilled or hungry, tired or calm, satisfactory or disappointed?
How about eating a double-cheese Margherita pizza to scare away blues or sending a personalised handmade card to make the day of your loved ones?
Just wish, and an on-demand service app will be there for you.
Luckily, you live in an era where technology is much more loyal to your needs than any other human being. On-demand apps have proved their worth by fulfilling people’s needs within a short period, making the life of humans more comfortable.
Let’s look at the consumer spending behaviour on the on-demand delivery apps.
Why do Consumers Prefer On-demand Service Apps?
Many factors led to the success of the on-demand delivery apps in the world of suspicion and distrust. Take a look at the following reasons to know why people have fallen in love with these apps:
The foremost reason for the on-demand delivery app’s success is that they are easily accessible to the general public.
Yes, it is available to every person and individual who has a gadget with an internet connection. Effortless, right?
The user can take a look at various options available to them along with the price and reviews of the same.
Why would one leave his/her comfort zone when the same result can be achieved with just a click, all from the comfort of their home?
You won’t, right? This is precisely what the on-demand delivery apps do.
They provide the user with the convenience of home, avoiding all sorts of hassle like travelling to a particular place to get what they want.
Speed plays a unique role in providing the excitement needed to take the next step as early as possible when it comes to the increasing use of on-demand services.
Just press that ‘Order Now’ button and be ready at the doorstep to receive your parcel/services.
What makes on demand delivery apps highly cost-effective for consumers? This is because of irresistible offers. Offers like first order discount, loyalty coupons for using apps consistently and membership benefits, make these apps a popular choice.
On-demand delivery apps offer a user-friendly experience avoiding all complexities.
A person with little knowledge can also use the apps due to the user-friendly interface. Just a couple of clicks, and it’s done.
Simplicity also plays a vital role in the popularity of on-demand service apps.
Type of On-demand Delivery Industries
According to Statista, the revenue in the Online Food Delivery segment is expected to touch US$151,526m in 2021.
Moreover, there are 60 million people who are using food delivery apps worldwide in 2020.
Image Source: (PR Newswire)
Factors that led to the Success of On-demand Food Apps:
- The user-friendly nature of the food delivery apps draws an easy picture for the customers.
- The easily accessible, comprehensive menu simplifies navigation for customers.
- Exciting offers and discounts to attract customers.
- Real-time tracking functionality adds more convenience.
- Tempting pictures and the idea of ordering from the favourite restaurants is an amazing facility for customers.
Example of Famous On-demand Food Delivery Apps
- Zomato: This app allows for some extraordinary features like table booking, exploring the food places nearby, and offers perks to its subscribed members.
- UberEats: This app allows the customers to watch the meal’s photos before they order to have a clear idea about what their parcel would look like.
2. Logistics delivery
A report by MarketWatch revealed that the global logistics market is estimated to see a growth of $287.1 Million between the years 2020 to 2024.
Benefits of the Logistics Delivery App
- The use of a logistics delivery app makes it easy for headquarters and logistics team members to communicate effectively and take essential decisions without delay.
- With the introduction of Near Field Communications (NFC) technology, vehicles now can be inspected to check whether it is a registered one. Location can also be traced at a click.
- With real-time tracking, there are reduced chances of errors, making the logistics delivery a hassle-free experience.
An Example of a Successful Logistics Delivery App is FEDEX
In FedEx, you need to select your pick-up location and mention the delivery address. The rest of the process is managed by FedEx. Customers can also track their freight via the app, and also get regular updates on delivery status.
To learn more about FedEx and how you can be the new FedEx, download our Free E-Book: A Detailed Handbook to be the next FedEx
In 2019, the digital health market was valued at $101.4 billion and is expected to witness rapid growth during 2020-2030 with a CAGR of 21.8%. (PS MarketReseach)
Image Source: (Statista)
Factors Leading to Healthcare Delivery Growth are:
- For the people who have limited healthcare facilities around, the online healthcare delivery app is a boon.
- The need for regular visits to the clinic is reduced as patients are monitored online from time to time.
- It is a cost-effective method and a way to social distance.
- Real-time communication between doctors and patients.
Example of On-Demand Healthcare Apps
- LiveHealth: LiveHealth provides a phenomenal experience to its patients. From booking appointments to collecting test reports, everything is possible with an app.
- Mobile MIM: It is a diagnostic app that offers medical imaging directly on patient mobile devices. This app is dedicated to iOS users, which is available for free.
4. Taxi Services
In 2020, the taxi market was valued at USD 159.6 billion and is expected to reach USD 327.54 billion by 2026.
Taxi services are now not left behind industry because:
- Cabs can be right in front of your home without you searching for them.
- Knowledge of the location and approximate time to be taken is available.
- A sense of security because all the details of the driver are known.
- Ease of making online payments via wallets, cards, net banking.
Example On-demand Taxi Services Apps
Uber: Uber app requires the user to just click a few buttons and prepare themselves for a hassle-free, enjoyable ride within no time.
To know about Uber and how it works, download our Free E-Book: The Technology Stack Behind Uber
Lyft: A car rental mobile app that lets you enjoy the rides at affordable and cheap prices and provides a wonderful user experience.
5. Car Rental Services
The car rental segment revenue is expected to reach US$1,898m in 2021.The revenue growth rate between the years 2021-2025 is speculated to be 20.75% and can result in the market value of $4,036m by 2025. (Statista)
So, here are the reasons for the customers increasing desire for car rental services:
- Variety of options available to customers to choose from.
- Affordable means of transport for customers.
- No hidden charges.
Example of On-demand Car Rental Services Apps
- Raklux: Raklux app allows riders to book an affordable ride in a few minutes without hustling for long. Riders can book a car within a few seconds at a click.
6. Home-related Services
The home services market in the year 2018 was valued at USD 281.65 billion and is expected to grow to 1,133.40 billion by 2026. (Market Research Blog)
Why should you consider building the home-related services app?
- Delivery apps are cheaper than in-hospital care.
- Consumer buying behaviour and shopping channels are shifting from offline to online, aggressively after COVID 19.
- Searching a local household service provider can take days, and even months; on demand apps reduces the search time to minutes and delivery time to a few hours.
There is no customer who wants to resist this much convenience and speed.
Example of On-demand home service delivery apps
The best example is UrbanClap. UrbanClap makes it all easy to outsource any activity which runs down your energy. From providing parlour at home to activities of cleaning and repairs, UrbanClap will never disappoint.
Are you wondering how you can start your on-demand home services? Head over to this blog and read more – How to build an On-Demand Home Service App
If you have read till now, you must be surprised by the huge potential of the on-demand business industry in the upcoming years to come.
The popularity of on-demand delivery apps is surging. Why not take advantage and churn huge profits out of the delivery business?
Don’t know how to start?
Take the first step with Jungleworks. Jungleworks is an end-to-end SaaS solution to help you build on-demand service apps fast.
JungleWorks has a unique suite of tools and technologies, using which you can boost your on-demand delivery business. You can automate deliveries, optimise routes, track orders and much more with a world-class delivery management solution. Bring efficiency by using features that save time and reduce delivery expenses.
Sounds Impressive? Then, get started with the Junglework mobility platform to launch an incredible on-demand service app.
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