The On Demand Economy has swiftly taken over the traditional business models by serving people with what they want and where they want. Statistics show that this new trend called on-demand or access economy has changed the way businesses serve people and has thus become the most talked-about business term of this decade. The on-demand economy took shape in the US with companies like Uber and Airbnb. But what seems even more amazing than this, is the fact that 42% of total adult US population have used the services of at least one on-demand startup. This was revealed by a publication on The Street which highlighted a survey report about an on-demand economy which was jointly compiled by Burson-Marsteller, the Aspen Institute and Time.
As mentioned in the on-demand economy stats, 42% of the total US population is a huge number. It amounts to 86.5 million Americans. These numbers clearly show the impact being created by these on-demand startups in the USA and the promising future of the on-demand economy. But wait! Does a huge number like that really mean that this access economy is really huge and does it define the future of the on-demand economy? There would be different viewpoints for this question. In order to figure out some clarity, we at Juggernaut studied various survey reports and came out with the following facts and statistics about the on-demand economy.
On-Demand Economy Facts & Stats (USA)
According to Burson-Marsteller’s on-demand economy survey:
- 86.5 Million Americans (42% of adult population) have used an on-demand service.
- 45 Million Americans (22% of adult population) have offered services in on-demand service.
- 51% of those who offered services in on-demand economy admitted that their financial situation has improved in past year.
- 64% of those who offered on-demand services hope that their financial situation will improve in coming year.
- 51% of people offering services for startups in the on-demand economy are under 35 years of age.
- 41% of people who have used or provided an on-demand service live in urban areas.
According to Intuit’s on demand economy survey:
- 70% of on-demand workers are satisfied with their work.
- 81% of workers in on-demand economy plan to continue working with the same provider over the next year.
- 63% of on-demand workers say that they are happier to be working in the on-demand economy.
- 63% workers say that they are working with on-demand startups to earn supplemental income.
- 46% people working in this economy say they are working because of their flexible schedule.
- 33% people work for more than one platform.
- Only 11% workers said that they work in on-demand economy as they could not find any other job.
For more, Check out this infographic published by TIME : https://time.com/4169532/sharing-economy-poll/
Funding Trends in the On-Demand Economy
The massive funding received by Uber ($8.6 Billion till Feb 2016) and Airbnb ($2.4 Billion till Feb 2016) has created ripples in the on demand funding space. The venture capitalists who missed out the opportunity of investing in these giants are now looking for startups having the caliber to cause the next big disruption. However, if you give a closer look to CB Insight’s “On Demand Funding data”, you’ll see that the trend has come down after a boom in the first quarter of 2015. Refer to the below image:
According to a post on CB Insight’s titled – Unless You’re Uber Or AirBnB, The Mobile On-Demand Funding Boom Has Cooled, VC funding in the on-demand space dropped in the third and fourth quarter of 2015. While this does not define the upcoming funding trend for 2016, but it surely is a matter of concern for some entrepreneurs looking forward to raise huge rounds.
Another aspect to the funding culture in on-demand economy is that earlier there were just 20 venture capitalists investing in on-demand startups but this number has risen to over 200. These stats clearly make us believe that more VC firms are showing an interest to invest in on-demand startups.
With more venture capitalists interested in the on-demand space than ever before, we can positively predict the future of on-demand economy not just in the USA but across many nations where such startups are evolving. It is often said that the big companies of the future in on-demand space are the ones who exist today. But I believe that innovation can never be time specific.
The Future of On-Demand Economy
If you are an entrepreneur looking forward to enter the on demand economy with your own startup then this question would be a million dollar question for you. Although, it is hard to predict the future but let’s try to answer this question with facts and figures.
Taking into consideration the recent investments from venture capital firms and the above mentioned stats about the on demand economy, it can be positively predicted that this new economy is here to stay. On the contrary, many thought leaders believe that we are in the on-demand bubble. Startups are simply copying the Uber model and implementing it in different industry segments. This is the reality of the term “Uber for X”. If things continue the same way, a day will come when this bubble might burst.
Whatever may be the outcome, we have understood that consumer trend is changing and it is time to make changes in business model in order to rise above the competition. Today, we can get almost everything on demand by tapping our smartphone and I don’t think there can be anything easier than this (as of now). Stats have proved that the on-demand economy has so far been good for consumers, service providers as well as technology platforms.
Got a million dollar idea? Want a technology partner to develop an on-demand platform? Get in touch with us now!
As the COVID-19 pandemic continues, smart organizations are getting creative and realigning marketing strategies to better suit the changing climate of business and grow their business post-pandemic.
On a smaller scale, micro and small business owners continue to adopt new marketing practices in a bid to stand out in the tough economy.
The pandemic forced consumer behavior to take a completely different turn.
Similarly, It also had an impact on the way people treated their office work. Not to say, it has changed society and the way it went about its business. One of the most significant changes that we have experienced is the shift in consumers’ buying habits and how they would prefer the deliveries of their products. Gone are the days when the first preference of the consumers was to go out and have a lavish buffet.
Today, people prefer sitting in the comfort of their sofas and having their food delivered on their doors with no contact whatsoever. The situation may change in the future, but it won’t unless the pandemic subsides.
But it has also showcased the brands’ ability, including fierce competitors, to come together when the situation demands. For example, McDonald’s requested people to visit Burger King (its biggest competition) to ensure that they do a decent business.
Delivery brands such as Zomato and Swiggy won hearts during the pandemic by adding groceries and other household items to their deliverables list. When people were unable to go out, these companies ensured that they had their needs fulfilled.
Challenges Posed By Covid-19 Pandemic
1. Money management
By far, the most significant challenge for any business is money management. At any point in your company’s growth and development, you are likely to be faced with the question of where the next dollar is coming from.
Whether you’re just starting out, scaling up, or running in the red, it’s important that your business can pay the bills and provide for its future. During this pandemic, the demand has decreased and operational costs have increased. Therefore, a cautionary word to business owners is that they must learn how to budget.
2. Adopting Digital Medium
Before the pandemic, not every business had an online presence. However, COVID-19 has forced companies to adopt digital mediums to communicate with both their employees and customers.
In order to grow your business post pandemic, you have to connect and engage with your target audience. You have to look at digital marketing tools such as a brand website, social media handles, chatbot, customer care support, 24/ 7 online availability, email marketing, newsletters, and lastly efficient online delivery of your products and services.
Through digital marketing, brands can send timely updates to their customers and promote new products or features to keep customers interested.
3. Maintaining work-life balance
The COVID-19 pandemic has brought in the “Work from Home” concept and forced companies to embrace this new method of working. The constant challenge for employees is to balance work and personal obligations.
When a person is stressed or overburdened, their work performance and ability to make decisions can be affected. This results in them being less effective on the job and creates a burden that they are unable to manage. As people’s needs increase, it becomes more difficult to balance both work and personal responsibilities.
Strategies To Grow Your Business
There are indefinite challenges being faced by almost every business in this world due to the ongoing pandemic. However, with changing times, companies need to change their strategies in order to stay ahead of the competition.
It is important that businesses recognize and identify these challenges early in order to strategize and reevaluate other options. Let’s take a look at some strategies that can help you to grow your business.
1. Bringing A Full-fledged Digital Model
Your business has a portal or has tied up with the top delivery partners for its services. That’s great, but not enough. It i s imperative for companies to figure out all the feasible digital channels viable for their business. Utilizing advanced analytics and other available techs, such as satellite imaging, to develop a plethora of insights would be crucial for businesses in moving forward.
2. Bringing A Rapid Growth Mindset
Growth has taken a backseat for many businesses since last year. It has become about surviving challenging times to grow business post pandemic, but you can do better. Inculcate an agile mindset and augment accountability throughout the workforce. If feasible, undertake a weekly review model to ensure that everything is in sync.
3. Utilize The Newer Delivery Models
The pandemic has affected a lot of the existing supply chain models. It means that it is imperative for businesses to adapt and undertake collaborations that were previously not considered feasible. It also means that management will have to be innovative and gauge what can work for their business and not depend merely on the pre-COVID resources.
The pandemic period has seen businesses work with utmost urgency and the output they could deliver was beyond their expectations. We saw many companies undertake social listening to understand the need of the hour and make changes to their business accordingly. It has enabled them to streamline their delivery department and several other processes across departments.
Also, the sales team adopted a host of agile models that enabled them to solve problems faster. It paved the way for a clear growth plan and strategies to cater to different clients with improved clarity.
If you want to survive the pandemic, you will have to adopt these models too. It includes the need to find innovative ways to incorporate urgent delivery tasks into existing workflows and finding alternate ways to utilize the available resources.
For example, Amazon undertook drone deliveries in several parts of the world. Swiggy started Swiggy Genie, a service that enabled its workforce to deliver documents, laundry, and other items from one location to another. Several other brands across the world have been innovative and used the newer delivery models to keep themselves relevant.
4. Bringing In Operational Transparency
Cloud computing has made available a lot of infrastructures “as-a-service” for the brands. But entities weren’t making the most of it until the pandemic arrived. It pushed them to convert their capital expenses into variable ones. But when they did so, it brought about improvements throughout their value chain, such as cutting down costs and improved management.
Adopting digital technologies such as capital- spend diagnostics gave them insights into their cost model that was never available before. It encouraged them to undertake greater transparency in their operations and have a newer outlook towards spending.
5. DEVELOPING OPERATIONAL RESILIENCE
Brands looking to survive the pandemic need to understand that operational resilience is one of the critical factors that would enable them to do so. It includes outsourcing tasks other than core competency, undertaking cross-training, and utilizing multiple sources. Also, the inculcation of newer technologies has improved insights into the regional advantages. It has allowed developing greater resilience towards potential future disruptions.
6. AUGMENTING SUSTAINABILITY
The pandemic saw massive shifts in customer behavior and the way they demand. For businesses to counter the platonic changes with ease, they will have to be sustainable and offer better value to the customer. It includes building a more interconnected but flexible workflow that would enable the workforce to adapt to the evolving customer behavior with utmost ease. An IBM report mentions that COVID-19 supercharged digital transformation by a stupendous 59%. It also led to businesses completing 66% of initiatives that previously suffered resistance.
7. REIMAGINING DELIVERIES
Brands looking to survive the pandemic need to understand that operational resilience is one of the critical factors that would enable them to do so. It includes outsourcing tasks other than core competency, undertaking cross-training, and utilizing multiple sources. Also, the inculcation of newer technologies has improved insights into the regional advantages. It has allowed developing greater resilience towards potential future disruptions.
These are strategies for ensuring success for businesses during and post the COVID-19 pandemic. You could be the market leader if you learn from your mistakes and your competitors’ mistakes.
Just use the right tools and technology for your business. So when you start a business and plan to expand it, just follow the steps and use the mentioned strategies and get ready to disrupt the industry.
Apart from these, Tookan’s delivery management platform provides applications to make online delivery of your products and services more efficient, keep a real-time track of every task, broadcast messages to delivery agents and employees, advanced analytics reports to visualize the business performance, and many more. Providing the best services and a great experience is the only key to customer retention.
So, have an edge in technology to deliver services in the promised time using Delivery Management Platforms.
Buying stuff online is a passionate habit being developed by consumers considerably. Consumers nowadays prefer and spend most of their time browsing products online and making purchases for almost all basic and luxurious commodities from groceries to pieces of jewelry, etc.
While this fad of placing orders for products using smartphones and other means of technology is picking up pace, research shows that consumers find it useful to skip their trips down the liquor stores and rather order the exact preferred drink online.
Infographic facts to boost your thoughts to move online
According to statistics released by the U.S. Department of Commerce, consumers spend around $54.1 billion on the purchase of alcoholic drinks.
Statistics of the alcohol industry in 2021:
- There are nearly 10,000 wineries in the U.S. alone.
- Total alcoholic beverages sales in the U.S. is $253 billion.
- If we talk specifically about wine, the total retail value of wine sales in the U.S. is $68.1 billion.
- Wine production in the U.S. amounts to 24.3 million hectoliters.
- The average Year-over-Year (YoY) growth from 2014-2019 for the online alcohol delivery industry was 11.6%.
- Total alcohol sales in COVID-19 lockdown has gone up by 58%.
- Breaking down the stats: Wine was up by 39%; Beer 62.4%; and Liquor 59.5%.
- If we see week-over-week growth in online alcohol sales, it’s approximately 234% since COVID-19 struck, compared to last year’s sales.
- Rabobank’s research shows that direct-to-consumer online alcohol sales reached $410 million in 2017, due in large part to wineries. As stated in BeverageDaily, “The winery tasting room remains the leading direct-to-consumer experience, and major wineries are upping their online retail game. The top 20 percent of wineries selling through their websites are responsible for 90 percent of revenue flowing through the channel, with an average order value of $363.”
- Blurring the direct to consumer model are companies like Naked Wines and Winc, which operate as licensed wineries and fulfill deliveries across the United States.
What delivery mode options are available for your on-demand delivery platform?
There are two delivery modes supporting your online alcohol delivery business through which you can provide ease to your customers:
- Takeaway/Click and Collect: The customer can select and order the product from your store online but can collect it from your offline outlet. This model helps the customers to order & collect their drinks without waiting for the product to be picked and packed.
- Home Delivery: This is where the customers can order liquor online and get the delivery at home. There can be two segments in this model, one is same day delivery and the other is scheduled delivery, where the customers can select a preferred date and time to get their drinks delivered.
How to earn with an online alcohol delivery platform?
Here are some of the most lucrative sources of revenue for your alcohol delivery business:
- Advertisements: Advertising is a major medium of earning revenue for any online platform. Businesses partner with other platforms or add discount and promotional banners within their marketplace to enjoy high traffic and escalate sales. This is a great way of generating revenue and improving product visibility.
- Premium memberships: To earn a balanced revenue, businesses should emphasize on building repeat-customers so they continuously place orders. For that, offering premium memberships to customers as well as vendors is a good option for increasing revenue. Premium memberships can entail numerous benefits such as zero transaction fees, free delivery, some percentage off on all orders, etc.
- Commission on every transaction: The most important source of revenue is by charging a commission on every transaction. The admin provides a platform for the liquor and wine via which the transactions can be completed. The business then can earn a commission for every transaction that is processed.
8 prime advantages of moving your alcohol delivery business online
- Contactless orders: The COVID-19 pandemic has forced everyone to maintain social distancing and personal hygiene. From working from home, education and schooling on online apps to restriction in purchasing groceries and other items from malls or shops, it has made everyone’s lifestyle completely different. Let us accept the fact that the majority of the audience having fine access to technology and internet today, rely only on the on-demand delivery services to avail contactless orders.
- Global Access: You can provide their products and services globally without having any kind of restrictions to serve only locally. The deliveries can be carried out 24 hours a day and 7 days a week as per the customizable schedule set by the businesses. Moreover, the alcohol sector is hot the whole year, thus seeking more demands.
- Convenient Payments: You can make your customers pay the way they want to. Online payments or COD, allow your customers to pay as per their convenience. Online platforms would also allow you to facilitate cashless transactions and track daily transactions too.
- Saving Consumer Time: Customers no need to stand in the queue and wait for their turn, thus saving a lot of their time. Now no more returning customers from your store due to a big line. Take in all customers orders without any loss and take your sales to an exponential number.
- Better ROI and Analysis: Online platforms come with a convenient piece of analytics section wherein you can easily access and analyse your customers, vendors, sales, orders, and many more. With graphs and tables, it makes it easy for businesses to compare the statistics and work on the gaps for improvements as and when required.
- Stock & Inventory Management: You can efficiently manage your stock and inventory of the liquor you cater, thus reducing the manual work. The online system self-updates the inventory when an order is placed by the customer. You need not allocate humans to the systems to update each inch of information, let your online platform do that for you.
- Effortless promotions: Businesses can earn maximum profits with potential & repeating customer base through multiple mediums like discounts, promo codes, liquor occasional sales, etc. This drives the customers more towards your online store, thus increasing profits in business.
- Improved customer support: While giving the best liquor products to your customers, you surely want to have their feedback and even complaints entertained. The online platform makes it easier for you to check the customer queries and respond to them in very less time.
A channel to fulfil your on-demand alcohol delivery demands: Yelo
As tech evolves, you’ll find more opportunities to add value to your audiences, like community building and community support. This isn’t an impossible feat, but it requires a conscious effort. And that is why Yelo is here for you. Yelo is a pre-managed hyperlocal marketplace development platform that gives you access to ready-to-use elements for creating your marketplace.
You may also like to read:How to build an alcohol delivery app?
In technical terms, we will call Yelo a Software-as-a-Service (SaaS) system that allows users to create a new product using the SaaS’s abilities and features without writing even a single line of code, designing, and testing.
Yelo comes along with a variety of features that your online alcohol delivery business can incorporate. Some of them are:
- Customized Web apps and Mobile apps for your customers: Customizable & fully responsive mobile-friendly website and apps for both iOS and android to facilitate customer ordering on the go. Option for beautiful themes for your platform helps you enhance the user experience even more.
- Ratings and reviews: Build a reputation for your online marketplace using the rate and review system. Let your customers be the judge for your pest control service quality.
- Advanced Search & Filters: Search by keywords, dates and categories. Filtering and sorting by price, name, and rating are also enabled.
- Real-time tracking: Track real-time on map, Optimize routes and schedules and resource allocation in one centralized view.
- 100+ payment gateways: From Paypal to Razorpay to Paytm, Yelo has integrated with over 100+ external payment gateways from around the world. Enable one or multiple payment gateways on your platform for your customer, as per the requirement.
- Google Analytics: Google Analytics works with your online marketplace, so you can track bookings, visits, and referrals.
Mental health is the use of mobile technology in the healthcare sector. This technology is implemented to improve communication between doctors and patients. It provides easy access to patient records, and monitor chronic disease without location being a constraint. An increasingly digital landscape and the COVID-19 pandemic have put the spotlight squarely on mental health. Most people are looking for cheaper and faster diagnosis and treatment and that’s exactly what mental brings to the table. But like any other emerging technology-based service, there are some challenges associated with mental health app development as well. Let’s look at the trends and challenges of mental health software development and how you can face them head-on.
Mental Health App/Software Development Trends 2021
Here’s a deep dive into the technological trends in Mental health:
In 2021, it’s safe to assume that AI will have a part to play in any new technology. In fact, according to a report by Accenture, healthcare ranks higher than other industries in terms of the use of artificial intelligence. Mental health apps and tracking devices gather patient data. But apart from that, it’s AI can process the data and analyze it to create actionable next steps. At present, artificial intelligence is aiding medical professionals in better managing huge blocks of medical data. In the future, AI is expected to help mental health apps diagnose patients based on their past medical records and present symptoms.
The Internet of Medical Things (IOMT) helps medical devices connect and share health data that is gathered from numerous tracking devices. With IOMT, doctors can monitor the health of patients remotely. And it is a life-saving option for patients who live in remote parts without access to proper healthcare. IOMT enabled medical devices can measure heart rate, glucose level, blood pressure, and much more. And it helps to give doctors a clear picture of the patient’s vitals. The number of IOMT devices is expected to witness a sharp jump to almost 30 million by 2021 as opposed to 4.5 billion in 2015.
Blockchain is a way of recording information that makes it almost impossible to hack or alter. This technology has already been adopted by various industries, and healthcare is in on it too. According to a report, by 2026 the applications of the blockchain in the healthcare market are expected to be worth more than $5.5 million. Blockchain is of great advantage for the healthcare industry since it can help keep medical data secure and make sharing it safe. Since patient data is super confidential and the rising menace of cybersecurity, blockchain provides some sort of protection against data breaches. Blockchain is still being incorporated into the healthcare industry and the process won’t be quick. However, unlocking the blockchain’s potential for healthcare won’t be a quick process.
The Challenges of Mental Health Software Development
Like any other app or service that majorly utilizes technology, mental health apps also face their fair share of challenges. Here’s a look at some of the challenges of mental health software development:
Outdated healthcare infrastructure:
One of the biggest potential challenges for mental health app development is the complex nature of healthcare infrastructure. nowadays, almost everyone from doctors and nurses to patients and caregivers owns a mobile phone. But mobile app adoption in the healthcare industry hasn’t been great due to implementation challenges. Since the healthcare IT infrastructure is already pretty complex with multiple systems, bringing in the additional complexity of mobility might make things more complicated. The only way to deal with this challenge is for the mental health app developer to examine the IT infrastructure of the implementation environment and then plan the switch accordingly.
Data safety concerns:
Data security, especially when it comes to patient records and data, is not just a regulatory requirement. It is also an ethical one. Healthcare organizations cannot take data security lightly. Especially when bringing in mental health app solutions increases the risk of data breaches. It’s a known fact that mobile healthcare solutions are more likely to experience data theft since the data is exchanged over wireless networks. For instance, if a doctor uses his mobile device to access or share confidential patient health data, a lack of proper security measures can cause the data to be leaked. To ensure the risk of data breaches is minimal, healthcare providers need to tie up with the best mental health app developer.
The healthcare space has recently been flooded with a wide range of new devices. It includes voice-enabled devices, smartphones, smart TVs, and more. Finding the right devices, and more importantly, ensuring the patients use the right device is of absolute importance. Then there’s also the issue of compatibility. For instance, a device that works in an android phone might not work on iOS devices. Mental health app developers need to ensure that there’s some semblance of uniformity when setting up an app for a healthcare provider.
One of the biggest challenges faced during mental health app development is complying with health care regulations. Each country has a unique set of compliances that need to be factored in when developing a Mental health app. For instance, if you’re launching an app for the US, you will need to comply with the PHI and HIPAA regulations. There are also CCPA, NIST, and GDPR rules that need to be factored in. For any healthcare organization looking to launch their Mental health software globally, following all these different rules and regulations becomes quite a challenge. This is where a healthcare software development platform like Panther can step in and help.
How to develop the best Software/App
Developing an app from scratch is a big task, especially when it’s a mental health app. Panther can help you successfully launch a the same without investing a fortune and years of hard work. Panther is a health app development platform. Using which you can create a mental health app to take your health care services online. Some features that make Panther the go-to solution for mental health software development include:
- With Panther’s mental health app development services, you can allow patients and doctors to book an appointment using the app. Once an appointment is booked, patients will get automated reminders to ensure they don’t miss the appointment. The app also enables doctors to manage appointments through a powerful scheduler.
- Personalize your mental health software and make it your own with Panther. From the layout to the color scheme and text, you can choose every element of your app.
- The biggest draw of using a mental health software is the voice and video calling feature that allows patients to connect with doctors irrespective of their location. Using the built-in call feature doctors can provide expert consultation on the app itself.
- Panther’s mental health app makes tracking patient medical history through patient history much easier. You can also keep other team members in the loop regarding a patient’s condition via private notes.
- With Panther’s mental health app, patients can ask questions and get recommendations from doctors at any time. The real-time chat feature is of great help to patients who tend to get anxious easily.
Partner with Panther and build your own mental health software. Get in touch with our team of experts and learn more about how we can help you create a mental health app that meets all your criteria and requirements.
The companies are gradually shifting their focus from traditional business models to the D2C hyperlocal model. The rise in the popularity of direct sales is attributed to the increasing demand for low-cost goods.
The market size for direct sales is projected to reach $1 trillion by 2022. The growth of e-commerce and social media is driving the D2C industry. Companies are increasingly adopting this model due to its low-cost benefits. Direct sales allow companies to reach out directly to customers.
Direct-to-consumer companies have been on the rise as of late, and many of the top brands in the world have shifted to this model. Some of the most popular companies in the world are direct-to-consumer businesses.
Companies like Wayfair, Warby Parker, Dollar Shave Club, Domino’s, and Subway have been thriving since their launch, dealing directly with consumers to interact with customers more easily than before.
Advantages of moving to Direct-to-consumer (D2C)
Besides the obvious benefit of earning higher margins, there are other notable benefits of selling D2C –
- To gain a deeper knowledge of the customers
- Expanded Market Reach
- Increased control over brand, product, and reputation
- Omnichannel commerce
To gain a deeper knowledge of the customers
Manufacturers rarely connected with the people who bought their products before D2C came around. Through this model, brands can interact with the customers at every stage of their sales funnel. In addition to this, brands can communicate effectively even after the sale of the product. Hence, allowing the companies to have a better understanding of their target market.
Expanded Market Reach
With D2C, brands can mitigate the risks by allowing them to launch a new innovative product on a smaller scale. DTC brands can develop a specific product, test it within a very tight demographic, and then get their feedback. This enables large manufacturing firms to understand what their customers love and hate about the product so they can make the required adjustments where appropriate.
Increased control over brand, product, and reputation
DTC brands can have transparency with the customers but can even hold on to the reputation, brand image, and product. Companies maintain complete control over their brand from the moment a customer makes their initial engagement right up until the product has been purchased.
Another benefit of selling direct-to-consumer is the potential of omnichannel delivery. A headless commerce platform can be used by brands to set up their online store. Customers will be able to browse and purchase across multiple channels and choose from a variety of delivery options as a result of this.
Importance of launching a hyperlocal marketplace
The hyperlocal marketplace is a marketplace that caters to the demands of a small geographic area. Going hyperlocal is the last thing you’ll say no to in 2020-21. The near-me hyperlocal business appears to be both cost-effective and convenient. The geo-location facility, on-time delivery, safety, and convenience are all crucial components in the hyperlocal marketplace’s success.
We are aware of the situation and are experiencing difficulties as a result of the COVID-19 outbreak. Life is finally getting back on track, and the demand for home delivery is increasing. In a matter of minutes, hyperlocal marketplace enterprises provide home delivery services in the nearby region or zones.
It is widely popular since it connects customers with sellers who are located near them. It interprets the customer’s desire to be well served. Within a few hours, they have their product or service ordered.
Satisfaction comes with minimal work and expense. On the other hand, merchants find it quite simple to cater to and deliver a consumer who lives close by. Merchants are aware of their customers’ aesthetic preferences and can tailor their business models accordingly. At the end of the day, both the aggregator and the merchant save money, making this a win-win strategy for both.
Hence, Hyperlocal marketplaces are an excellent way to broaden your reach inside a small geographic area. You can work with local shop owners and small e-commerce companies to make things more accessible to your target market.
Recent trends in the hyperlocal space
As we all are aware of some major industries dominating the hyperlocal space like food and grocery delivery, hospitality services, logistics, healthcare services, and more. Brands in this space have introduced some innovative ways to market their products and services.
Tagging up with innovation has become ideal as the young entrepreneurs entering the market are always bringing something new to the table. For instance, in grocery delivery, there’s been an introduction of the 15-minute grocery delivery service.
A company offering 15-minute delivery rather than two-hour or next-day service could attract significant attention from shoppers looking to make fill-in trips online. Companies like Weezy, Fridge No More, Joker have been advertising themselves as the 15-minute grocery delivery business.
The micro fulfillment centers have made it possible for these companies to come closer to the consumers and delivery faster and more efficiently.
How to build your Dierct-to-consumer stack or a hyperlocal marketplace
The demand for streamlining your digital with a powerful platform that facilitates direct-to-consumer sales has been increased lately. So why fall behind, have your hyperlocal marketplace today and step in the game with your innovative ideas and drive the shift in the industry.
With Yelo, allow your brand to reach out to the customer with a more personalized touch. The platform offers detailed features like managing multiple branches, geo-fencing & location tracking, and improved brand visibility. Go D2C with Yelo and add a new distribution channel for your brand.
Not just that, Yelo can even assist in leveraging a business with a hyperlocal marketplace platform with a focus on the right target audience and ensuring on-time delivery.
Now, since traditional commerce is going out of business because of its limitations to develop and customize, headless commerce has emerged as the need for young businesses today.
With Yelo, you can now scale your business with a focus on an event-driven platform, where you can build your front-end with limitless customization.
Benefits offered by Yelo
Enhanced Customer Experience
Yelo provides a mobile-friendly website as well as specific Android and iOS apps for your marketplace to improve the client experience.
Bots and live chat are available to assist your suppliers 24 hours a day, seven days a week.
You can track the end user’s position and present their products depending on it thanks to geofencing.
In the marketplace, end users can search by keywords, dates, and categories. They have the option of sorting by price, name, and rating.
You’ll also get access to a thorough rating and review system for keeping track of what customers have to say about the product.
You can make your marketplace look premium and world-class with a variety of free themes.
Your merchants will be able to quickly fulfill orders, manage inventory, and update their store using Yelo’s merchant apps.
To ensure that the product is delivered on time, Yelo offers real-time tracking and the ability to control routes and schedules all in one spot.
In a flash, you can manage your meta-tags, visible sitemap, and robots.txt files.
We will regularly check your websites to ensure that there are no outages in the hosting.
No limits will be placed on the number of users, traffic, listings, or images.
Yelo provided you with a marketplace where you may choose your merchants solely by invitation to make your marketplace a safe environment for end-users.
We will also provide you with an SSL certificate to protect your information and client data.
It is the right time for you to step into the game and have your hyperlocal marketplace where you can go direct-to-consumer for a more personalized buying experience for the customers.
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Groceries are one of the most important aspects of a healthy lifestyle, and yet it’s still incredibly difficult to eat healthily. You can’t cook if you don’t have ingredients, so grocery shopping is an essential aspect of life. That doesn’t mean that it has to be a chore. Many grocery delivery services make life a lot easier. It’s time-consuming and expensive — both in terms of money and time. A 15-minute grocery delivery service could be the solution to your dinner dilemmas.
Millions of shoppers have become used to the world of online grocery delivery since the coronavirus outbreak erupted in March.
According to data by Brick Meets Click and ShopperKit, around 40 million Americans, or 31% of all U.S. households, used online grocery delivery or pickup in March, with 26% of those using the services for the first time. The surge in demand for delivery services has created room for new entrants such as Weezy, Fridge No More, Gorillas, and Jokr.
A company offering 15-minute grocery delivery rather than two-hour or next-day service could get a lot of attention from shoppers trying to make quick journeys to shop online.
According to data, for shoppers deciding whether to use an online delivery service, various product brands are less important than delivery speed.
Redefining grocery delivery with super fast service
In the grocery delivery game, fifteen minutes appears to be the new hour.
The New York startup – Fridge No More has recently closed a $15.4 million funding.
JOKR launching in the USA and expanding its reach to seven countries, Weezy in the UK specializing in speedy grocery delivery, Gorillas in Germany, and many more brands are now stepping in the faster grocery delivery game.
Most of these brands operate small, hyperlocal delivery-only grocery stores within a limited region to serve. Thanks to the network of micro fulfillment centers that are nestled within the neighborhood.
Each of the brand’s micro fulfillment centers—also known as “dark stores” because they aren’t open to in-person shoppers—has between 2,000 and 3,000 different SKUs and can deliver to any place within an eight-minute e-bike ride of the hub.
Within two minutes of receiving an order, “pickers” in the stores try to have products available for riders. Riders then pick them up and ride out on their e-bikes to deliver the order within 15 minutes of receiving it.
Each store’s delivery radius is about one mile, and it’s done by actual store personnel on a scooter or bike. Orders are placed through an iOS or Android app and are manually chosen, packed, and delivered to customers within fifteen minutes.
Advantages to the companies
There is free delivery and no minimum orders in addition to the super-fast service. This helps companies to attract customers and gain more confidence in them.
Working directly with wholesalers and producers, the company can avoid those fees by purchasing things for its fulfillment centers directly, bypassing the supermarket intermediary that is often responsible for those fees on other delivery apps.
Because dark stores (or micro fulfillment centers) do not serve in-person customers, they can be stashed away in less expensive places such as basements or other strange spaces. There is no checkout to set up, and no cashiers to pay.
Another advantage of smaller stores is that the inventory can be tailored to the specific needs of the area or that particular neighborhood. The business does not need to stock everything; instead, it can determine which items sell the most and carry them.
Investors have shown a lot of interest in the online grocery business this year. Around the world, online grocery companies are generating a lot of money.
The pandemic, as we’ve already discussed, is a major reason for this, as it forced many people to switch from in-person shopping to more contactless online grocery shopping. With online grocery sales expected to exceed $250 billion by 2025.
A Different Pitch
One aspect worth noting is that how these companies are pitching this new idea. Companies like Fridge No More, with a clear suggestion for people not to use their fridge as groceries, are now delivered within 15 minutes.
The whole concept talks about how grocery delivery will be revolutionized and how people can ditch their fridges as day-to-day items are readily available. Additionally, these items are promised to be delivered within minutes.
What will happen to grocery shopping if these types of super-fast grocery services become popular? (at least in urban areas where a one-mile delivery radius contains a ton of business).
These brands are spreading out throughout the globe, people may start stocking up on less and just have speedy delivery on speed dial. This might also lead to people preferring to order multiple items if they forgot or suddenly need something.
How you can have your own 15-minute grocery delivery service
It’s no surprise that online grocery businesses are booming. Last year, the pandemic drove a record number of people to purchase groceries online. Moreover, companies stepping in with such convenient options for the consumers will hopefully build more loyalty as the whole sector grows.
This would be a good moment for you to start your grocery delivery service based on the circumstances. The emerging trend in the grocery delivery market is to see how a company can make its customers’ lives easier.
It’s your time to jump in the game and provide convenience to your community.
But how can you ace this opportunity?
Yelo is here to help you build your 15-minute grocery delivery service!
How Yelo helps in building your grocery delivery platform
Yelo is an online marketplace builder solution that enables users to create and manage their direct-to-consumer virtual market. It is built to support all types of marketplaces, such as rentals, professional services, and hyperlocal among others.
Yelo provides the best solutions to build your customizable delivery platform.
Some of the solutions offered by YELO to help you build a powerful grocery delivery platform –
Web and Native apps
Get an app that will be fully customizable and user-responsive including a native app for both ios and android for improved customer experience.
Customer-friendly user app which allows them to access all the features including user profile, social signups, browse products, chatbot support, real-time tracking, easy payment options, and many more.
Merchants can manage their inventory, catalog, manage customers and more things in one go with the merchant app
Customizable dashboards include order management, inventory management, and overall access control to all the features.
You can design your pages according to your brand style with the thousands of theme options available and fully customizable.
This feature ensures on-time delivery while navigating multiple destinations including route optimization, real-time tracking, & more.
Increase your grocery business efficiency with 100+ integrations and seamless experience.
Multiple payment gateways
This feature provides a smooth payment experience to your customers offering integrated multiple payment gateways with your websites, as per your currency and facilitating speedy payments.
Real-time notifications and alerts
It is a great feature to keep your customer updated about all discounts and offers, thus helps in increasing customer engagement and retention.
You can generate multi-customized reports of all the data as per your preferences with the advanced analytics feature of Yelo
For every grocery delivery app functionality is very important and it is a very useful feature for drivers to locate routes to ensure promised delivery time.
Efficiently and accurately manage your inventory. Never run out on products on demand – set up in a few clicks.
What value does Yelo add for the customers?
Your customers can start the journey with you in 3 easy steps:
Step1:- Browse the menu and choose the products
Step2:- Customers orders will be immediately collected while ensuring 15 minutes delivery
Step3:- Order ready at the comfort of the home
Doesn’t it seem like a hassle-free process for your customers?
Are you looking to acquire new customers and retain them by providing them with a seamless experience?
So If you are planning to start with a trusted name in the market, don’t forget to connect with our experts at YELO.
Starting an online delivery business requires analytical thinking, determination, and detailed record-keeping. You have to have a keen awareness of your competition and look upon their improvement or changes in the successful tactics.
Generating new business ideas and building customer trust is important for your business’ success. Providing good service to your customer is crucial to gaining their loyalty and retaining their business.
Prioritizing the growth of your business is one of the best ways to increase the chances that your company will not only last but also contribute to your economic well-being and a stable financial future. Business priorities can change as per the requirement, priorities can also be changeable daily depending on how fast-paced your industry is.
You need to adhere to it and always look for ways to improve your business, by optimizing your resources and time in the right direction. The online platform has enabled businesses to expand it. Online shops or marketplaces such as Google Shopping, Amazon, eBay are currently one of the leading sites in terms of online shopping with their great strategy and services.
Do A Thorough Research
Research is the first step to growth. You need to have keen and proper research for your business. Your research must include all the factors related to your business. It helps in acquiring detailed information about the areas of business. With the use of such information, one can use it to maximize the sales and profit for the business. The clear and specific research allows one to be aware of the dimensions. The 3 main research before starting your business you need to have are:
1. Research On Market
Research into industry and market factors should consider information about any political, legal, economic, environmental, social, and cultural issues or trends that can affect your business. Before planning you need to identify the market structure. The basic points to be included while researching the market are about the demand and supply for the product you are dealing with. What is the prevailing price of it!
And how is the market affected during seasons or trends? Industry and market environment research might cover business regulations, market demographics, its size and trends, and marketing channels.
2. Research On Competitors
After the market research here comes the research over your competitors. Knowing what your competitors are, and what they are offering, can help you to make your products, services, and marketing stand out.
It will help you to highlight your flaws, enable you to improve your better customer experience, and also help you to strengthen your USPs. Research on your competitors includes: identify the strategy and promotional tools used by them to promote or expand their business. What makes them different from other competitors? What sort of strategy are they using for their promotions or applying for successful business tactics?
3. Research On Consumers
It helps businesses or organizations to understand customer psychology and create detailed purchasing behavior profiles. An organization that has an in-depth understanding of the customer decision-making process is most likely to design a product, and tag a price related to it and promote a product based on consumer research insights.
To have research you need to do thorough research over what are their needs, what they expect from the business, who are the targeted or right customers?
Steps To Follow To Make Your Online Delivery Business Successful
1. Identify The New Opportunities
Analyze new opportunities in your business by understanding your demographic better. Understand everything from distribution channels to your direct competitors and even an analysis of foreign markets and other potential industries. There are likely dozens of new opportunities you could pursue immediately with the proper amount of analysis. To understand those you need to have proper data analyzed.
First, you need to have a clear measurement over a list of your priorities. What you need to measure is short-term data or long-term data.
After this, you need to ensure what measure you need to use for your analysis, i.e. either it can be measured by the survey, questionnaire, or feedback. Every sort of measurement technique will help you to identify the need and demand currently in the market.
2. Promote Your Business Online
E-commerce has affected the business and led to their development. In contrast to that, promoting your business online will help in the expansion of your business, as many customers want to enquire about the product at just their fingertips.
To promote your business online:
- Use local listing services.
- Embrace yourself on social media.
- Use blogs for promoting your products .
- Release press, or use multi-media for promoting.
3. Design The App And Promote It
Build an app for your business. Make sure you capture your business scene with a unique and attractive theme. Try to portray your products and services in a manner in which everyone understands them easily. After the development of the app, you shall promote it using various promotional techniques (which are more effective these days).
For example, you can engage with your customers through both organic and paid mediums of marketing. Start interacting with your target audience through social media platforms such as Facebook, Instagram, and Twitter. You can also start sending newsletters & updates to your customers via email.
As for paid mediums of marketing, Facebook Ads and Google Ads can help you capture a larger customer base.
4. Add Extra And Unique Features
Being innovative and creative can distinguish you from others. To engage your customers you can add some extra and engaging features on the app as well add some unique facilities to gain uniqueness in the market.
You can add chatbots in your app to feature it differently. Feature your delivery with attractive and safe packaging. Allow your consumers to know about the best product. Treat them with some pleasant small thanking gifts for using your products/services. Try to make your product pocket-friendly to the customers than other competitors.
5. Form Strategic Partnerships
Strategic partnerships with the right companies can truly make a world of difference. It could allow you to reach a wide swath of customers quickly. Identifying those partnerships might be easier said than done. But, look out for companies that are complementary to your own. Contact them and propose opportunities for working together.
It will help you to strengthen and accomplish better fame in the market which is necessary for operating a long-term business. Overall, it will also help you to deal with and understand the customers with mutual partnership understanding.
6. Value Your Customers Transparency
Customers are the actual money. To increase or operate in the business for the long term you need to value them more than your money. Try to be customer-oriented rather than money-oriented. Do value and respect their thoughts and ideology. Respect and welcome their reviews for your company.
Do try to come over your flaws and serve them with better facilities, and ask them to rate over facilities, it will help you maintain your fame. Also, be customer friendly, try to enlarge your bond with the customers by respecting their demands and thoughts.
7. Promote Your Business Worldwide
Promote your business worldwide means developing and trying to cross the boundaries and serve the customers. Promoting on global platforms will help you to grow your business. Strategizing your business across the boundaries will help you to capture fame as well as good turnover all over the business.
Well, talking about the worldwide promotion we cannot avoid Amazon, which is continuously becoming one of the online services worldwide.
8. Customize Your Business With Diversification
Look into diversifying your offers. What complementary products or services or information can you offer in your business? To grow, you need to think about expansion. Identify new opportunities within your niche. Try to optimize your old products with the introduction of new products.
Try to promote your products by referring as samples with your products and promoting it using various tools. You can simplify your strategy as large organizations such as Samsung, Apple, LG are working with diversification.
These are the strategies for ensuring success for your online businesses. You could be the market leader if you learn to identify and attain the opportunities. Using the right tools and technology for your business can help you to work in an optimized way.
So when you start a business and plan to expand it, just follow the steps and use the mentioned strategies and get ready to disrupt the industry.
Apart from these, Tookan’s delivery management platform provides applications to make online delivery of your products and services more efficient, keep a real-time track of every task, broadcast messages to delivery agents and employees, advanced analytics reports to visualize the business performance, and many more.
With effective service and innovation, you can become a market leader. Tookan helps you with the advanced delivery facilities.
“Loyal customers, they don’t just come back, they don’t simply recommend you, they insist that their friends do business with you.”
– Chip Bell
Every business has a common goal: sustainability and growth.
To achieve this goal, brands must look back and reassess their strategies after a while.
A fundamental principle of business is that it must be dynamic. I.e., change their approach from time to time to adapt to the changing needs and wants of the customer. Customers genuinely decide if a business will succeed.
When talking about reaching out to customers and adapting to their needs, one thing has caused a frenzy in today’s market.
- What is a Direct-To-Consumer (D2C) Model?
- What is a hyperlocal business?
- Direct-To-Customer through hyperlocal business model
- Example of D2C through hyperlocal
Selling Direct-To-Consumer through Hyperlocal.
Let’s break down the term and understand what the business model is all about.
What is a Direct-To-Consumer (D2C) Model?
Direct-to-consumer (DTC) marketing refers to selling products directly to customers without the use of third-party retailers, wholesalers, or other intermediaries.
In a direct-to-consumer (D2C) model, any seller or producer who wants to sell their items directly to their customers can create an online platform. They can promote it on various social media platforms, bypassing the middleman.
What is a Hyperlocal business?
A hyperlocal business in its true meaning is going local in your industry.
In straightforward terms, Hyperlocal business can be defined as an online business that caters to the on-demand needs of its customers by supplying them through local offline stores, mediated through an online platform.
Industries such as food, grocery, laundry are just some examples that fall under a large umbrella that can easily cater using this business model.
Availability of features such as geo-mapping added to the current conditions with the pandemic has created a pathway for this business model to expand rapidly.
Understanding Direct-To-Customer through hyperlocal business model
From a customer perspective
During the pandemic, there has been a 360-degree shift in the customer’s buying persona. Customers who earlier relied on physical stores to get products quickly are now more inclined to go for e-commerce shopping. It offers them an opportunity to procure their required supplies from the safety of their homes.
Along with this, customers don’t want traditional e-commerce delivery times of a few days when they have an option to get something delivered in a few hours or even minutes.
A hyperlocal D2C business model is catering to precisely these needs by delivering goods to the consumer in a short period.
From a business perspective
Brands in today’s time need to go ahead and grasp as many opportunities as they can to generate revenue. The hyperlocal marketplace provides enormous scope to capture these. to the companies due to its advantages.
Advantages of selling D2C
- A greater understanding of consumer preference
D2C has provided a way for manufacturers to understand what the preference of the customers is direct. When brands sell directly-to-consumer, they get a direct response. As a result, that information can be used to focus and improve on their existing services.
- Increased control over brand image
When selling D2C, brands have a greater degree of control over their products and their selling methods. Instead of selling through an aggregator, when a brand sells through their platform, they are free from any constraints that the aggregators might have put forward.
- Strengthened brand loyalty
If a consumer buys from a D2C channel compared to an aggregator, it shows a strong brand loyalty from the customers. A purchase generated through a third-party platform can also be because the buyer is a customer of the selling platform rather than the actual brand itself. But when that purchase is made through a brand’s D2C platform, the buyer is undoubtedly loyal to the brand.
- Greater profit margin
By selling D2C, brands eliminate intermediaries in the supply chain as they are directly selling to customers. This allows brands to enjoy a more significant profit margin as the cost of having a middleman is eliminated.
It is time to leverage the benefits of the D2C model with your business plan and mark the golden beginning of your success.
Let’s understand this better with an example.
Dominos – An Example Of Selling Direct-To-Consumer through Hyperlocal
Dominos is a perfect example of selling Directly-To-Consumer through hyperlocal.
It has a delivery platform in place through which caters to its customers. Apart from this, Dominos also takes orders through third-party platforms.
The critical difference between the two is that Dominos always provides more discounts on their platforms than the other platforms. The reason behind this is that they enjoy a more significant profit margin when selling Directly-To-Customers and, as a result, can afford to give more discounts.
They take orders through their platform and then further direct that order to their nearest outlet. By doing so, they are delivering on a hyperlocal platform, creating the ideal D2C through the hyperlocal business model.
To sum it up.
The D2C business model has taken the market by storm and is here to stay. By focusing on Direct-To-Customer through hyperlocal, brands can take advantage of this new sector that has come up.
The amplified ROI of the D2C Business model with an average of $100 million in the previous year is quite fascinating. Remember, last year was the year where the world witnessed the dark chapter of economic stepping down. The Direct-To-Consumer future looks strong and bright as significant giants are entering the game.
If you want to build a Direct-To-Consumer through hyperlocal business model, then check out Yelo!
The best timing is to strike when the iron is hot! If there are any questions or apprehensions, please jump on a virtual coffee meeting with us. Let our experts help you address your concerns swiftly to make the most out of this opportunity.
The direct-to-consumer or D2C delivery allows businesses to operate and help the customers directly by eliminating the old retail chain. This model is beneficial to the manufacturers as well as customers as it reduces costs.
With a D2C model, industries can make more profits and identify opportunities to grow their business. Moreover, industries from every niche can help their customers with the latest collection and build direct relationships with them.
Businesses working with the older retail chain as well as using 3PL providers for customer service need to diversify themselves to have a niche in the market.
It has been witnessed that businesses that aim to grow with success need to have direct customer interaction. It not only paves the way to grow your business but also helps you to work towards success.
Direct customer interaction starts with your self-delivery procedure. So, to build a good customer relationship firstly you need to invest in your delivery.
Why do you need to invest in D2C delivery?
Self-delivery will help you to understand the demand of the market faster as well as being more beneficial for you. The list of benefits associated with it are mentally below:
Good customer experience
Companies working with 3PL providers or using a retail chain cannot have direct interaction with the customers. To build a great customer experience you need to facilitate your business with a self-delivery facility along with the 3PL companies.
Good customer experience allows you to build great bonds
Fast delivery service allows you to not only have a good customer experience but also build a direct business-to-consumer relationship. It not only strengthens your fame in the market but also allows help to gather customers.
Good control over your service
D2C strategy has allowed businesses to have solo control over their business. Businesses have been facilitated to serve their customers in their best way and exclude any extra cost.
Allows to have independency
You don’t have to depend on others to provide your service to customers with d2c delivery. You can easily serve your customers as you prefer and choose to. It allows you to have proper control over service as well in return for happy customers too.
Remove extra cost
Using a 3PL strategy for your business can be costlier for you. In the beginning, it might be good for you but once you start scaling, the cost can be a major concern. Self-customer service can help you to remove the unwanted cost.
Reach out to every customer
Not every location is covered by the 3PL service, self delivery could help you to reach the customer and also to build a great bond with them.
Easily strategize and plan future needs
Direct customer interaction helps you to understand the customer’s needs, wants, and what are their expectations, etc. Such information helps you to understand and strategize your business plan for the future accordingly. These strategies help you to grow in the market.
I hope now it’s clear for you that for the growth and success of your business you need to have a self-delivery service too along with the old working strategy.
Moving forward, you can hire the service of Tookan for your self-delivery service. Tookan’s delivery management platform provides applications to make online delivery of your products and services more efficient, keep a real-time track of every task, broadcast messages to delivery agents and employees, advanced analytics reports to visualize the business performance, and many more.
Providing the best services and a great experience is the only key to customer retention. So, have an edge in technology to deliver services in the promised time using Delivery Management Platforms and enhance your business efficiency. Summarising it here, do let me know if you have any queries. Pen it down in the comment section below.
Imagine it’s late in the evening and you are relishing a great time with your friends and family when suddenly, you run out of your favorite bottle of whiskey, wine, or beer. So what do you do? Rush to your nearest or even farthest liquor store in between all those gatherings to purchase a new stock? Well, not necessarily, if you have an alcohol delivery app.
In today’s technologically advanced era, we have an app for everything. Right from booking a cab to ordering your favorite food or even delivering your parcel from one location to another, everything can be done with just a few taps. So why not have a mobile app for liquor delivery as well? After all, the liquor industry is one of the greatest markets in the world, with a revenue of US$ 249,088m in 2021.
Understanding alcohol delivery business:
- 3 reasons to move online with your alcohol delivery business
- Why Invest in Alcohol Delivery App Development?
- Insights into a few alcohol delivery apps already into action
- Benefits of online alcohol delivery app
- 3 Challenges in building an alcohol delivery app
- How COVID-19 affected on-demand liquor delivery?
- Major features of an online alcohol delivery app
- How Yelo can help kick start your alcohol business?
3 reasons to move online with your alcohol delivery business
- The COVID-19 pandemic has forced everyone to maintain social distancing and personal hygiene. From working from home, education and schooling on online apps to restriction in purchasing groceries and other items from malls or shops, it has made our lifestyle completely different. Let us accept the fact that the majority of the audience having fine access to technology and internet today, rely only on the on-demand delivery services and that is the reason why there is a huge demand & customer base for such apps. This has also made the existence of on-demand alcohol delivery apps in trend.
- Clearly, our weekend seems incomplete without a bottle of beer or whisky or dinner seems undone without a perfect wine. But during the ongoing lockdowns, it seems a threatening activity to get a liquor bottle from a store. This is where the online alcohol delivery apps come to rescue.
- The demand for online liquor stores has surged immensely for a few months as they meet the demand of the people instantly and deliver at the doorsteps.
Why Invest in Alcohol Delivery App Development?
The worldwide alcoholic beverages market was valued at $1,439 billion in 2017. And this is projected to reach $1,684 billion by 2025, documenting a CAGR of 2.0% from 2018 to 2025. This growth is primarily driven by the surge in the global young-adult demographic, and a hike in consumer demand for premium products.
The same reasons have contributed to a huge surge in the Indian alcohol market. The Indian Made Foreign Liquor (IMFL) segment is estimated to be valued at over INR 3,000 billion by the end of 2026, expanding at a CAGR of 5.2%.
The above-mentioned statistics show that India is an ideal market for generating high revenue growth for alcohol. This has made the on-demand alcohol delivery app model a highly profitable venture.
Insights into a few alcohol delivery apps already into action
- Drizly: Drizly is an alcohol e-commerce platform that facilitates the delivery of alcohol. Drizly lets users order a variety of beer, wine, and spirits directly from local retailers to their location through a mobile app or website.
- Minibar Delivery: Minibar Delivery is an online alcohol service based in New York City, offering on-demand delivery in over 50 American cities and shipping to 40 states. It was founded in 2014 by Lara Crystal and Lindsey Andrews.
- Swill: Swill is an online delivery platform that enables its users to find and buy from among a range of alcohol products.
- Flaviar: Flaviar, a spirits tasting club, offers a subscription service that helps members discover new liquor products through sample tasting packs.
- Caskers: Caskers helps its users discover craft spirits that aren’t available at local liquor stores.
Benefits of online alcohol delivery app
- Enables customers to refill their favorite brands & bottles easily.
- No need to step outside the house. Choose the best store and order the favorite drink quickly.
- Wide range of options to choose from.
- Eases to avail extensive discounts and offers which can help them save a lot on their expenses.
- Order drinks anytime and anywhere, which is not feasible in the offline mode.
- No need to stand in the queue and wait for the turn, thus saving a lot of time.
- Online payments or COD, pay as per convenience.
- Earn maximum profits with potential & repeating customer base.
- Maximize revenues with an excellent set of features that these apps offer.
- Manage and attract more customers to increase sales.
- Efficient stock management, thus reducing manual work.
- Provides with better ROI.
- Facilitates cashless transactions and track daily transactions too.
3 Challenges in building an alcohol delivery app
- Heavy dependency of the government policies sometimes on liquor results in steady income.
- Selling alcoholic beverages to minors. According to the Washington Post, Uber Eats and their drivers have been delivering cocktails and alcohol without ID’ing or even seeing the customer first, which is critical.
- Convincing buyers to purchase alcoholic beverages without tasting them.
How COVID-19 affected on-demand liquor delivery?
The internet and online revolution have never been more powerful than during the coronavirus pandemic. As the world went into lockdown, a majority of customers logged online generating a huge expansion in the e-commerce alcohol sector.
According to reports, the e-commerce liquor sales in the U.S. documented a steady increase of 291% for March last year and a further increase of 387% for April last year. Additionally, one of the leading alcohol delivery services in the U.S. Drizly accounted for a big leap in sales for March last year. By April last year, the company witnessed a 550% increase over baseline.
Major features of an online alcohol delivery app
- Login: Find the top quality drinks and deals on them by simply registering to the app.
- Liquor listing: After registration, customers can view all the listed drinks from the nearby shops. View the price and get details on the drinks.
- Apply filters: Customers get filters option in the app making purchases easier. The filters offer different categories of liquor, price point, drink customer ratings, etc.
- Place orders: When you’ve finished choosing your drink, you can place the order for them.
- Track order: Once you’ve placed your order, the app will also show an estimated delivery time like any other delivery service app. With this feature, get the order status such as order accepted, on way, arrived, etc.
- Cashless payment: The app supports different transaction models like credit/debit card, net banking, and many payment gateways.
- Order history: Sometimes, you would like to have the same drink you had last night or last week. With the order history feature, you can view previous orders and repeat orders with one tap or click.
- Product review & feedback: Customers can share their reviews for the alcohol stores or delivery agents.
Store App & Dashboard Panel:
- Login: The alcohol store will register as a stakeholder on the platform.
- Manage Drink Categories: The liquor store owner can list their drinks into categories such as wine, beer, whiskey, breezers, etc.
- Manage Drinks & Snacks: Some stores also offer complimentary snacks and additional items with the drinks. With this feature, the owner can list such add-ons for the customers allowing them to order easily.
- Manage Prices: A liquor shop owner will be the one who manages the price details for the products.
- View Ratings & Reviews: The alcohol shop owner can see the ratings and reviews given by the user and bring in necessary changes according to their honest reviews.
- Manage Earnings: The liquor shop owner analyzes the monthly or weekly earnings through the app and can manage the profits and costs within the platform.
- Admin Login: The main business owner can log in to their super admin panel. With this super dashboard, the admin can view the entire business and channel of the working.
- Manage Payments: The main admin manages and monitors all the payments and transactions done by the customers and manages store commissions.
- Order Management: The admin can monitor and control all the assigned orders along with their status and details.
- Settings: Admin manages all the related apps settings such as updating the prices, allowing/blocking a store owner, product listing, etc. within the main admin panel.
- Marketing Management: The admin can also manage the complete marketing process like advertisements, email templates, app banners, and promotional campaigns for the app and the vendors (alcohol store owners) from within the admin panel.
- Real-Time Analytics: The panel allows the super admin to view real-time statistics of various factors. It also provides reports on the number of orders, maximum orders region wise, peak delivery hours, etc.
- Accept/Reject Orders: The delivery agent can receive an order request, he can accept/reject the order request.
- Mark Active/Inactive: The delivery agent should have the liberty to mark himself available/unavailable by switching on the toggle between Active/Inactive.
- Order History: Delivery agent can see the total orders delivered by him.
- View Customer Location: Delivery agent can view the customer’s delivery location and navigate towards it, and other details like contact number.
- In-App Chat: Delivery agents can chat to customers to confirm the delivery location or other details.
- Check Earnings: Delivery agents can check total earnings made by online deliveries (day, week, and month-wise).
How Yelo can help kick start your alcohol business?
If you are worried about hiring a developer to get your alcohol delivery platform developed and designed, then change your thoughts and be smarter today! With zero codings and in no time, set up your own SaaS alcohol delivery platform and be ready to outshine in the business.
Through Yelo, you can have the best app features that every on-demand alcohol delivery service should have. By your own alcohol delivery service, you may help society with social separation while also increasing your profits as you supply alcohol during the COVID-19 outbreak.
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An Indian startup, Licious, is changing the way people shop for meat and seafood. By owning the entire back-end supply chain and cold chain, they make sure that you get the freshest and highest quality products possible. Recently, Licious raised $192 million from a venture capital firm in Singapore.
- Startup Vertical: Direct to consumer
- Business Model: Farm-to-fork model
- Founders: Abhay Hanjura; Vivek Gupta
- Founded: September 2015
- Products: Chicken, Mutton, Seafood (Fish, Prawns, Crabs), Marinades & Cold Cuts.
- Industry: Meat packing
- Parent: Delightful Gourmet Pvt. Ltd
- Number of employees: 3500+
- Headquarters: Bangalore
Bangalore -based startup Licious has raised $286 million since its inception. At this value, the company is now worth $650 million. To find out more, we interviewed founders Abhay Hanjura and Vivek Gupta. Here’s what they had to say about innovation and the idea behind Licious.
Q: How did you get the power to boost your idea?
The power to boost our idea came from a lunch with my partner Vivek. We were talking about our idea, and we started eating some chicken that was of really bad quality! My partner remarked that if we were to build Licious we would have to put life into this dead chicken. That was the moment when we realized what we wanted to achieve through Licious- to deliver a better meaty experience.
Q: Please tell us a bit about your journey so far?
To date, Licious has employed 3,500 people in 14 Indian locations. This number has grown exponentially over the years as more and more people become familiar with and love our brand. We’re only beginning our journey to become a world-class and iconic tech-driven D2C brand. “A USD 40 billion industry is waiting to be unlocked,” said Overall.
Q: Tell us about a memorable occurrence involving you or your company?
There is a boy who is one of our first hires. He was doing a job as a Kasai or butcher (A person who prepares meat in India, which is not a reputed work in India) One day he came to me and he said “I am so happy that my mom found a good girl for my marriage. Earlier the society was not even considering me as a human but, you have changed my mind. You bring positive energy and now my whole family is proud of me” and this is a very powerful story they are coming to the office every day. We are providing them crisp clean dresses, 3 meals per day, insurance, and most importantly we love and respect them. and that is the excitement of building Licious.
Q.Can you give us a rundown of how it works?
Licious is the first Direct to Consumer platform in India that sells meat and seafood. We operate in over a dozen Indian cities and have built a supply chain network for various types of meat and seafood. Licious also provides a simple ordering experience with our app and website.
Q: Are you planning to outsource any of your core business?
We have built on all capabilities, including an in-house customer service team,” says Hanjura. “All our delivery executives are on our payroll too. These measures ensure that they can deliver on the promises we make,” he says, adding, “Innovation is not a one-time thing. Constant and persistent innovation not only helps Licious stay ahead of the curve but elevates the entire meat ecosystem of the country
Q) Any advice for startups trying to make it big as a D2C model?
The opportunities in India are massive. It has the 2nd largest processed meat and poultry market in the world and is growing at 18% year on year. There are many business opportunities, especially for the Direct to Consumer (D2C) model. Only four forces are required to make a great offer for consumers –
- Quality driven
- Differentiated from competitors;
- Customer-oriented; and