Midnight craving? Don’t worry because online food delivery apps are there for your rescue. Thanks to the food delivery apps, the ordering app has now become easy and convenient for people. Now, big restaurants and fast-food chains are planning to build their custom application as food delivery apps are witnessing massive popularity, further impacting the increase of their revenue and profit among the people.
According to a report by Statista, revenue in the Online Food Delivery market is projected to reach US$54.87bn in 2025. The data highlights that the food delivery app is growing at a 13.75% CAGR, resulting in a projected market volume of US$91.88bn by 2029.
Now, if you are wondering whether it is the right time to start your food delivery app, the answer is YES! As technology advances, the need for fast-delivery apps becomes crucial. Let’s understand this in more detail.
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Why Are Big Food Brands Building Their Delivery Apps?
With the rapid growth of third-party delivery platforms, one might wonder why restaurants and big food chains are creating their apps instead of relying on them. There are many reasons for this, so let’s understand each of them deeply.
Better Profit Margins
Food delivery apps charge high commissions, around 15% to 30% per order. These orders account for the app’s overall revenue and profit. Now, businesses can eliminate the middleman and increase their profit by creating a custom application.
Better Customer Experience
Another big reason to start creating your food application is because of your customers. Launching your app allows you to customize your ordering process, provide better discounts, and have a better marketing facility to attract customers. Overall, your custom application targets the right customer by providing a personalized experience for their search.
Strong Data Ownership & Insights
Having your application ensures that you have abundant customer data that can be utilized for better marketing and building business strategies. Businesses can get direct access to customer data that was missing earlier. This data will help them understand market trends, analyze them, and build a strategy to improve marketing.
Faster Deliveries
Nowadays, local restaurants offer delivery systems to their customers to ensure faster deliveries. Similarly, having your custom application allows big brands to integrate their fleet management system, ensuring faster delivery times and better control over logistics.
Stronger Brand Loyalty
According to experts, custom apps help businesses attract loyal customers. Building a strong application will provide an incredible customer experience, helping the business generate more customers. Third-party platforms don’t help build a loyal customer base, which is a big disadvantage for businesses.
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Understanding the Future Trends in Food Delivery Apps
As discussed in the article, the food delivery industry is evolving rapidly and enhancing its features by bringing new technology to the people. We have witnessed how food delivery applications provide “10-minute delivery” features to reduce waiting time and increase user experience.
However, the industry will face big trends in the coming years. If you wonder what they are, this article section will guide you. Here are the biggest trends shaping its future:
1. Drone & Robot Deliveries
Companies like Domino’s are testing drone-based deliveries for faster service. This facility will increase the capability of food delivery and reduce the period. Not only this, but drone-enabled delivery will reduce delivery times significantly, making food delivery faster than ever before. With automated drones and robots, businesses can cut operational costs and deliver in hard-to-reach areas.
Moreover, drone delivery will reduce traffic issues and minimize vehicle fuel consumption.
2. Voice & AI Ordering
Undoubtedly, AI-assistant applications like Alexa have become a significant part of our lives. With technological advancement, it has become crucial to develop according to technology. That’s the reason why companies are testing voice-ordering food. With this feature, customers can order food by using their Alexa or Google Assistant. Isn’t it cool?
3. Fast Personalization
Many platforms have started using personal recommendations for their customers. OTT platforms like Netflix offer personalized suggestions based on customers’ watching history. Similarly, food deliveries can use AI-driven food suggestions based on mood, weather, and preferences, which will enhance customer experience.
4. Sustainable Packaging
Lastly, Eco-friendly food packaging will revolutionize the food delivery app. Sustainable products have become a major part of our lives, as maintaining the environment and consuming sustainable items are crucial. Similarly, food delivery applications prioritize sustainable packaging Sustainable Packaging by offering it to the customer.
Final Verdict
The food delivery industry is constantly evolving, reaching new areas and adding more customers. As the world has become used to food delivery apps, businesses are no doubt planning to launch their own applications to deliver food. Still, many countries have not started the facility, and even if they have, their application doesn’t offer multiple facilities.
If you plan to build a food delivery app, ensure it includes AI-driven recommendations, real-time tracking, and seamless payment integration. Choose the right development team to bring your vision to life and create a scalable, profitable platform. Join hands with TechRev to build your own food application. Or, if you already have your application, optimize it according to market trends and increase your profit now.