The online food industry has grown immensely in recent years and this sudden increase has created a massive opportunity for the food delivery startups. The global revenue of this industry is expected to show a growth rate of 7.5% resulting in a projected volume of US$182,327m by 2024. Furthermore, the reason for this immense growth is that it has expanded the choice and convenience for the customers to order from a wide variety of restaurants from their mobile phones.
Online food ordering platforms have increased the convenience level of the customers as well as boosted the restaurants’ sales by creating their strong online presence in the market. Not just the business owner is profiteering, online food ordering is also aiding restaurants and customers and everyone else involved in between. While Seamless, Uber Eats, Delivery, Foodpanda, Grubhub, and Delivery Hero are the top players, local food ordering and delivery startups are also making a name in different countries.
Let’s have a look and learn how popular food ordering businesses work and make money.
Online food ordering platforms like Grubhub.com and Deliveryhero.com follow a simple business model. They act as a common platform between customers and restaurants. Subscribed users search for restaurants, place their order, and pay for it online or opt for COD (cash on delivery).
The delivery part is mostly handled by the restaurant owner. However, this is not all you need to know for starting your online food ordering and delivery website. Below are some other critical points;
There are many online food ordering & delivery platforms that are popular among customers. Some of them are listed below:
Now, let’s learn how you can launch the most popular food ordering startup, and make it successful.
Investing in a solution that will launch a website similar to Foodpanda or Grubhub will not establish you as the next big thing in the food ordering and delivery system. You need to take care of various technical and marketing aspects to make your website stand apart.
Keep the following points in mind while creating and marketing your food ordering portal:
If you feel that investing in a readymade food ordering and delivery solution is enough to get started, then you are partially right. It will get you ‘started’; but to succeed you need much more. Focus on building a unique identity or you will end up looking like any other solution in the market that lacks originality. Give your food venture the advantage of custom design and programming. It is very important to choose a feature-rich, secure platform to launch your website so that people trust you.
To engage today’s smartphone-clutching users, invest in mobile application development for your online delivery business. With a mobile application, you can also utilize native mobile features to add user experience. Mobile apps represent 60% of all digital restaurant orders today making it a $38 billion industry in 2020. Hence, it is necessary to focus on customer-focused experience in this smartphone-driven market.
Information architecture and database management systems should be such that a website is easy to read by search engines (like Google and Yahoo) and application stores (like Play Store and App Store). They will act as a free source of constant traffic to your website and mobile app. Expecting such online food delivery website features by default will not be wise. Only an expert team of designers, programmers, and app developers backed by an experienced SEO and ASO team can develop such a system.
You will need to create an exhaustive database of restaurants in your target location with contact details, menu, areas of delivery, etc. Having an able sales team will help you partner with local restaurants who agree with your commissions and wish to generate business through your website. Make sure your website is scalable enough to manage a huge database of restaurants and customers.
It is always advisable to start your business with a focus on a limited area. This will help you:
The success of an online food ordering system like FoodPanda and GrubHub depends on how well it caters to the needs of its locales. Following points will come handy:
Think of new ways through which local businesses can advertise on your website and increase sales. This will push up your profits and make your platform relevant to local businesses. Check out following points for more insights:
Develop advanced content filters that allow search based on the timing of food delivery from the very beginning. What if a user wishes to see only the restaurants which allow midnight delivery. This is something very practical that most food ordering websites as well as their clones are missing.
Think of how you can automate the entire process of informing restaurants about new orders, avoiding order cancellations, informing customers about an order declined by a restaurant and suggesting alternatives, etc. Following features are must-haves:
People prefer to order online because of convenience. So, the order placement process should be quick and easy. This is possible only if your site has been created with usability in mind. A solution similar to Foodpanda, JustEat or GrubHub clone will not have an optimized user experience. An intuitive user interface for mobile applications and websites is a key thing that heightens the credibility of your business. An expert UX designer can help you improve site engagement and conversions as well.
Saving past orders, delivery addresses, partial payment details, and other relevant information in the dashboard is also an efficient way to quicken the online order processing. Introduction of eWallets for quicker payments is also a great option to enable the customers to make the payment quickly making the process quicker and simpler.
As development partners of established online brands, we wouldn’t recommend you to launch your online food ordering website/app on a readymade solution. To make your own marketplace like Foodpanda, Uber Eats, Seamless, you need a sustainable business model, website/application with unique responsive design and custom features, and a sharp marketing strategy. Don’t buy a food ordering marketplace solution first and think about customization later. Join hands with a professional service provider that can help you with design, development as well as online marketing.
This will guarantee you an online food ordering platform that will be perfect in every possible way. Discuss your website requirements with our team to get a website similar to Foodpanda and Grubhub. Features screenshots are taken from Yo!Yumm (online food ordering system) demo website.
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