Do you know what is the main factor for the success of on-demand food delivery apps? It’s the comfort and convenience that gives us to order food from home through our smartphones.
The current market offers us a plethora of delivery apps for ordering food.
In this blog, we list down the best food delivery apps any entrepreneur must know before starting a food-delivery business.
Other than this, we also share the quickest way to build an on-demand food delivery app.
Let’s get started.
Best food delivery apps trending in the industry
UberEats is an online food ordering app, mainly focused on the U.S region. It was founded in August 2014 by the parent organization Uber.
The service was first started in Santa Monica, California as the UberFRESH. By 2015, it was renamed as UberEATS.
How UberEats operates?
UberEats has three apps – user app, delivery app, and the restaurant app.
- The user app allows people to order food from the restaurant through the app.
- Drivers use the delivery app to receive pick-up notifications.
- Restaurant app is for the restaurant owners to get orders from the platform.
The user orders food by choosing a restaurant and pays for it. Restaurant owners receive the order notifications and start preparing the food.
After the order gets prepared, the delivery person, who is near the restaurant’s location, picks-up the order and delivers it to the user.
UberEats revenue model
The platform charges different commission fees to all user groups.
UberEats charge a 30% commission fee from the restaurant who partner with the UberEats platform.
The platform also charge a service fee from the user depending upon the total number of orders made by calculating the percentage of the subtotal.
They charge a variable delivery fee from the user depending on the distance to the user’s location.
Postmates is an on-demand food delivery app started by Bastian Lehmann on 1st May 2011.
Before starting as an on-demand food delivery business, they started as an on-demand logistics business.
After seeing opportunities in food and grocery delivery, the company shifted their focus and that’s how the Postmates came into being.
Also, apparently UberEats is planning to acquire Postmates.If you have an idea to build an Uber for grocery delivery app, you must have a practical knowledge on how the business earns revenue and how the business actually operates.
How Postmates operates?
To order food, the user has to create an account using an email address and phone number. After setting up their account, the user places an order from a restaurant and pays for the order.
If the menu is not available for the chosen restaurant, the user can add the items and send a custom order. The users make sure the instruction is specific and understandable to postmates.
For instance, “one large extravaganzza feast pizza with a thin crust.”
The Postmates (the delivery person known as the postmates) who are present near the restaurant’s location gets assigned the job. They have to accept it before a limited time. Otherwise, the task is re-allocated to other postmate.
After Postmates accepts the delivery request, they go to the restaurant, pick up the order, and deliver it to the user.
The customer can place the order from the website or use the Postmates app available on Android and iOS platforms.
Postmates revenue model
Postmates charges a service fee depending upon the number of items user purchased through the app.
They charge a small cart fee of $1.99 if the order subtotal is below the minimum amount.
The delivery fee is $0.99–$3.99 for Partner Merchants and $5.99–$9.99 for all other merchants.
Additionally, a service fee is applied based on the purchase of the items.
It was founded in 2013 by Tony Xu, Stanley Tang, Andy Fang, and Evan Moore with a vision to build a logistics company, delivering food from restaurants to customers.
They started in Palo Alto by delivering the food at night. The company was initially named as the Palo Alto Delivery.
How does DoorDash work?
The user orders food by searching for their preferred restaurants or browsing through food categories in the app.
They add items in the cart and proceed to make an order.
The user pays for the order using payment gateways like Google Pay or Apple Pay, credit/debit card.
The restaurant gets notified of the new order and prepares the food. They pack the food for the dasher(rider) to deliver safely.
The dasher receives a pickup request along with the info of the earnings they make with this ride.
They can accept or decline the delivery request.
If the dasher (rider) accepting the delivery request, they receive route navigation to the user’s location.
The user can download the DoorDash app on the iOS and Android platforms.
DoorDash revenue model
The DoorDash charges a service fee from each user group on the platform
It charges a variable service fee from restaurants for every order.
Around an average 20% service fee charged from each order delivery.
A percentage service fee charged from the end-user depending upon the orders’ subtotal.
It is a Dutch online food delivery company, started in 2000 by Jitse Groen. The idea of Takeaway came to him when he found it difficult to find food menus of restaurants online.
The company has a number of local websites like Pizza.co.uk operating in the United Kingdom and Thuisbezorgd.nl in the Netherlands, etc to let people order food from local restaurants.
In 2009, they introduced a mobile app on the iPhone and Android platforms.
The company acquired many food-ordering companies and recently is the Just Eat, a British online food delivery company. After the acquisition, the Takeaway changed to Just Eat Takeaway.
How does Takeaway work?
- The user enters the location like an address or zip code.
- The website/app list down the nearby restaurants.
- Choose the restaurant and go through the menu to order food.
- Select the payment method, which can be Paypal, credit card, or cash, and place the order.
- The restaurant receives the order details and starts preparing the food.
- They make it ready by packing it well.
- The delivery people from Takeaway pick up the order from the restaurant and deliver it to the customer.
Takeaway revenue model
In 2012, the website handled 800,000 orders per month for 10,000 restaurants.
The company gets a share from restaurants for using their website to get orders.
The end-users pay a service fee for each order when booked through their platform.
It was founded by William Shu in 2013 in London. The motto of the company is ‘proper food, proper delivery’, and that made them successfully take their business into a success.
Currently, the company is operating in 200 locations across the United Kingdom, Netherlands, France, Belgium, Ireland, Spain, Italy, Australia, New Zealand, Singapore, Hong Kong, the United Arab Emirates, and Kuwait.
How does Deliveroo work?
- The customers order food either from the website or through the Deliveroo app available in the iOS and Android app.
- They add their postcode to identify the nearby restaurants.
- Choose food from the restaurant menu, and place the order.
- The restaurant accepts the order, prepares the food, and package it.
- The Deliveroo rider will pick up the order and deliver it to the customer.
Deliveroo revenue model
The company charges a commission fee from restaurants and the users.
From user, they charge:
Delivery fee: The fee depends upon the distance between the restaurant and the user’s address. The nearer the user is to the restaurant, the lower the delivery charges. The farther the user from the restaurant, the higher the delivery charges.
Service fee: A fee for using the Deliveroo app for ordering food.
Small order fee: When the order subtotal is less than a certain amount, Deliveroo applies a small order fee to cover up. To remove the fee, the user has to add more items.
How to build an online delivery service?
Other than food delivery service, there are many Uber for x services you can think of like medicines, groceries, couriers, and parcel services within local communities.
The technology has made it simpler and created more business opportunities in the on-demand-delivery service market.
To build a platform for any on-demand delivery service, you can make use of the readymade UberEats clone scripts from the marketplace development companies.
We have WooberlyEats – a robust UberEats clone script. It has all the core features intact in the app.
The highlights of the script is,
- Built with Flutter technology, which is recently released by Google.
- Powered by the GraphQL
- 100% customizable
- You get the complete source code
For more details, you can reach us at email@example.com.