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How to Start a Delivery Service Business in 2020

A delivery business can be of any kind, an e-commerce delivery service, food delivery, grocery delivery, and so on. Thanks to the increasing demand for delivery services, both the scope and revenue capacity of this industry have boosted in the past couple of years. Almost all the leading food/grocery delivery services, including Zomato, Uber Eats, Grab, etc. have reported a significant increase in demand in the past year or so.

Today, customers prefer to get everything delivered at their doorstep, which reduces the hassle of going out to shop even the smallest/basic things like food and groceries. Moreover, the increasing competition in this space ensures high-quality services as per customer’s demand.

Another reason why e-delivery services have a good future scope is that they are one of the few services that remain active, in fact crucial, in testing times like these. When the world is struggling with the COVID-19 pandemic, these food & grocery delivery services are playing a major role in ensuring the delivery of essentials to people.

All these things clearly indicate that the future belongs to online delivery services. Also, it’s obvious that the delivery service makes a wonderful choice for anyone looking to start their own business today.

If you’re also looking to start your own android application development agency here’s a step-by-step guide to doing so.

Starting a Delivery Service Business online Delivery Business

Starting your own is easier said than done. Be ready to do a lot of research and planning and go the extra mile to build the most sophisticated infrastructure for your target audience. We aim to make it easier for you.

Let’s get started

Research & Planning

First of all, you need to determine the kind of delivery business you want to start. Food, grocery and e-commerce are some of the popular options. The next step is to identify your target audience and market, to which you want to serve. You can also consider researching some of your competitors (existing businesses in the same industry) and learning a few trade secrets from them.

Based on your research, you need to build a plan for how you want to carry out the business.

Deciding the Budget

When starting your own business, you need to be very careful about how much you spend. Unless you are being backed by an investor, it’s wise to start with a limited budget. Spend only on important things and try to save money on unnecessary or less important stuff.

Allocate a separate budget for everything, including research, development, and marketing. Do not ignore the importance of marketing when deciding your business budget.

Start Collecting Resources

To build and run a successful delivery business, you’ll need a variety of resources, including a workplace, delivery vehicles, a business app, delivery people, etc.

Start accumulating these resources at the beginning itself. If you are working on a tight budget, you can consider hiring or leasing some of these resources, including an office and a delivery vehicle.

Once your business infrastructure is ready, you can start hiring the team (developers, etc.) and delivery personnel.

Building a Delivery App

Most of the online delivery services today run through dedicated mobile apps. Consumers now prefer to book these services through an app rather than a website. Therefore, having a mobile app is crucial for the long-term success of your delivery business.

All kinds of delivery apps, irrespective of the industry, work more or less the same. The basic components include an ordering system (consisting of options for search, menu, cart, etc), payment system, delivery, status tracking, support, etc. Also, adding the location tracking and route planner feature is a must for your delivery app. It will enable drivers to find the best route to the customer’s location and allow customers to track the live status of their order.

To build your first delivery business app, you can consider hire mobile app developers

At SAG IPL, we have extensive experience in building food & grocery delivery apps. We have developed delivery service apps for a range of industries, including restaurants, e-commerce, online pharmacy, courier, grocery stores, and more.

Partnership with businesses

When planning to start a delivery business, you’ll need to partner with actual businesses that will give your products to deliver. For example, if you are building a food delivery app, you may have to partner with restaurants and food chains in your area to offer delivery services on their behalf.

As a delivery partner/service, you can make your revenue through the commission received from restaurant/store partners and also through in-app advertising.

Marketing your Delivery Business

Marketing should be a crucial part of your business planning, and a separate budget should be assigned for this step.

Without marketing, most people won’t even know that your app exists. There are already hundreds of popular delivery apps on the app store, so why would people use a new app that no one knows about? Even if your app is unique and better than other apps, how do you expect people to know about it?

Marketing will help your delivery app reach its target audience, tell them about your product, and why it’s better or different from the existing options.

For the marketing of your delivery business/app, you can hire a professional digital marketing agency that will promote your business and product through search engine optimization, app store optimization (ASO), social media marketing, content marketing, PR & media, blogs, and other white-hat techniques.

Home or online delivery is something that consumers have accepted with an open heart. Whether it’s food, groceries and just about anything, people love to get these things delivered to them rather than having to go out to shop everything. It’s also obvious that both the demand and value of delivery services will only rise in the coming future. So, this is the best time to start your own delivery business.

This article helps you through the process of building a delivery business from scratch. Of course, the actual process can be slightly different, depending on the type of delivery service business you’re planning to start. Seek the help of professionals as and when needed.

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