How are On-Demand App-Based Startups Reshaping Mobile App Development?

Posted On: May 11, 2022

Posted By: appsrhino

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Like businesses, today's consumers are also going through rapid changes in purchasing behavior, moods, and shopping habits. The increasing growth of app-based startups with popular on-demand services should be explained with this perspective in mind. Thanks to mobile apps, consumers can now place orders for their required products and get them delivered to the doorstep. On the other hand, business brands can increase sales and business conversion by making doorstep delivery.

Naturally, many startups are coming up with unique business ideas to grab the opportunities of on-demand apps. This emergence of the on-demand economy is transforming mobile app development and its key criteria in more ways than one. This blog post will explain the key ways on-demand app-based startups are transforming mobile app development.

Summary

At the end of this blog, you will understand how app-based startups are reshaping mobile app development.
  1. The demand for on-demand services and on-demand apps share a directly proportional relationship; when the demand for the former goes up, the need for the latter also rises accordingly.
  2. At present, businesses invest heavily in designing and developing on-demand mobile apps.
  3. It was predicted that approximately 7.6 million people would work as service providers in the on-demand economy by 2020.
  4. Over 22.4 million users are prompted to spend about $57.6 billion annually to get the services.
  5. Millennials comprise 49% of on-demand customers.
  6. Food delivery, transportation, housing, and online marketplace services are among the popular categories for on-demand services.
  7. Over 45% of users of on-demand app solutions have an annual income of less than $50,000.
  8. The on-demand food delivery app revenue will cross USD 182bn by 2024 (Statista.com report).
  9. The on-demand food & grocery delivery market is expected to touch $161.74bn by 2023.
  10. These apps assisted companies in rushing to people and providing them with the services       they wanted in lieu of money.
  11. The demand for on-demand apps means more skilled app developers are required in the industry.
  12. Airbnb and Uber mobile apps are two real-world examples that demonstrate how on-demand apps benefit businesses.
  13. On-demand apps deliver everything, right from delivering on-demand healthcare and medication to delivery of grocery and restaurant foods to providing on-demand services like cab transport, housemaids, and various others.
  14. What differentiates on-demand business leaders from the rest of their contemporaries is that they combine several on-demand delivery services in a single app.
  15. The pandemic has created new business opportunities for businesses with on-demand mobile apps.
  16. It is no longer difficult for patients to provide the laboratory professionals with their blood and other body fluid substances sitting right at their homes.
  17. You can find a cook, beautician, or masseur in your area through an on-demand service app.

Increase in the demand for efficient developers 

Professionals and skilled mobile app developers are in great demand, and this demand does not seem to stop. The reason for the high demand is that the number of mobile users keeps on increasing every year, and it pushes the demand for mobile apps higher.

The demand for on-demand mobile apps is increasing for iOS and Android platforms. This demand is the reason why companies are hunting for efficient mobile app designers and developers. As per the US Bureau of Labor Statistics prediction, the demand for developers is expected to rise to 24% from 17% by 2024.

On-demand apps are bliss for startups.

People love getting things at the moment they express a wish for them. On-demand services help people live with this facility, and startups have taken leverage of it.

Many small businesses offered on-demand services and achieved success with the help of on-demand services apps; these apps assisted companies to rush to people and provide them with the services they wanted in lieu of money. Thus, it is clear now how mobile app designing and development firms help startups and business entrepreneurs to survive the cutthroat competition. Airbnb and Uber mobile apps are two real-world examples out of numerous such examples that demonstrate how on-demand apps benefit businesses.

In a nutshell, mobile app development services enjoy many opportunities since small businesses and startups depend on them to deliver on-demand services to customers.

 

Catering to a Vast range of User Needs

The most positive thing about the booming on-demand economy is that it encompasses a multitude of customer needs and industries across the spectrum. From delivering on-demand healthcare and medication at the doorstep to delivery of grocery and restaurant foods to providing on-demand services like cab transport, housemaids, and various others, there is practically no limit to the coverage of on-demand app-based services.

Already on-demand apps like Uber have shaped an entire generation's mindset and consumer behavior. The Uber mindset, over time, inspired many business startups to come up with their app-based services. Now on-demand apps are even being used by small and local businesses. Any company that develops apps knows about the expanding app market, thanks to the popularity of on-demand apps among small businesses. If a business has a website with a steady customer footfall for online orders, it can just turn it into a mobile app and start the on-demand service for its customers. Starting an on-demand app-based service has become so simple.

 

Though there are numerous such on-demand services startups, not every startup adapts to an on-demand ecosystem as not every business can create a scalable business model catering to the user's needs effectively. On-demand mobile apps should offer more than one type of service as no one is interested in downloading 100 apps to perform 100 different tasks. What differentiates on-demand business leaders from the rest of their contemporaries is that they combine several on-demand delivery services in a single app. Zomato has done the same thing; it has integrated Google Maps to show the location correctly. Simultaneously, it has collaborated with Uber to provide customers with cab services so they can reach eateries easily.

Addressing Food and Grocery Customers During Pandemic

The Covid-19 pandemic and ensuing emergency have made businesses and customers aware of the huge importance of on-demand app-based services. Thanks to the government's dictated lockdown and strict control on people's movement and the functioning of businesses, app-based services in many parts of the world came to the rescue for fulfilling daily needs and certain essential services.

The emergency also helped foster a lot of new on-demand apps and services. Many local businesses and small startups have started to come up with their online on-demand services, while many established businesses with an excellent online presence have come up with their own branded apps for the on-demand delivery of products and services. Many new on-demand app-based services have extended their helping hand, particularly for essentials like foods and groceries. The pandemic, in turn, created new business opportunities for businesses with on-demand mobile apps.

On-Demand Healthcare and Drugs: An Emerging Opportunity

One of the key areas where the on-demand economy has played the most important role in recent times is healthcare and medicines. Thanks to on-demand healthcare apps, it is no longer difficult for patients to provide the laboratory professionals with their blood and other body fluid substances sitting right at their homes. This has resulted in faster remittance of healthcare and medication while allowing the healthcare industry to accommodate more patients.

From delivering drugs and medical products at patients' doorstep to allowing certain medical testing and diagnostic procedures right at home, from providing on-premise medical care for certain patients to monitoring patient conditions and suggesting treatment remotely, on-demand healthcare apps literally revolutionized the scope and opportunities for the healthcare businesses.

 

On-demand Economy for Employees

The on-demand economy has also changed the way employees and employers are within the organizations. Most companies have incorporated enterprise mobility management models with which employees feel more satisfied.

IT companies even provide liquidity to their employees in terms of project delivery which means employees can work from anywhere and use any device, whether their personal laptops, smartphones, tablets, and work anytime.

On-Demand Service Industry: A Rapidly Evolving Market

Another major industry that is rapidly evolving corresponds to the multitude of on-demand services ranging from housemaids to home tutors to electricians and plumbers to several others. One can look for the required professionals in a particular locality and easily approach them through mobile apps. Whether you need a plumber or an electrician, or a home tutor for your young kid, an app catering to several on-demand service requirements can help you get in touch with any service professional of your need.

The market for on-demand services for various daily needs is rapidly evolving and is accommodating new services and local businesses. A whole array of new startups are emerging, offering consumers services of all types and niches. Many unique on-demand apps cater to diverse service requirements across the niches. Whether you need a cook or a beautician, or a masseur, you can find the right professional in your area through an on-demand service app.

Biggest Challenges for On-Demand App-Based Startups

Now that the evolving landscape of on-demand apps and their advantages are quite clear to us, we need to understand the challenges these app-based services face worldwide. Remember, the principal value proposition of on-demand apps is to help customers get products and services right at their homes without any pain and effort. So, besides the services, the app's user experience makes all the difference.

Some of the key challenges that make on-demand businesses different from traditional ones include the following.

  • Here app user experience is a deciding factor for sales and business conversion more than anything else.
  • Last-mile delivery of the products and services needs to be efficient and less expensive.
  • Creating customer satisfaction by managing service professionals, last-mile delivery agents, and suppliers requires experience and competent management.
  • Maintaining a scalable on-demand service across multiple locations is often capital intensive for a startup.
  • Competition among on-demand apps is at an all-time high now, and hence it requires unique app ideas and an engaging user experience.

Conclusion

On-demand apps represent a diverse range of businesses selling products services that have already redefined and reshaped the mobile app market beyond recognition. Thanks to on-demand apps, there has been a renewed focus on the user experience and user-focused attributes. If you want to venture into the on-demand services business or are already in this sector and want to get an on-demand app for yourself, contact AppsRhino today!