How to Build On-Demand Grocery App Like Instacart

Did you know? According to a Neilson survey, almost 48%of people around the world are buying groceries from a website or through an app!! Changing economic scenarios, customer tastes, competitive prices, and quality products have all boosted the demand for online grocery sales. 

On-demand delivery apps are very popular among online shoppers. Convenience is the main reason people opt for on-demand apps. Customers can easily browse tons of items across hundreds of categories in minutes. 

Grocery Stores are betting on grocery delivery apps worldwide. Grocery delivery apps like Instacart, Flipp, Mealboard, Postmates, Bigoven, Rapi, etc., are among the most popular in the on-demand grocery delivery world. 

With these amazingly easy-to-use online grocery shopping apps, you can shop and get all your items delivered to your doorstep without stepping out. The main focus of these grocery delivery apps is on speed, simplicity, and a user-friendly interface. 

The global online grocery market has absolutely exploded to roughly USD 800 billion today and is on a hell-bent trajectory to smash USD 2.3 trillion by 2032.

Online grocery shopping and apps are gaining popularity among customers, driven by a growing preference for a hassle-free shopping experience. 

Furthermore, the COVID-19 outbreak has led to an increase in customers buying groceries online to avoid going to department stores and limit their social contact. It is expected to change consumers’ buying behavior and positively impact the market over the long term. 

The shift toward online grocery shopping from traditional shopping methods is fueling market growth. As of early 2026, the number of online shoppers has more than doubled since your last check, hitting a massive 2.86 billion people—meaning over one-third of the entire human population is now clicking "buy" online.

What is Instacart?

Founded 8 Years ago in 2012, Instacart is a US-based company that operates a grocery delivery and pick-up service in the United States and Canada with headquarters in San Francisco. 

The company provides services via a website and mobile app in 5,500 cities in all 50 U.S. states and Canada in partnership with over 350 retailers that have more than 25,000 grocery stores. 

Orders are fulfilled and delivered by an Instacart personal shopper, who picks, packs, and delivers the order within one hour or up to five days. Retailers set the prices of every individual item on the Instacart app, which is mostly the same price as in-store. 

Instead of delivery, customers using the Instacart Pickup option, can also pick up their packaged orders from the store according to their convenience. 

Instacart was founded by serial entrepreneur Apoorva Mehta, a former Amazon employee. Apoorva was born in India and moved with his family to Canada in 2000 but the app was originally founded in the US. 

Instacart introduced new services in response to the COVID-19 pandemic, including a contactless delivery option and expanded safety guidelines for shoppers. Since then, it has continued to grow its technology and retail partnerships, powering online grocery shopping and pickup across nearly 100,000 stores in North America and supporting about 600,000 shoppers on its platform.

Instacart has raised around $2.9 billion in funding across multiple rounds from notable investors, and it went public via an IPO in September 2023, raising roughly $660 million and achieving a market valuation of about $10 billion.

Earlier funding rounds helped fuel expansion and technology development before the IPO, and by 2024, Instacart reported annual revenue of about $3.4 billion, reflecting steady marketplace growth.

If you are looking to capitalize on this massive market shift, you should check out these 7 reasons why you should build an Instacart clone app to launch your own delivery powerhouse.

Qualities an app must have to become successful!

• Live tracking is an essential and important element of a food delivery app. While a person waits for his food, he might be keen on checking on the status of the order. Therefore, this is a must-include feature of any on-demand food delivery app.
   

• Payment options in the app should ensure to have multiple options for making payments. With most people going digital, the mode of payment through credit and debit cards has been the widely used option. Digital wallets should also be linked with the on-demand food delivery app.
   

• A timely reward should be given to loyal customers of the apps. This helps in creating retention and earning loyal customers.
   

• Push notifications are a vital part of food delivery apps in the long run. The customers should get notified if anything new is being introduced at the app or any new offer has been launched.
   

• Grocery packs in the app are yet another option that is very important. Customers should be allowed to customize the groceries they are placing an order for like quantities.
   

• The address book should have the feature of adding several addresses for various locations including home, office, etc.
   

• The cumulative bonus feature must be there in the app through which you can reward the customers who have been ordering food with the app for a long and they can be further used in the future.
   

• Offers and discounts are very attractive to customers and may not only bring new clients but also bring back previous customers. These must be provided to increase customer engagement and gain attention.

Suggested Reading:
How to build On-demand Grocery App Development Like Instacart
How to boost your revenue with an on-demand grocery delivery apps?

What are the benefits of a good app development company?

Security

People using on-demand grocery delivery apps want to ensure their transactions are safe and secure at all times. Supporting security protocols can make you pass on added costs to the services you offer to your customers. 

This can make you lose your competitive edge in the on-demand market. Moreover, the flow of data within the organization also needs to be regulated by implementing strict security standards.

Reliability

Reliability is a major factor that defines the success of your on-demand grocery app. Proper testing of your customized software ensures you have a reliable IT tool that can help you grow your business. 

By building our custom grocery delivery app, we get complete control and don't have to depend on others for anything.

Uniqueness

Each business is unique in its own way. There is no universal solution as far as business processes are concerned. Having software ready-made to suit your unique requirements can benefit your working model. 

Customized software development also helps to support your “unique” identity in the market for your grocery delivery app.

Adaptability

Organizational processes change over time due to market dynamics. So, it becomes necessary to adapt to new processes and technologies to maintain your hold in the on-demand economy and expand your customer base. 

Customized software can be easily changed. New processes and technologies can be integrated into your existing software when marketing trends change. 

This makes your grocery delivery app ahead of the curve in the marketplace.

Suggested Reading: 
How AppsRhino can help you to develop your first Milkbasket Clone App? Find Out!

Flexibility

This is one of the most beneficial aspects of grocery delivery apps. Our business doesn't have to mold our work to suit a particular software. 

Our software can be easily changed to suit our requirements as and when required. This is such a relief when we need to bring changes to our business model.

Optimized process

You don’t have to mold your work to suit a particular software – Your software can be changed easily to suit your requirements as and when required, provided it is custom-made. 

In fact, the best grocery delivery apps are designed and developed to align with the business model and follow the organization’s unique processes. 

Custom software development helps to optimize and grow our business processes rather than replacing them.

Conclusion

Overall, the on-demand app development industry is poised for a bright future today and tomorrow, as there is no looking back in online activities and digitalization worldwide. 

Technological advancements such as video portfolios, Barcode scanning, POS systems, and API integration are going very well in this digital era. It is a smart move for clients, individuals, small-scale industries, or enterprises. 

An easy interaction between customers and products and services is the key highlight of these grocery delivery apps, and that too, instantly when needed. I

t would be interesting to see how this arena blossoms and what more advancements are observed in the time to come. 

Still, to stand out from the crowd, you should adopt current trends in the grocery ordering industry. 

For your future on-demand grocery delivery app, you must utilize the best on-demand business strategies to stay ahead of the changing economic trends. 

Also, you can gather insights from your target audience and add other features during the app development stage. The last thing remaining is to hire an on-demand food delivery app development team, which is the most essential step towards your success. 

If you are also an entrepreneur and want to establish your on-demand grocery delivery app, then AppsRhino can be your best choice! 

AppsRhino offers the best Tech-driven solutions for Home services, Laundry delivery, Alcohol delivery, Grocery Delivery, On-demand Cannabis, and Taxi Services.

Contact us today to create your best grocery delivery app!