What are package delivery apps? Find out!

Posted On: May 11, 2022

Posted By: appsrhino

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Convenience reigns supreme in today's environment. It is no surprise that online buying has long since become the new norm. Why leave your sofa to go shopping when you can obtain everything you need with a few taps and swipes on your smartphone?

As a result, global package delivery provides a $430 billion market potential (as of 2019, up from slightly less than $380 billion in 2018). According to the report, there is also a high demand for "creating a better last-mile solution" for package delivery apps.

In an era when online shopping and eCommerce are booming, it is critical to face the challenges of quick deliveries with robust package delivery apps. And to accomplish so, you'll need sophisticated parcel and package delivery apps with all the latest features.

Let's now dive into package delivery apps and discover what is vital for you to develop one.

Summary

The e-Commerce and online purchasing businesses have experienced a meteoric rise due to digitalization. The global online delivery market has increased with the introduction of on-demand parcel and package delivery apps. Such applications have established new ground rules in the E-commerce industry.

On-demand package delivery apps allow you to track and deliver your packages at a predetermined time. However, not all package delivery apps work and operate in the same way. Each paradigm has its implications and rewards. Every model requires functioning and structural expertise to construct your desired on-demand package delivery app. This blog covers in detail:

  1. What are Package Delivery Apps
  2. Types of Package Delivery Apps based on business model type
  3. Benefits of Package Delivery Apps
  4. Developing Package Delivery Apps
  5. Considerations for Package delivery app
  6. Cost of Package delivery app development

What are Package Delivery Apps?

Package delivery apps are mobile apps that aim to simplify and improve the user experience surrounding package delivery, payment, tracking, and receiving the final goods. Its new and user-friendly interface is built for those who prefer to send all kinds of parcels worldwide. It challenges outdated and stale parcel delivery systems.

Types of package delivery apps based on different business models

Types of package delivery apps based on different business models.png

There are numerous business models to consider when it comes to developing package service apps. Several of these business models are listed below:

Application for postal and courier services

This business model is followed by companies that have recognized the value of mobile applications and have used them to their advantage. Some well-known companies, such as FedEx and DPD, use mobile applications in shipping and courier services.

The former also offers a different smartphone app for same-day delivery. Similarly, the latter includes a full-fledged customer administration panel. This panel enables them to create shipments and generate labels for the goods.

Aggregators of package tracking

The data from all carriers are gathered at one point in this sort of business strategy. In this business model, the organization needs a single program to track all goods, regardless of carrier. Packages can be easily added by inputting their ID. Furthermore, the app's push notifications keep the user informed of the delivery status.

Personalized service and integrated solutions

Companies in this business model employ mobile applications with order tracking features. Some online sellers will additionally provide a comprehensive range of successful delivery options. The most significant benefit of using these package delivery apps is that the customer can see whether the shipment is ready to be dispatched, has been despatched, or delivered.

Many retailers employ branded package delivery apps to achieve a competitive advantage by delivering transparency and convenience to their customers.

A marketplace similar to Uber for package delivery

Apart from disrupting the taxi industry, Uber has established a viable business model that many other sectors may follow and benefit from. Uber for package delivery service is an example of this business model being emulated in the package delivery sphere.

The previous Uber for X firms has a history of challenging conventional business models. Thus an Uber-like courier service business may be a great success.

Benefits of Package Delivery Apps

Regardless of their business model, package delivery apps provide a variety of advantages:

  1. They make it quicker and more convenient for your customers to keep track of their goods. And, as we all know, a better customer experience aids in the development of brand loyalty. Customer loyalty translates into a better business and higher revenue for you.
  2. Package delivery apps provide greater worker flexibility and lower operational costs for business owners. While your couriers can use their smartphones, bulky devices are not required to verify items in and out or obtain a signature from a receiver.
  3. Furthermore, if you employ a package delivery app like Uber, you won't need to hire in-house couriers. Finding independent contractors to deliver your packages will be far easier and faster than onboarding and retaining your in-house workers.

Now that we understand how various on-demand package delivery apps operate let's look at how to build one from scratch.

How to build On-demand Package Delivery Apps

How to build On-demand Package Delivery Apps.png

It will never be easy to create your on-demand parcel delivery app, no matter which approach or business model you choose. It would help if you made various decisions in the order listed below to accomplish this.

Make a rough draught of your idea.

The first step before beginning app development is to create a flowchart to understand better and envision the process flow. Create questions such as, "Why package delivery apps?" How do you grow? What is the scope of the future? Every question must have an answer or a solution. Analyze each notion to avoid any stumbling blocks in the following app development.

Select an appropriate business model

The first step is to select the most appropriate business model. We have already discussed the various business models employed in the on-demand package delivery apps industry. You must decide whether to use a branded merchant shipping app, a postal service app, or an on-demand package delivery app.

Examine your company's details, audience, long-term goals, available resources, and many other considerations to make the best decision.

Define your company's needs and objectives

The development of mobile apps is only one side of the coin. You must grasp your business model's specifics, requirements, prospects, and the technical constraints of your package delivery app.

Consider the location of your delivery service: Will it be limited to a single city? Can you expand to cover the entire country? Or are you willing to go global?

Consider the parcel's size, weight, and packaging: Shipping a little envelope is simple, but can you handle a sofa delivery?

Which modes of distribution will you provide (e.g., automobile, bike, etc.)?

Each of the listed factors will impact the package delivery app's scope and functionality.

Determine the appropriate feature scope.

After you've addressed the theoretical aspects, you may start thinking about how to put your concept into action. To begin, write out and prioritize your criteria. In this instance, developing a functional specification is an excellent way to define your requirements (and discuss them with your developers).

While the reach and functionality of your product will vary depending on your business model and specifications, there are some essential characteristics that every package tracking app should have. Here are a few examples.

For a package tracking app aimed at customers:

  1. Login to social media.
  2. Customer profile, including address and personal information, preferences, orders, payment information, etc.
  3. Add package manually if desired (only for aggregators).
  4. A package tracking system with GPS and a map display.
  5. Real-time package management includes the ability to change the destination address, receiver, or delivery time, among other things.
  6. In-app chat: the ability to communicate with the courier or request assistance from support.
  7. Integration of a payment gateway
  8. Push Notifications 
  9. Package evaluations and reviews

For Courier App

  1. Sign in (for package delivery apps, using credentials provided by the manager).
  2. Courier account, comprising personal information, user ratings, an in-app wallet, and so on
  3. A list of available orders that has been filtered by location, time added, package size, and so on Alternatively, the system can employ a matching algorithm to automatically allocate an order to the nearest courier, giving the user the option to accept or reject the order.
  4. Management of delivery status - manual or automated
  5. Customer confirmation of delivery status (e.g., with a signature or by scanning a QR code generated by the customer app)
  6. In-app messaging: the opportunity to call the consumer and discuss delivery time/location specifics.
  7. History of completed orders

Regardless of the business model adopted or app type, an admin panel with granular access rights is required. You can use this dashboard to intervene and fix any difficulties with the packages. You can also utilize a third-party analytics service to monitor app usage and learn about user behavior.

Developing Package Delivery Apps

Now that you've determined what you require, it's time to consider how to construct your on-demand package delivery app.

On-demand package delivery apps development, like any other app, comprises UI/UX design, engineering, and testing. This is a fairly routine procedure. What may differ is the technology stack you select and the tools you employ along the journey.

There are two approaches to app development:

  1. Do it yourself, for example, by assembling an in-house team; or
  2. Find a dependable and skilled technology vendor to handle the entire procedure from start to finish.

The latter may be helpful if you lack technical expertise or experience leading a software development team, have difficulty finding and hiring local engineers, or want to get the ball rolling quickly. In this situation, you may rely on experts to select the appropriate toolset/tech stack and all other areas of design/development/testing.

Launch the MVP, learn from it, and enhance it.

One typical error that many people make is attempting to create a full-fledged application in the first instance. The more prudent decision would be to prioritize the project's features and scope to create the minimum viable product (MVP).

Once the MVP is live on Google Play or the Apple App Store, you can gain helpful information from customer feedback. You can also get analytical data from the reports and analytics, which may help you make informed business decisions.

Apart from a few essential post-launch initiatives, you should be prepared for ongoing enhancements and updates.

Considerations for package delivery app development

Considerations for package delivery app development.png

Developing package delivery apps is not enough to secure a courier service firm's success. Several more factors must be considered for your firm to be lucrative.

Promote your package delivery app

Simply launching an app will not suffice. It would be best to aggressively advertise it using various media such as social media platforms, print media, television, connection, etc. Your goal should be to pique users' interest before the product is released.

Create connections with your target audience.

It is critical that you rapidly identify your target demographic and work hard to build a solid customer relationship with them. In exchange, you will receive helpful feedback that will assist you in growing your business.

Make unique offerings to entice clients.

You can attract new clients by offering appealing promotions and incentives. You must strategize and consider what types of offerings might appeal to your target demographic. Also, you can try a range of deals or a combination of them to find which one works best for you.

Respond to feedback

Feedback is primary since it allows you to see all of your backlogs in terms of client service. To keep developing, you must act on all user feedback right away.

Personalized messages

Send personalized messages to your customers about all of your offers and promotions. These messages aid in the effective engagement of customers. However, you should limit the number of messages you send so that your users are not irritated.

Cost of Package Delivery Apps Development

It is critical to understand that several elements determine the cost of an on-demand package delivery app. The following are some of the decisive criteria that influence the cost of developing package delivery apps.

  1. You intend to engage a mobile app development business for app design and development.
  2. Which mobile platform do you intend to use? Is it iOS, Android, or a combination of the two? You can use any or both media, depending on your needs.
  3. You will demand client services from your mobile app development business after the app has been released.
  4. Which features do you want to include in your courier delivery application?
  5. Do you want to create a minimum viable product (MVP) or a full-fledged application?

Considering all of the criteria mentioned above, we estimate that the cost of a courier service application will range between $16K and USD 24K.

Conclusion

You can get an on-demand package delivery app service designed based on your specifications. Depending on your client's needs, it might be one way or round trip. Many other features, such as logistics, trucking, and same-day delivery, are available.

An effective on-demand delivery solution can get your company up and running in no time. As a result, it is always best to leave it in the hands of professionals for web development. Contact an expert and explain your company requirements. And you're ready to climb up the ladder of success! If you want to build your package delivery app, you can contact AppsRhino.