Posted on: | Posted by: Rahul

How Skip the Dishes Work: Business Model and Revenue Model

Have you ever felt a desire to eat your favorite dessert but stuck at your workplace, or you feel too lazy to go out, and let go of your desire? Today the food industry is filled with companies who are providing online food delivery services at our doorstep. With the changing scenarios in demand, restaurants, or cafes are taking the help of the food delivery apps like Skip the dishes to make their food deliver to the customers. The online food delivery services works both ways as it benefits both the restaurants (they can reach many customers) and the food delivery apps (they get a commission from the restaurants on each order).

Market Size

In the UK, the online food delivery revenue is equal to US$5,429m in 2020. Due to apps such as Skip the Dishes, the revenue is anticipated to manifest a growth rate of 6.5%, arising in a market volume of US$6,976m by 2024. The largest segment of the food market which is Restaurant-to-Consumer Delivery consists of a market volume of Revenue in the Online Food Delivery segment that amounts to US$2,263m in 2020.

In Canada, due to the apps such as Skip the dishes, the revenue in food on-demand companies is foreseen to show an annual growth of 8.5%, following a market volume of approximately US$3,142m by 2024. The food industry segment which involves Restaurant-to-Consumer Delivery has shown a market volume of US$1,471m in 2020.

About Skip the Dishes

Skip the dishes is an online food delivery company that provides food deliveries to the customer, where the customer accesses the application provided by Skip the dishes. A customer can operate the skip services either through the Skip the dishes application or its website.

Interesting facts about Skip the dishes are mentioned below:

· Skip the dishes was founded by Andrew Chau, Dan Simair, Chris Simair, Jeff Adamson, Josh Simair in 2012.

· This Winnipeg-based app like Skip the dishes is one of the largest firms in Canada with around 2500 employees.

· Skip the dishes, or apps like Skip the dishes operates in multiple Canadian cities such as Burnaby, East Vancouver, Calgary, Edmonton, Red Deer, Prince Albert, Grande Prairie, Regina, Saskatoon, Winnipeg, Mississauga, and so on, and some American cities like Columbus, Cleveland, Cincinnati, Buffalo, and to name a few.

· In 2016, Skip the dishes was acquired by JustEat in exchange for a whopping amount of $200 million. With this indulgence, JustEat CEO, Peter Plumb informed that JustEat has shown significant growth in the business as well as this helped them to expand the business to more areas

· In 2017, Skip the dishes expanded their business by starting delivering alcohol in specific markets.

· By March 2019, Skip the dishes were taken off from the market in the US. GrubHub app got hold of the market.

Business Model: How Does Apps Like Skip the Dishes Work?

Skip the dishes, or other apps like Skip the dishes in Canada have changed the food market in Canada and the UK drastically. Skip the dishes provided people with varieties of food when people who did not have time to go out and dine or people who wanted doorstep service. Such circumstances led to a rise in food on demand that was provided by such apps.

Skip the dishes or food delivery apps such as Skip the dishes in Canada follow some value proportions that make these apps more likable. The following are some target customers that apps like skip the dishes take care of. They are mentioned below:

(1) Consumer: Skip the dishes or apps like Skip the dishes make sure that its users get most out of the services. In order to do so Skip app partners with maximum restaurants. This adds up to more and more flavor in the Skip application.

(2) Restaurant: Skip the dishes or food delivery apps such as Skip app have the ability to maintain a healthy partnership with the restaurants. Quality apps like skip the dishes ensures that all the partnered restaurants get full advantage of the online platform by helping the restaurants to grab public attention towards the restaurant.

(3) Delivery Men: Skip app in Canada takes care of the people that it hires for delivering the orders that the customers make through the website or app.

How does the order reach at one’s doorstep?

By following these steps one can order food on apps like Skip the dishes:

§ Browsing: A customer can visit such apps like Skip the dishes application and then he can choose his choice of cuisine that he wants from the multiple options of menus mentioned in the app.

§ Ordering: After selecting the desired food option, the user can confirm the order through the application or website. Both the user and the respective restaurant get notified of the food ordered.

§ Payment: The user can either pay online or pay to the delivery men when the food reaches the required destination.

§ Tracking: Skip the dishes or other apps like Skip the dishes provide an option for tracking the order which helps the user to know the exact location of the order and the time it will take for the order to reach the customer’s place.

§ Receiving: Once the order reaches the destination, the customer makes the payment and receives the order.

Revenue Model: How Does Apps Like Skip the Dishes Earn?

Skip the dishes or other apps such as Skip the dishes in Canada earn through restaurants where they charge the partnered restaurants with a specific amount of money on each order that is placed through the Skip app. Also the app put some advertisements of the restaurants on the application in the suggested options. This also makes them earn some commission for the marketing of these restaurants or cafes. Sometimes when the customer is satisfied with the food delivery services, he might give some tips to the delivery men. This adds up to another way for apps like Skip the dishes to get some revenue.

Other Players in the Market

UberEats: Uber has been in limelight since the beginning of the advanced services. Primarily, the Uber app gained popularity when it made transportation much cheaper and convenient for the people. Then Uber released another service that provides instant food delivery service which was equally loved by the people. UberEats tends to be a tough competitor for Skip the Dishes as it is one of the food on-demand service providers.

Zomato: Zomato is one of the oldest players in food on-demand service. The app started with an aim to bring restaurants and customers closer by providing people online food delivery services.

Doordash: By introducing their drivers known as dashers, Doordash served as a platform for the restaurants to deliver the food to the customers. Along with a convenient delivery system, Doordash app provides the customers with a variety of cuisines options from various popular restaurants. It is one of the best rivals to the apps like Skip the dishes.

Conclusion

Food on-demand has a never-ending point. There are fairly many online food delivery services that even if one of the companies gives up on the business, there will be hardly any effect on the food industry as there are many more to take up this business in the market.

If you are also thinking about entering into the food delivery market and want to get an app like Skip the dishes for your business, then AppsRhino is the best platform to get your dream app built and flourish. Our team would help you throughout your journey of developing a user-friendly app for your business.