Posted on: | Posted by: Ajay Sudhakar

How to develop an app like UberEats?

How-to-develop-an-app-like--UberEats

The food delivery market is fascinating for new and young entrepreneurs and investors. The market’s sheer size is enough to make one want to enter it. With giants like UberEats, DoorDash, and GrubHub operating in the market, the vast revenues such businesses are making are no surprise. 

The market had attained its peak during COVID 19. And also, it is expected to carry forward the momentum and show a potential CAGR of 10.8% YOY.

So are you considering launching an online food delivery platform, like UberEats, of your own? Or just wondering how to develop an app like UberEats?

Then here, we have accumulated all the details of an online food delivery venture similar to UberEats. However, the online food delivery market already has prominent players. A similar business and app structure like UberEats may not fare well in the market. But with enough innovation and product differentiation, as mentioned in the blog, you can easily surpass the start-up threshold and become a competitor to UberEats.

Summary 

UberEats has a significant international market control of over 29% in 2021. UberEats is a three-way marketplace and customers, restaurants and delivery riders are its important stakeholders. However, to build an app similar to UberEats the following steps are to be followed:

Step 1: Market Analysis

  1. Target market

  2. Market trends
  3. Competitors

  4. USP

Step 2: Choose a Food delivery model

  1. Order only app

  2. Order-delivery app(UberEats)

Step 3: Choose Essential Features Like UberEats 

Step 4: Select Right Technology Stack

Step 5: Pick a Right App Development option 


  1. Hire an App development team

  2. Ready-made app builder

    How does Uber Eat work?

    UberEats essentially connects restaurants, customers, and delivery riders; where the customer places an order, the order is prepared by the restaurant and delivered by a rider to the specified location. Thus it acts as a three-way marketplace, where the restaurant is vendors selling their food to curated customers through the app. The company maintains a network of efficient delivery riders to fulfill each order with utmost sincerity. 

    UberEats important Stakeholders

    Restaurants

    The restaurants are involved in food management, updating menus marking available or unavailable beside mentioned food items, listing prices. They also update their contact info, opening/closing hours and provide discounts or combo offers.

    Customers

    UberEats provides its customers with a beneficiary state by giving them the option to perform self-delivery or doorstep delivery by riders. The customers can choose between immediate delivery and scheduled delivery.

    1. Real-time delivery: The customer places an order, and the food is delivered immediately at their doorstep. It is a feature provided by most food delivery apps.
    1. Scheduled delivery: UberEats provides its customer to customize the delivery time, date, and location, helping the customers to receive an order as per their comfort. This unique feature makes UberEats par with other incumbents. 

    Delivery Riders 

    Uber has a system of independent delivery riders, who pick up and deliver orders to the customers. They manage the delivery orders, update the delivery status, and carry out deliveries as per their accessibility to restaurants and customers.

    UberEats Revenue model

    Uber has a system of independent delivery riders, who pick up and deliver orders to the customers. They manage the delivery orders, update the delivery status, and carry out deliveries as per their accessibility to restaurants and customers.

    UberEats Revenue model


    UberEats-Revenue-model

    UberUberEats monetizes each fulfilled order in three ways, which are mentioned below:

    Delivery fees from Customers: UberEats charges a small delivery fee from its customers for the food delivery.

    Subscription Fees from Customers: UberEats has an optional membership fee every month, which costs $9.99. The membership subscription makes a customer eligible for “UberEats Pass,” which provides subscribers 5% off orders above $15, plus no delivery fees.

    Commission from Restaurants: UberEats charges restaurants 15% to 30% commission on each fulfilled order. The app earns recurring revenue based on commissions. 

    Promotional and Advertising fees: Restaurants pay promotional/ advertising fees to the company to be featured on top rows. This improves the conversion for restaurant owners and generates revenue for UberEats.

    After acquiring all the know-how of UberEats’s working, its essential stakeholders, and their functions and monetization methods, we shall now explain the process needed to build a food delivery app like UberEats. 

    Step by Step Guide to develop a food delivery app like UberEats

    Developing an app like UberEats is a complex process, it requires a lot of independent technologies stacked in a single platform. A skilled developer ensures a smooth transition across various tools and functions. Thus a step by step guide keeps a track of the development process, here we have taken UberEats as an example and built a road map for similar app development.  

    Step 1: Market Analysis


    market ANALYSIS

    The first and foremost thing is to invest time in conducting a deep market analysis. Understanding market tendencies, audiences, competitors, etc will help you to navigate and acquire the start-up threshold. The important points to look for are:

    1. Which is your target market and audience?
    2. What are the current market trends? 
    3. Who are the top players in the segment, how do they differ from each other?
    4. How does the audience differentiate your app from your competitors, that is the USPs?

    Step 2: Choose a Food delivery model

    As mentioned we can choose the delivery model of UberUberEats

    Key differences between- Order Only App and Order-Delivery App

    Order only app

    Order and Delivery app

    Functionality

    In order only apps allow customers to place orders, accept payment and forward it to the merchants. And no in house delivery.

    In order and delivery applications, you allow customers to place orders and do the delivery.

    Logistic support 

    The company doesn’t provide any logistic support, the merchant is responsible for the delivery of an order.

    The order and the delivery app provides logistic support. The company maintains a network of delivery riders.

    Monetization methods 

    The order only app generates revenue from the commission, 10% to 30% of the price of the fulfilled order.

    The commission fee is higher than ordering only apps.


    A delivery fee in addition to the food price. It can be either a base fee or vary with the distance.

    Limitations

    It’s a competitive segment. As order only apps involve only a functional application and merchant associations, many startups opt for this model.

    To build a food ordering and delivery app you need significant capital and resources.


    The infrastructure is built from scratch and is difficult for start-ups to sustain.  

    However, as your food delivery app starts to grow, app revenue will skyrocket.

    Prominent Players 

    Delivery.com or Eat 24 are based on this aggregator model and are prominent in the European food delivery market.

    Apps Like UberUberEats, Grubhub, or Zomato, perform these two services simultaneously.

    Step 3: Choose Essential Features Like UberEats app

    The must-have features vary according to the food delivery model; for example, if you choose to develop an only order app, a delivery rider screen is not required. As a food delivery app has multiple concurrent stakeholders, the features differ accordingly. An app like UberEats has four stakeholders, and each screen has a different set of features. Thus, the prominent features for an app like UberEats, are listed below:

    Admin Screen

    Restaurant Screen

    Customer Screen

    Delivery Rider Screen

    Restaurant management

    Order management

    User Registration

    Secure Login

    Delivery management 

    Menu management

    Restaurant listing

    Order management( include pick up time from the restaurant)

    Live dashboard

    Push Notification

    Account Management

    Route optimization

    Multi Payment option

    Payment Tracking

    Order status and real-time tracking

    Push notifications

    Analytics and Statistical report

    Rating and Review management

    Notifications

    Update order status

    Generate promo codes, referrals, coupons, etc.

    Track delivery

    Filtered Searches 

    Ratings and review monitoring

    Support and Assistance

    Promo code, discounts, referrals, offers, and coupons

    Rate and review

    Step 4: Select the Right Technology Stack

    Selecting the right set of technology stack is crucial for the seamless integration of all screens across the application. And also the right technology stack is the building block of a completely functional delivery application. Below listed  are the technologies similar to the technology used by UberEats

    Web App Development

    AngularJS or React

    Mobile App Development

    Kotlin (Android) and Swift (iOS)

    Back-End Development

    PHP

    Databases

    MySQL

    Third-party Service

    Payment Gateway

    PayPal, Braintree, Stripe,

    Location

    Google Maps, Google Places

    Registration

    Google, Facebook, Apple iOS

    Analytics

    Google AnalyticsFireBase

    Cloud

    AWS, Google, Azure,

    Push Notification

    Google Cloud Messaging or FCM

    SMS

    Salesforce, Twilio

    Mail

    MailChimp, Sendinblue

    Step 5: Pick a Right App Development option 


    Pick-a-Right-App-Development-option

    After choosing the app business model, features and tech stack, you have to incorporate all those in a single application. For that, you either hire an app development team or a ready-made app builder.

    App Development Team

    You will need to hire the following members for your app development.

    1. Android developer
    2. iOS developer
    3. UI/UX designer 
    4. Front-end developer
    5. Back-end developer
    6. Project/Project Manager
    7. Business Analyst
    8. Quality Assurance engineer

    Ready-made app Builder

    A quick and easy solution, for getting started quickly. The top app builders take care of pre and post-launch and also keep an eye on regular monitoring of the apps. You can go for AppsRhino. 

    How much does it cost to develop an app like UberEats?

    Now as we have come to the cost to develop a food delivery app market estimates are around $20,000. While a sophisticated food delivery app like UberEats the estimates are higher due to its premium technologies. The cost sums to be around $40,000 for a well-built app like UberEats. 

    Category

    Hours (Approx)

    Cost (Estimated)

    App development

    1060

    $30,000

    QA

    171

    $5,130

    Project manager

    130

    $3,900

    Total

    1,361

    $40,830

    An additional web app can extend the development cost to $60,000.

    However, the factors under consideration for developmental costs are:

    App Size

    However, the factors under consideration for developmental costs are:

    App Size

    App size includes the features available, the app complexity, clouding, etc. these are the most that a delivery app is made up of. And it is crucial to estimate the cost of app development.

    App Design

    If you launch a basic design app in the market, it won’t keep customers engaged for long. An Easy to navigate and stunning user interface can make a difference, among others. Subsequently, the cost will increase.

    App Platform

    The two leading app platforms are Android and iOS. The cost to develop an android app is higher than the iOS platform, as an android app undergoes multiple QA. 

    App Development Team

    Either choose an app development company or hire freelancers or an in-house team; the developing costs would vary accordingly. An in-house app development team will charge around $100 to $120 per hour. The developer costs are significantly different across the globe. For example:

    1. Ukraine-based developers- $30 per hour.
    2. India based developers- $10 to $80 per hour
    3. Eastern Europe based developers: – $30 to $150 per hour
    4. U.S. based developers: – $50 to $250 per hour

    UberEats USPs 

    Each food delivery incumbent has its USP that differentiates them and helps sustain the market. Thus we have listed a few unique features that UberEats has and ideas for your online food venture:

    Quicker Deliveries 

    Uber has a highly efficient delivery system. The company tracks the preparation time taken by merchants, which helps them provide quicker deliveries. This makes UberEats stand over other incumbents.

    Location Agnostics

    Users often face difficulties validating food delivery locations, but Uber has taken it further. It provides food deliveries to offices, hospitals, parks, etc., where other services refuse to deliver.   

    Customized pickup

    UberEats gives its users the option to select self-deliver or takeaway, giving customers the flexibility to go and pick up orders from the restaurants.

    Scheduled orders 

    UberEats lets its customers schedule orders prior and schedule a delivery time and location according to their comfort. This gives its customers the upper hand in all respects.

      

    Looking for an on-demand app development Company to develop an App like UberEats? 


    Looking-for-an-on-demand-app-development-Company-to-develop-an-App-like-UberEats

    The process of app development is nevertheless a complex process starting with hiring potent in-house members or freelancers to technical documentations to post-launch services. But with the help of a ready-made app builder company, the process is easy and quick. And it gives you enough time to get established as an enterprise. 

    At AppsRhino, we know how to utilize the best resources to deliver an unparalleled product. We provide all the support and guidance you require, pre and post-launch. After being among the top app manufacturers for over a half-decade across the globe, we understand how an online platform can be crucial for business success. So get your first app built with us.