M On Demand, Mobile App Development

On-Demand Grocery App – How Is It Empowering Old Shopping Behavior?

Written by
Hemendra Singh on November 07, 2019
updated on: August 25, 2020
On-Demand Grocery App – How Is It Empowering Old Shopping Behavior?

Are you feeling pressure due to having little time? With on-demand apps in your pockets, you have almost everything by your side. eCommerce app like Amazon is to service industry, On-demand Grocery app development is to on-demand industry.

There are many services in the on-demand economy which is replacing the traditional business models. So, having your groceries sent right up to your doorstep is a brilliant idea introduced by the grocery delivery app development company.

How Was Idea Generated For Grocery App Development?

When South Korean’s Mirae Asset Global Investment was looking to invest in eCommerce, Hari Menon, Vipul Parekh, VS Sudhakar, and Abhinay Choudhari were searching the market to raise funds for their big idea.

When you have giants like Flipkart and Amazon – which has about 145.2 million mobile users to date, it is not easy to become a market leader. But, after struggling till 8 years, this online grocery app has laid itself firm on the ground.

Though, to spread the online supermarket demanded funding which was a next-level struggle. But, only after 18 months, the funds of $300 million were raised from big brands like – Sands Capital, International Finance Corporation, Abraaj Group, and Alibaba

Yes, we are talking about the largest online supermarket in India – The BIG BASKET. Big Basket claims to have generated 3,200 Cr INR in FY’19 and the owner further claims to generate almost double of the figures.

They are in the idea of pumping more money in the market to grow their current user base from 12 million to 25 million a year. It’s the hard work of the founder and the co-founder who visit each city, buy all the stuff themselves, clean them and pack in the consumer’s sack.

Today Big Basket apart from on-demand grocery has launched BB Daily, BB Instant and BB Beauty Store.

On-demand started from the taxi app development. Uberization changed the way businesses perceived demand and provisioned the supply. Lately, other on-demand delivery app development ideas poked like parking, hospitality, handyman, cleaning, salon, hospitality and many more.

A survey was made where 86.5 million Americans use one of the On-demand services. And as per Harvard Business Review, 22.4 million consumers are spending 57.6 billion every year on the on-demand app.

When almost everything is going Digital, online grocery is also at its pace. Walmart (WMT) sells ⅕th of the groceries in America. In the past three years, the company plowed $20 billion through its online presence.

This means 195 million people of the US can choose to have weekly shopping delivered at their doorstep.

The Food Marketing Institute estimates that online grocery sales through On Demand Grocery Delivery app will reach $100 billion by the year 2025.

With everyone working the last-mile delivery logistics – no one disputes over the online grocery growth market. Although there are some who argue that even if we have Amazon, Walmart and Kroger the future growth in the grocery business is and will remain shopping physically through stores.

With more and more retailers pushing themselves towards digital, their regular customers get the convenience to get the stuff delivered at their doorstep.

Augmentation Of On-Demand Grocery App Development

The question here is what makes these grocery delivery app development companies build on-demand grocery app for retailers. The answer is fulfillment and assortment!
Edge by Ascentials projected that 2.8 trillion global edible grocery sector will experience a CAGR of 13% through 2024. Investors spending heavily on technology, supply chain and partnership for seamless customer experience.

With other on-demand industry sectors like eCommerce is growing at a faster pace as compared to the online supermarket. The growth is relatively slow, but still, the grocery mobile app design is high in the market.

As the current market trends are propelling the retailers towards building their presence through small screens, Grocery app development companies are on the go. These mobile app development companies are designing grocery mobile apps with new online-to-offline strategies that will allow customers to have frictionless automated services with a click and collect capabilities.

What Is The Reason Behind Choosing An Online Grocery App Development Services Than An Offline One?

The answer to why to develop a grocery delivery app for your business is providing convenience to your customers:

Evaluating the market will give you a brief of the type of grocery mobile app that would fit your business needs and satisfy the customer.

Also Read: A Comprehensive Guide to Developing an On-Demand App

Which Type Of Grocery Shopping App Is Best For You?

There are some of the categories from which you can pick the best type for your grocery business. Hire the right grocery delivery app development company to get your type build and hit the market.

  1. Aggregator Grocery app that lists the nearby grocery store to the user where the retailer is responsible for delivery.
  2. The marketplace Grocery app is similar to Aggregator but has its own delivery boys to deliver the order with the help of a retail mobility solution.
  3. Single Stores grocery app is a personalized branded app, where the owner is responsible for the maintenance of app, orders updates, delivery, and payments.
  4. Grocery Chains app are the mobility solution for the multiple chains a retailer has which operates the micro-level operation.

Personalised apps can be built for the consumers, where the shopper can create its own list of grocery, set reminders and share its grocery info to the retailers.

Those who do not adapt to the change may find the online grocery market as a challenge. Many grocery chains may wonder might face trouble to captivate customers. Because the online market is growing faster and it is expected that by the end of this year around 80% of Americans will have access to the online grocery stores.

Also Read: Is It a Good Idea To Develop An Online Grocery Delivery App For Your Business?


A study from consulting firm Oliver Wyman founded 8% of the grocery market has moved online. The fragile grocery stores will shut their doors while the one adapting the change will grow and generate profit from the online market.

With giants like Amazon and Walmart leading their way to covering the maximum of the online market, small businesses are forging to adopt digitization and build their own presence in the competitive online market. What we can expect is the bright future of the online grocery economy while a fact still remains that it will be hard to break the consumer’s habits to shop in-store.

Hemendra Singh

My name is Hemendra Singh. I am a Director and Co-founder of The NineHertz, IT Consulting Company. I am having a keen interest in the latest trends and technologies that are emerging in different domains. Being an entrepreneur in the field of the IT sector, it becomes my responsibility to aid my audience with the knowledge of the latest trends in the market.

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