On-Demand Food Delivery Platforms - Market, Trends & Opportunities

Do you want to develop your own grocery or food delivery app? Or maybe you're more interested in something like Uber, but don't know how much it will cost? Let's try to calculate.

Last year, we completed the development of a food delivery app for a fast-growing restaurant chain that served over 600 orders per day. In addition to a catalog of complex settings in the delivery parameters (combo offers, upsell, dish format selection, and filter search settings), we also provided synchronization with the user's geolocation, loyalty program, and promotional activities.

On average, the cost of developing food delivery software is $60-80k, depending on the complexity of the functionality.

In our other case, the development of a restaurant aggregator Tik-Tak, we offer users multiple delivery options: they can receive a purchase from the couriers to pick it up themselves. The business logic of the food delivery management software also included creating an app for restaurants to accept and track orders in real time.

In total, it took us 2,150 hours to create the app:

The cost of launching the project with such complexity will cost $100k+

First you need to decide what role you are going to play: an aggregator like Glovo, a restaurant chain, or a group of restaurateur friends banding together to make their delivery. Will you develop according to the Saas model or in addition to your brand? This generally does not change the development requirements, but it does change the priority in features.

Let's try to look at the main problems that delivery services are currently facing.

The main task of all times is to optimize the workload of couriers. With a minimum number of couriers, deliver products to the largest number in the shortest possible time.

What can we offer here? For example, build a solution on top of Mapsplatform using Google API. You can use Open Street Map and build your own logic. We’re experienced in both. It all depends on the task.

Most often, custom solutions are built relying on some geoservices (google maps, open street maps). There may be scenarios in which delivery is not lightning fast, but, for example, the next day. Or maybe you have tasks like: there are 4 couriers who are constantly in dynamics, and you need to manage the load between them in real time and determine from which points it is best to transport orders. Each business has its own logic, its own characteristics, so it is necessary to customize solutions for each.

To control standards, analytics, forecasting, and better customer experience, it is important for us to understand at any given time where and what is happening with us.
In the case of online food delivery platforms, the chain looks like this:

Thus, we understand where each order is located at every second. Based on this data, we see and eliminate bottlenecks.

For some reason, many people miss such a moment as hiring and training employees – this is also important in the food industry.

It is necessary to take care of training employees, familiarize them with updated regulations and menus, conduct periodic certification, monitor sanitary documents, and check how well employees know and comply with customer service standards.

All this can be on third-party services, or maybe inside your system. Some people still have it on papers and in notepads.

Quite a lot of wine and food producers are faced with the fact that people get used to one assortment, and it is difficult to introduce new items into the assortment. Here, in addition to marketing, mechanisms automated in IT solutions can help, where, based on past data about the client, you can make him the best offers from new products.

The topic is close to the previous one. But here we are not even talking about upsale, cross sale (you already know about them), but about regular purchases, when the client buys the same thing. Predictions of regular purchases based on purchase information, consumption rate and expiration date. And also the use of AI for recommendations, for example, in the case when a person does not know what exactly he wants.

There are several trends in how food delivery app development can help you promote a more sustainable and responsible approach to food distribution and reduce food waste.

Charity and partnership platforms. Some food delivery apps partner with hunger relief organizations or charities to donate leftover food. This allows food that might otherwise be wasted to be used to support those in need.

Donation programs. Other apps allow restaurants and food providers to participate in donation programs where they can donate leftover food to charities or community kitchens.

Discount systems for balances. Platforms can implement discount systems or promotions to sell leftovers closer to the end of the working day. This encourages shoppers to purchase products at discounted prices, reducing the likelihood of food being thrown away.

Management programs. Applications can offer functionality that helps restaurants and cafes effectively plan and manage inventory, minimizing waste and excess inventory.

Product processing platforms. Some custom food delivery applications and platforms are developing schemes to recycle leftover food, for example by offering discounts on products that can be used to create new dishes.

Support for local manufacturers. Apps can actively support local producers and farms, which promotes the marketing of their products and reduces the risk of throwing away unsold goods.

Educational initiatives. Apps can conduct educational campaigns among restaurants and delivery partners, teaching them how to effectively manage leftovers and the nutritional value of food.

It is not necessary to implement a loyalty program “head-on”, although they certainly work. We have already shared various cases from our practice. But there are also subscriptions that provide unique benefits to visitors, and you – a permanent audience, which is more convenient to control and understand its size.

At the same time, I don’t think that things like chatbots and AI can greatly revolutionize the market right now. It's more of a fight for the last 5% of the audience. What is more important is service, brand, niche, region. If everything is clear here, you can think further.

Expand your delivery business now with our on-demand food delivery app development company. Drawing on our own experience in creating food delivery platforms, we will help you create reliable food delivery that meets the needs of both restaurants and customers. We'll help you stay competitive in the ever-evolving foodtech industry.

Food delivery software is a digital platform that enables restaurants, food businesses, and delivery services to manage orders, logistics, and customer interactions. It typically includes features like online ordering, real-time tracking, payment processing, and automated dispatching to streamline operations.

Yes, the food delivery industry has experienced rapid growth, driven by changing consumer habits, urbanization, and digitalization. The rise of mobile apps, cloud kitchens, and demand for convenience has fueled expansion. However, growth varies by region and market dynamics.

While food delivery saw a surge during the COVID-19 pandemic, the industry has stabilized in some areas. Economic conditions, shifting consumer preferences, and operational costs affect profitability. Some services face challenges, but overall, the sector remains strong with ongoing innovation.

The food delivery industry is highly competitive, with major players like Uber Eats, DoorDash, and local startups competing for market share. Success depends on factors such as pricing, delivery speed, service quality, and restaurant partnerships. Companies often invest in technology and customer experience to differentiate themselves.