Narender Yadav / August 9, 2019
A few years ago, devices powered by advanced technology were scarce. Later, the mobile phone emerged as a byproduct, and now we cannot imagine our lives without it. The same applies to on-demand apps. They serve as a platform where the users have the luxury to purchase things online and have it delivered at their doorstep within a matter of minutes or a few days.
However, a prevalent question remains: what are on-demand apps?
On-demand apps are the high-tech middlemen between the user and the business. The services are diverse and range from food delivery, renting a car to purchasing groceries. These apps allow users to conveniently access such services with just a few taps on their smartphone. The business model emphasizes on a unique selling idea that offers spontaneity and convenience to the users, while the company scales manifold.
The jazz behind on-demand apps
On-demand services are making lives more resourceful as it covers various sectors. According to a study conducted by the Harvard Business Review, 22.4 million customers are attracted towards the on-demand economy every year and the total spends are approximately $57.6 billion.
As technology emerged and advanced, on-demand apps were created, and today, we use them on-the-go. Headed out for the night? The Uber or Ola app is instantly launched to book a cab to your favourite destination. Looking to try a new cuisine for dinner? We navigate through the Swiggy or Zomato app which guides us to the best restaurant and delivers food to our doorstep within minutes.
On-demand apps are gradually gaining popularity and spreading in the online market like wildfire because they satisfy customers instantaneously.
There are multiple factors to consider before deciding on the need for an on-demand app for your business. Currently, more than 80% of businesses are developing on-demand apps belonging to diverse industries. They are not only beneficial in driving business ROI, but also helps consumers in various ways.
Leveraging the mobile era: According to a survey conducted by Statista, within the years 2015-2019, the number of mobile phone users has reached an astounding 813.2 million and is set to increase exponentially in the years to come. The time is ripe for a business to invest in an on-demand app with custom features, to convert customers as they continue to use their smartphones.
Gateway to unlimited opportunities: For every customer, you will have data that will prove useful to conduct analysis to derive insights, intimate them about new offers, develop a relationship with a personal touch and email market new products or services. These practices will have opportunities handed to you in plain sight.
Return on Investment: To ensure that you receive the highest ROI, it is essential to select the right mobile app development company that would understand your requirements and suggest the best solution to meet your business goals. For scalability, it is best to develop custom solutions with security that promises the safety of its users and data. If you’re focused on offering value to your customers and remain flexible, you will get results in the form of increased ROI.
Challenges for the business
Customer experience: This is the key element that helps retain your customers and in extension, your ROI. With the current technology, it is possible to develop the most complex features that are a necessity to the consumer. It is a feature that needs to be perfected from the beginning.
Growth and Expansion: Most on-demand services are localized to their geographical location. The traditional methods of growth and expansion will only work within those areas. As a technologically powered application, utilizing the power of similar technology like Facebook and Twitter, will work well to achieve your business goals.
Resourcefulness: Startups are all about building the product, but on-demand startups should remain cautious. To fulfill the business model and ensure that everything goes right from the beginning to end, it is essential to understand the services that can be done in-house or outsourced. This will help dedicate resources for important things like operations, customer experience, etc.
The industries that have ventured into the on-demand app sector and leveraged its benefits are home services, food delivery, healthcare, freelance/jobs, retail shopping, taxi booking, among others. As technology continues to bring in new features, and the ever-changing pace of these industries allows businesses to cater to the customer’s needs and identify new opportunities to increase ROI.
Some of the popular on-demand apps in market are –
The Future of on-demand apps
The current market scenario appears promising for on-demand apps. It may even penetrate into newer industries in the near future. However, it is imperative to understand that launching an on-demand startup is not easy. On-demand apps have successfully changed customer trends and will be here for a long time.