Convenience rules supreme in today’s environment. It’s no wonder that online shopping has established itself as the new standard. Why go to the store when you can get whatever you need with a few clicks and swipes on your smartphone? Because of the rise in online shopping, the need for an on-demand parcel delivery app came into existence.
This article will unlock the discussion on on-demand parcel delivery development. But before that, have a glance at the different business models of the courier delivery apps.
Business Models Of Parcel Delivery App
There are many business models to choose from when having a parcel delivery app. Some of them are explained below:
Postal Service App Model
This business model is used by the companies for their advantage that has recognized the value of mobile applications. FedEx and DPD, for example, utilize mobile applications in their parcel and courier services.
A different smartphone application for same-day delivery is available from the former. The latter, too, offers a full-featured customer admin panel. They can use this panel to create shipments and print labels for the parcels.
Package tracking Model
This business model necessitates using only one program to track all packages, regardless of carrier. Packages can be easily added by utilizing their ID. Furthermore, the consumers are informed about the delivery status by push alerts.
Branded Delivery Model
This business model is for companies to employ mobile apps with tracking features. Some online stores will additionally provide a comprehensive list of services to ensure successful delivery. The most significant benefit of using this app is that it informs the consumer when the shipment is ready to be dispatched, dispatched, or delivered.
Uber-like Marketplace Model
Uber has revolutionized the taxi industry, and it has also established a viable business model that many other businesses may follow and benefit from. One such emulation of this business model in courier delivery is Uber for courier delivery service.
The previous Uber for X firms have a history of challenging conventional business models across industries; thus, an Uber-like courier service business may be a great success.
Benefits Of On-Demand Parcel Delivery App
Along with courier service’s high revenue-generating business model, parcel delivery apps offer several other benefits. They are:
- They make it quicker and more convenient for your customers to track their goods. And as we all know, the development of a brand depends on better customer experiences. Customer loyalty, in turn, translates to improved business and increased revenue for you.
- Parcel delivery applications provide greater worker flexibility and lower operational costs for business owners. While your customers can check parcels in and out using their cellphones (the so-called “Bring Your Own Device” approach), there’s no need for bulky gadgets to collect a signature from a recipient.
- Furthermore, if you employ package delivery services such as Uber, you don’t need to engage in-house couriers. Finding independent contractors for delivery will be a lot easier and faster.
Now, as we have learned about on-demand delivery business models and their benefits, let’s see how to proceed with on-demand parcel delivery development.
How To Build An On-Demand Courier Delivery Application?
No matter what business model you’ll be selecting or what approach you’re choosing, building your courier delivery app is never easy. Look at the steps below and follow them to develop your parcel delivery app in the proper sequence.
Validate Your Idea
The initial stage in app development is to create a flowchart or a blueprint to better comprehend and envision the process flow. Answering the following questions will help you validate your concept:
- What’s the point of a courier delivery app?
- What is the market’s receptivity like?
- What’s the level of interest in the services?
- What problem does your app address?
Analyze and do extensive research on different aspects to avoid every hurdle in the development process.
Business Model Selection
The next step is to select the best business model for your application. We have discussed the business model in detail earlier, so choose the best model that suits your business needs. To make the right choice, you must consider your business specifics, goals, resources, audience, etc.
Define Your Business goals
Starting an on-demand courier service includes more than just creating a smartphone app. You must comprehend your business model’s characteristics, prospects, and requirements. Also, consider other elements, such as your delivery service’s geographic location. Always find answers to queries such as:
- Will it be limited to a single city, country, or the entire world?
- What kind of delivery options will you provide?
- What size, weight, and packaging type do you think you’ll like for your average parcel?
These questions will directly impact the scope and functionality of the project.
Specify Best Features
After completing the theoretical part of the development process, you can start implementing things practically. You need to add some basic and must-have features to your on-demand parcel delivery app to create a functional specification for all your requirements. Some of the features are:
- Admin Panel
- Premium Delivery
- Packaging Options
- Real-time Tracking
- Push Notifications
- Payment Gateway
- Rating & Review
- Rewards & Offers
- Help & Support
The next step is to start the development process after choosing the perfect business model and selecting the features to include in your app. The development process includes UI/
UX design, testing & engineering. The technology stack and the tools used in the process would be different. There are two ways to start app development:
- Hire your team for the development process
- Find the best on-demand parcel delivery app development company to fulfill all your needs.
Choosing the second option will be the best choice as it is the most convenient and beneficial way if you don’t have any technical experience and you find it difficult to hire a team.
Launch MVP, Learn, and Improve
Often, people make mistakes by creating the full application in a single go. The best decision is to use some features and scope to develop the minimum viable product (MVP). MVP provides valuable insights through customer feedback in Google or Apple Play store. Apart from a few big post-launch initiatives for the app, you should anticipate ongoing enhancements and updates.
Factors To Consider For Development Process
The developing process is not enough to succeed as a parcel delivery company; you just need to focus on other factors to make your business process smooth.
It won’t be enough to simply launch an app. You must advertise it vigorously through various media such as social media platforms, print media, television, the internet, etc. Your goal should be to get users’ interest before the launch.
Make connections with your target audience.
It’s critical that you quickly identify your target market and work to build a solid customer relationship with them. In exchange, you will receive useful feedback that will assist you in growing your business.
Offers for customers
You can attract new clients by offering them tempting promotions and deals. You must plan and consider what offerings appeal to your target audience. In addition to this, you can do this by experimenting with a range of offers or combining them to find which one works best for you.
Take action in response to feedback.
Feedback is critical since it allows you to see your backlogs. To keep growing, you must respond quickly to your users’ input.
Send personalized communications to your customers about special deals and promotions. These messages aid in the effective engagement of customers. However, restrict the number of messages you send to the users to keep them away from annoying.
Another important item to consider is internet connectivity, a major issue when traveling. In this scenario, though, a good internet connection or wi-fi may be the most useful for staying updated when delivering packages.
The Cost Of On-Demand Courier Delivery App Development
The cost of developing a parcel delivery app depends on the factors you need to select to develop the app. We’ve mentioned some of the steps you must assume to calculate the required cost.
- Which app development company you will employ to design and develop your app.
- Which mobile platform do you intend to use? Is it an iOS device, an Android device, or both? Depending on your needs, you can use either a single platform or both.
- Requirement of post-launch customer services from your mobile app development firm.
- Which features do you want to include in your courier delivery app?
- Do you want to make a minimal viable product (MVP) or a complete app?
How On-Demand Parcel Delivery App Generates Revenue?
The ultimate goal of launching a new courier delivery app is to meet business requirements. So, how can you profit from a courier service software that works based on demand?
You can approach it in a variety of ways. Internal and external resources can be used to generate revenue.
Let’s have a look at what these methods are:
Charges for Basic Delivery Services
The application’s core products, such as delivery service fees, are the principal source of cash or revenue. The courier fees may vary depending on the magnitude of the weights. The method would be similar to that of public postal services, except that you would be able to charge based on the qualitative features that you have included in your services.
The best part about using an online program to deploy couriers is that you can customize how it looks. Companies, of course, charge more for such specialized services. You can use these apps to add a gift card or any other special message to the package.
Different courier firms offer speedier courier services to deliver your product the next day. They include premium courier services as an option in their revenue-generating plans.
Mobile apps are one of the most effective ways to advertise. It’s also a strategy to increase profits. There may be online and offline advertising opportunities in on-demand applications where services are provided using offline resources at the customer’s end.
You can work with a third-party company to let them promote their products or services through your app.
Building an on-demand delivery app can be your next milestone, whether you’re an eCommerce firm, a courier delivery service attempting to keep up with the industry, or an entrepreneur looking for a new challenge.
Undoubtedly, the on-demand delivery industry is rising rapidly. It is the user’s first choice as an efficient service at this time. Entrepreneurs should focus on crowd-sourced delivery services and interaction with e-commerce platforms to improve the parcel delivery business.
So, if you’re ready to begin developing your product, look at the considerations you should make before hiring technical support staff.