How to Kick-Start An Online Food Delivery Business in 2022?

Nothing is better than a scrumptious dish that is served to you in the comfort of your home, with enticing discounts and offers, offered by top restaurants.  Foodies all around the world are falling in love with this facility. This phenomenon has been heralded due to online food delivery platforms. These platforms have revolutionized the way the food industry works. This has also brought the next-level comfort to the customers as they receive their favorite food at their doorsteps. Moreover, this has opened avenues for businesses to have an enriched client base. 

Elephy Tech, a web and mobile development company has deeply analyzed such web-driven businesses and decided to reveal what it takes to start an online food delivery business. 

Detailed Business Model

Online food delivery platforms such as Zomato, UberEats, and Swiggy let the people order food prepared by the local restaurants of the city at very affordable rates. These restaurants have an extensive menu while others may specialize in some specific local cuisines. 

Have a look at the business model which may help business owners to commence with their online food delivery business. Moreover, businesses can proliferate their customer base and give the facility to customers to order food as well as customize their order depending upon the price, discounts, reviews, locations, and more. The users can also track their order status and be updated. 

Top 3 Stakeholders

The entire model of food ordering and delivery businesses typically centers around 3 main groups of stakeholders:

Users

• Users select a meal from the menu and order them.
• Users make an online payment for the order.
• Users have the facility to rate and review the food items.
• They can also schedule orders ahead of time.  

Restaurants

• Restaurants create their menus.
• They maintain food quality and build a good image. 

Delivery Persons

•  Delivery persons are responsible to deliver the meals to their clients.

Modus-Operandi of Online Food Delivery Platforms 

• Restaurants in partnership prepare food.
• A list of restaurants along with their menus and other detailed information about the food is available. 
• Users order food items of their choice and pay online.
• Delivery persons deliver the ordered food to the specific person. 

Revenue Model 

Food industry giants as well as budding entrepreneurs sell their food items to the users through their online platforms or mobile apps. On the surface level, this business model appears to be very straightforward but it contains a lot of technical and investment aspects. 

• Commission charges
• Subscription charges from the registered restaurants and hotels 
• Ads by restaurants on the platform via sponsored listings.
• Delivery fee

How Food Delivery Applications Give An Edge? 

The food delivery business model has a value proposition for all, incorporating restaurants, delivery persons, and app users. 

For Users

• 24*7 customer services
• Customers can browse menus of different restaurants and order food online. 
• Customers have the facility to track the status of the ordered food.
• Option to go through the order progress.
• The user can find restaurants based on location, discount offers, ratings, and cuisines.
• Users have the option to choose from different payment options like credit/debit cards, digital wallets, and cash on delivery. 
• Notifications are received related to new offers and coupons. 

For Restaurants

• A great customer base for the restaurants.
• They can manage orders with ease with software installed on the system.
• Updated menu options to entice the food fanatics. 
• Availability of a delivery person to deliver the food at the customer’s doorstep. 

For Delivery Persons:

• Good salary
• Good tips from customers

Crucial Features of an Online Food Delivery Portal 

Attractive Homepage

Online food delivery platforms must go with impeccable UX/UI to entice more viewers. The home page should be designed perfectly having a subtle approach. The designs should be neat and clean and shed light on the crucial aspects of the website. 

Sign Up

Keeping the sign-up easy and effective is vital for customer experience. Avoid having tricky questions that piss off the users and they leave the process there. For quick signup, you can opt for social media signup. 

User Profile

A user profile page should have the following features:

• Search functionality
• Edit profile
• Social sharing buttons
• Credit check
• Past and frequently ordered food items

Manage Address Book

Prominent food delivery platforms enable users to manage their address, edit it, add new addresses, and update them anytime. You must also give a provision to leave a message for specific delivery details. 

Featured Dishes

These platforms provide the users with a wide array of food options. There is a featured list to help consumers which facilitates quick decision-making and generates more orders. 

Checkout Functionality

The final checkout process should involve some critical steps as mentioned below. 

• Having the delivery window, the user can choose the time to make the delivery along with the number of dishes to order.
• Confirm the address where the user wants to receive the order. 
• Checkout functionality must include necessary billing information and should operate smoothly.

Order Summary

A brief order summary that lists all the details along with the overall price which includes the tax, delivery cost, and the actual cost of the dish, makes it easy for the user to proceed further. 

Powerful filters

Filers are crucial for any app that refines results as per the search behavior and food choices of the users. These help the customers quickly find what they are looking for. Businesses should use powerful filters to help their users. 

What Is In Store for the Online Food Delivery Business in 2022?

The previous years have witnessed a proliferated growth in the online food industry and it is likely to evolve at a fast pace. The pandemic has mushroomed the delivery sales. And as per the expert’s opinion, this growth will pick a pace after 2022 with about 185 million people expected to go for online food delivery services by 2025. 

Overall, the online food industry is here to stay thus, giving benefits to both users and entrepreneurs. 
If you aspire to start with an online food delivery business but are feeling at a loss then get in touch with the experts of Elephy Tech, a web and mobile development company in Australia.  Our experts will shed light on all important factors.