{"id":16132,"date":"2020-10-13T12:24:39","date_gmt":"2020-10-13T12:24:39","guid":{"rendered":"https:\/\/www.appdupe.com\/blog\/?p=16132"},"modified":"2020-10-13T12:24:39","modified_gmt":"2020-10-13T12:24:39","slug":"starting-up-ecommerce-grocery-delivery-business-us-uk-canada","status":"publish","type":"post","link":"https:\/\/www.appdupe.com\/blog\/starting-up-ecommerce-grocery-delivery-business-us-uk-canada\/","title":{"rendered":"Starting up an eCommerce grocery delivery business in US, UK &#038; Canada: Here\u2019s a Complete guide for entrepreneurs"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">2020 has been the year of ups and downs. With COVID-19 occupying the center stage, traditional businesses have incurred massive losses. One notable aspect this year has been the wake-up call to entrepreneurs in taking their businesses online. One concrete example of the above statement is the rise of the grocery delivery business. Retail grocery stores and supermarkets were flourishing in the pre-COVID-19 era. The panic-buying phase, coupled with people\u2019s fears to step out of their homes, has made these stores run out of essentials. Besides, with people demanding doorstep services, grocery delivery apps have risen to the occasion, paving the way for unprecedented growth in the first and second quarter of 2020.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">According to a study by Nielsen, almost one in four consumers of developed countries like the US, UK, Japan, etc., are already using the online medium for grocery shopping. Besides, almost 55% opined that they would lean towards grocery apps in the near future. With people beginning to consider safety as their top priority, the market for grocery delivery apps looks bright, forecasting unprecedented growth.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If you\u2019re an entrepreneur having an idea of establishing a grocery delivery app, now is the time to roll up your sleeves and get into action. This blog caters to the needs of those entrepreneurs who aspire to build an ecommerce grocery delivery empire in the US, UK, and Canada. We\u2019ll cover almost every aspect of app development, right from benefits to challenges.\u00a0<\/span><\/p>\n<p><b>The US grocery delivery market<\/b><\/p>\n<p><span style=\"font-weight: 400;\">According to a report by eMarketer, the US ecommerce grocery delivery market is the fastest-growing product category online. The market\u2019s current value lies around $20 &#8211; $25 billion. It is poised to reach a substantial value of $38.16 billion by 2021.\u00a0<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-16134\" src=\"https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/US-Grocery-Market-Size.png\" alt=\"US Grocery Market Size\" width=\"396\" height=\"426\" srcset=\"https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/US-Grocery-Market-Size.png 563w, https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/US-Grocery-Market-Size-372x400.png 372w\" sizes=\"auto, (max-width: 396px) 100vw, 396px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">The US market houses multiple top players like Instacart, Walmart Grocery, Shipt, etc. Since the onset of the COVID-19 pandemic, apps like Instacart and Walmart Grocery experienced a massive surge in download rates by 218% and 160%, respectively.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Grocery delivery brands in the US have made contactless deliveries mandatory. Besides, they\u2019re also supplying sanitizers and face masks to their delivery workers.\u00a0<\/span><\/p>\n<p><b>The grocery delivery market in the UK\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">According to a recent report by Statista, the UK\u2019s grocery delivery market will become the second-largest in the world, falling behind the highly populous China. Giants of the online sector like Asda, Tesco, etc., are playing a crucial role in ensuring proper supply of essentials to customers.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The COVID-19 pandemic has led to a tremendous increase in the UK online grocery delivery sales. Even retail giants are considering the possibilities of taking their businesses online.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Grocery giant, Tesco, has hired more than 8000 drivers to cope with the people\u2019s demands. Tesco and Asda have restricted the maximum order limit of the same product to three to prevent the panic buying of consumers.\u00a0<\/span><\/p>\n<p><b>The Canadian market for online grocery delivery\u00a0\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Canadians have already inclined towards online grocery shopping, with consumers spending almost $6.4 billion per year. The COVID-19 situation has accelerated the market\u2019s growth, with grocery delivery apps witnessing a steady surge in demand.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Grocery stores in Toronto are accepting 24-hour deliveries to satisfy customer demands. Fresh City Farms, a Canadian-based grocery platform, reported that the business has tripled or even quadrupled in terms of sales post-COVID-19.\u00a0<\/span><\/p>\n<p><b>Building the ecommerce grocery delivery app\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Now that you have realized the market growth in the US, UK, and Canada, it is time to build an app that can attract your target audience and boost your sales substantially. A comprehensive <\/span><a href=\"https:\/\/www.appdupe.com\/grocery-delivery-app-development\"><strong>grocery app development solution<\/strong><\/a><span style=\"font-weight: 400;\"> involves four major landmarks or milestones. They include,\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Opting for the right business model\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Deciding on the app\u2019s feature-set<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Predetermining the revenue streams<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Addressing and taking care of challenges<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Let\u2019s discuss them in detail here.\u00a0<\/span><\/p>\n<p><b>Your resources can help you decide the right business model\u00a0<\/b><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-16133\" src=\"https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/online-grocery-delivery-concept-vector.jpg\" alt=\"online-grocery-delivery-concept-vector\" width=\"650\" height=\"464\" srcset=\"https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/online-grocery-delivery-concept-vector.jpg 1372w, https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/online-grocery-delivery-concept-vector-400x286.jpg 400w, https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/online-grocery-delivery-concept-vector-768x549.jpg 768w\" sizes=\"auto, (max-width: 650px) 100vw, 650px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">Business models play a crucial role in determining how your platform conducts business. For example, you can have grocery supplies on your own, or you may have to join hands with retail stores to meet customer demands. Some of the popular business models for a grocery delivery platform include,\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><b>Single store model: <\/b><span style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">If you\u2019re a retailer who wishes to take your business online, this model should do the trick. You can enable your customers to order via the app and provide doorstep deliveries. Small-scale grocery stores prefer this model.<\/span><\/span>&nbsp;<\/li>\n<li><b>Grocery chain model: <span style=\"font-weight: 400;\">A similar approach as that of the single store model, but the grocery store has branches spread across different regions. Customers can order groceries from the nearest store outlet. Apps like Walmart Grocery are based on this model.<br \/>\n<\/span><\/b><\/li>\n<li><b><b>Aggregator model: <span style=\"font-weight: 400;\">If you\u2019re an emerging entrepreneur who wishes to aggregate numerous retail stores, this model can help you out substantially. In this model, it is the grocery stores that take care of deliveries.<\/span><\/b><\/b>&nbsp;<\/li>\n<li style=\"font-weight: 400;\"><b>Marketplace model:<\/b><span style=\"font-weight: 400;\"> This model is similar to that of the aggregator model, but it is the platform that takes up the responsibility of delivering groceries to customer doorsteps. Most of the grocery delivery apps, including Instacart, are based on this model and have gained reasonable success.\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Analyzing your resources and assessing your strengths and weaknesses can help you arrive at your best-suited business model.\u00a0<\/span><\/p>\n<p><b>Features create a visual appeal\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">In a market where there is neck-to-neck competition, customer engagement is vital for any app\u2019s success. Features and functionalities are a great way to create a visual appeal among the audience, enabling them to navigate the app and order groceries. Besides, features are the factors that differentiate your platform from the rest. Some of the distinctive features that can make your app stand apart include,\u00a0<\/span><\/p>\n<ul>\n<li><b><b>Re-order: <span style=\"font-weight: 400;\">A grocery delivery app culminates in a sea of products distinctly separated into categories. Even after this categorization, customers take time to filter out products, consuming more time. To enable customers to check-out in a flash, they can re-order groceries from their order history with just a few taps.<\/span><\/b><\/b>&nbsp;<\/li>\n<li style=\"font-weight: 400;\"><b>Compare products:<\/b><span style=\"font-weight: 400;\"><span style=\"font-weight: 400;\"> This comparison feature can take the shopping experience to a whole new level. Customers can compare different products on various metrics like price, quality, ratings, etc., before adding them to the cart. This way, their satisfaction rate goes over the ceiling.<\/span><\/span>&nbsp;<\/li>\n<li><b><b>In-app wallet: <span style=\"font-weight: 400;\">Customers find it challenging to enter their account details every time during checkout. Introducing an e-wallet can come in handy as they can transfer funds from their bank accounts to e-wallets for future transactions. With just a few taps, they can pay their grocery orders.<\/span><\/b><\/b>&nbsp;<\/li>\n<li><b>In-app chat\/call: <span style=\"font-weight: 400;\">To avoid abandoning carts, customer support is crucial. Besides, customers should have the option of reaching out to delivery workers. This way, the platform paves the way for seamless communication among different stakeholders.\u00a0<\/span><\/b><\/li>\n<\/ul>\n<p><b>It\u2019s all about building trust and generating revenue\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">No matter your approach, any business\u2019s final intent is to generate consistent income. It is wise to look at numerous ways of income generation and decide on your revenue streams. Some of the popular ways of yielding profits include,\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><b>Commission fees:<\/b><span style=\"font-weight: 400;\"><span style=\"font-weight: 400;\"> If you\u2019re opting for a marketplace or aggregator model, you get paid commissions from grocery store owners for connecting them with customers. This way, as long as customers shop groceries via your app, you get to fill your pockets seamlessly.<\/span><\/span>&nbsp;<\/li>\n<li><b><b>Delivery charges: <span style=\"font-weight: 400;\">The final cost estimate of a particular order will inevitably involve delivery charges. To enjoy doorstep deliveries, customers pay you delivery fees. While a part of it goes to the delivery worker, you can reap substantial profits this way.<\/span><\/b><\/b>&nbsp;<\/li>\n<li><b><b>Subscription plans: <span style=\"font-weight: 400;\">Subscriptions are a great way to provide benefits to customers and enjoy a steady income source. You can roll out numerous subscription plans to customers who can choose them either monthly or yearly.<\/span><\/b><\/b>&nbsp;<\/li>\n<li style=\"font-weight: 400;\"><b>In-app advertisements:<\/b><span style=\"font-weight: 400;\"> Displaying third-party ad banners in your platform is a great marketing strategy. The situation provides a win-win scenario, wherein you generate income from these ads and third-party brands get to boost their visibility.\u00a0<\/span><\/li>\n<\/ul>\n<p><b>Appdupe helps you tackle the COVID-19 challenge\u00a0<\/b><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-16126\" src=\"https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/instacart-clone.jpg\" alt=\"instacart clone\" width=\"1400\" height=\"560\" srcset=\"https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/instacart-clone.jpg 1400w, https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/instacart-clone-400x160.jpg 400w, https:\/\/www.appdupe.com\/blog\/wp-content\/uploads\/2020\/10\/instacart-clone-768x307.jpg 768w\" sizes=\"auto, (max-width: 1400px) 100vw, 1400px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">The COVID-19 has turned the spotlight towards grocery delivery apps. However, there\u2019s a massive responsibility in the hands of an entrepreneur to promise safe and secure deliveries. Appdupe\u2019s <a href=\"https:\/\/www.appdupe.com\/instacart-clone-script\"><strong>white-label Instacart clone<\/strong><\/a><span style=\"font-weight: 400;\"> comes preloaded with COVID-19 safety add-ons. Some of the safety strategies include,\u00a0<\/span><\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><b>Contactless deliveries: <\/b><span style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Customers can opt for contactless deliveries, wherein delivery executives drop grocery orders in front of their homes.<\/span><\/span>&nbsp;<\/li>\n<li><b><b>Safety badges: <span style=\"font-weight: 400;\">After necessary scrutiny, grocery stores get a safety badge displayed near their names as a sign that they are abiding by COVID-19 safety regulations.<\/span><\/b><\/b>&nbsp;<\/li>\n<li style=\"font-weight: 400;\"><b>Face mask recognition software:<\/b><span style=\"font-weight: 400;\"><span style=\"font-weight: 400;\"> The platform comes preloaded with recognition software that analyses if delivery executives are wearing face masks before taking up customer orders.<\/span><\/span>&nbsp;<\/li>\n<li><b>Disabling COD: <span style=\"font-weight: 400;\">You have the option of disabling the cash on delivery (COD) feature in high-risk prone areas, thereby avoiding any contact between customers and delivery workers.\u00a0<\/span><\/b><\/li>\n<\/ul>\n<p><b>Conclusion,\u00a0<\/b><\/p>\n<p><span style=\"font-weight: 400;\">COVID-19 has accelerated the market growth of the grocery delivery market tremendously. You needn\u2019t hesitate any longer as people are adapting to the \u2018new\u2019 normal at a rapid rate. Enable doorstep grocery deliveries with your state-of-the-art grocery delivery app and boost your profits in the shortest possible time.<\/span><\/p>\n<div class=\"info_box\">\n<h2>Looking to Startup a Grocery Delivery App in US, UK or Canada?<\/h2>\n<div><a class=\"button\" href=\"https:\/\/www.appdupe.com\/request-proposal?\/grocery-delivery-app-development\">Reach Out To Us<\/a><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>2020 has been the year of ups and downs. With COVID-19 occupying the center stage, traditional businesses have incurred massive [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":15007,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[588,1552],"tags":[1556,1553,1555,1554],"class_list":["post-16132","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-grocery-app-development","category-grocery-e-commerce-app-development","tag-create-grocery-business-in-canada","tag-grocery-ecommerce-development","tag-launch-grocery-app-in-us-uk","tag-launch-grocery-ecommerce-app"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Starting up an eCommerce Grocery Delivery Business in US, UK &amp; Canada [Guide]<\/title>\n<meta name=\"description\" content=\"If you\u2019re an entrepreneur having an idea of establishing a grocery delivery app, now is the time to roll up your sleeves and get into action. 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