There are very few business models out there that cracked the code of working efficiently on the supply-demand principle, and the on-demand model inevitably tops the lists.
Uber introduced and restricted this model to taxi services alone. But it did not take time for businesses to adapt to the ‘new’ way of reaching out to potential target audiences and providing convenient services.
Numerous on-demand apps like Uber, Instacart, DoorDash, Postmates, etc., have garnered a massive audience base and have gained a substantial market share in doing so.
Gradually as people began to adapt to the on-demand way, entrepreneurs with groundbreaking ideas were reaping enticing profits. However, downloading different on-demand apps included significant pain points like deterioration in phone performance, lack of control over orders, etc.
As a result, entrepreneurs did not hesitate to find a solution to this problem – multi-service apps. Culminating in multiple on-demand apps under one roof can be ideal in the current scenario where people inevitably depend on the online medium for availing various services.
Also known as Super apps, apps like Gojek, Grab, etc., have made a mark for themselves in the multi-service app sector. Are you an entrepreneur who aims to create an everlasting presence in the sector?
If so, this blog provides you with a complete overview of the different aspects involved in shaping & launching a multi-service on-demand app.
The Exponentially-growing Market
Multiple on-demand services are experiencing massive projections in the upcoming years. Add to that the massive projections due to COVID-19. Here are some stats that signify the same.
- On-demand Food Delivery: The online app-based food delivery market will reach a significant $161.74 billion valuation by 2023. The revenue of UberEats doubling to $1.2 billion stands testament to the fact that food delivery forecasts a bright future.
- On-demand Grocery Delivery: This sector has experienced unprecedented growth since March 2020, and the total monthly order volume for grocery delivery apps surged by 193%. After having hired 300,000 workers to cope with the demand, Instacart plans to hire 250,000 more.
- On-demand Home Services: Forecasting a healthy, double-digit CAGR of 46.7%, the on-demand home services market will rise all the way from $281.9 billion in 2019 to $4.1 trillion in 2027. The US market alone is valued at $85.7 billion currently.
- On-demand Taxi Services: The global taxi market forecasts a healthy CAGR of 9.22% between 2019 and 2024. Even after the drastic impacts of COVID-19 on the taxi market, the market projection for the global ride-sharing market is down by only 2% as compared to the pre-COVID-19 era.
- Digital Payment Services: The digital payment services market is expected to grow with a CAGR of 14.2%, reaching a massive value of $154.1 billion by 2025. With smartphone penetration reaching 3.8 billion by 2021, digital payment services will continue to grow.
These market stats signify that you needn’t have second thoughts about investing in the segment.
Vital Prerequisites that can eliminate Hurdles
Now that you have identified the vastness of the market, it is vital to understand what it takes to build a successful app. Here are some crucial prerequisites to help you with the same.
- Narrowing down the Specific Target Audience: It is pointless to launch a Super app without streamlining it towards a target audience. In this case, your target audience can be millennials who prefer multiple services on the go. Contrastingly, you can target first-time users who are unfamiliar with using different apps concurrently.
- Incorporate New Niches: To stay ahead of your competitors, you need to stand apart from the rest of the lot. Integrating new niches into the platform can be an ideal way to create USPs (Unique Selling Propositions). For example, alcohol delivery took off tremendously amid the lockdown situation, and laundry services are an emerging niche that finds increased acceptance.
- Ensure Strategic Partnerships with Suppliers: You need a consistent supply chain to cope with the people’s demands. Ensure that you collaborate & expand your suppliers for the different services you offer via your multi-service app. Striking the chord between supply and demand lays the foundation for a highly successful app.
- Conduct Market Research: You need to conduct extensive market research to identify your top competitors and analyze what customers expect from a multi-service app. This way, you can have a competitive advantage even before venturing into the segment.
Fundamental Features for Efficient Operations
Developing the front-end of the multi-services platform is one of the most crucial stages of app development.
Front-end basically involves loading features & functionalities into the application. Here are some fundamental features worth-integrating in different stakeholder apps like,
- Service providers
- The admin
Features of User app:
- Browse services
- Add to cart/Book services
- Multiple payment modes
- Real-time tracking
- In-app alerts
- Ratings & Reviews
Features of Service provider app:
- Registration with verification
- Availability toggle
- Accept/reject requests
- Order dashboard
- Earnings profile
- In-app navigation
- Ratings & Reviews
Features of the Admin panel:
- Bird’s eye view
- Add/Edit sub-admins
- CRM dashboard
- Verify service providers
- Manage transactions
- Manage discounts
- Manage services
Stand-apart Features for Instant Traction
Apart from the essential features, you need to implement cutting-edge features to stay unique and captivate the audience. Here is some trending USPs that you shouldn’t miss out on.
- In-app Chat/call: Enable a streamlined communication flow between service providers and customers in the ecosystem. This way, you eliminate the need for users to approach the support team every time in case of queries.
- Multilingual Support: Let users access the platform in the language of their choice. This way, you can propel the Super app to have a global presence and cater to the local audience concurrently.
- In-app Wallet: With an integrated e-wallet, users needn’t enter their account details every time during transactions. They can make payments with just a few taps on their smartphones.
- Multiple Orders: One of the significant advantages of Super apps is to access various services in a unified place. Enable users the ability to place orders simultaneously, paving the way for ultimate convenience.
- Reorder: Users can access their order history at any time and can repeat orders instantly. This way, they needn’t search for services once again or spend time extensively adding different products to their cart.
Income-generating Sources to Sustain & Succeed
The ultimate aim of an entrepreneur in launching a Super app is to benefit the audience and gain unrestricted income flow from the business.
With a world-class Gojek clone app, one can generate revenue from not one but a variety of sources. Here are some popular revenue streams for your attention,
- Commissions from Service Providers: Service providers have access to a massive customer base by signing up with the multi-service platform. As a result, they give up a percentage of user payments as commissions to the platform owner. These commissions typically range between 15-30%.
- Featured Listing Charges: Service providers who rank on top of users’ search results experience better conversion rates. As a result, these professionals pay featured listing charges to appear on top of results, thereby boosting visibility substantially.
- Subscription Charges: Users prefer premium benefits like exclusive discounts, top-rated service professionals, instant services, etc. To enjoy such benefits, they can subscribe to the platform by paying subscription charges monthly/annually. These charges directly reach the platform owner.
- Third-party Ad Charges: Displaying advertisements on the platform can lead to a win-win situation. While the platform owner can enjoy ad charges, third-party brands can display their products and boost sales via ads.
Prominent Challenges That Need the Utmost Care
Maintaining business operations efficiently and satisfying the target audience seamlessly with a multi-service app like Gojek is no easy feat.
One needs to adapt to the latest market trends and stay on customers’ radars to prevent running out of business. Here are some critical challenges that one may face in the pursuit of building a Super app empire.
- Tackling the Complexity in Design: Encompassing 50+ services in an app is not a simple task. Many a time, users tend to get lost in the app design, taking enhanced time to browse services. Hence, ensure that your app design is simple, informative, and user-friendly.
- Adhering to Local Trends: Taxi services growing in popularity globally doesn’t necessarily mean that it becomes a talk in your locality as well. Hence, look for trending services in your locality and do not fail to integrate them into your application.
- Collaborating with Service Providers: It is to be duly noted that joining hands with service providers isn’t a walk in the park. You need to introduce a reasonable commission scale and ensure the safety of service providers. Besides, you need to promise consistent demand from the platform as well.
Now that you know what it takes to build a successful on-demand multi-service app, it is time to roll up your sleeves and initiate your app development. As an entrepreneur, All you need is to collaborate with the right app development company to transform your visions into reality.
With favorable market conditions, do not miss out on the chance of emerging as a disruptive Super app force in the on-demand sector. Follow these steps to sail past your multi-service app development seamlessly and efficiently take care of your business proceedings.