On-Demand Delivery App Development Cost [Full Breakdown] (2024)

Are you dreaming about launching your own on-demand delivery services?

You have caught a huge opportunity because this business, like food or grocery delivery, is booming!

In fact, this sector is expected to achieve a whopping $335 billion by 2025.

However, before starting the journey, it’s crucial to know the on-demand delivery app cost to make sure you’re equipped with the right budget and resources to bring your vision to life.

You’re in luck!

This article will show you complete insights into the cost of developing an app for delivery service, including factors influencing it and possible challenges you might face.

After reading this article, you can contact an agency providing top-notch app design and development services to make even more informed decisions and overcome the barriers with confidence on your journey to launching a successful on-demand delivery app.

What is an On-Demand Delivery App?

An on-demand delivery app is a mobile or web application that enables users to order goods or services and have them delivered quickly to their location.

The primary benefit of this mobile app is that users can order products or services from their smartphones without needing to visit a store or service provider physically.

Common use cases of an on-demand delivery app are:

• Food delivery
• Grocery delivery
• Parcel and courier services
• Healthcare and pharmacy
• Retail and eCommerce

How Much Does it Cost to Develop an On-Demand Delivery App?

Generally, the cost to develop an app for on-demand delivery services can cost between $30,000 to $150,000 or more.

Here’s a breakdown of what basic, medium, and complex on-demand delivery apps typically cover along with their range of costs:

• Basic on-demand delivery app. This version has essential features such as user registration, order placement, and basic real-time tracking. Its typical development cost is between $30,000 to $50,000.
• Medium on-demand delivery app. It covers all basic features plus additional functionalities like in-app messaging, and several payment gateways. The cost range is between $50,000 to $100,000.
• Complex on-demand delivery app. This highest range involves complex features like real-time tracking, various payment gateways, and extensive backend infrastructure. Expect the investment to range from $100,000 to $250,000 or more.

Note that the development cost will depend on various factors, such as the app’s complexity, the number of integrations, development team location, and design requirements.

Examples of On-demand Delivery Apps

DoorDash is a prominent on-demand food delivery app.

It connects customers with local restaurant partners, from fast food chains to fine dining establishments, through its mobile and web applications.

The mobile and web apps allow users to browse menus, place orders, and have food delivered to their doorstep by DoorDash drivers, known as “Dashers.”

Another example is Instacart.

It’s an on-demand delivery app in the grocery delivery sector, allowing users to shop for groceries from their favorite local stores and have them delivered to their homes in as little as one hour rather than visiting a store themselves.

Users can browse through a wide selection of products, add items to their cart, and choose delivery windows that suit their schedule.

You may also get inspired by NimbleRx.

It helps pharmacists and patients get prescriptions filled, paid for, and delivered or picked up easily.

The platform partners with local pharmacies to fulfill orders and provides fast and reliable delivery options.

Therefore, consider discussing your project in detail with app development professionals to get a more accurate cost estimate that meets your specific needs and goals.

Unlock the real costs of on-demand delivery app development!

With Intelivita, get to know the intricacies behind on-demand delivery app costs and equip your business with insights into detailed budgeting for success.

What Factors Influence the Cost of Building an On-Demand Delivery App?

Several factors influence the cost of building an on-demand delivery app, each contributing to the overall complexity and resources required for development.

Here are the key factors:

• App complexity and features. Basic features are relatively less expensive to implement. However, the cost can be much higher for enhanced functionalities such as personalized recommendations with artificial intelligence (AI).
• Design and user experience. A well-designed, intuitive, and visually appealing interface requires skilled designers and more development time, hence increasing costs.
• Backend infrastructure. This includes server costs like hosting and maintaining servers, database management, as well as APIs and integrations.
• Development team. Development costs vary by region. For instance, working with a software development partner in North America and Europe tends to charge higher rates compared to those in Asia.

How Long Does It Take To Build an On-Demand Delivery App?

Building an on-demand delivery app typically takes between 3 to 9 months, depending on various factors such as the app’s complexity and the size of the development team.

A basic version might be completed in around 3 to 4 months, while a more sophisticated app could extend the timeline to 6 to 9 months or more.

How to Successfully Grow Your On-Demand Delivery App

To successfully grow your on-demand delivery app, ensure you choose reputable service providers that can strengthen your offerings and increase customer satisfaction.

Also, consider incentivizing both customers and delivery personnel with promotions, loyalty programs, and competitive compensation to boost engagement, foster loyalty, and encourage repeat usage of your app.

What Are the Risks and Challenges of Building an On-Demand Delivery App?

On-demand delivery apps may face some challenges, including:

• Logistics management. Coordinating timely deliveries, especially in busy or remote areas, can be complex and needs sophisticated routing algorithms and real-time tracking systems.
• Quality control. Providers may need to ensure consistent quality of products and services across different suppliers.
• Costs. It’s important to balance delivery fees to keep them affordable for customers while fair for couriers and providers.
• Scalability. As demand increases, maintaining a seamless user experience and efficient delivery times becomes challenging without significant investment in infrastructure and technology.