How to Start a Delivery Business Like Doordash in 2022
Founded in 2013 by three college students at Stanford University, the DoorDash food delivery app became the most sought-after app in 2021. It earned over $1.24 billion in Q2 2021 from 20 million users. DoorDash’s unique model to deliver alcohol with regular food services makes it unique among competitors.
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Firstly, we have created a list of essential things required to build an app. Maybe you are already aware of it. Allow us to remind you.
Things Required to Start a Doordash Like Business
- Business license and a business plan
- Certificate of Incorporation
- Tax Identification Number (TIN)
- Non-Disclosure Agreement (NDA)
- Registration for Commercial Vehicle Operator
- Food and Drink Handlers Certificate
- Health Inspection Certificate
- Proof of ownership for Vehicle and Vehicle license
- Commercial Driver’s License
- Operating Agreement for LLCs
- Insurance Policy
Hopefully, you have gone with these fundamentals. As you are aware that Doordash is an online food ordering and food delivery apps the United States.
So to embark on a business-like DoorDash, you also need an app similar to DoorDash. Let’s deep dive and learn all about “how to build a food delivery app like Doordash.”
Wait! Wait! Wait!
You might have missed something in the hurry of building a food delivery app…
Here We Have Some Fundamentals That You Should Keep In Mind!
- Deliver Fast Orders with scheduled Deliveries
No one wants to stay longer with carving. Therefore, people choose online ordering to get faster food delivery on the table, irrespective they are at the office or home. When you are on the way to commence a food delivery business like Doordash, plan for responsible delivery people, quick deliveries, sanitary restaurants, and restaurants with good reviews are a few essentials that drive your app forward.
The best thing, planning in advance business promotion, can make your app talk of the town. You can also add schedule delivery features that allow users to plan meals in advance, then go with a routine plan.
- Set Framework For Fleet Management
You cannot deny Humans are Inpatients! You can also cross-check this statement from your last order. After ordering, you might be excited to know the real-time delivery time and status. Till that time, you keep on checking real-time tracking details. So, do not forget to add this feature to your app.
Provide real-time tracking details, such as – order accepted by the restaurant, the driver is waiting at the restaurant, food picked up, and on the way details of the driver. You can also provide liberty to customers to pick up their order before the scheduled time.
- Online Payments with No Hassles
When on the board to build food delivery, you should not deny that modern people do not prefer to carry cash anymore. To lead the food industry, make sure you integrate third-party apps like PayPal, ApplePay, Amazon pay, or other most highly appreciated in your region. Be sure you have chosen the authentic platforms only. Otherwise, your business can be the reason for customer personal data stealing, which can harm your brand reputation.
- Accepting group orders
The in-app community feature to order food might look strange but really very interesting. It helps you to get organic orders and word-of-mouth publicity. You just need to integrate in-app order group functions in your chatbots.
From there users can form and join foodies communities. It helps them to find new dishes, restaurants and more!! The advanced feature might make your app a one-stop destination where large communities gather and enjoy similar dishes.
Understand interesting workflow of food delivery apps like DoorDash
The on demand food delivery application adopt a full cycle of delivery in three basic steps. – Ordering, Cooking, and Delivering!
That’s enough. Let’s know these steps in detail for better understanding.
- Ordering – Orders are customer requests to restaurant owners to prepare some food. The ordered food is listed among specific restaurants and prepared in their kitchen. Some of the food is also prepared by meal provider’s partners. Users order their favorite food from mobile or system via food delivery mobile app, web app, or website.
- Cooking – The meal could be pre-cooked or cooked after receiving orders. The delivery time is estimated based on cooking time. Like for pre-cooked food, the estimated time will surely be shorter, whereas, in the case of customized food, time will be longer.
- Delivering – The food ordering process ends with delivery. So, develop different food delivery models for successful delivery completion.
Understand Doordash’s Revenue model
It’s crucial for budding entrepreneurs to understand the revenue model of food delivery businesses like DoorDash. The model let you decide your business strategy:
- Commission on each order
DoorDash delivers food from the restaurant to the customer’s doorstep. From this, food businesses earn a big chunk of profits. DoorDash charges 15% (Basic), 25% (Plus), or 30% (Premier) commissions from the restaurant owners on every order. The basic plan charges higher delivery fees from customers and limits the serving area. The premium plan involves the least fee and guarantees 20 deliveries per month, otherwise, restaurants can claim for fee refund.
- Restaurant Advertising on DoorDash
Everyone wants to be on the home page. Therefore, Doordash takes advantage of the rat race of competition among other food vendors. The food delivery app charges for marketing and advertisement on its app. It helps the restaurants to be on top and with huge discounts.
- Delivery Fees
To ensure safe and on-time food delivery, doordash hires drivers, also called Dashers. Dashers charge delivery charges from customers based on distance. The average delivery charges vary between $5 to $8 per order.
Right Time to build an app….
4 Steps to building Apps Like Doordash
When you are building a successful food ordering and delivery app, you might face some challenges. Here, thorough market research can help you to stand out from the crowd. Let’s find some details:
- Target audience
You might be thinking, why would we ask you to choose a target audience when you know that you want an app like DoorDash. Keep in mind, you want an app like Doordash, not the same business or audience. If you aim to stand out of the crowd, you need to think something out of the box too. Now, find out who will be your target audience, income, age, location, and other basic details. Like, UberEat is a perfect choice to order and deliver a wide variety of foods in the US. DoorDash chooses Alcohol delivery along with constant services.
Now it’s your turn… What are you bringing to the market??
- Establish Partnerships
For food delivery businesses, it is essential to boost market reach and increase options for customers. Therefore, shake hands with popular grocery stores, restaurants, and food producers in your servicing area. Also, building partnerships with these also enhance your business visibility in the market that result in higher market share and ROI.
For instance, DoorDash charges commission on sales from restaurant owners and grocery delivery stores. Again, the approach boosts brand awareness, increases food orders, and sales.
- Appoint Drivers For Delivery
Hiring a delivery executive is a crucial decision. Many businesses choose delivery persons on payroll, and others appreciate the contact method. While hiring delivery professionals, it’s essential to look for executives with their own car, bicycle to complete the delivery process. You can also look for freelancers on a contract basis, as these are cheaper options, especially for startups.
- Food Delivery App Development
Finding and choosing the best food delivery app development company is not an easy job. You need to access company experience, expert knowledge, projects delivered, technology knowledge, and more to get the desired outcome. Most importantly, the company should be able to deliver projects within your budget and under stipulated time.
You might be getting confused with so many details. Do not fret, we are here to help you with all the possibilities. Whether it’s about your budget, tech slacks, or else, we have a solution for everything.
Pick the right solution
- One-shot payment: the model defines you just need to decide app, purpose and rest responsibilities lies on us. We will deliver you a fully featured app for one-shot payment. The app/website will be powered with all the security and industry norms, as discussed with you.
- Hourly-renting model: Renting per hour will be a more suitable choice if you don’t want to go with a one-shot payment. You will pay rent for the number of hours you choose to hire it. Startups choose this plan as it’s a more affordable option and has less risk of business failure.
- SaaS-based model: Software as a Service is a monthly rental software model. You will pay a monthly payment and can access all the features of the app. No bugs and maintenance cost of the model works as icing on the cake. Companies like Facebook, Dropbox, WhatsApp, Uber, Airbnb are also using the SaaS model.
- Hiring a developer: If you are not happy with either of the models, you can hire a developer too. The professional will work on your project from start to end. You just need to pay developer charges.
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While discussing these plans, do not miss features that provide convenience, ease of navigation, and speed to the users of your app.
Must-have Features in Apps like Doordash
|Customer app||Restaurant app||Courrier app||Admin panel|
|Quick Registration and login detail||Speedy Registration and login||Registration and login||Admin login|
|Fastest Restaurant search||Menu management with changing meals||Navigation||Restaurant management (adding and deleting restaurants from search)|
|Easy Location and order tracking||Fast-track Order management (accepting orders/status change)||ONE-STEP AWAY TO accept/declining orders||One-click Analytics Reports|
|Swift Order placement and payments System||Rating and reviews (replies on customers’ comments)||Simple to track order history and calculate commissions||Fee Management|
|Push notifications||Discount and coupons manager|
|Ratings and reviews|
Business Like Doordash App Development Costing
There are numerous factors that contribute in the form of cost while building apps like DoorDash. Here is a list of some.
- Your Project Complexity For mobile and web app
- Cost for hiring a developer
- Based on skill level of the developer or designer
- Front-end and back-end development project UI/UX
- Hourly, part-time, or full-time work
- Logistical information and location of the development team
- App Development Cost Breakdown
- Choose Your Mobile App Platform – iOS apps, Android apps, Web app, Hybrid app (Android + iOS)
- Choose Your Mobile App Design – App Design Template, Custom App Design, Professional App Design
- Choose The Security Level For Your Mobile App – Basic App Security Measures, Data Encryption, Advanced Security Protection
- Choose Your Mobile App Database – Internal Database, Cloud database,
- Choose Your Mobile App Features – Login, Media, Utility, UX, General, Admin, Add-on Features