The app revolution is coming in handy, especially amid this pandemic situation. What’s more comfortable when people can order essentials to their doorsteps? The ground-breaking strategy appears to be an entrepreneur’s delight. A sea of entrepreneurs is investing in this grocery delivery app segment. While apps like Instacart, Walmart Grocery, etc., struggle to cope with the people’s demands, an entrepreneur coming up with a unique strategy and a robust app can turn people’s attention. 

From time immemorial, entrepreneurs have come up with ideas that can solve people’s problems and boost profits simultaneously. The grocery delivery business appears to be such an idea. However, only a few turn successful. 

Are you an entrepreneur worried about this narrow success rate? 

Are you looking to set foot into this flourishing segment with a reasonable budget? This blog caters to your needs by providing you an estimate required to build an on-demand grocery delivery app. You’ll also get to know the successful secret strategy to launch an app like Instacart within a reduced budget. 

Why opt for a grocery delivery business? 

Just because everyone else does, you shouldn’t invest in a particular sector. You need to identify the market growth, analyze customer trends, and decide the best-suited investment option. 

From the customer trend perspective, lockdowns are one fitting reason why people are inclining towards these apps. Besides, the need for social distancing and fears of virus contractions act as compelling reasons. 

According to a survey by Coresight Research, consisting of 600 Internet users who bought groceries online in the last 12 months, 

  • About 49% of the respondents opined that they started to buy more groceries online post-COVID-19 situation. 
  • Almost 15% expressed that they began online grocery shopping due to COVID-19. 

A few staggering numbers support the explosive market growth. 

According to a report by Mercatus Grocery Survey, May 2020, 

  • The amount spent on online grocery shopping in May alone reached a whopping $6.6 billion. 
  • The market experienced an 18% increase in MoM online grocery orders, surpassing 62.5 million in April to 72.5 million in May. 

With such a positive reception in terms of popularity and revenue, you needn’t hesitate to invest in the sector. 

What is Instacart? How does it manage to stay ahead? 

According to a recent report by a data analytics firm, Instacart now controls 57% of the online grocery delivery market. How does it manage to pull off such promising numbers? 

Instacart is merely an aggregator platform, connecting retail grocery stores with its customers. The app currently operates in more than 5500 US cities, housing more than 25000 stores under its roof. 

The app leverages the virtual medium, bridging the gap between the different stakeholders. Users have access to numerous stores near their location. They add products to their virtual cart, proceed to checkout, and pay using any of the multiple payment gateways. 

Instacart went on a hiring spree post the pandemic situation to cope with the people’s demands and stay ahead of its rivals. After hiring 300,000 workers in April, it follows to hire 250,000 within the next quarter. 

What are the different stages involved in app development? 

Now that you’re about to develop an on-demand grocery app, you need to be familiar with the different app development stages. They include, 

  • Market research 
  • Brainstorming ideas and devising a plan
  • Designing the app’s UI/UX
  • Integrating features into the app
  • Developing the back-end 
  • Testing the app for bugs and defects
  • Launching the app across the Android & iOS platforms

Among these many stages, it is the front-end development that is the most time-consuming and expensive. While all other stages consume around 800 hours in total, front-end and back-end development for Android and iOS take a minimum of 1200 – 1500 hours. 

What are the features worth considering during front-end development? 

You need to develop three separate entities for stakeholders, in addition to the admin panel. The stakeholders involved are, 

  • Customers
  • Delivery Executives
  • Grocery store owners

Let’s discuss the features in brief here, 

Features of Customer app: 

  • Registration 
  • Search and filter options
  • Add to cart
  • Multiple payment options 
  • Instant booking
  • Schedule for later
  • Real-time tracking
  • Order history
  • Push notifications
  • In-app chat/call
  • Ratings and reviews 

Features of Delivery Executives app: 

  • Registration
  • Upload documents for verification
  • Availability toggle
  • Accept/Reject user requests
  • Manage multiple orders
  • In-app navigation
  • Earnings profile
  • In-app support

Features of Grocery store owner app: 

  • Registration and verification
  • Availability slider
  • Manage inventory
  • Manage order
  • Order dashboard
  • Earnings dashboard
  • In-app chat/call
  • Manage profile

It is clear from the above stages and features that it takes a minimum of 2000 hours to build an app development cost. Assuming the average development cost per hour to be 50* (* varies with location), you need a minimum investment of $100,000 to kickstart your journey into the grocery delivery app. 

If you do not wish to invest such a huge amount, know the secret in the upcoming section. 

The secret to reducing your budget 

For budding entrepreneurs, 6-digit or even 5-digit investments is a massive sum. Modern technology has provided you a unique opportunity to venture into the market with clone app solutions. Numerous app development companies are rolling out the Instacart clone script at reasonable prices. All you have to do is customize the clone app and launch it in no time. 

With just about one-tenth of the investment compared to the conventional method of building from the ground, you can boost your visibility, profits, and build positive brand value. 


The ‘new’ normal will ideally focus on safety standards. This safety is very much a possibility if you can leverage the online medium. Grocery delivery apps are set to rule the market in the upcoming years. Entrepreneurs needn’t waste this precious opportunity as an Instacart clone app can be launched immediately.  

Capitalize on the situation by reaching out to an app development company. Tell them your needs, and climb your ladders of success with a robust grocery delivery app.


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