Revolutionize the food delivery industry with a fascinating Grubhub Clone app
In worldwide, the food delivery industry has witnessed vast growth. Its net value was $122.740 billion, with an annual growth rate of 7.5%. By the end of 2021, this industry is estimated to increase with a CAGR of 32%. This reveals the demand for food ordering & delivery apps.
One promising app that revolutionizes the market is Grubhub, and most entrepreneurs are looking for the Grubhub clone app development service as it enables them to enter the online food delivery segment shortly.
Why are entrepreneurs preferring the Grubhub clone app?
Before getting into the main point, let’s know about Grubhub first. What is Grubhub? It is an online and mobile food ordering & delivery marketplace which has a comprehensive network of restaurant partners.
In 2018, it was partnered with 115,000 restaurants and had nearly 18 million users. As of now, this company is partnered with more than 300,000 restaurants. Among these, 280,000 restaurants are around the cities of the United States. Moreover, it has also partnered with takeout restaurants and diners. As a result, it serves more than 33 million diners.
In 2020, it provided $9 billion in gross sales to takeout restaurants. Without a doubt, Grubhub is catering to the great service and increased revenue generation with its ever-growing popularity. This aspires young entrepreneurs to launch a similar app like Grubhub. For them, investing in the Gubhub Clone Script is the effective and simplest way to enter the food delivery industry shortly.
It is a tailor-made food delivery app solution that is highly customizable and fully scalable, depending on the individual business requirements.
Business model to consider during Grubhub Clone app development
The business model of Grubhub is quite simple and efficient. Let’s have an idea of how the app works.
The first thing the users have to do is create an account and manage their profile by specifying the necessary details. Notably, providing access to their current location is necessary. Then, they can browse through the nearby restaurants, look into the menu, and place an order of their choice.
After that, the app displays an estimated time of arrival. Then, the restaurant prepares the food and packs the order. Users can opt for door delivery or pick the order from the restaurant. If they opt for delivery, the delivery executive will be assigned, and he/she delivers the order to their home. On the other way, the users can collect the packed order directly from the restaurant.
Grubhub earns more revenue from its app version as it is a more convenient means of ordering food online. In addition, the app has a cohesive UI/UX design that lets the users navigate through various options seamlessly and make the checkout process easy.
How to generate revenue from the Grubhub clone app?
In essence, the primary source of income from food delivery apps is commission fees. So let’s dive deeper into how Grubhub earns money.
Grubhub charges a commission fee from the partnered restaurants on each order. Also, it collects a fee amount from the customers when they place an order through the app.
In a wider view, it collects a 10% base commission fee and 3.05% processing fee along with an additional sum of $.30. Moreover, restaurants have to pay an extra commission of 20% for having a better position in the listing.
Five types of commission fees are pertinent to Grubhub’s model. It includes the following.
- Marketing commission
- Delivery commission
- Processing fee
- Delivery tip
- Sales tax
It would be good to consider these monetization strategies while developing your Grubhub Clone app. it is up to your decision to set the commission percentage. Make sure to set a competitive price so that your target users do not have a second thought of going ahead with other food delivery apps.
Key takeaways from Grubhub
Grubhub’s growth sets itself as a real-time example for many startups and young entrepreneurs who are willing to start a venture and achieve success. Its coherent growth strategy is the motive of earning more profit and growing as a brand.
It has partnered with many restaurants at national, regional, and independent levels. This gives more options for the customers to choose from any restaurants as they wish. In addition, Grubhub continues to invest in mobile and website products. It includes a delivery network, aggregates the customer data, and new strategies.
Most importantly, providing the best service to the customers and meeting their needs is the primary reason behind its growth and popularity. Therefore, it aims at offering both the delivery service and dining service with the app.
The company focuses on expanding in newer markets through acquisitions, strategic partnerships, and promotions. It has undergone a total of eight rounds of fundings. First, significantly, with the Yum! Brands.
Success does not come overnight, it comes over time. Since 2014, the company aims at providing a fantastic web and mobile app. User-friendliness is the key to success. It constantly focuses on bringing new offers that pave the way to boost the experience of the partnered restaurants.
Grubhub is one such promising app that revolutionized the global food delivery market by partnering even with takeout restaurants. Witnessing this success and growth, there are quite more opportunities for young entrepreneurs by launching the Grubhub Clone app.
Now, it is your time to plunge into the profitable online food delivery industry with a similar app like Grubhub. Go ahead! Join hands with a trustable and well-known mobile app development company and get a personalized food delivery clone app.