Food Ordering App Development and Cost: 6 Steps to ensure you’re choosing the most affordable option

June 20, 2022

22 min

What’s my favorite cuisine? one you order out! A wonderful and delicious meal is always an attractive choice for all. Foodies eat local, international and seasonal food, irrespective of the place of living. To do so in the meantime, online food delivery applications including Uber Eats and GrubHub come into the scene where you can order your dream food nearby.

These food ordering applications have brought leisure to the common man’s lifestyle. In comparison, local food vendors, restaurants and continental hotels are also getting an additional source of income after becoming official food partners. Food delivering applications like Uber Eats are developed by multinational companies to offer food-related services. To develop these applications, you need a software development company like Origami Studios that has expertise in food ordering app development.

Moreover, the food delivery market in the United States has $343.80 billion worth. In consequence, despite UberEats, Grubhub, and DoorDash leading the US food ordering market, it still has room for innovative companies that can offer exceptional food delivery service. Below, we have compiled some statistics on the online food delivery market worth in the US. Later in this blog, you will also learn about some steps including the cost of food ordering app development to choosing the best software agency.

Food App

Market Overview - Food Delivery App

The recent pandemic has affected everything from daily routine to on-site jobs. The recent market analysis of food delivery applications showed its exponential growth in 2020 during the covid19 pandemic as expected in the upcoming 5 years. Now, it’s expected that the total online food ordering app market segment is projected to grow to $343.80 billion by 2022.

According to statistical analysis, the online food delivery market’s annual growth rate in 2022-2026  is expected at 8.38%, and it is also anticipated that the total market volume will be $474.30 billion by 2026. Here listed some additional but valuable statistics:

  1. The online food delivery market’s immense part is a platform-to-consumer. Therefore, its projected volume of $217.80 billion in 2022.
  2. According to the research report, China will be one of the biggest countries that generate $158,100 million in revenue in 2022.
  3. Everyone has the convenience to get food items at their doorstep and people availing it. Hence, it’s expected that audience retention will rise by 25.5% in 2022.
  4. The average revenue per user in the Online Food Delivery segment is expected to be $177.10 in 2022.
  5. By the end of 2025, its also expected that the total online food delivery customers will rise to 2,691 million.

 

How Does Online Food Ordering System Work?

Online food delivery is a process of dispatching food from a local food company or restaurant to a buyer’s location through a mobile or web-based application. The food ordering system starts with a customer going for online food delivery, searching for food categories and buying food according to his/her needs. 

The payment or checkout process comes in, at this stage different food delivery applications provide different check-out options including cash on delivery or payment through card. In continuation, the online application generates a request for specific restaurants to keep ready a food item. Finally, the selected food item is delivered to the customers and the respective order is marked as complete on the app. We just divided the whole process in the following hierarchical manner to deeply understand the whole process.

  1. Food Portal
    • Search For Desired Product
  2. Finalize Order
    • Payment Process
  3. Order Confirmation
    • Merchant Payment
  4. Restaurant Order Processing
    • Delivery Servicing
  5. Confirming & Receiving Delivery

Types Of Food Delivery Apps: Aggregator vs Logistic Support Model

In the current digitalization era, where cuisine kitchens and restaurants are shifting online to provide food delivery services instead of dine-in or dine-out. There are two business models that you can think of before designing a food delivery application.

Aggregator Model – Development Cost Of Food Ordering App

Under this model, one can launch a food delivery app where users and restaurants meet. This aggregator model connects customers to order online on your platform while restaurants create menus and sell their food under diverse categories without including delivery to the doorstep. Mostly, mediator courier companies like FedEx Corp.(Federal Express Corporation), UPS (United Parcel Service), and DHL (Dalsey Hillblom Lynn) are hired to deliver food to customers’ doorstep. The development cost of this type of food ordering app ranges from $15000-25000. Here are listed some of the amazing food ordering applications:

Food App

Logistic Support Model- Development Cost Of Food Ordering App

In this business model, you can launch a food ordering application that will provide delivery services to restaurants or food chains to deliver food to their customers. These types of applications are specifically designed for enterprises to overcome their food delivery overheads or tribulations. The average development cost for this type of food delivery app is high, ranging between $10,000-$25,000 Here are listed some of the amazing food ordering applications that reinforce logistic support as well in the united states:

  • UberEats
  • Grubhub
  • DoorDash
  • Food Panda

What Is The Cost Of Developing An App For Food Delivery?

Application development is an extensive process that includes requirement analysis, prototyping and designing, tools & process methodologies, and more. If you are planning to design a food ordering app, its cost depends upon different factors that add up to estimate an aggregate mobile application development cost.

Typically, the cost of food ordering app development depends on the features you want to incorporate and the resources you require to transform your application from the idea stage to product launching in the market. The development cost of food ordering apps like Uber Eats, Grubhub, and DoorDash would come out to somewhere around $40,000 onwards.

In continuation, food ordering app development costs depend upon whether you are going to develop a native app or a cross-platform application. It also depends upon which software companies you are going to hire for your project. We are at Origami Studios adept in food ordering mobile apps and restaurant food delivery management systems. Book your appointment today to discuss your idea.

food app

6 Steps To Follow Before Choosing A Food Ordering App Development Agency

Shortlisting a potential software development agency does not only save your resources in terms of time and money but includes value-added services. Domain-driven or niche-oriented development companies innovate scalable, usable, portable and robust solutions to unseen real-world problems. If you are scrutinizing a food ordering mobile application development company you should have to recognize the below-listed steps to anticipate an influential solution in return.

1. Recognize Your Business Requirements

Before heading to select a food ordering mobile application development company. The first step is to brainstorm your potential idea, and collect information about target customers, required features in your application and revenue model. After reporting your requirements, it’s time to comb for domain-driven food delivery applications development professionals.

Origami Studio has been providing professional Android, iOS and cross-platform mobile application development services for 10 years. We are specialized in numerous development sectors including food, healthcare, e-commerce, e-learning and more.

2. Look At How They Innovate To Grow Your Business:

Considering a suitable company for your mobile application development is a hectic and time-consuming task. Now, the question wakes, how will you vow to improve their innovation skills? For mutual understanding discuss your business idea and request directions or recommendations on your brief. If they know what innovation means, they will deliver some feedback and suggestions to increase efficiency and productivity. 

3. Review Recent Case Studies

The case study is intensive research for the development of a group of people or units, a specific case or scenario to generalize its solution to real-world concerns. For instance, a case study on deep learning to predict spoilage of fresh fruits due to pH level. Similarly, When you hire a food ordering app development agency, it’s obligatory to request their recent case studies to understand how they generalize a complex problem in more superficial and meaningful ways.

Food App development

4. Review Their Food Ordering App Development Team & Work:

Designing an ideal food ordering app that delivers in a manner conforming to customer needs. To do so, it’s required to analyze the expertise and problem-solving abilities of their development team. You can learn about their customer testimonial, talent acquisition platforms, social media reviews and developers’ profiles on social media including Linkedin. It will give you internal satisfaction with your dream product that is going to be developed and launched in the market.

Food Delivery App

5. Understand Cost Of Food Ordering App Development:

The software development cost revolves around application complexity, features of an application and other factors. The cost of food ordering app development has different pricing models in the US depending upon the size and type of food application. Origami Studios has been selling its services in mobile application development for 10 years. Here, we have an optimized pricing model for the following segments:

  • Basic level– the cost of a basic food ordering restaurant application ranges between $10,000 – $15,000. 
  • Medium level– the cost of food medium ordering restaurant application comes out to somewhere around $25,000 – $35,000.
  • Advanced level– the cost of a full-fledged food ordering application ranges from $40,000 onwards.

6. Extensively Read Their Process:

In-depth learning about their food ordering app development process may also be helpful. To get an overview to learn about which software development methodology they follow to timeline their delivery process. How do they keep a balance between development and operation teams? What are their software testing techniques, tools and criterion? Furthermore, you should also understand how they define user acceptance criteria and maintain momentum till the delivery process of your desired food app.

Final Thoughts

Food ordering giant companies like Grubhub, UberEats and DoorDash have taken the huge food delivery market share but there is still space to explore forthcoming challenges and deliver exceptional services. Parallel to these services you also have to uphold application development and maintenance costs in your mind. These expenses also rely on the food ordering application category whether you are proceeding to design an aggregator model-based or logistic support model-based application. Exhaustive market statistics and every single piece of information related to the food ordering app development cost are discussed above. 

Origami Studios has divided application development costs and material expenditures into numerous stacks depending on the features you want in your futuristic application. For example, if you’re planning to devolve a basic restaurant application(includes basic features) then it comes out to somewhere around $10,000 – $15,000. Or if you are preparing to design an advanced level application for your business or startup it will cost somewhere around $40,000.

These full-fledged applications are usable, scalable and robust to any mobile platform around the globe. To estimate the cost of food ordering app development or discuss your business plans with us, we always keep your business model secret and help you to grow your business. Book your online appointment now or contact us at (888) 405-8645.

Frequently Asked Questions

Is It Expensive To Develop A Food Delivery App?

An effective food delivery application cost depends upon different factors including features cost, labour or development team cost, platform-agnostic application development, and hiring renowned software agencies like Microsoft. Food applications that follow the aggregator model range somewhere around $10,000 - $15,00. While logistic support food applications development cost would come out to somewhere around $25,000 - $35,000.

Do restaurant apps and ordering apps are the same?

Restaurant and online food ordering apps are pretty similar but they work on different business models like logistic support and aggregator applications respectively. Restaurant applications are usually designed to target their local food delivery or logistic support. On the other hand, food ordering apps focus on delivering food online to customers from partner restaurants.

Who developed the uber eats app?

American mobility service provider uber technologies inc. launched uber eat in 2014. It follows the aggregator as well as the logistic support model to sell food delivery services by partner restaurants. The development cost for the food ordering app like uber eats is somewhere around $7000 - $18000.

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