While the Covid-19 pandemic destroyed the fortunes of many industries across the globe, the business of food delivery shined despite the numerous obstacles. Customers found it easy to order a variety of cuisines with just a few taps on their smartphones. It proved to be a viable alternative to visiting crowded hotels and restaurants.
What are some must-know facts about the phenomenal success of Uber Eats?
Uber Eats is one of the leading food delivery apps – in the world, with business operations in more than 45 countries across a whopping 6000 cities.
It earned a humongous revenue – of $5 billion in 2020. The American online platform continues to grow stronger after pocketing $1.7 billion in sales in the first 3 months of 2021 with an impressive growth rate of 28%.
Uber Eats is also planning to launch – its on-demand food delivery business in Germany soon. This will help the American company to compete against Just Eat Takeaway and Lieferando.
The total number of merchants on the online platform – has crossed 700,000, with a 76% growth rate in just one year.
The growth rates for Uber Eats – in Latin America, Asia-Pacific regions, Canada, and the USA in the first quarter of 2021 were 144%, 87%, and 179%, respectively.
Some useful tips for ambitious entrepreneurs to boost the business prospects of their UberEats like app are
Accept only digital payments – While cash is known for its ease of usage and high convenience, it is unsafe to handle coins and currency notes during the Covid-19 pandemic. Hence, aspiring entrepreneurs can introduce different types of digital payment options like Apple Pay, credit cards, debit cards, Freecharge, Google Pay, MobiKwik, net banking, PayPal, Paytm, and UPI for their customers.
They can also keep real-time track of all the revenue and expenses as there is no need to store cash safely anymore. Higher food orders can also be received by the entrepreneurs if they provide more coupons and discounts for users who utilize online payment methods.
Give more preference to Contactless delivery – The second wave of the pandemic has seen thousands of people die every day due to the rapid spread of the virus. Progressive entrepreneurs can safeguard their customers by offering contactless delivery options. They must train their vast fleet of delivery executives to provide no-touch order fulfillment services.
Priority food deliveries can also be introduced for Covid-19 positive patients and those people living in quarantine. This ensures that the social distancing norms are followed and a greater level of trust is achieved.
Introduce healthy dishes – The onslaught of the Covid-19 pandemic has made people focus more on their physical well-being. More customers are avoiding junk food due to the high concentration of fat, sodium, and sugar in it.
Entrepreneurs can add healthy meals on their Ubereats like app. They can include broccoli, fresh fruits and vegetables, masala milk, oats, salads, and yogurt to attract more people.
This encourages users to change their eating habits by not consuming junk food like burgers, fried items, grilled chicken, pasta, and pizzas regularly.
Make changes to the menu frequently – Customers want to take a break from their usual routine and try something new. Entrepreneurs must have separate menus for weekdays and weekends in their food ordering app like UberEats. They can impress users by offering special menus for different festival occasions. Tasty combos can also be sold at different prices to pocket extra income.
Indulge in aggressive digital marketing campaigns – Positive buzz can be maximized for the UberEats like app by the entrepreneur by implementing active promotional campaigns across several communication channels.
They must share newsletters to customers via email, post regularly on social media platforms like Facebook, Instagram, and Twitter, and publish targeted advertisements to get more clicks, impressions, and views.
Insightful information should be circulated far and wide about contactless delivery facilities, discounts, hygiene, and safety practices followed in the meal preparation areas and offers to enhance the overall brand image of the food delivery app like UberEats.
Analyzing the business model of a fantastic food delivery app like UberEats
The entrepreneurs can earn hefty revenue by imposing a cancellation fee from customers, a commission from restaurants for each order, delivery charges, Eats Pass monthly subscription plan, order processing fees, registration charges from the new delivery personnel, and transaction execution fees.
The major expenses will be on paying salaries (bonuses, commission, and tips) to the delivery executives and other employees, conducting massive digital marketing campaigns, and maintenance of the fleet of vehicles.
What are the new features introduced by a food ordering app like UberEats?
Customers can pick up their orders while they are traveling in an Uber taxi. They can also order from two different restaurants simultaneously. The users can tap the “Pickup and Go” option on the UberEats app to get their required dishes.
The UberEats platform has also allowed food lovers to order meals even when the restaurants are closed. They will receive their dishes immediately after the eateries open. Members of the Eat Pass monthly subscription plan can get double discounts on both their food orders and rides on Uber.
All the above-mentioned new features will help an app like Ubereats to boost its total revenue and enhance its cost-efficiency.
What are the expectations from the global food delivery industry in the future?
The global online food ordering and the delivery market will cross a humongous value of $126.91 billion in 2021 with an annual growth rate of 10.3%. It will further grow to a whopping $192.16 billion in 2025 with a yearly growth rate of 11%.
Factors like better internet connectivity, increased smartphone usage, and a rise in the disposable income of customers will propel the booming demand for online food delivery services provided by amazing apps like UberEats.