How To Build A Grocery App Like Instacart

Corona is the first virus in the world that has hit every nook and corner of the universe. For the first time, people have experienced maximum sanitization, social distancing, and other hygiene conditions. The pandemic has brought gala differences in the lives of people and the way they were living before.

It has impacted different industries differently like- transportation industry’s ROI goes southwards due to lockdown, quarantine, and social distancing practices, and, on the flip side, the pandemic has popularized the online grocery delivery industry that results in record-breaking growth.

Let’s understand it with some figures and facts:

• The revenue from online food delivery uplifted by 17% from 2017 to 2018.

• The U.S. online grocery market generated sales worth about $28.68 billion in 2019.

• After the pandemic severely hit the USA regions, the grocery delivery app downloads increased in the range of 150%-200% from February month in 2020 onwards.

It was jaw-dropping growth that’s unimaginable.

Instacart app scored maximum popularity with 218% increase in downloads, followed by Walmart grocery with 160% increase, Shipt app with 124%, and Peapod, Inabuggy, and whole foods apps emerged at the top with a measurable increase in download rates.

In this blog, we will dig deeper into the Instacart success story that’s inspiring new entrepreneurs to build the Groceries Delivery App solution.

Let’s dive in!

The strategy that gives Instacart a boost where its competitors failed

• Three-tier strategy based on the no-inventory model

• Addition of unique features

• A successful partnership resulted in high profits

• Revenue model to monetize on what’s invested

Instacart uses five monetization strategies to earn revenue that are:

• Delivery fee

• Markup fee

• Service fee

• Membership fee

• Partner payments

• Price surge

How to build an Instacart like-on demand Grocery Delivery app solution for Canada?