Are you also overwhelmed with the popularity of grocery apps like Shipt and planning to develop one? If yes, then this blog is for you. Previously, online grocery delivery applications were only popular among young urban citizens. But, after the COVID-19 hit, things changed, and online grocery delivery apps gained a tremendous boom. Since then, the trend is continued, and the demand to create grocery apps like Shipt isn’t going to stop anytime soon.
As per research, online grocery shopping in the US is expected to grow by 20% at the end of this year, i.e., 2022. Also, the average annual spend per online grocery customer will increase from $856 to $1,5245. The figure isn’t surprising, as creating grocery shopping apps like Instacart isn’t challenging anymore.
Thanks to grocery delivery app development companies that are making it possible. Besides developing a grocery app, most businesses have one major concern, i.e., ‘How much does it cost to build an on-demand grocery delivery app like Shipt?’ Do you have the same concern? If yes, then you shouldn’t miss this blog.
What Is Shipt?
Shipt is an online grocery delivery app focused on food delivery app development that helps consumers to connect with local vendors and big brands like Walmart, Target, and more. The process of Shipt grocery app development delivers electronics, groceries, and other home products. Launched in 2014, the Shipt grocery delivery app serves 290+ cities.
Apps like Shipt operate by paying contractors to purchase, shop, and deliver groceries directly to the customers’ doorstep. The app also allows you to choose from a variety of grocery, pet, and other stores, and people can place orders via the grocery app or directly through the website.
How Do Apps Like Shipt Work?
Shipt offers the online shopping experience as any other grocery shopping app. The major difference between services like Shipt and other grocery delivery apps is – Shipt doesn’t have a large product inventory. The service provider sends a personal shopper to buy the products requested and then delivers the products to the doorstep. Here’s how Shipt works.
1. Select a local store they want to shop at.
2. Locate the items they want to buy, and add them to your cart.
3. Add payment information and checkout.
4. Choose a delivery window and a suitable delivery window.
5. The Shipt shopper purchases the items requested & deliver them.
This is how the online grocery delivery app works and makes it easier for people to get their essentials delivered in just a snap of their fingers.
Top Grocery Delivery Apps Like Shipt Ruling Today’s Market
Here is the list of the top 10 grocery delivery applications trending in the US market that have become popular among businesses. Each application has a different cost associated. So, it depends on which app you choose to develop your grocery delivery app.
Average Cost to Develop Online Grocery Delivery Apps Like Shipt
An estimated cost to create grocery apps like Shipt and Instacart would require approximately $65000 and more, depending on multiple factors. The final cost will be dependent on multiple factors.
For instance, let’s say – You spend $2000 on app documentation, $3000 on designing, and $2500 on the back end. So, this is how every stage of development contributes significantly to increasing and decreasing the cost to develop grocery delivery apps like Shipt. To offer you the cost estimation, we have prepared the table below that will let you the average grocery delivery app development cost.
| Development stage | Hours | Cost |
| Project Management | 160 to 200 | $7,200 – $9,000 |
| Discovery Stage & Analysis | 120+ | $5,400 + |
| UI/UX Design | 130 to 190 | $5,850 – $8,550 |
| iOS Development | 600 to 800 | $27,000 – $36,000 |
| Android Development | 616 to 800 | $27,720 – $36,000 |
| Backend Development | 480+ | $21,600 + |
| Admin Panel Development | 80+ | $3,600 + |
| Testing & Improving | 180 | $8,100 + |
| Total | 2,366 to 2,850 | $106,470 – $128,250 |
Grocery Delivery App Maintenance Services- An Ultimate Guide
Major Factors Impacting the Cost of Grocery Shopping Apps Like Shipt
Grocery delivery applications have been around for a while, and multiple business owners are stepping into the process of online grocery store development. But, only a few of them know the factors affecting the grocery app cost and end up falling short of budget. If you don’t want to be a part of such a situation, you must know the cost-affecting factors as highlighted below.
1. Development Type
It is a very basic feature that affects all types of the development process, from developing grocery shopping apps like Instacart to food delivery apps like Zomato. So, first, decide on the development approach you want to opt for to create a grocery delivery app.
| Grocery App Type | Grocery App Examples | Average Cost |
| Brand Grocery Delivery App | Walmart Grocery | $45,000 |
| Personal Shoppers | Instacart, Amazon Fresh | $60,000 |
| Grocery Delivery On-Demand | Uber Eats, Dumpling | $70,000 |
| Subscription-Based Delivery | Hungryroot | $40,000 |
If you want to develop a platform-specific app like Android or iOS, you can go for native app development. Other than this, if you want to target both platforms, cross-platform grocery app development would be the right choice for you.
2. UX/UI Design
Besides development, designing an online grocery delivery app is crucial. It helps to grab the users’ attention towards your online grocery shopping app while increasing business ROI and revenue. It is a very crucial factor that may either decrease or take your grocery delivery app budget higher. It completely depends on you.
If you have a basic budget, keep the grocery app design simple; rest, you can be creative with the design depending on your budget for grocery delivery app development.
3. Grocery App Features
While developing a grocery delivery app, the features you include are one of the major cost-deciding factors of the overall project budget. So, be careful while finalizing the features of grocery delivery apps like Shipt.
In case you are outsourcing to a leading firm, ask the professionals to insert the crucial features of grocery app development as per your budget. If you can afford more budget, go for the additional grocery app features.
4. Tech Stacks
Generally, businesses need to rely on third-party vendors to make their grocery applications fully serviceable. For instance, you might need a secure payment gateway like Stripe or PayPal to ensure smooth payment. Similarly, other technology stack are also required to make the grocery app productive and efficient. Right? This is where the cost of online grocery apps like Shipt increases a bit.
You must carefully pick the tech stack for your online grocery delivery app development project that ensures seamless performance without affecting your budget.
5. Developer’s Location
This is another major factor affecting the cost to develop a grocery shopping app like Instacart or Shipt. The grocery delivery app developers from different regions charge differently. For instance, the average rate to hire dedicated grocery developers in the US would be around $80 to $120/hour, which might vary when you hire developers from any other region. So, you need to be careful when you hire dedicated developers for grocery app development as it might leave a great impact on your project cost.
| Developer’s Location | Cost Per Hour | Average App Cost |
| USA | $150 | $200,000 |
| Europe | $90 | $130,000 |
| UK | $100 | $150,000 |
| Ukraine | $40 | $80,000 |
| India | $25 | $45,000 |
These five are the major factors affecting the cost to create a grocery delivery app like Shipt. Now that you are well-versed with each factor associated keep them in mind the next time you plan for online grocery delivery app development.
Revenue Model to Generate Profit From Grocery Delivery Apps Like Shipt
Besides cutting down things to maintain the grocery delivery app development budget, other ways might also help you. Wondering what? Focusing on the online grocery shopping app development model can help you generate more profit and sales from your business app. So, let’s discuss the revenue-generating factors you can insert while developing apps like Shipt.
1. Commission on Transactions
Including this model will enable business owners to charge the vendor or seller on every sale they make while using your online grocery delivery app like Instacart or Shipt. It is one of the best ways for the marketplace owner to earn on every sale.
2. Vendors’ Subscription
Also known as membership, this revenue model of Instacart and other apps like Shipt can bring in huge profits. It is one of the best ways to convince vendors to pay who aren’t comfortable with the commission model. Incorporating this model into your grocery shopping app will enable vendors to pay for a limited time they want to experience premium services.
3. Delivery Commission
This online grocery website development and app development model allows the owner to charge the buyer and the driver on purchase and delivery. Adding this revenue model help business owners generate income from each delivery.
4. Banner Ads & Promotion
Another great technique to generate profit from grocery mobile app development is allowing vendors to run personalized ads and schemes on the platform homepage. In return, the admin can charge the sellers from the campaigns running. Adding this revenue model will benefit the vendors associated with your grocery delivery app and you as well.
Benefits Of Developing Online Grocery Delivery App In 2022
5. Service Charges
Finally, the last yet smart revenue-generating model will earn you bucks from your online grocery app. It will ask the store partners to pay an additional service charge on each sale they make until they get an in-app subscription. So, enabling this model will ultimately encourage vendors or grocery store owners to purchase the membership plan to avoid service charges.
So, these five are the amazing revenue models you can add to your grocery apps like Shipt and make it a profit-driven business application. Now that you are well-versed with the things to add to your grocery store app go for it and get ready to double business profit in no time. It will keep your budget on track. Also, you can ask the grocery delivery app builder to add these modes if you are outsourcing your project.
Final Thoughts!
As you know, the demand for grocery delivery app development is increasing every day, and more businesses are looking forward to developing online grocery delivery apps like Shipt & Instacart within their budget. Right? So, in all of this hustle-bustle, it has become imperative for business owners to know the cost-affecting factors to craft a perfect grocery app without affecting the budget. So, we hope this blog is helpful enough for you, and now you can develop a perfect grocery app without burning a hole in your pocket.
Frequently Asked Questions
1. What Are the Popular Grocery Delivery Apps In the US?
Ample grocery shopping apps are available in the US and other countries ruling today’s market. Some of the popular grocery delivery apps are –
● Shipt
● Kroger
● Instacart
● Wallmart
● Postmates
2. What Is the Estimated Cost to Develop Grocery Delivery Apps Like Shipt?
Generally, grocery delivery app development costs depend on multiple factors and elements. Still, an average grocery app cost would be around $65000 and more, depending on the type of grocery delivery app developed. To get an exact cost estimation, you must share your project requirements with the grocery delivery app developer.
3. How Much Time Is Required to Develop an Online Grocery Delivery App?
Several factors affect the time to develop an online grocery delivery app. For instance, if you want to insert advanced features into your grocery shopping app, it will require more development time than a basic grocery delivery app. So, it is better to prepare documentation for the grocery app to get an estimation for both time and cost.
4. What Is the Process Of Grocery App Development?
Every business application has a streamlined and similar work process to other applications. So, the process to develop online grocery delivery apps like Shipt is –
● Requirement gathering & analysis
● UX/UI designing
● Preparing prototype
● App development
● Testing application
● Deployment
● Support & Maintenance
5. What Are the Benefits of Online Grocery Delivery Apps?
An online business has 2x more chances of generating higher revenue and sales than an offline business. Similarly, there are ample benefits of online grocery delivery apps for your business today and in the coming time as well.
● High ROI
● 24*7 business availability
● Cost-effective process
● Hassle-free payment
● Staff reduction
● Improved convenience
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