Cost to Develop a Food Delivery App like Glovo

Food delivery businesses have progressively increased in the last few years, assisting companies in augmenting operational efficiency by prioritizing customers. Behind the success of food delivery businesses, apps like Glovo play a significant role by executing strategic plans, targeting audiences effectively, and enhancing customer retention.

Building a food delivery app like Glovo is a strategic process requiring streamlined planning, development, and implementation. Businesses need to concentrate on holistic market research, comprehending SWOT analysis of their competitors, finalizing the tech stack, and much more. Typically, the cost to develop an app like Glovo ranges from $25,000 to $300,000. Factors like app features, technology stack, overall app complexity, etc., impact the overall development budget.

Europe’s increasingly urbanized population with busy lifestyles fuels the demand for convenient grocery and food delivery services. Apps like Glovo cater to this need by offering quick and hassle-free access to various restaurants and groceries, saving users time and effort.

As per a report by Statista, the online food delivery market in Europe is projected to achieve a revenue of $205.37 billion by the end of 2029, witnessing a CAGR of 9.49% from 2024-2029. Thus, now is the right time for businesses looking to dive into the market and achieve maximum ROI.

This blog post will assist you in grasping the importance of creating an app like Glovo, delving into cost estimation, key factors influencing expenses, and more. But first, let’s understand how apps like Glovo have become so prevalent worldwide, especially in the European region, elevating businesses to experience profitability.

Glovo: Redefining Convenience in Food Delivery

Glovo, founded in 2015 in Spain, has revolutionized the food delivery industry with its versatile, on-demand delivery service. Operating in numerous countries, including Spain, Italy, Ukraine, and Kenya, Glovo offers more than just food delivery. Users can order groceries, medicines, and courier services through its user-friendly app, available on Google Play Store and Apple App Store.

A standout feature of Glovo is its real-time tracking system, which enhances transparency and customer satisfaction. The app connects users with independent delivery agents, known as “Glovers,” ensuring quick and reliable service.

Glovo’s success is underscored by securing $1.2 billion in funding from 35 investors, reflecting strong investor confidence. This financial support allows Glovo to enhance its services and expand its reach continuously.

By offering a comprehensive platform for food, groceries, and courier services, Glovo has set a new standard for convenience, making it a top choice for users worldwide.

How Does Glovo Work?

Glovo operates seamlessly by integrating three key components: the User-Side, Restaurant-Side, and Rider Panel. 

• On the User, customers use the app or website to browse various services like food, groceries, and more, place orders, and track deliveries in real-time with secure in-app payments and the option to schedule deliveries. 

• The restaurant side involves restaurants receiving orders through a dedicated interface, preparing the requested items, and updating the status for pick-up. 

• The Rider Panel is designed for Glovers (couriers), who accept the orders, collect the items from restaurants or stores, and deliver them to the users using real-time navigation and tracking features to ensure efficient and timely deliveries. This streamlined process ensures a smooth and efficient delivery service for all parties involved.

How Much Does It Cost to Develop an App Like Glovo?

Developing an app like Glovo can range from $25,000 to $300,000. This wide range is due to app features, technology stack, design complexity, etc. 

Factors that Impact the Glovo App Development Cost

• Features and Functionality
  The features integrated into the app directly determine its capabilities and the range of services it can offer. Advanced features like in-app payments, chatbots, and real-time tracking significantly impact the development cost.
• Integration with Third-Party Services
  Integrating third-party services enhances user experience and app capabilities, saving time and money. The complexity and number of integrations influence the overall development cost.
• Technological Investment
  Investing in a competent technology stack is crucial for efficiency and delivering a top-notch product. The choice of technology affects the user experience and revenue potential, contributing to the development cost.
• Location of the Hired App Development Company
  The cost varies significantly based on the development company’s location due to differences in labor costs, operational expenses, and regulatory compliance across regions. Time zone differences and currency fluctuations also play a role.
• Maintenance and Support
  Regular maintenance is essential for optimizing app performance, addressing issues, and enhancing security. Maintenance costs are crucial for the app’s resilience against evolving cybersecurity threats.
• UI/UX Design
  A visually appealing interface and excellent user experience are vital. A well-designed UI and UX build strong user connections, impacting the overall development cost.

Here’s a Detailed Breakdown of The Estimated Costs

Note* The app development cost varies based on several factors, including the features and functionalities required, the chosen technology stack, design complexity, the geographic location of the development team, and the project timeline. Additionally, ongoing maintenance and regular updates are crucial for smooth operation and can significantly influence the overall cost.

Must-Have Features to Create an App Like Glovo

Creating an app like Glovo involves integrating various features to enhance the food delivery experience for users, restaurants, and riders. Here are the essential features for each panel:

1. User-Side Panel

• Registration and Profile Management
  A streamlined registration process requires users to provide essential details like name, address, and password. This feature enhances the onboarding experience and allows users to manage their profiles efficiently.
• Browse and Search
  Users can explore and filter through various restaurants, stores, and services, making it easy to find what they need quickly.
• Order Placement and Customization
  Users can place orders with options to customize their requests, such as adding special instructions or selecting preferred delivery times.
• Live Tracking
  Real-time tracking of deliveries lets users monitor their orders from preparation to delivery, enhancing transparency and trust.
• Multiple Payment Options
  Offers diverse payment methods, including credit/debit cards, mobile wallets, and cash on delivery, catering to different user preferences.
• Ratings and Reviews
  Users can rate their delivery experience and provide feedback, helping to maintain service quality and reliability.
• Push Notifications
  Instant updates on order status, special offers, and promotions keep users informed and engaged.
• Order History and Reorder
  Users can view past orders and easily reorder their favorites with just a few taps.
• Bookmark Option
  Allows users to save their favorite restaurants and stores for quick access when placing future orders.
• Promotions and Discounts
  Users can access exclusive deals and loyalty programs, encouraging repeated use and increasing user retention.
• In-App Support
  Easy access to customer support through in-app chat or helpline for resolving issues quickly.

2. Restaurant-Side Panel

• Partner Registration and Profile Management
  Restaurants and stores can sign up and manage their profiles, including business details, hours of operation, and contact information.
• Menu Management
  Easy tools for adding, updating, or removing menu items, including special offers and seasonal dishes.
• Order Management
  A comprehensive dashboard for managing incoming orders, updating status, and handling cancellations or modifications.
• Real-Time Order Tracking
  Allows restaurants to track the delivery process and ensure timely preparation and dispatch of orders.
• Sales Analytics and Reports
  Access to detailed reports on sales, customer preferences, and performance metrics to help optimize operations and strategies.
• Promotional Tools
  Features to create and manage discounts, special offers, and marketing campaigns directly from the dashboard.
• Communication Tools
  Facilitates smooth communication between restaurants, customers, and delivery personnel to resolve issues and ensure accurate deliveries.

3. Rider Panel

• Rider Registration and Profile Management
  A simple registration process for riders, including document verification and profile management.
• Order Assignment and Acceptance
  Real-time order assignment with the ability to accept or reject orders based on availability and proximity.
• Navigation and Route Optimization
  Integrated GPS and mapping tools for efficient route planning and navigation to ensure timely deliveries.
• Earnings and Payouts
  Transparent tracking of earnings with easy access to payout information and history.
• Order History and Insights
  Access to past delivery records, customer ratings, and performance metrics for self-assessment and improvement.
• Availability Management
  Riders can set their availability, manage their working hours, and receive notifications about new delivery opportunities.
• In-App Communication
  Tools for communicating with customers and restaurants to resolve issues and provide updates.
• Safety and Support Features
  Access to emergency contact options and support for handling incidents during deliveries.
• Performance Bonuses
  Incentive programs and performance bonuses to motivate riders and reward high performance.

Business Benefits of Building a Food Delivery App Like Glovo

Developing a food delivery app like Glovo offers numerous advantages for businesses. It not only enhances customer satisfaction but also drives growth and efficiency. Here are the key business benefits:

1. Increased Market Reach

A food delivery app allows businesses to reach a wider audience beyond their physical location. Customers can easily place orders from anywhere, expanding the market reach and attracting new customers.

2. Enhanced Customer Convenience

Businesses can significantly enhance customer convenience by providing a user-friendly platform for ordering food, groceries, and other essentials. Features like real-time tracking, multiple payment options, and easy order customization contribute to a seamless user experience.

3. Boosted Sales and Revenue

An app can boost sales by giving customers an easy way to order their favorite products. Promotions, discounts, and loyalty programs integrated into the app encourage frequent orders, thereby increasing revenue.

4. Improved Customer Engagement

With features like push notifications, in-app chat, and personalized offers, businesses can engage with customers more effectively. This increased engagement helps in building strong customer relationships and loyalty.

5. Streamlined Operations

A well-designed app can streamline business operations by automating order management, payment processing, and customer communication. This reduces manual efforts, minimizes errors, and improves overall efficiency.

6. Valuable Data Insights

The app can collect valuable customer preferences, order patterns, and feedback data. This data can be analyzed to gain insights into customer behavior, helping businesses make informed decisions and tailor their services to meet customer needs.

7. Competitive Advantage

Having a robust food delivery app can provide a significant competitive advantage. It positions the business as modern and customer-focused, making it more attractive compared to competitors who do not offer such conveniences.

8. Flexibility and Scalability

A food delivery app provides businesses with the flexibility to scale their operations. As the customer base grows, the app can easily accommodate increased order volumes and expand services to new regions.

9. Marketing Opportunities

The app is a direct marketing channel allowing businesses to promote new products, special deals, and events. Targeted marketing campaigns can be executed through the app, reaching customers more effectively.

10. Cost Efficiency

Although developing an app involves an initial investment, it can lead to long-term cost savings. Businesses can lower operational costs and improve profitability by automating various processes and reducing the need for physical storefronts.

A Step-by-Step Process to Make a Food Delivery App Like Glovo

Now you know the benefits of a food delivery app like Glovo, and you can create an app like Glovo with a step-by-step Glovo-like app development process. 

Step 1: Market Research

Market research is crucial and involves understanding potential users’ needs, preferences, and demands. Businesses should prioritize user preferences, explore industry trends, and conduct thorough competitor analysis. This helps build an app that stands out from the competition and meets market demands.

Step 2: Define Features and Functionality

Selecting the right features is foundational to building a successful app. Focus on features that simplify ordering, enhance user experience, and foster customer connections. Key features include real-time tracking, multiple payment options, user profiles, ratings and reviews, and push notifications.

Step 3: Choose the Right Tech Stack

Selecting the most suitable technology stack is essential for productivity and effectiveness. Make informed decisions about frontend and backend technologies, database systems, and third-party API integrations. The tech stack forms the backbone of your app’s functionality, ensuring a robust and scalable architecture.

Step 4: Design and Development

The development phase includes creating secure user authentication, efficient order management systems, and a solid database for high-traffic volumes. A well-designed user interface with pleasing aesthetics, intuitive navigation, and a seamless user experience is crucial. Following a structured development process helps in reducing costs and ensuring quality.

Step 5: Testing

Testing is critical to ensure the app’s functionality, performance, and security. Rigorous testing processes, including unit testing, integration testing, and user acceptance testing, help identify and fix bugs. This ensures a smooth and reliable user experience.

Step 6: Launch and Marketing

Launching the app requires a strategic marketing campaign to create awareness and excitement. Utilize social media, strategic partnerships, and promotional tactics to enhance the app launch. The app will be released on major platforms like Google Play and Apple App Store. A well-planned launch strategy ensures a successful entry into the competitive market and captures the attention of your target audience.

Challenges in Developing a Glovo-Like App and Their Potential Solutions by EmizenTech

Glovo has become a popular choice among people because of its hassle-free delivery services. But building an app like Glovo can be challenging, and with us, we can provide you with potential solutions. Take a look. 

1. User Experience (UX) and User Interface (UI) Design

Challenge:

Creating an intuitive and appealing UX/UI design is crucial for a delivery app like Glovo. Users must navigate the app easily, find their desired items quickly, and complete orders without confusion or frustration. Ensuring a seamless user experience across various devices and screen sizes adds complexity.

Solution:

At EmizenTech, we begin with comprehensive user research to understand our target audience’s needs and pain points. We use advanced wireframing and prototyping tools to design multiple interface versions, which we then test extensively with real users. Our iterative design process ensures continuous improvement based on user feedback. We also employ responsive design principles to ensure a consistent experience across all devices.

2. Real-Time Tracking and Updates

Challenge:

Implementing real-time tracking for deliveries and providing timely updates to users can be technically demanding. It requires robust backend systems and integration with GPS and mapping services to offer accurate location data and ETA.

Solution:

We leverage scalable cloud services and APIs for real-time tracking and updates. Using reliable mapping services like Google Maps or Mapbox, we integrate these into our app to provide precise location data. Our backend infrastructure is designed to handle high volumes of data and requests, utilizing microservices architecture and load-balancing techniques to ensure smooth performance.

3. Scalability and Performance

Challenge:

As the user base grows, the app must handle increased traffic and data without compromising performance. Ensuring scalability and maintaining fast, reliable service is a significant challenge, particularly during peak times.

Solution:

We implement scalable cloud infrastructure from the outset, using services like AWS, Google Cloud, or Azure. Our solutions include load balancers, auto-scaling groups, and distributed databases to manage increasing loads efficiently. Regular performance monitoring and stress testing help us identify and address potential bottlenecks, ensuring seamless scalability.

4. Payment Integration

Challenge:

Securely integrating multiple payment gateways and ensuring smooth transactions are critical to user trust and satisfaction. It involves handling sensitive financial data and complying with various regulations.

Solution:

We partner with reputable payment gateway providers such as Stripe, PayPal, or Adyen, ensuring robust security features are in place. Our implementation includes encryption and tokenization for payment data, ensuring compliance with relevant standards and regulations like PCI DSS. Regular security audits and system updates help us stay ahead of potential threats.

5. Logistics and Delivery Management

Challenge:

Coordinating deliveries, managing couriers, and optimizing routes can be complex as the service area expands. Ensuring timely deliveries while minimizing costs is a continuous challenge.

Solution:

We implement advanced algorithms for route optimization and delivery scheduling. Our use of machine learning helps predict demand and adjust resources accordingly. We provide couriers with a dedicated app for efficiently managing their tasks and routes. Continuous analysis of delivery data allows us to improve efficiency and reduce costs over time.

6. Customer Support

Challenge:

Providing efficient and responsive customer support is essential for maintaining user satisfaction. Handling a high volume of inquiries and resolving issues promptly can be challenging.

Solution:

We deploy AI-powered chatbots to handle common inquiries and provide instant responses, enhancing user experience. A robust ticketing system tracks and manages customer issues, resolving them promptly. Our dedicated support team is well-trained and equipped with the tools and information to handle complex cases efficiently.

7. Regulatory Compliance

Challenge:

Navigating the regulatory landscape can be complex, mainly when operating in multiple regions with different laws and regulations regarding data privacy, labor laws, and delivery operations.

Solution:

We stay informed about relevant regulations in all operational regions, consulting with legal experts to ensure compliance. Our robust data privacy and security measures ensure adherence to regulations like GDPR. Regular reviews and updates of our compliance practices ensure we promptly adapt to any legal landscape changes.

8. Market Competition

Challenge:

The market for delivery apps is highly competitive, with established players like Uber Eats, DoorDash, and Postmates. Differentiating your app and gaining market share can be challenging.

Solution:

We identify and focus on unique value propositions that set our app apart from competitors. Our targeted marketing strategies effectively reach the desired audience. We offer promotions, discounts, and loyalty programs to attract and retain users, continually innovating and improving our service based on user feedback and market trends.

Technologies Required to Develop an App Like Glovo

Deciding carefully on the right tech stack is vital for app development. The right tech stack is responsible for delivering competitive products and revenue for the business. 

Here is a tech stack to help you build food delivery apps like Glovo.

How Does an App Like Glovo Make Money?

Like any other food delivery app available in the market, the process they follow to monetize their app is similar. The only difference is in the fee structure of this app; you better understand it by looking at the following ways. 

1. Delivery Fees: Glovo charges customers a fee for each order placed through the app. The amount can vary based on distance, order size, and time of day.
2. Service Fees: Besides delivery fees, Glovo may charge a service fee, a percentage of the total order value.
3. Commissions from Partners: Glovo partners with restaurants, grocery stores, and other businesses. These partners pay Glovo a commission for each order placed through the app. The commission rate can vary depending on the agreement but is typically a percentage of the order value.
4. Subscription Plans: Glovo offers subscription plans like Glovo Prime, where users pay a monthly or yearly fee for benefits such as free or discounted delivery on all orders.
5. Advertising and Promotions: Glovo provides advertising opportunities for businesses within the app. Restaurants and stores can pay to promote or promote their listings more prominently, increasing user visibility.
6. Delivery Partnerships: Glovo might enter into strategic partnerships with specific brands or companies to provide exclusive delivery services, earning additional revenue from these partnerships.
7. Corporate Solutions: Glovo offers business solutions where companies can use Glovo to deliver goods to customers or employees. This includes catering, office supplies, and other corporate needs.
8. In-App Purchases and Add-Ons: Glovo can generate revenue through in-app purchases and add-ons, such as tips for delivery drivers, special packaging, or additional services like gift wrapping.

Top 5 Alternatives to Glovo for Food Delivery

The food delivery market is competitive, but there is always room for products that provide better services than the existing ones. So, if you plan to build a food delivery app like Glovo, look at the popular one ruling the industry. 

1. Uber Eats

Flexibility for drivers and users. Uber Eats allows deliveries via car, scooter, bike, or foot in some areas. Drivers can choose their hours and get paid instantly through the app.

2. DoorDash

Extensive delivery options and driver incentives. DoorDash offers food and grocery deliveries and provides incentives like Peak Pay and Challenges to motivate drivers.

3. Instacart

Comprehensive grocery delivery. Instacart allows users to order groceries and other household items, offering both full-service shopping and in-store shopper options.

4. Deliveroo

Premium restaurant partnerships. Deliveroo focuses on delivering food from high-end and local favorite restaurants, ensuring a quality dining experience at home.

5. Just Eat

Large restaurant network. Just Eat boasts a vast network of restaurants, providing various cuisines and dining options for customers across many regions.

Our Expertise in Food Delivery App Development

We specialize in developing top-notch food delivery apps that cater to diverse market needs. Our portfolio showcases a range of successful applications designed to enhance user experience and streamline the food delivery process.

1. MYK

MYK is a versatile food and grocery shopping app that effortlessly allows users to find and buy groceries online. It features an easy exchange and refund process, ensuring a seamless shopping experience.

• iOS
• Android

2. RichaBrothers

RichaBrothers is a digital FMCG market offering supply consistency, access to various brands, and better margins, simplifying the business operations for its users.

• iOS
• Android

3. ASA Supplier Marketplace

ASA Supplier Marketplace connects suppliers with consumers, providing fresh food and grocery deliveries with easy filtering options by brands or products.

• Android

4. Chomp HK

Chomp HK supports local businesses by offering discounted food ordering, reducing food wastage, and becoming a perfect food rescuer.

• iOS
• Android

5. ChowNow

ChowNow is designed for independent restaurants to facilitate ordering and commission-free delivery, maximizing profits through local takeout, curbside pickup, and delivery options.

• iOS
• Android

6. FreshGoGo

FreshGoGo is an Asian grocery and food app that simplifies the shopping and delivery of Asian groceries and food, offering fresh vegetables, seafood, dry goods, and more.

• iOS
• Android

Get Into the Food Delivery Business with EmizenTech

Looking to build a top-notch food delivery app like Glovo? EmizenTech is here to help! Our expert team provides end-to-end app development services, creating user-friendly, feature-rich apps tailored to your business needs. With intuitive design, seamless integration, and robust backend support, we ensure your app stands out in the competitive market.

Why Choose EmizenTech?

• Customizable Features: Tailor your app with real-time tracking, multiple payment options, and more.
• User-Centric Design: Ensure a seamless and delightful user experience.
• Robust Backend: Handle high traffic with a scalable and secure backend.
• Ongoing Support: Benefit from continuous maintenance and updates.

Transform your food delivery business with EmizenTech.

Conclusion

Developing a food delivery app like Glovo is a strategic investment that can significantly enhance operational efficiency and customer satisfaction. The rising demand for convenient services in urbanized regions, mainly Europe, is the perfect time for businesses to enter the market.

The cost to develop an app like Glovo ranges from $25,000 to $300,000, influenced by factors such as app features, design complexity, and the location of the development team. Essential features include real-time tracking, multiple payment options, and user-friendly interfaces, with ongoing maintenance crucial for optimal performance.

EmizenTech offers comprehensive food delivery app development solutions tailored to business needs. With customizable features, user-centric design, robust backend support, and continuous maintenance, EmizenTech ensures your app excels in the competitive market.

By following the discussed strategies and leveraging EmizenTech’s expertise, businesses can successfully develop a top-notch food delivery app, driving growth and profitability.

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