How to Start a 10 minute Grocery Delivery Business like Zepto?

How to Start a 10 minute Grocery Delivery Business like Zepto

Today, speed and efficiency in service delivery are seen as imperative across all spheres of life. A strong testimony to this reality is the establishment of 10-minute grocery delivery firms such as Zepto. Such businesses thrive in providing convenience and speed in everyday chores.

These new-age delivery services are bringing a total paradigm shift in the grocery trade by delivering much-needed essentials within minutes to customers’ doors. Starting a 10-minute grocery delivery service requires strategic approaches with cutting-edge technology, effective logistics, and an extensive understanding of consumer behaviour.

In this guide, you will find all the steps and considerations for starting a successful rapid grocery delivery service, meeting the high demands of modern consumers.

What’s the 10-minute delivery business model for grocery businesses?

In the 10-minute journey through Q-commerce, small grocery stores have set up several dark stores and mini-warehouses throughout India. All these dark stores are set up to be located in neighbourhoods but are not open to the public and allow people to order online. This allows for more reliable deliveries configured for fast requirements, cool rooms, easy transit, and quicker order fulfilment. The stores have mesh optimization with geographic location data intelligence, last-mile operations, weather conditions, traffic dynamics, and road patterns that must make this concept feasible in 10 minutes.

Mobile apps are changing the way restaurants function so actively in today’s world. With instant service becoming the culture and mobile technology providing the means to reach out conveniently, almost everything now is at the tip of one’s finger with respect to mobile apps, especially for food businesses, which transform into yielding businesses. After the first introduction towards this new business model by Zepto and Grofers, the entrepreneurs are now up with new business ventures. The latest trend in the market requires many new-age startups to reach top mobile app development companies to convert their ideas on instant delivery in 10 minutes (at times called as super quick commerce or Q-commerce) into apps meeting current market and consumer demands.

Supermarkets or retailers operate a super inventory model for groceries from their dark stores or nearby micro warehouses. The dark store model benefits the 10-minute delivery startups compared to the traditional marketplace model. Founders of Zepto have jumped into the business of quick commerce for almost immediate delivery of daily groceries to consumers. They ventured into this business after observing good global competitors, including Turkey’s Getir and Berlin’s Gorillas, regarding how they not only passed the pandemic but also boomed afterwards.

For the founder of Zepto, grocery delivery has been growing at an annual rate of 200%, and 10-minute grocery delivery currently promises very encouraging future prospects. Any neighbourhood grocery store can act as a dark store. These very small warehouses still continue to supply retail and FMCG in India. Historically, The dark store was a retail model, but electronics has not yet travelled that path (Q-commerce). Unveiling this 10-minute delivery business model will then show what is onboard to create a 10-minute grocery delivery app for consumers who want their deliveries faster.

Every 10-minute grocery delivery business model canvas looks altogether different diverse users and buyers and shows revenues and costs in great detail. Quick commerce delivery waded through delivery time schedules: From 38-2 days down to same-day delivery and, last but not least, to this quick or 10-minute instant delivery. Such instant delivery is fast becoming a fad. Now, by the speciality that such Q-commerce delivery mobile applications offer, an equally well-known brand of apps like Zepto (Swiggy, Grofers, etc.) are using the same well-christened 10-minute delivery business model and is marking yet another milestone in completing grocery shopping with a maximum hassle-free approach. There is a greater probability that more startup firms will pump even more into extremely speedy delivery apps in the future. Different apps today claim delivery ranges from 10 to 15 minutes, but all have different delivery times.

This is a perfect example of how technology and efficient logistics can serve the high demands of today’s consumers in terms of convenience and speed: grocery shopping.

What’s the 10-minute online delivery concept?

This delivery model was previously a lifeline for small and medium-sized businesses, but it has since metamorphosed into a 10-minute delivery model from which they can now thrive. The 10-minute delivery online model is gradually trending with grocers, as increasing numbers have found it worth adopting because customers have embraced it.

The entire granule around which the 10-minute concept of grocery delivery revolves is delivering groceries to a customer’s home within 10 minutes of placing an order through last-mile delivery. All sorts of efforts are being put in place by the grocers to keep this promise irrespective of traffic and weather conditions. 10-minute grocery delivery app development falls under the Q-commerce model, which has been very effective in tier 1 cities. Still, plausible logistics, safety, and quality solutions must be found to move this model to metro cities.

Examples of companies that have taken advantage of this model and thus adopted the 10-minute delivery solution are Zepto, Blinkit, and others. It has rendered this model not only feasible but also raised the bar for grocery delivery in the world.

Steps to Start a 10-Minute Grocery Delivery App Business

Step 1: Identify Your Target Audience

The research shows that this defines who your potential prospects might be across demographics, preferences, and pain points regarding their usage behaviours.

Choose whether you’re targeting urbanites, busy professionals, families, or others.

Step 2: Assessing Market Demand

The study presents market trends and demand for quick grocery delivery services.

Identify competitor companies and analyze their competitive strengths and weaknesses.

Gather the expectations and needs of customers in surveys, focus groups, and market reports.

Step 3: Define a Distinctive Value Proposition

Clearly state what makes your business different from others on the same line. 

Bring out unique features, exceptional service, and all other advantages that could be possible for customers.

The value proposition provides answers to pain problems with the particular audience.

Step 4: Develop a Business Plan

Elaborate a comprehensive business plan highlighting your objectives, financial projections, and operational plans. 

Include market analysis, revenue model, marketing strategy, and growth strategies. 

Ensure that your business plan is flexible to accommodate all the market’s changes and challenges.

Step 5: Build a Skilled Development Team

Recruit trustworthy program developers, graphic designers, and project managers who are experienced in scope works.

Look for skilled developers, designers, and project managers specializing in mobile applications, transportation systems, and user experience design.

Encourage collaborative spirit and open communication in the group.

ALSO READ: How Much Does It Cost To Build a Grocery Delivery App

Step 6: Design an Accessible Front End

Create a user-friendly and smooth user experience.

Create a good-looking interface with easy navigation and quick access to essential features.

Ask the users to test and respond, then add any relevant alterations found effective.

Step 7: Implement Essential Features

The key features are user registration, product browsing, ordering products, payment gateways, real-time tracking, and customer support. 

Additional advanced features could include AI-based recommendations, options for contactless delivery, and loyalty programs. 

Make sure they all work in harmony with each other to achieve a smooth user experience.

Step 8: Ensure Efficient Logistics

Establish dark stores or mini-warehouses in targeted proximity to the sites of interest. 

Streamline inventory control for quick order fulfilment. 

Put a fleet of delivery agents in place and equip them with real-time tracking and route planning systems.

Step 9: Testing and Iterating

Test the entire functionality, performance, and security of the application.

Beta-test the application with a test group for issues and user feedback. 

Iterate and improve based on tests for a reliable and user-friendly app.

Step 10: Launch and Promote

Distribute the application to all the relevant application stores, complying with all their rules and ensuring you have covered everything.

Promote the application through digital marketing strategies, social media, influencers, and advertising campaigns. 

Attract initial users with attractive launch promotions or discounts.

Step 11: Monitor Performance and Adapt

Track continuously the performance flows of the app, user responses, and analytics.

Update frequently with a cure for bugs, new features, and user experience improvement.

Be adaptive to marketplace trends and customer needs; align and adapt your strategies as necessary with broader principles.

Build a 10-minute grocery delivery business app with a difference.

An effective, quick, 10-minute eCommerce application powered by artificial intelligence will help create a strong web of super optimization. Close to being geospatial and geo-intelligent data, such an application for a 10-minute delivery mobile could also calculate traffic, optimize routes, understand demography, and dynamically manage all delivery types. Are you prepared for a big disruption in the universe of 10-minute grocery delivery apps? What are some things to pay attention to the most?

1) Adding Value to Your Services

Beyond Quick Delivery: Think of other value additions to the service offerings. For instance, eco-friendly packaging, tie-ups with local farmers, or special offers or discounts for loyal customers.

Customer Experience: Through excellent customer services and personalized recommendations, keeping customers engaged through loyalty programs adds to the user’s overall experience.

2) Embracing Innovation

Technology Advancements: Get updated with the latest trends that keep the grocery delivery industry thriving. Consider using AI to develop predictive ordering and install IoT gadgets to make inventory management more efficient, among other ranting technologies.

Constant Innovation: Updating the app regularly for new features and improvements based on user feedback or technological advancements will help keep your app ahead of time regarding consummating customer expectations.

3) Ensuring Seamless Execution

Effective Logistics: Invest in efficient logistics so that all operations can be carried out flawlessly in the delivery process. Be it delivery routing or carrying out inventory management and ensuring timely delivery.

Affordable Customer Support: Affordable customer support to handle all issues that may arise concerning a flawless user experience.

4) Continual Improvement

User feedback: Continuously collect user feedback and modify the application continually. Always remain open to consumers and markets so you will be entitled to long-lasting success in your 10-minute grocery delivery app business.

Market Adaptability: Adjusting to market fluctuations and consumers and being agile and innovative, incorporating these would maintain your front or edge in today’s rapidly changing market.

How much does it Cost to develop a 10-minute grocery delivery app?

The cost of developing a 10-minute grocery delivery app varies mainly depending on factors such as the complexity involved in its features, the rate charged by the app development team, and geographical locations. Here are cost estimates for such an app:

Standard Application: The ordinary grocery delivery software application that takes about 10 minutes may cost between $10,000 and $40,000.

Advanced Application: An advanced feature-rich application loaded with innovative features such as AI-based recommendation, real-time tracking, and seamless logistics will cost you between $30,000 and $60,000.

The above-listed figures are rough estimates, and the actual cost may differ. It is ideal for querying to have prepared project specifications for much more accurate costing by a dev team.

How is the Zepto Grocery Delivery Business Model made?

Dark stores have always been common in Indian content, although the model has yet to be explored fully. Presently, most delivery platforms have expanded to dark store grocery delivery since it’s more reliable.

A dark store is regarded as a small warehouse that is near a neighbourhood. Consumers cannot enter the area directly; they can only order the stuff online for home delivery.

Zepto has entered the zone of potential competition with a few of the biggest delivery companies vying for some sort of action.

Some top similar Grocery Delivery Businesses like Zepto, such as Swiggy, Grover, and Dunzo, promise the customers to deliver the groceries within 15-30 minutes. Now, Zepto has stepped into this competition, where it promises to deliver groceries within 10 minutes.

Why Your Grocery Store Needs a Grocery Delivery App?

How is Zepto different from other delivery apps?

The founder of Zepto, Palicha, claims that the app network is far better optimized with the help of geospatial data and location intelligence. It includes factors such as traffic dynamics, geography, weather, road patterns, demography, real estate prices, and last-mile supply.

The popular 10-minute grocery delivery businesses like  Zepto’s cold rooms and dark stores have been designed in a custom manner to meet the requirements for easy navigation, allowing packers to move rapidly to pack the items in a particular order.

The packers use tablets to know where each item is kept and to get an optimal route for picking them up. The deadline for this app is 10 minutes for deliveries, but the time of the actual delivery might vary from one customer to another.

Moreover, a custom ETA is given to each customer, which is one of the ways the company manages to keep their customers satisfied by knowing about their requirements. Accordingly, meeting the delivery time.

Most of the orders are fulfilled within 10 minutes. Very rarely does one per cent of orders take more than 10 minutes to deliver.

How does the 10-minute grocery delivery app work?

The grocery delivery 10-minute application works so well that it has a nice synchronized system with ultra-fast delivery times. Here is how it works:

1. User Registration and Profile Creation

Sign-Up: Users register themselves on the app using their email, phone number, or social account.

Profile Setup: Create a profile with important information like the name, address, and method of choice payment.

2. Browse Products

Product Listing: Citizens browse innumerable products categorized under titles like fresh produce, dairy, snacks, household essentials, etc. 

Search and Filters: The application contains options for searching and filtering to help users view the required items quickly.

3. Place Order

Select Product: Add desired items in a shopping cart with a specified quantity and special instructions virtually.

Review and Checkout: Scrutinize the cart, apply discounts and/or promotional codes, and proceed to checkout.

4. Payment

Multiple Payment Options: Payment methods are available in several options, including credit or debit cards, online wallets, and cash on delivery.

Secure Transactions: The application provides a secure payment method for users using encrypted gateways.

5. Order Confirmation

Order Processing: Once the order is placed, the application sends a confirmation to the user and the nearest dark store or mini-warehouse.

Preparation: The staff combines selected items in the store and packs them for final delivery in a very short amount of time.

6. Delivery Agent Assignment 

Real-Time Matching: The app instantly assigns the available nearest delivery agent to the order in real-time data.

Driver Details: The information includes the name and contact numbers of the delivery agent assigned to the order regarding providing information on the assigned delivery agent.

7. Delivery Logistics

Optimized Routing: The application applies geo-intelligence and traffic data information to determine the best delivery route.

Rapid dispatch: The delivery agent collects the order and takes the best route toward the customer’s location.

8. Real-Time Tracking

Live Updates: Users can view the real-time status of their order from preparation to delivery using this feature available in-app.

Notifications: The application gives notifications during major key moments, for example, when the order goes out for delivery and when the order is about to be delivered.

9. Order Delivery

Contactless Option: This is a safe option because the agent leaves the orders directly on customers’ doorstep.

Confirmation: The agent updates the delivery status, confirming the customer with this information.

10. Feedback and Rating

Customer Feedback: Users can give feedback and rate their experience after receiving their order through the app and delivery service.

Continuous Improvement: Such feedback will ensure the business improves services and upholds high-level customer satisfaction.

How Does Zepto Function?

One of the other essential factors is having a huge amount of delivery riders ready.

The company uses contractors or gig worker partners like Zomato or Swiggy for deliveries.

The riders are allocated based on the orders, data trends, and predictive analysis. The company’s AI-powered tools help keep inventory levels at the highest level by allocating drivers properly.

According to the founder, the demand curve of the app is more or less flat the entire day for orders. There are barely any peaks or troughs like in food delivery for seeing a rush during the typical breakfast, lunch, or dinner time.

This helps the company to not only allocate riders but also track patterns. The company constitutes operations planning processes and extensive sales for forecasting the hour when the demand is often high, and that’s how further planning is executed.

Conclusion

Mumbai has been recognized as one of the largest cities in terms of customer base and revenue distribution for starting the grocery startup.

This explains the quick expansion of dark stores in such metropolitan cities. With the help of such dark stores, the delivery companies could keep a check on the inventory and also get in-depth insights about the different categories of products along with the individual brands that are preferred most by the consumers.

Zepto adopts such practices to speculate consumers’ and individual brands’ demands and needs.

About Author

Ashish Sudra

Ashish Sudra is the Founder and Chief Executive Officer (CEO) at iCoderz Solutions. He has over 15 years of experience in the information technology and services industry. He is skilled in Digital Marketing, ASO, User Experience and SaaS Product Consulting. He is an expert Business Consultant helping startups and SMEs with Food and Restaurant Delivery Solutions.

Leave a Reply
Related Posts