The online grocery industry is at an exciting stage now. The global Covid-19 pandemic has digitized the entire retail industry. Nowadays, provision stores and supermarkets are boosting their sales by selling their products to customers via Instacart Clone. It is a well-known e-grocery platform that functions across 5500 cities in Canada and the USA.
What are some eye-catching stats of the Instacart phenomenon?
- The American app pocketed a whopping $1.5 billion in revenue in 2020. Overall, it has partnered with 55,000 retailers for sourcing products.
- Around 500,000 order fulfilment executives work round the clock for Instacart. These workers (full-time and part-time) ensure hassle-free contactless delivery and curbside pickup services for users.
- Instacart pocketed a huge 45% of online grocery sales in the USA in June 2021. It has a market share of 94% and 86% in San Francisco and Los Angeles respectively. This indicates a high level of dominance in the state of California.
- On average, the Instacart e-grocery platform earned $602 in sales per customer from April to June 2021. Importantly, it is more than Walmart’s sales of $565 per user in the second quarter this year.
- The next 4 years are bright for Instacart. It is predicted to earn a mind-boggling Gross Merchandise Value (GMV) of $27.33 billion by 2025. The American platform will surpass the sales of the Target e-commerce platform ($24.44 billion). It will grow its market share in the USA to 20%.
How is Instacart offering a budget-friendly shopping experience?
Instacart is providing same-day delivery of groceries for poor families belonging to the Supplemental Nutrition Assistance Program (SNAP). Currently, users will benefit from free home delivery and no pickup charges on their first 3 orders ($35+). Customers can process payments quickly via Electronic Benefits Transfer (EBT).
Both individuals and families earning very low income can purchase beverages and staple food products with ease. Generally, they can select any nearby local store or supermarket for processing their order.
Instacart has partnered with Woodman’s Market in states like Illinois and Wisconsin. It will deliver high-quality food products, garments, and housing essentials from 18 superstores to the registered members of SNAP.
The American online grocery platform received approval from the US Department of Agriculture (USDA) for signing the agreement with Woodman’s. Shoppers who possess the EBT SNAP card need not pay any delivery fees for their first 3 orders till September 16, 2021. Hence, Instacart has ensured a cost-effective e-grocery shopping experience.
Set the ball rolling now!
Above all, it is the right time for entrepreneurs to establish a customized Instacart clone app. They can become an integral part of the North American online grocery sector, which is worth multi-billion dollars.
Ambitious techpreneurs can seek assistance from a well-equipped app development company to create a modern admin dashboard, Android and iOS apps, and a web panel. Therefore, this will help in controlling the day-to-day operations efficiently.
How can an Instacart clone app help in automatic order fulfilment?
- Owners of an amazing app like Instacart can reduce their labour costs by deploying robots in warehouses. For instance, the American online grocery platform has partnered with Fabric, a software company.
- Instacart will use its advanced micro fulfilment solution and provide same-day delivery of groceries via robots. In particular, the storage centres can accumulate a capacity of 10,000 to 50,000 goods.
- Entrepreneurs can boost the operational efficiency of their business by digitizing tasks like the creation of invoices, inventory control, and product substitution.
- They can partner with both small and large warehouses to ensure the 24×7 availability of products in hypermarkets and supermarkets. This guarantees more customer satisfaction as they can purchase their preferred products in a hassle-free manner.
What is the lucrative business model of an app like Instacart?
Owners of a top-notch Instacart clone app will mint hefty revenue. They will pocket income by imposing a commission on retailers for each sale, gross merchandise value (GMV), Instacart Express monthly and yearly subscription plans, order cancellation fees, publishing of targeted advertisements, registration charges from new sellers, sale of gift cards, and transaction processing fees.
The majority of costs are incurred on disbursing commission and tips to the grocery delivery executives, implementing digital marketing campaigns, and offering coupons and discounts to users.
How much is the budget for Instacart Clone App Development?
Numerous factors play a role in determining the cost of creating an app like Instacart. Generally, a well-equipped app development company will split the budget into different phases.
The various stages are
- Analyzing the business goals and operational plans.
- Studying the competition in the industry and understanding the tactics followed by supermarkets.
- Creating the UI/UX design suitable for all age groups and sections of society.
- Developing the prototype of an Instacart clone app.
- Testing the functioning of the prototype in controlled conditions.
- Integrating all the required features in the front-end section.
- Setting up the operational server in the back-end.
- Analyzing the security and speed of an app like Instacart.
- Launching the Instacart clone app officially in the market.
Further, entrepreneurs can also utilize post-deployment services. They can avail solutions such as API integration, digital marketing, the inclusion of payment gateways, issuing software updates, maintenance of the mobile apps, removing security vulnerabilities, and technical assistance.
Above all, Instacart is taking lots of measures in its online grocery delivery business. This will help it to optimize its resources ahead of a big-bang Initial Public Offering (IPO) by the end of 2021.
Importantly, its constant upgradation in technology will give it a big edge against rivals like Amazon Fresh, DoorDash, FreshDirect, Shipt, Walmart. Further, it will focus on monetizing its digital advertising business. Moreover, thousands of brands selling Consumer Packaged Goods (CPG) are directly reaching out to customers via the Instacart Ads program.
Importantly, the Instacart platform will revolutionize the habit of grocery shopping. It will use robots to pick up products at a faster pace in warehouses. Similarly, the employees at fulfilment centres (FCs) will handle tasks like labelling and packaging. Hence, it will aim to balance between human resources and the usage of technology.
Therefore, entrepreneurs can step up their game in the e-grocery industry by initiating Instacart clone app development. Hence, they will experience a rapid surge in average order value, cash flow, daily active customers, and profits. Finally, contact a professional app development company and gain a huge advantage in the market soon.