Table of Contents
There is never a sleek time to order a pizza. When hunger pangs – you ‘order’ it; when it is the weekend – you ‘order’ it; when it’s an office party – you ‘order’ it; when it’s your kid’s birthday – you ‘order’ it; when you have to party with your friends – you ‘order’ it;
Now, Foodtech giants like Zomato, Swiggy are not restricted to food delivery only. The food delivery battle is heating up, and here’s why this is a space to watch out for:
Zomato drew massive investor attention earlier in 2021, with a billion-dollar and IPO. It was a planned strategy as they effectively killed competition and acquisitions like UberEats, SpoonJoy, and TinyOwl. Swiggy (Swiggy Genie) raised $800 million this year – in a fresh round of funding.
Swiggy – Food technology giants like Swiggy follow the super app route with the ‘Customer First Approach’ like Gojek. These started with a hyperlocal food delivery model, delivering up to 20-30 Kilometers. They are now expanding this service vertically to offer goods and groceries via Instamart and Swiggy Genie. Instamart is built on Dark Stores Model and is a second attempt after Swiggy stores; As Swiggy is about to acquire Dunzo, if it falls through, maybe merging all their offerings into a Super Offering.
Zomato – FoodTech startups like Zomato originally started as restaurant delivery services, now into food delivery. It is now expanding horizontally and has become a full-stack foodservice player with its services like Hyper pure. They are going ‘Partner First’ – marking their entry into B2B space. Restaurants gain by outsourcing raw materials. Food delivery partners like Zomato control raw materials by placing the ‘Pure’ tag on these restaurants. It cuts dependency in the long run. They continue to make money through ad sales, Zomato Pro subscription, and delivery.
Talabat is a premier food delivery service in the Middle East, besides Uber Eats and Zomato UAE. It (1) brings exclusivity, (2) puts clear conditions to partner up with restaurants (only with those who do not offer their services across to other food delivery apps like Deliveroo or Uber Eats etc.). Apps like Talabat offer exclusive partnerships, on-demand restaurant listing, and organizes on-demand delivery partners to facilitate food delivery.
‘Key’ Resources
Key Activities
Value Propositions
Key Activities
Customer Relationships
Cost Structure
Key Partners
Customer Segments
Revenue Stream
Channels
Salient Points:
How does it help?
Talabat’s business model has steered it into an array of Qatar food ordering service industries. They primarily earn from three sources:
Also, Talabat does not exchange customer data.
They enable their customers to know about which restaurants are open. They tap their ability to have a consistent income stream by paying a restaurant premium (the restaurant’s priority listing). The higher the list, the higher is the cost the restaurant has to pay.
It lists on-demand restaurants, organizes on-demand delivery partners that deliver food items. Talabat’s business model focuses on the hyperlocal on-demand service of the food delivery sector. Their business model benefits restaurants as well. Talabat operates through its websites to make restaurants and small street vendors visible to the general public.
People who want to purchase items from eateries, groceries, gift shops, and flower shops form a strong basis of Talabat’s clients.
The User Panel
The Restaurant Panel
Suggested solutions for food delivery apps include:
Features | Time Taken | Average Cost |
---|---|---|
Technical documentation | 40 hours | $1000 – $2000 |
UI/UX | 60 hours | $1500 – $3000 |
Front-End and Back-End Development | 400 hours | $10000 – $20000 |
MVP Testing | 80 hours | $2000 – $4000 |
Polishing and Bug-Fixing | 40 hours | $1000 – $2000 |
InstaCart, BigBasket, FreshDirect, Weezy, and El Grocer etc.
The user interface, database, front-end, the back-end of the application.
It does not charge anything for the restaurant delivery services that it offer.
The margins from the food delivery aren’t enough to sustain, and hence, diversifying into new businesses is a need. While Zomato and Swiggy have ambitious plans, they also have challenges on the way. These include a high reliance on delivery staff which is emigrant workers, and scarce in a pandemic. They will gradually need to metamorphose into full-blown e-commerce players and witness competition (Amazon and Flipkart). All this, with a set of highly demanding and evolving customers. Create a potent food delivery app like Talabat UAE, reach out to us!
Manish Jain is the co-founder and Managing Director at Konstant Infosolutions. He is responsible for the overall operations of the company and has played a major role in bringing Konstant up from its humble beginnings and, with his immense energy and drive, transforming it into a globally trusted name in IT solutions.
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