With almost 3/4th of the world confined within their homes, there has been discord in between the demand vs. supply. The first half faced excessive demand vs. inaccurate supplies followed by excessive supply vs. inaccurate demand in the latter half. The on-demand grocery delivery has been gripping along with the on-demand food ordering; people have retained their trust in food catering services as companies follow hygienic standards from food preparation to contactless delivery.
As with every on-demand delivery app, there are advantages and disadvantages attached to some delivery groceries from one specific store or a range of different stores in the neighbourhood. The range of services and items that grocery delivery service apps deliver goes beyond health foods, dairy, fresh grocery, basic grocery topped up with 24/7 with zero Instacart delivery fee, making something for everyone.
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Headquartered in the San Francisco Bay area, Instacart is one of the biggest top on-demand grocery delivery apps available currently. It started in 2012 as a grocery and home essential fast on-demand delivery service. They provide groceries to anyone with a credit card and a valid email address. Instacart currently delivers in 40 states and Instacart delivery charges are fixed at $3.99 with orders of $10 or more. All orders with Instacart Express Subscription are free. Instacart allows the convenience to order from the local grocery store of their choice like Costco, Safeway, Sam’s Club and more like these.
The shopper (the person assigned to pick groceries on your behalf) contacts the customer (who places the order) in case the preferred item is out of stock and a substitute for that item is available. E.g.: If coriander leaves are not available, then celery can be picked instead. Customers also get live updates during the entire shopping process.
(Reference: https://www.instacart.com)
Getting started with Instacart is easy with a simple registration process.
It is a 3 step process:
(Image source: https://www.instacart.com/help/section/360007797952)
Instacart works with some participating stores like Albertsons, Aldi, Costco, CVS, Kroger, Loblaw, Publix, Sam’s Club, Sprouts and Wegmans, Meijer, Target, Sprouts Farmers Market, King Soopers, BJ’s Wholesale, Safeway and many more local/regional stores were available to choose from when you place your order. To check which stores are in partnership with Instacart, you got to enter your location on the Instacart app or website. You will be redirected to buy from the store of your choice, and only one store can be checked for one order.
Instacart delivery cost is zero and you are not required to purchase a membership. Instacart membership fee comes in form of Instacart express delivery which is completely optional.
They charge a typical delivery fee of $3.99 per order.
It may hike based on your location and demand at that particular time. The stores aligned in partnership with Instacart may often set their pricing; what might cost $50 at the store might cost $57.50 through Instacart (before the added fees); you may always check Instacart’s Pricing Policy for clarity.
There may be an extra service fee for delivery orders.
The Instacart delivery fee/service fee is capped at 5% (minimum of $2) for non-alcoholic items. It is completely optional to add a tip to the delivery agent. But the default tip is 5% of the order (which can be adjusted during the checkout process). All this totals up to $5.99 more than going to store yourself.
Instacart Express Pricing comes at an annual membership of $99 and is billed annually. A monthly plan costs $9.99/month.
Key Partners For Customers – Financial partners and local stores | Value Proposition For Customers – Delivery within 2 hours, it is one of the best ways to shop groceries, delivers even in unpleasant weather For Shoppers – They get to explore the city, meet people, improve contacts, flexibility in working schedule For Stores – Increase in the number of customers, increase in sales | Customer Segments For Users – It is for users who want groceries at their doorstep, it is for customers who do not own a vehicle, it is for people who do not have time to go to the store, and it is convenient for elders. For Shoppers – It caters to people with smartphone and car, people who have no concerns to go ahead to the store to shop, it is suitable for those who can work as a freelance shopper For Stores – It is for the stores who want to improve their sales, it is for the stores who want to increase their audience |
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Key Activities Building technological, managing local markets, customer service, managing shoppers | ||
Customer Relationships Social Media, Customer Service | Channels Instacart has skilled drivers and it is a technologically strong platform |
Walmart partnered with Instacart which immediately strengthened its reach. This move was in response to Amazon’s Wholefood Division which now features same-day and one-day prime Delivery. This partnership is applicable across four markets in California and Oklahoma; plus, it brings with it thousands of items from groceries, pantry staples, alcohol, home decor, personal care, electronics, home improvement and much more and everything is at all-time low prices, exactly what Walmart is famous for.
Amazon works with Amazon Fresh and Amazon Prime Customers to offer grocery delivery from its warehouses and Whole Food Stores. As part of the Covid-19 side-effect, the curbside pickup of online orders has increased twice as much to 200%. And as grocery retail chains like Shopify and Instacart posed serious competition in form of putting up a full online store to instantaneously delivering products directly to the customers in new innovative ways.
Features | |
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Membership | Optional $9.99/month or $99/year |
Price Markups | Policies vary by store |
Service Fees | 5% with $2 (minimum) |
Delivery Fees | $3.99 without membership |
Store Rewards Card | It is not accepted online |
Same-day delivery | yes |
Substitutions | All substitutions can be approved |
Advance Orders | Yes, it lets customers plan and places their orders in advance |
Contactless Delivery | Yes |
An-app incident reporting | It is allowed in the case for shoppers |
Order Cancellation | Out of stock orders get automatically cancelled, the rest can be communicated via app |
In-app review | Customers can review and rate shoppers in-app |
Modules | User Module
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Delivery Person Module
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What’s More? |
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Backend | Node.js, React, PHP, Python, Ruby |
JS Libraries | Socket.io, Redux |
Database | MySQL, PostgreSQL |
DevOps | Github, Jenkins, Xcode, Amazon EC2 Container Service, CircleCI, Terraform, Rollbar, Paperrail, Packer, StatusPage.io, Loggly |
Applications and Data | NGINX, Ubuntu, Pedis, Amazon EC2, Amazon S3, Firebase, Amazon CloudFront, Android SDK, Rails, Objective-C, Memcached, Cassandra, R Language, Amazon ElastiCache, Pandas, NumPy, Amazon RDS for PostgreSQL, Amazon EBS, Unicorn, Snowflake, Druid, Domino |
Business Tools | Slack, G Suite, Asana, Zendesk, Quip, HelloSign |
Utilities | Elasticsearch, Stripe, Amazon Route 53, Twilio SendGrid, Twilio, Amazon Kinesis, Mapbox, Branch Metrics, Sift Science |
The cost of app development to create an Instacart Grocery app depends upon various factors like target market, business size, budget, age, the reputation of the business and scope of the grocery delivery app.
Instacart grocery delivery helps people pick their groceries/dairy in real-time without being present physically. This saves time and offers a lot of convenience on sideways. They get their groceries, from their chosen store, in time, with the convenience of comparing rates with other available stores, within time, at best prices.
Instacart app and website offer a huge collection of stores to shop from and are easy to navigate and it is easy to track orders.
Customers get to shop across various stores with free delivery on the entire order. It is convenient and offers same-day delivery. Have an open mind to compare the prices of an item across the stores associated with Instacart to avoid paying too much.
If you find this informative and wish to build an app like Instacart, we’ll align our experts for a quick check-up on features, required technical skills, required frequency of updates and cost to create an app like Instacart.
Customers can place orders through the Instacart app or website. They can select the items they want to purchase from their preferred local stores, and choose a delivery time that is convenient for them. Instacart shoppers then receive the order, shop for the requested items, and deliver them directly to the customer’s doorstep
A: Instacart offers a variety of pricing options, including a per-delivery fee, an annual membership fee, and an optional tip for your shopper. The cost of your order will depend on the items you purchase, any promotions or discounts available, and the delivery option you choose.
The essential features of apps like Instacart include the ability to browse and select products from local stores, schedule delivery or pickup times, track orders in real-time, and communicate with the delivery driver. It is also worthwhile to include secure payment options, easy registration and login processes, and an intuitive user interface.
To ensure the app is user-friendly and accessible, it is a necessity to conduct thorough user research and testing. This involves gathering feedback from potential users and implementing design changes based on their feedback. Additionally, following industry-standard design principles and providing accessible features, such as text-to-speech options and high contrast modes, can make your app more user-friendly.
The technology used to build apps like Instacart depends on several factors, including functionality, scalability, and budget. However, some common technologies used to build on-demand delivery apps include cloud-based databases, APIs for integrating with third-party services, and React Native or Flutter.
To ensure that your app is secure and protects customer data, it is essential to implement industry-standard security measures, such as data encryption, secure login procedures, and regular security audits. You should also ensure that any third-party services used by your app, such as payment gateways, are PCI compliant and follow industry security standards.
To promote an app like Instacart and attract new users, you can use a variety of marketing strategies, including social media advertising, influencer marketing, referral programs, and app store optimization. It is also vital to provide exceptional customer service and address any issues or concerns promptly to maintain positive customer reviews. This will attract new users through word-of-mouth.
To scale an app like Instacart as it grows, it is essential to invest in robust infrastructure and scalable technology solutions. This may include cloud-based hosting, load-balancing and auto-scaling technologies, and database management solutions. Additionally, hiring a dedicated team of developers, designers, and support staff can ensure that your app can handle increased demand as it grows.
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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