Understanding Grocery Shopping App- Instacart

Instacart study
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What is Instacart?

Instacart is an online platform to get groceries and other living place essentials at your doorstep. It is one of the most efficient and trusted platforms in the USA with its headquarters in California, USA. It is on-demand e-store having grown tremendously since incorporation.

This grocery store has set-up an example for budding entrepreneurs. Entrepreneurs are keen on learning Instacart’s business model and plan the next big thing. Are you one of them? Are you looking forward to learning and set up an example just like Instacart?

Indeed, the article will guide you to plan your next big thing. Below are the details of the big brand Instacart and a guide to lead you to your destination. The first part will help you in understanding the brand value. The next part will take you to the pathway to your dream project.

What does Instacart have in store?

Instacart was incorporated in 2012 and is successful in growing at a constant pace since then. It has various distinctive features that make Instacart stand out from other platforms. Before going to how to create such a platform let’s first understand their business model.

Key Activities:

  • Buying from local vendors;
  • Customer management;
  • Customer service;
  • Dedicated counter at stores for faster checkout;
  • Hand picking the products for each order;

Channels:

  • Website;
  • Mobile App for iOS and Android.

Target Segments:

  • Store;
  • Localities;
  • Shopper.

Cost Structure:

  • Salary to employees;
  • Delivery based delivery personnel;
  • Set-up and running cost;
  • Payment to shops.

Revenue Stream:

  • Surcharge on store price;
  • Delivery cost;
  • Discount pricing from shops;
  • Membership plans.

The above structure shows the main agenda of Instacart. The idea behind it is to reach maximum people with quality service. At this stage, you can figure out the resources you will need to build a start-up grocery store. Also, you should now have an idea about the flow of major expenses and income streams.

Now, let’s get to the main agenda of this article which is to build an app like Instacart.

A guide to an explicit grocery e-store.

The grocery business is a big opportunity for budding entrepreneurs. It can be looked like a master plan for a start-up due to the size of the market which creates enough space for multiple big players to co-exist, another strong reason is limited competition. However, it is important to have both – an efficient website and mobile application for all operating systems.

For you to reach to Instacart like website, ensure that below aspects are taken care of by your developer. However, before you reach out to your developer, you should be prepared with the help of these 4 ways.

  1. Flexible payment options: Make sure that you give your customers liberty to choose from multiple payment options.
  2. Push notification: Intimate your clients regarding new products through push notifications.
  3. Scheduled delivery: Let the customers choose their convenient time for delivery for the ordered items.
  4. Advanced search option: Let the customers have the honor to search the products in no-time with an advanced searching algorithm.
  5. User sign-in: Introduce sign-in option for users for easy tracking or cancellation of products.
  6. Categorization of products: this feature will help the users to save their precious time for searching products in your e-store.
  7. Easy order placement: Keep the order placement procedure simple yet unique. Easy and quick steps will attract regular and more number of customers.
  8. Scan QR codes: This feature will help to speed up the shopping procedure.
  9. Barcode Scanning: With the advancement in tech you can have barcode scanner in-build in the app.

If the above areas are taken care, it will help to boost customer experience and gain customer loyalty. Grocery brands like Amazon Grocery, Wal-Mart, Kroger and Instacart are killing the market with salient features. Below are the features that these big brands offer to its customers.

What unique do my competitors offer?

Amazon: Amazon has won the market with its one-click payment method. It saves the card details except for pin or password with a secured platform and allows quick payment.

Kroger: Kroger with the implementation of beacons technology is doing really great. It also has features like grocery list based on location basis which helps customers to select their products wisely.

Wal-Mart: Wal-Mart helps the customers to scan the QR codes for quick search of desired products. Also, it has personalized wish-list, product location feature, and many more which helped the brand to gain loyal customers.

Instacart: Instacart was the first brand to implement delivery within an hour. This is the major advantage that Instacart offers and makes itself stand out from other brands. Here a real person goes and shops the products to ensure good quality products are purchased.

Instacart has proved that start-ups can be successful to compete with big brands. Their idea has boosted the confidence in budding entrepreneurs. There are various website and app features that helped the brand to reach where they are today.

By combining the salient features offered by various brands, you can come up with a whole new idea. Amazon, Kroger, and Instacart are setting an example of how a brand should work for the benefit of their customers.

Instacart customers acquisition?

  • Word of Mouth Advertising;
  • Internet Marketing;
  • Free first delivery;
  • Various discount offers.

Possible Challenges

  1. Retaining Delivery Personnel;
  2. Meeting Delivery Time;
  3. Managing Peak Hours;
  4. Stores running out of stock;
  5. Regular Inventory Updates;
  6. Shore’s cooperation.

Concluding Lines

After building apps for 3 Grocery related startups we can confidently tell you that the market is enormous and this is what investors are looking at. With just a click of an idea, you can make the change. It’s all about knowing the customer problems and preferences. Once you research the market and come up with a unique solution like Instacart, it wouldn’t matter how long you have been in a market or what is your valuations. Till the time your services are good and timely, you can win the market. Instacart researched and found out the main problem for customers was the quick delivery and hand picking the right product. Hence, they introduced 1 hour delivery option.

Similarly, you can create your own brand value by market trend and research to reach to an ultimate solution. This will help you to reach your destination by over 40%. The entire process will demand a hell lot of time and efforts. But, it’s all worth it in the end.

Image Credit: Medium

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