Delivery apps have become incredibly popular in recent years, transforming how customers get the products and services they need. One pioneer in this space is Indian startup Dunzo, which offers hyperlocal delivery of anything from groceries to medication within 15-20 minutes through its mobile app.
Apps like Dunzo have proven there is huge demand for fast, convenient delivery on both the customer and merchant side. However, relying solely on third-party platforms also has some drawbacks. By developing your own branded delivery app, businesses can better serve customers while gaining more control over the experience and valuable customer data.
In this article, we will explore the top 10 reasons why more companies should consider investing in development of their own native delivery app, using Dunzo as an example model. An own branded app allows optimization around your specific product categories and customer needs, while future-proofing your business for ongoing e-commerce growth.
Reason 1: Expand Your Customer Base
One of the biggest benefits of offering delivery is the ability to reach more customers beyond your physical store locations. People are always on the move in today's fast-paced world, and may not have the time or inclination to visit stores in person.
By allowing orders to be placed from anywhere via a mobile app, you open up your potential customer pool tremendously. Customers who live farther away, have mobility issues preventing in-store visits, or simply prefer the convenience of delivery now have access to your business.
Dunzo reported an average order radius of 5km from distribution centers in some cities, meaning countless additional households gain access to neighborhood stores via the app. This customer base expansion leads directly to more sales volumes over time.
Reason 2: Increase Order Volumes and Sales
Closely related to expanding your reach is the ability of delivery to increase overall order volumes and revenues. Once customers have your app installed, it reduces the friction of purchasing - they can browse and order within minutes versus travelling to a physical location.
Studies show this increased convenience leads existing customers who already visit stores in person to start ordering for delivery more frequently as well. According to IBM, fast delivery can increase order frequency by 50% or more.
Dunzo noticed the average basket size for repeat customers using its app regularly was 1.5-2x that of one-time users. Customers coming to rely on delivery spend more overall. Combined with the new customers gained, this translates directly to higher total sales.
Reason 3: Enhance Customer Experience and Satisfaction
Beyond dollars and metrics, a core focus for any business should be the experience provided to customers. Delivery seeks to save people valuable time otherwise spent traveling between errands. Customers appreciate services that fit conveniently into their busy lives.
Done well, delivery raises satisfaction levels. Customers feel appreciated when items are delivered quickly to their door as promised. They bond further with brands providing effortless, worry-free shopping.
This improved experience can translate to increased customer loyalty, lifetime value, and positive word-of-mouth. Dunzo reports over 95% of orders are completed within its promised 30 minute window. Such reliability builds trust with customers over the long run. Checkout: https://zipprr.com/category/dunzo-clone/
Reason 4: Gain a Competitive Advantage
In many industries today, simply matching competitors is not enough. To truly thrive, you need points of differentiation that give you an edge. Offering delivery when others in your category do not provides just that.
For example, food delivery apps Boxed claimed delivery gave it a clear advantage versus grocery chains without the option. Customers appreciate the added convenience these services provide versus traditional in-store only models.
Developing an own branded delivery app allows promoting this competitive differentiator directly to both existing and potential new customers. It establishes you as an innovative, solutions-focused brand keeping pace with changing consumer behaviors and demands.
Particularly for low involvement product categories like groceries or daily essentials, availability of delivery can be a primary reason for choosing one retailer over another with an otherwise similar offering.
Reason 5: Reduce Dependency on Third-Party Platforms
While third-party delivery marketplaces likeSwiggy, Zomato provide valuable reach, relying solely on them comes with downsides. Commission fees charged per order can eat significantly into margins.
Platforms also yield little customer data and have their own priorities versus optimizing specifically for your business needs. An independently run app gives full control over the customer experience, delivery partner networks, and ability to test and learn fast.
You avoid sharing valuable customers and data long term with third parties. Commission fees fund their growth instead of your own. With an own app, the entire profits from each delivery transaction go towards further developing your business.
As volumes increase, those savings add up substantially. For example, Dunzo noticed order commission costs 20-30% lower when customers could be directly engaged via its app versus other platforms. Full ownership provides maximum return on delivery investments.
Reason 6: Allow Expansion into New Categories
Delivery naturally enables expansion into new categories not previously part of your core offering due to logistic constraints. For instance, traditional grocery stores leveraging delivery have successfully launched meal kits, prepared foods, alcohol and more.
This allows driving additional revenue streams while deepening customer relationships. Rather than view delivery as strictly an added convenience for existing products, explore how it opens the door to fresh offerings catering to evolving customer needs.
Bundling related categories together serves customers through one-stop-shopping. It also creates compelling reasons for frequent app engagement and repeat use versus one-time downloads. Your delivery capability defines the new boundaries for your business vision going forward.
Reason 7: Improve Brand Visibility and Messaging
A delivery app becomes your mobile front door - the primary customer touchpoint for your brand. This provides unparalleled exposure to promote specialist services, exclusive deals, and develop one-to-one relationships through communications like push notifications.
You gain a direct channel for targeted messaging versus being restricted to mass marketing channels alone. Dynamic features like flash sales, live tracking, and loyalty programs deepen connections while driving increased usage and retained customers over time.
Dunzo leverages push notifications for exactly-timed deliveries, offers, and customer support - keeping high app engagement up to 3-4 times per week on average. The visibility from an own branded app elevates your company profile like no other medium can.
Reason 8: Gain Valuable Customer Data and Insights
First-party customer profiles, order histories, location data and more provide a goldmine of actionable intelligence. With it, you gain the power to continually optimize the customer experience based on real behaviors.
For example, analyzing order patterns reveals preferred delivery times to schedule staff accordingly. Purchase histories indicate bestselling bundles or upselling opportunities. Location tracking helps allocate delivery zones smartly.
This level of insight isn't possible relying on third parties, where you only see a small slice of the picture. It empowers precise decision making around pricing, promotion, inventory, expansion and more to efficiently attract high lifetime value customers.
Reason 9: Provide Responsive Customer Service
Customers today expect brands to be available anytime through their preferred channels. Delivery apps create an always-on customer support avenue beyond phones/emails alone.
You gain full oversight to ensure high quality fulfillment through your own delivery partner network. Issues can be addressed instantly versus relying on third parties you have limited control over. Customized training improves couriers’ product expertise.
Real-time order tracking and two-way chat keep customers informed and issues from escalating. This level of responsiveness builds trust that you care about their needs above all else. It creates advocates ready to recommend your service to others.
Reason 10: Future Proof Your Business
Analysts predict delivery services becoming a multi-billion dollar industry within the next decade across sectors like groceries, meals, alcohol, pharmacies and more. Customers increasingly shop on-demand versus pre-planning errands.
Building delivery capabilities now positions your business perfectly to continue riding this revolution versus risking being left behind over the long run. It establishes you as a leader keeping pace with changing lifestyles.
Customer loyalties and relationships solidified today will carry into the future, whereas late adoption may find current customers already invested elsewhere. Staying ahead allows compounding successes built on delivery's growth to come.
Done right, delivery drives major increases in lifetime customer value. An own app safeguards capturing this ongoing opportunity within your control versus third parties. Future generations of customers will also expect the option from brands they encounter.
Conclusion
As customer shopping behaviors continue evolving rapidly online and through apps, delivery has become table stakes for businesses of all kinds. Those who implement it best through a native branded experience stand to unlock massive gains in areas spanning growth, retention, data, service and more.
Dunzo serves as a prime example of how an optimized delivery app establishes a company for long term success. While developing such a solution requires investment, the rewards make a very strong case for prioritizing such initiatives. Businesses should view this not just as an "added service", but as central to future customer relationships, operations and prospects.
Gaining full independence versus reliance on third parties also develops sustainable competitive differentiation with network effects built over time. Done right, delivery solutions power not just revenues today, but tomorrow's prosperity by deeply cementing your brand's role in customers' lives through unmatched convenience right at their fingertips.