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2018-08-08 20:41:06Starting a Business: Business PlanningEnglishHere are top five tips that will help you in launching your online food delivery business in India and take advantage of the booming online... Tips For Starting An Online Food Delivery Business

10 Tips For Starting An Online Food Delivery Business

4 min read

E-commerce is exploding in India. The industry is expected to grow more than 34x from ₹19,900 crore in 2013 to ₹689,200 crore by 2020. Analysts anticipate that online food delivery services will grow exponentially. And if you want to take advantage of this market, you may want to launch an online food delivery service.

1. Look for Signs of Demand

To assess if an area is right for your business, you may want to poll potential customers. You can even offer services temporarily to gauge demand. Besides these, you can also look closely at other signs of demand. For instance, to order food via online delivery, people need to have disposable income and access to the internet. That means you need to be in areas that are relatively affluent with high internet and smartphone usage.

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2. Find a Niche

Once you’ve decided the area to be targeted, consider finding a niche. You may want to target individual entrepreneurs working in offices, or focus on big corporate deals. For instance, with a corporate client, you may make arrangements to bring a certain number of meals every day for their staff.

To make yourself stand out from the crowd, you may want to focus on certain types of food. This may include raw foods, meals that meet the guidelines of the Atkins diet, or foods from other popular diets. Alternatively, you may want to strike a global note with food from China, Italy, or other tasty spots around the world.

3. Be Mobile Friendly

Smartphone usage in India is rising faster than anywhere else in the world. In 2018, the usage was expected to grow by 16%. Analysts projected that over a quarter of the population would be using smartphones by the end of that year. Therefore, to reach these consumers, you need to make your online services mobile friendly. Optimize your website for mobile and see how it looks on a variety of smartphones and tablets. Can customers easily see your offerings? Is the order process intuitive? Consider questions like these.

Alternatively, you may want to follow the path adopted by companies like Uber. Accordingly, develop an app for your business. Then, consumers can download the app and order food directly from there.

4. Hire Reliable Drivers

Once your customers order, you have to ensure you get the food to them quickly and safely. And for that, you would need reliable drivers. Depending on the size of your business, you may want to start as the main driver. But eventually, you will need to hire more drivers. Make sure the drivers you hire are licensed. If possible, check their records for accidents or driving violations. Also remember that these drivers are essentially the waitstaff at your online restaurant. Therefore, consider training them in basic customer service skills to boost customer satisfaction.

5. Always Be Marketing

Consider launching a traditional advertising campaign with ads in local papers, billboards, and radio stations. Additionally, make sure to take advantage of the marketing potential of your delivery vehicles. Consider printing large magnets with your website and company name in order to put them on delivery vehicles. If possible, spend some time building awareness on social media. Tell local media outlets about your offerings. See if a food critic can review your business, or sponsor events in your community.

To stay on top of your finances, consider investing in cloud-based accounting software such as QuickBooks. Then, you can easily track revenue and expenses. Additionally, you can generate financial reports, calculate GST, and find out which offerings are the most profitable.[/vc_column_text][/vc_column][/vc_row]

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Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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