The On-Demand Economy is defined as the economic activity created by technology companies that meets consumer demand through the immediate provisioning of goods and services.
2. Introduction
The On-Demand Economy is defined as the
economic activity created by technology
companies that fulfill consumer demand via the
immediate provisioning of goods and services.
The On-Demand Economy is revolutionizing
commercial behavior in cities around the world.
About 800 such models exist across 16 different
“traditional” industries, which are attracting 22.4
or more millions of customers who are spending
$6 billion per month or may be more than this.
3. Market-share Of On-demand Economy In The US
Online
Marketplac
e (ebay,
Etsy)
Transpotatio
n (Uber, Lyft)
Food/
Grocery
Delivery
This figure represents the category-wise mind-share
and market-share of On-Demand economy in US.
• Online Marketplaces (eBay, Etsy) – 16.3 million
consumers per month who are spending $3 billion.
• Transportation (Uber, Lyft) – 7.3 million
consumers per month, they are spending $500
million.
• Food / Grocery Delivery – 5.5 million consumers
per month, approximately spending $400 million.
4. User Age Demographic
It’s not only for the young. More than half of on-demand consumers are from the Gen X (age 35-54) and Baby
Boomers (age 55 or older) generation.Who doesn’t value convenience, really?
4.37
32
37
25
3.25
39 39
19
0
10
20
30
40
50
13-17 18-29 30-49 50+
Uber vs Lyft: User Age Demographic
Uber Lyft
It’s not just for the wealthy. About
half the on-demand consumers
have an annual income of less than
$50,000, or Rs. 10,00,000 (India) or
220,000 AED (Dubai). 70% of the
consumers live in rural areas, small
towns and outer suburbs.
5. On-Demand Economy-Mobile App Model
When you decide to start an on-demand business, you need technology to offer services at scale, and ensure
that the user experience outshines the offline counterparts. To think of it, consumers will not purchase just for
the sake of purchasing from an app until they are promised a fast, smooth and efficient user experience.
To figure out the right strategy for your business, answer these 5 Key questions around the business model.
It’ll help you identify the key features that you need in your app to deliver a noteworthy experience.
Q1. How soon do you deliver this product/service?
Q2. Who delivers the product/service?
Q3. How are customers matched with the suppliers?
Q4. Do you offer the same product to every customer?
Q5. How do you make money?
GetThese Answer Here
7. GroundTransportation
This on-demand service is the top most need of every individual in today’s world. The on-demand ground
transportation was pioneered by Uber in the US (2014-15).
Uber offered clean rides, an exceptional customer service and flexibility to accept different forms of a
payment. Uber helped its drivers generate more revenue from their vehicles by creating demand consistently
through its app.
Surge pricing played an important role in balancing this demand and supply, by attracting drivers in areas
where the supply is low.
Let’s have a look upon few app features which are running commonly on these platforms:
1. Geolocation
2. Push Notification
3. Dynamic Pricing
4. Automated Payments
8. Healthcare
The multi-trillion-dollar healthcare industry needed a makeover and mobile apps are doing exactly that. On-
demand healthcare is fundamentally changing and enriching the doctor-patient relationship.
These businesses help make physicians more accessible to patients, and simultaneously reduce costs at both
the ends.
Accenture reported that on-demand healthcare investment will grow from $250 million today to more than $1
billion by 2017.
Let’s look at a few features that we often see in on demand health apps:
1. To do chat with client by video call integration
2. Have automated payments
3. Get geo-location based job listing and match making
4. Integrate legacy software for avoiding illegal things
9. Home Services
With consumers becoming increasingly comfortable with the idea of booking services through the Web, home
services appear to be the next big market. By going beyond simple business listings and reviews, startups are
helping consumers schedule and pay for services online.
Let’s look at the app features that help this industry:
1. Content management system with multi-lingual support
2. Get geo-location based job listing and match making
3. Get dynamic pricing and automated payments
4. Do chat with the client
5. Scheduling
10. On-Demand Food Delivery
On-demand food startups save your time and effort to pick a place to have your food out of your home or
ordering a food at your doorstep and paying for it.
On Demand Food startups deliver the “Meal Experience” in one of these 3 ways:
1. Order Only: Like Zomato which managed only the orders and passed them to restaurants, which use
services like Shadowfax or Jugnoo to deliver the food
2. Order and Delivery: Like Swiggy, which aggregates orders and manages a fleet to deliver the orders
3. End to End Integration: LikeYumist, which takes orders food, cooks at a local hub and delivers
For each of the business models, a different set of features is implemented in the app to deliver the promised
experience.
1. Content management system with multi-lingual support
2. Seamless UI/UX & automated payments
3. Fleet management and order allocation.
11. Conclusion
In the last, we conclude that due to drastic changes in the industries based on On-Demand Economy has now
resulted into increasing engagement and user interactions from the target audience.
To meet with the demands of end
users, you have to think from a point of
the end user’s prospective and meet
with the real requirement of any type of
On-Demand platforms.
This graph shows mobile consumers
use on demand apps to make purchase
across a variety of different verticals.
79
58 56
52 50
0
10
20
30
40
50
60
70
80
90
Retail/ Shopping Event/Events Food/ Delivery Car/ Taxi Hotel
On Demand Platform
12. About ChromeInfotech
ChromeInfotech is India’s leading Mobile App Development Company serving clients internationally from US,
Europe, Middle East and Australia. We deliver apps with exceptional design and functionality, while keeping
focus on business ROI.
We excel in assisting startups with disruptive ideas and enterprises looking to innovate their businesses with
mobile-first technology. We are practitioners of AGILE development and can help you build your Uber for X
business, in as early as 90 days.
To Know More, please visit us on web at Follow Us On
www.chromeinfotech.com