Are you bored of sparing time from your busy schedule to turn out to buy groceries? Do you find it tedious to go miles away just to buy some Fruits, instants and a couple of few things just for the sake of two people? If the answer to all these questions is a big YES then, my dear friend you are at right place. Amazon Fresh is an most demanded grocery delivery platform that expedites doorstep delivery service of groceries and other home necessity products in some of the major cities of USA. Amazon Fresh is like a boon for such people who feels lazy when it comes to manage home related stuffs.

As per the recent survey it has been examined that 30% of online browsers order grocery products online and the number is expected to scale up to 70% in the future”.

Nowadays there has been a hurricane surge in grocery mobile app development. There is a strong reason behind it because modern day groceries have seen the implication rise in the sales and converting customers to grocery app will give them personalized and engaging shopping experience.

Glance on Foundation of Amazon Fresh:

Amazon Fresh is a grocery delivery service that costs $14.99 a month, only available to Prime members (which costs another $99/year). Although it launched virtually a decade ago, Amazon Fresh only started to gain traction in 2013, and is now available in 18 markets worldwide.

Key Features Included in Making of Amazon Fresh:

1) Making tie-ups with the main Dominant Supermarkets.

2) Willing Workers along with their mops.

3) Giant amount of stockpile.

4) No need of delivery vehicles and warehouses as shoppers itself will be culpable to buy the things accepted by the customer at his/her suitable time.

Why does Amazon Fresh make sense and how can it add on to Amazon’s core competency

With a simple market sizing exercise, it is clear that online grocery shopping is unlikely to bring in vast bucks for Amazon.

The total grocery shopping is a humongous $600 billion. Let’s correlate grocery to one of its sub segment – beauty and personal products. Both segments share a lot similarities in that they are done largely by females, and there is vast variance in customer preference. Beauty and personal category is among the early movers to the ecommerce business. In 2014 the beauty and personal category in US is valued at $188 billion, whereas only $3.8 billion, or 5.5%, is done online. This percentage should be much lower for grocery category particularly fresh products because of the storage and delivery concerns from the customers side. So it should be reasonable to valuation that 1% of the total $600 billion, $6 billion, will be done online, in the next five years. Since this category is restricted to regions and largely fragmented, assuming that Amazon is able to broaden nationally and capture 10% of the total market, that’s 600 million in revenue, 1% of $61 billion annual revenue Amazon currently has. To obtain such revenue Amazon has to invest heavily in infrastructure and make its own fulfilment quantity and delivering fleet, which will make the margin possibly on par or even lower than its current market place business even though Amazon is charging a premium for fresh products.

How much does it cost to develop Grocery App for your Business?

Some stores sell their products on Amazon Fresh offering the same prices as listed in their store but few stores listed on Amazon Fresh have a mark-up hike of 15%+more from their store prices. The revenue created from these prices goes directly to Amazon Fresh that helps them pay to the shoppers.

There are many aspects to be examined if you want to stake into this business. If we come to the costing part the cost of an App like Amazon Fresh can be around $5,000 to $12,500 depending on platform. Still a accurate estimation will give you specific idea about the cost of it as it totally depends on the designs and features that you want to be incorporated in the application. Infograins Software Solutions one of the Top Mobile App development Company can design you such applications that fits your budget. Inquire more with Infograins to build any mobile application.!

How much time does it take to build similar Grocery app

It takes only Eight weeks of time period