The idea of going out and getting groceries when they can be delivered fresh to your doorstep is a thing of the past. People don’t see the charm in the extra labor of going to stores and supermarkets when everything is simply a few clicks away. Grocery delivery has become one of the most booming industries nowadays as more and more people now use delivery software for grocery shopping.
Many brick-and-mortar businesses have shut down since the COVID-19 pandemic kept people locked inside their houses for over a year. Very few businesses flourished during these challenging times. Those that turned to digital sales channels survived. Consumers place their orders online through quick commerce or other online platforms and deliver goods to their doors. Online grocery stores have been among those businesses that took off amidst the pandemic.
Are you a grocery store that still hasn’t transitioned to a hybrid model and introduced a online grocery shopping software stack to facilitate its scalability? Don’t fret if you haven’t, in this guide we’ll be taking you through 4 of the best Online Grocery Shopping Software solutions in the world broadly speaking and in the United Arabic Emirates (UAE), Saudi Arabia (KSA) and Pakistan in specific cases.
Online Grocery Sales Have Doubled — Is Your Store Ready to Serve?
COVID-19 brought with it a storm of change, altering the grocery landscape forever. Online grocery shopping grew by more than 40% globally in the last year, and grocers doubled their business from 5% to 10% of sales.
Even if the customers stayed loyal to their grocery stores, online grocery shopping has raised the stakes for the grocers very rapidly. It is quickly becoming a very competitive market,, and grocers should do everything they can to get an edge over their competition. The increased demands by their consumers cannot be fulfilled with the existing business models.
It is essential to have a good website for your business; your website can become a money-making machine in no time. The website posts promotions and brings in much more significant revenue. Along with having a good website, here are some other elements that ensure your online grocery store is ready to serve your customers.
Transparency for the consumers
It is essential to provide the right and detailed information about your products on your online platforms. These details could include
- Ingredients for food and their dietary considerations
- Ingredients for products such as cleaning or paint supplies
- You highlight food products for people with specific needs, such as “vegan” or “gluten-free,” to make things easier for your consumers.
Customers value grocery stores that go the extra mile and have information readily available for them. It allows the consumer to trust your store with their grocery buying needs.
Convenience for the customers
Consumers believe that a company’s products are as crucial as its experience. Customers want grocery brands to cater to their convenience before establishing loyalty to one brand. For example, a grocery store website should allow shoppers to have agile carts to keep adding products to their basket without starting, again and again, every time they visit your website. Or your website can offer ingredients according to dishes where if they click on a word, they get all the supplies for that dish without manually selecting each component.
Fast and quick delivery and pickup options
Today’s customers have less patience and more demands. They are willing to pay more for convenience and ease than for the groceries; customers happily dish out delivery chargers for groceries as long as they know they’ll get their order within a couple of hours.
Click and collect deliveries are also very popular with today’s consumers allowing them to get their preferred time slow from their closest grocery store.
Setting up Online Grocery Business in 2022? Here is What You Need to Know
Online grocery stores are rapidly becoming the fastest growing business in today’s times. Research shows that globally, the global online grocery market will grow about 23.7% between 2020-2025. They are increasing the international grocery eCommerce business by $250 Billion. The growth in online grocery retail has grabbed the attention of many entrepreneurs, but to be successful in such a competitive field, here are some things you should consider to get a head start on your competition.
Things to Consider Before Starting an Online Grocery Business
A successful online grocery retail business requires focusing on various factors, including selecting the business model, creating a roadmap to achieve the desired model, determining the target market, and defining the critical delivery regions. Understanding your competitors, customers, and suppliers is crucial to achieving sustainable growth. Another critical factor is the design and management of your online presence, either through a website, app, or both.
Different business models of the online grocery industry:
Of all the factors mentioned above, selecting and designing the appropriate business model is the most critical. Still, most business owners seem to spend little time on this area before starting their business. The following section explains four major business models that can be applied in the online grocery retail industry, along with examples of some key players in each market.
Hyperlocal business model:
The hyperlocal grocery delivery model is based on the unique selling point of rapid and local deliveries. For example, Instacart uses this model to connect their customers with personal shoppers, who then provide them doorstep grocery deliveries. This model requires a three-tier customer strategy, where buyers can use the Instacart app to make online grocery purchases. These include:
Grocery Retail Partners: Vendors contracted through Instacart can list their groceries on the platform and sell them to Instacart customers.
Instacart Shoppers: Instacart shoppers understand requirements from end customers and buyers and prepare the orders on their behalf.
Instacart customers: End-users making purchases from the platform
Inventory Business Model
Inventory based model is based on the USP of delivering fresh produce and groceries to the customers. New Direct utilizes this model to allow customers to purchase fresh groceries delivered to their doorstep in a refrigerated truck. This model is supported by a selection of grocery suppliers, Fresh Direct buyers and procurement teams, and the end customers. Key components of the model are:
Grocery Suppliers: These are suppliers selected by the Fresh Direct sourcing team, who can list their fresh produce on the Fresh Direct platform. These include meat, poultry, and seafood suppliers.
Buyers: The procurement and sourcing team is responsible for contracting with well-reputed suppliers. They ensure that all stock supplied to Fresh Direct is of the best quality and transported and stored in Fresh Direct warehouses in the right conditions.
Customers: Based on a just-in-time model, orders are prepared as soon as customers place them on through the app and delivered in short periods through refrigerated trucks.
Multi-Vendor Grocery Business Model
The multi-vendor model is based on a hybrid approach, with the grocery retailer acting as a service provider (like Instacart) and an online supermarket. This model allows for a wide variety of products, including fresh produce, meats, refrigerated foods, meal kits,, and more.
An example of this model is Peapod, which can either fulfill orders through its warehouses or partner with grocery stores and providers to provide logistics and delivery services to end customers. Peapod has processing areas, or “warerooms,” which are placed next to the grocery stores or warehouses and are used by employees to prepare and fulfill customer orders. Given its multi-vendor model, Peapod also facilitates payments through its app.
Omnichannel Business model
Driven by the integration of physical and digital storefronts, this model provides end customers with options to use the channel of their choice. Walmart utilizes this model to offer its customers a seamless transition between their website, model app, or store-based shopping. Critical components of this model include:
- Brick and mortar stores for in-store experiences
- eCommerce presence to allow customers to switch to online deliveries
- Distribution and storage centers that can handle logistics for both physical and online stores
In this model, Walmart’s main activity is to purchase and deliver groceries and allow customers to transition between models seamlessly. This model requires significant investment in inventory control, vital customer service, and a sophisticated logistics and distribution network.
The critical activity of Walmart is to buy and deliver goods. The company controls the costs involved. In addition, it invests in inventory control customer service.
Revenue Channels in Online Grocery Marketplace
There are multiple revenue streams in the online grocery marketplace. Listed below are some of the primary and secondary revenue channels.
Vendor Subscription: Whenever a business subscribes to a list or sells on a grocery eCommerce platform, they have to pay an upfront cost to the agency. Usually, several subscription options are available, and the vendor can choose whichever meets their requirements.
Commission on Each Transaction: There can be an additional charge on every transaction made on the eCommerce platform.
Commission on Delivery: The buyer can be charged an additional delivery fee on each delivery made.
Secondary Revenue Streams:
- Allowing on-site promotions and ads
- Publishing sponsored content on blogs
- Selling merchandise on all the online platforms
- Businesses can use their data for market research firms
How to Start an Online Grocery Business in 2022?
To launch an online grocery business in 2022, two methods can be followed:
- Build from Scratch
- Using Ready-made Grocery Ecommerce Platforms
Build from Scratch
You can build your very own grocery eCommerce platform from scratch by either hiring a development team or hiring a well-established website development company. These options require a lot of time and labor, making them expensive.
Using Ready-made Grocery Ecommerce Platforms
The other way to launch your online grocery business is to get a ready-made grocery eCommerce platform. This option is more convenient and less expensive than developing your online business from scratch. These ready-made eCommerce platforms have pre-integrated features and APIs with only a one-time upfront payment, and it also requires less time to set up.
4 of the Best Online Grocery Shopping Software for Websites & Apps
Blink is an all-in-one online grocery shopping software optimized for supermarkets with built-in order management, customer engagement, and business analytics tools along with a fleet management system. Blink enables you to conveniently manage orders, items, promotions, payments, customer data, and more in one quick commerce stack.
Blink delights shoppers by processing orders faster and more efficiently through a fully integrated grocery quick commerce platform for supermarkets.
- Digital Enablement
Blink offers you a branded mobile app and website with seamless user experiences and an in-house technical support team to help your Supermarket business go digital with ease.
- Inventory Management
Blink’s built-in inventory management system automatically updates your online stock quantities in real-time and only displays in-stock items on your storefront. Avail of it for a low, one-time cost.
- Website and App Orders
With Blink, receive orders online directly from your customers on your website or app with only 30 seconds of order placement time.
- Facebook and Instagram Ordering
Blink’s high-end quick commerce platform allows you to take orders through Facebook and Instagram within minutes.
- Dynamic Dashboard
Blink allows you to check your data in real-time, including your sales, branches, customers, and products, in one window through a live dashboard backed by business intelligence.
- Customer Data Ownership
Leverage secure and encrypted access to your customer’s data, with full ownership rights and data export functionality.
Blink is one of the most comprehensive online ordering systems for grocery stores. It is a rapidly growing Q-Commerce platform and the solution for all new grocery stores in search of expanding their online presence.
Blink gives you the freedom to grow your business online without issues like managing your orders manually. Subscribe to our supermarket quick commerce platform to digitize your online presence with a revolutionary online ordering system for grocery stores. Get a comprehensive online grocery shop management system with an end-to-end direct online ordering and fleet management solution.
A full-service supermarket quick commerce platform designed to scale your business with speed and accuracy! Welcome to the Q-Commerce age for Supermarkets with Blink!
2. Zielcommerce – A Ready-to-go Grocery eCommerce Platform.
Zielcommerce reaches customers globally with its multi-currency and multilingual options. This is a single solution eCommerce platform for all businesses having the marketing tools required to promote online grocery stores.
Zielcommerce helps improve business through its excellent administrative scorecard. It gives you an efficient online grocery handling solution through its integrated software. It also offers fantastic returns with its online grocery shopping software.
Zielcommerce is a fantastic website builder for grocery stores, providing comprehensive solutions to online grocery retailers and engaging customers through customized shopping experiences.
3. Ownmyshop – Personalized Online Grocery Store Software.
Ownmyshop is a fast-growing grocery e-commerce website that provides all the essential features to help make your online grocery business a great success.
- Their grocery software has integrated delivery management software to help your business handle deliveries successfully.
- Ownership helps optimize your route, so the delivery driver uses the best and the fastest way to deliver goods using Google Maps.
- Delivery drivers have their apps allowing them to understand their duties clearly.
Ownmyshop is a hit with online grocery retailers because of its integrated software with route optimization qualities.
4. Jemez – A Trustworthy Grocery eCommerce Platform.
Jemez is well known in the online grocery retailer circles, helping them satisfy their customers and their grocery demands.
- Jemez gives retailers a clear overview of their business embedded into the business intelligence.
- It provides detailed reports and statistics to its buyers.
- Their websites are easy to navigate and sort through for the customers. They cater to customers’ demands about convenience and ease-filled shopping experience.
It is an affordable and excellent eCommerce software for online grocery stores, enabling customers to have a good shopping experience.
The global online grocery platform is growing tremendously at a breakneck pace. As entrepreneurs start to invest in this new blooming field, software like Blink can help you get your online grocery store on the map. With its cutting-edge technology and fleet management system, Blink is here to help you manage your orders, inventory, payments, promotions,, and customer data in one quick commerce stack.
Frequently Asked Questions – Online Grocery Shopping Software
1. What is the best app for grocery shopping?
The 5 Best Grocery Shopping Apps: Blink for Supermarkets, AnyList, Grocery Pal, Grocery iQ, BigOven.
2. How to start an online grocery store in Pakistan, Saudi Arabia or United Arab Emirates?
Steps for starting an online grocery store in Pakistan, Saudi Arabia or United Arab Emirates:
- Register your business
- Target Market Identification
- Delivery Region Identification
- Inventory Arrangement
- Method of Payment
- Pick up at store facility
- Develop a website or get a branded app for your grocery store with Blink
- Grocery Mobile Apps – Get a custom app developed or get a branded plug-n-play solution from Blink