As the food and grocery delivery markets become more competitive, industry leaders are exploring new features to differentiate and build loyalty.
We see the next generation of food delivery apps learning from successful features in social apps to increase stickiness, cart size, retention, and the ongoing loyalty of customers.
We have seen the food delivery market become more commoditized, as we look to the future of Delivery apps, experiences developed by apps will help to differentiate and build loyalty in the space.
While over the past decade food delivery apps have exploded, we see many of the most popular apps closely following each others’ innovation moves, and taking inspiration from each other. This has led to a tough competitive environment, and leaders are looking to what the next big moves should be to innovate.
Watchful.ai discovered a test last year where DoorDash included video settings for what could have been in-app video capabilities.
First of all the way we discover new products and services is key to the success of any retail or marketplace app. As customers, we are happy to explore new alternatives, try new shops, restaurants, dishes, etc. Social media apps such as TikTok and Instagram have created powerful algorithms and recommendation engines which tap into our preferences with impressive accuracy. As a result, they help us discover new people, places, or content that we’ll love. In the report: What’s Next for Food Delivery Apps we dive deeper into the best practices implemented by market leaders like DoorDash and Amazon!
Secondly, there has been a massive shift from pictures to video across social media over the past 5 years. However, most food delivery apps still rely primarily on static imagery within their apps. Given the popularity of “food porn” videos from chefs, restaurant reviewers, travelers and content creators within social media channels, food delivery apps have an opportunity to embrace them within their platforms.
For example, last year, Watchful discovered that DoorDash was testing adding video player capabilities to the platform. (Learn more here!)
Grab’s new birthday promotion is a great example of a feature introduced to gather customer data in exchange for future rewards and discounts
The 3rd trend is offer more transparency & visibility with Data Privacy & Advertising Practices
Just as social networks had to tighten their data privacy policies following a string of legal breaches, food delivery apps are already proactively updating the way they handle customer data.
And yes there is more!
Curious to explore these trends further?
Check out the Watchful.ai full report to explore all 5 Key emerging trends in-depth with full tech and expert analysis.
Don’t miss out on the future of food delivery apps!