In our digitalized world, each of us using at least one on-demand apps to fulfill our daily activities. The usage of Smartphone has influenced various business activities, in addition to smartphones, the mobile app is emerging every day with new versions and innovative ideas to grab the users. As per the prediction of Statista.com, mobile apps are assumed to produce approx 935 billion US dollars that are twice of 461 billion US dollars in 2019.
Mobile App Revenue in US dollars from 2016 to 2023
Overview of OnDemand App
The OnDemand App is growing an unbreakable relationship with users. According to surveys, peoples in the US are using OnDemand App at least once a day.
The Entrepreneurs who have missed the investments in on-demand apps are intended to be a part of the on-demand economy in the future as the on-demand economy is growing exponentially with technical elevations in on-demand mobile apps. According to PwC, the market for on-demand apps and web will achieve $335Billion by the year 2025.
CBInsight report of Global Unicorn Club showed that 23 out of 310 private businesses valued at $1 billion by Jan 2019 in the On-demand industry. On consolidation of the OnDemand industry valuations are $203B inclusive of Uber($72B) and Didi chuxing($56B).
Why is traditional business moving into the on-demand economy?
The On-demand mobile app market is aiding over 22.4 million users annually to pay approximately $57.6 billion to acquire on-demand services and people are comfortable making the payment.
Annual Average Revenue in On-demand Apps
"On-demand users spend on an average $57.6B annually"
The US users are ready to pay to get the quick delivery of the goods at their doorsteps. This scenario indicates the adaptability of the users due to the comfort zone on on-demand apps. These are the actual reason that traditional business is moving into the on-demand economy as people are attracted to on-demand apps with the ease of availability and comfort in availing services.
The Top OnDemand App Sharing the Market
On-Demand Online Video Streaming
- The extended need for Houseparty, ZOOM, Hangouts Meet, and Microsoft Team is the reason for Business apps topped 62 million downloads across iOS and Google Play in a march 2020 study done by AppAnnie.
- The popular Zoom video shat app has increased downloads from 9,000 to 500,000 in recent times as per the analysis of Techcrunch.
- A study of 2,000 Americans in April shows that the average person is now streaming eight hours of video content per day.
- As per the research of Statista.com, Revenue in the Video-on-Demand segment is predicted to US$60,984m in 2020 and is assumed to relinquish US$95,976m by 2025.
- According to Statista.com, In the Video Streaming (SVoD) segment, approximated users 1,337.1m by 2025.
- Statista.com reports state that Netflix has 151.6m subscribers globally in November 2019.
- eMarketer.com stated that Netflix has a total of 158.8m OTT video viewers. Netflix is far ahead of its competitors in terms of OTT video viewers.
On-Demand Online Food Delivery
- Adroit Market Research states that the Online Food Delivery Market $161.74 Billion by 2023 worldwide.
- Statista's research results Revenue in the Online Food Delivery share is predicted to US$136,431m in 2020 and is assumed to reach US$182,327m by 2024.
- The consumer spending among US food delivery apps at 27.6%. Where Grubhub shares 26.7% and Uber Eats shares 25.2% on it.
On-Demand Grocery Delivery
- According to Apptopia, Instacart, Walmart Grocery, and Shipt have seen their daily downloads surge in march 2020.
- The market’s largest segment is Platform-to-Consumer Delivery with a predicted market value of US$70,741m in 2020 as per Statista.com.
- According to Global Data Analysis and Forecast, The global food & grocery sector reached US$8,045 billion in 2017, and it is calculated to reach US$11,204.5 billion by 2022.
- 6% of all consumers in the US are placing online grocery orders more than once a month as per Google/Bain, U.S.
On-Demand Home Services
- Technavio market research analysts prediction, on-demand home services market will grow by $1,574.86 billion during 2020-2024.
- This sector covers all the technical works like Mechanic carpentry, electrician, pest control, household work, babysitting, and plumbing and provides comfort for the end-users to avail all the home services through their mobiles.
- The people spent $1.97 trillion globally on the top 100 online marketplaces in 2019
- Gross merchandise sales grew 18% last year
- 57 marketplaces are based in the U.S., and they grew sales 15% in 2019
- Amazon has 6 billion and eBay capturing 1.6 billion visits per month and is in the top 3 online marketplaces.
Benefits of On-demand App For Modern Enterprises
The mobile phone users are increasing exponentially, and it expresses that if a business fails to come up with a mobile app it may face the consequence of the competitors' online presence on the business niche.
On-demand mobile apps are highly secure and scalable. Customizable on-demand apps are available that can be customized according to their business needs. Consumers can easily pick service providers and track their orders with comfort. The on-demand apps are intended to help customers to give orders and pay online securely.
The On-demand apps help to analyze the user's data for improving business opportunities. Users Data is a valuable asset for the business to frame their marketing strategy. The user data is helpful for performing data analytics, analyze the activities of the users. You can deliver offers and push notifications to the users. It helps to build and improve ‘business-customer’ relationship. It is essential to boost conversion rates and drag more people toward your business
The on-demand app development process is cost-effective and you can build your OnDemand app from scratch according to your business demands. This app can start creating revenue shortly depending on your business model and other criteria. Build your on-demand app get a high ROI in a short time after launching a customized on-demand app.
Seeing all the exponential growth of the on-demand app for various industries is indicating that the traditional business is adopting an on-demand app for their business improvement to sustain in this digital era. All the industries are moving forward to build their on-demand app as it would be a futuristic business plan. The On-Demand App undoubtedly helps in double the revenue of the business in 2021. Develop your OnDemand app from Osiz Technologies, a leading OnDemand App Development Company.
If you are in the idea of launching an OnDemand app for your business, then get a free consultation from our experts.
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