![Is online grocery business profitable](https://appcoup.com/assets/img/blog/is-online-grocery-business-profitable.jpg)
Is online grocery business profitable
![](https://appcoup.com/assets/img/blog-edit.png)
In recent years, the on-demand economy is growing at a rapid phase. Grocery delivery is really popular and highly demanded service in the consumer market. Grocery stores and chains are forced to get into the online grocery to facilitate their customers.
In last year over $120 million has been raised by online grocery startup in India like Grofers, Bigbasket, and more. As people are busy with their jobs and the growing popularity of online shopping grocery business does hold a profit even today. With the increase in the number of smartphone users, and the gain of trust from the customers the online grocery market will grow day by day.
As customers are more used to convenience and comfort, that what is making the grocery business highly profitable
Online grocery store
How its profit over the offline grocery store?
Showcase a variety of items
Offline grocery store needs a lot of space to display all the available items. In the online grocery store app, we can show all the grocery items into different categories so that customers can able to select the item easily.
Less Running Cost
The offline grocery store has to spend a lot of money on electricity, maintenance, and for their workforce. The business running cost is lower in the online grocery store. Online grocery stores can afford to sell their products at a much cheaper rate than the supermarket.
Home delivery service
In online grocery stores, the customer can order the grocery from their home, and stores deliver goods right to the customer doorstep.
Then how to make online grocery business profitable?
Encourage Repeat orders
It is very important to encourage your customers for weekly repeated orders to make money in the online grocery store. Usually, the customer uses to buy groceries monthly at high volume. New customer strategies and the process should be designed to convince the customer to place the grocery order weekly.
Enhance customer engagement
Segment your customer according to the previous order and their choice using analytics technology. Provide offers based on customer needs and choices to increase customer engagement.
Fresh items into the shopping cart
Your online grocery store has to offer consistent delivery of fresh items, leaving your customers with no option but to continue shopping in your store. Integrating the fresh items into the shopping cart can be the key factor to increase the profitability of your online grocery business.
Create an efficient logistics model
Most online grocers fail due to the inefficient logistic model. A new concept with high efficiency and flexible model should be developed to reduce the cost of packing and shipping operations.
Finally,
The online grocery business can be made profitable with smart use of technology and best in class operations. Till the time the online grocery store can satisfy its customers by fulfilling their grocery requirement without messing up their comfort, the online grocery business will surely grow.
Build your online grocery store app to kick start your grocery business. With the above tips, you can successfully run a profitable online grocery business.
Our Other Grocery Delivery Scripts
Grocery Delivery App Development
BigBasket Clone Script
Grofers Clone Script
Instacart Clone Script
Contact Us
![contact Appcoup for grocery app development](https://appcoup.com/assets/img/support.png)