Suppose have to reach your friend’s wedding in 15 minutes. Public transport takes more time, so, you decide to go by taxi. 

Here are some of your requirements. The taxi should reach your doorstep as soon as possible. The driver must be properly vetted and hold a valid driving license. Besides, the taxi fare should be within your budget.  

Which apps can meet all these demands? Definitely Uber, InDrive, Creem, Yango, or a similar ride-hailing app. All these are common examples of on-demand apps that offer ride-hailing services to millions of customers globally. They can meet your needs in a few seconds and offer delightful user experiences. 

The phenomenon of on-demand app development originated with evolving customer needs. The rising consumer demands gave rise to applications built for specific purposes.  

Refer to the below guide to understand the concept of on-demand app development in detail. The article covers a brief overview of these apps, their purpose, and specific examples. 

So, let’s get started! 

What is Meant by On-demand Apps? 

An on-demand app is a mobile or web application customized to perform specific functions. These applications meet users’ demands instantly and solve their problems. The interface, functionality, and features of on-demand apps are tailored to the preferences of the intended audience. 

For example, Uber, Careem, and InDrive are popular ride-hailing on-demand apps. They connect drivers to passengers and revolutionize transportation.  

Similarly, Netflix is another popular on-demand application offering online video-streaming services. You can watch your favorite movies, dramas, or seasons without going to the cinemas. The video content is available for a monthly or yearly subscription. 

The list goes on. We use hundreds of on-demand apps every day. 

Major Categories of On-demand Apps 

There are three main types of on-demand apps: 

1. B2B On-demand Apps 

B2B means business to business. These apps connect businesses to each other and facilitate the provision of products or services between two or more organizations. Companies can use B2B apps to streamline operations, explore growth opportunities, and achieve their corporate objectives. 

Examples: Workforce management apps, CRM solutions, project management software

2. B2C On-demand Apps

The term B2C refers to business to customer. B2C on-demand apps bring organizations and clients together for shared benefits. Businesses can sell their products or services to target audiences and generate revenues. Similarly, consumers can get their desired results like food delivery, ride-hailing, etc. 

Examples: Food delivery apps, ridesharing apps, life styling apps

3. C2C On-demand Apps

The third type is C2C, which means consumer to consumer. As the name suggests, C2C apps allow users to sell or buy products or services directly from consumers. They serve as a bond between two clients and allow them to get their desired goods or services at competitive rates. 

Examples: Ecommerce apps, Ticket booking apps 

How Does an On-demand App Work? 

The working mechanism of on-demand apps is very simple. It can be described in five steps: 

Step 1: Request Initiation 

First of all, the user initiates a request to acquire the desired product or service. It can be a request for food delivery, a taxi, or a doctor’s appointment. 

Step 2: Request Processing 

Upon receiving a new request, the on-demand app uses its database to find a suitable service provider near the user. (Think of connecting yourself to a nearby Uber driver). 

Step 3: Request Approval 

The service provider analyzes the user’s request and approves or declines it based on the requirements. In the case of a ride-hailing app like Uber, for example, the driver can see details like passenger’s pick-up and drop-off locations, fare, etc. The final decision is made by the drivers themselves.  

Step 4: Service/Product Delivery 

The service provider connects with the user, fulfils the requested service, and marks the task as completed on the application. For instance, the food delivery is marked as complete once the customer has received the food. 

Step 5: Payment Processing 

The last step is payment processing. The customer pays the amount to the service provider as agreed at the time of request initiation. 

On-demand App Development: Where to Start? 

Building an on-demand app requires extensive knowledge of the target audience and business niche. If you are not sure where to start, follow these steps to develop a feature-rich on-demand app that generates high revenues.

1. Choose a Specific Niche

In the first step, you need to identify a specific niche or sector you are good at. Decide which market segment would you like to target with your on-demand app. The choice of niche is crucial for long-term success. So, be careful!

2. Understand Your Customers

A niche is a very broad term. Each business niche can have multiple customer segments. Your on-demand app can target one segment at a time to deliver the expected results. So, understand your chosen target audience in detail. Know their preferences, behaviors, challenges, etc.

3. Define Your USP

The unique selling proposition (USP) is a unique feature, functionality, or quality that differentiates your product from those of competitors. Say you are developing a ride-hailing app like Uber or Careem. Make sure your app has something new to offer to grab users’ attention. 

4. Hire a Reliable Development Company

You’ve done your homework. Now, it is up to the app development company to do the rest. Always choose a trusted firm that has extensive experience building high-performing on-demand apps. Check their portfolio in detail. Compare pricing plans, then make the final decision. 

Final Thoughts 

On-demand app development refers to the process of building customized applications to perform specific operations. The primary goal of these applications is to meet the needs of specific audiences.  

For instance, Uber is a ride-sharing on-demand app to revolutionize transportation. It connects drivers with passengers to save time and generate revenues. Similarly, Netflix allows users to get on-demand videos, movies, and dramas for monthly or yearly subscriptions. 

Over the years, on-demand app development has gained immense popularity among the global tech community. Recent developments in AI and machine learning would bring more innovation to this sector.