Everything on Demand The Key to Sustain Growth [ Insights Success ]

Everything on Demand: The Key to Sustain Growth

‘Everything on Demand’ is taking the service industry to another level The On demand economy is growing larger every day. It is getting the attention of more than 22.4 million consumers annually and generates $57.6 billion in spending. The spending is divided in various categories including:

  • online markets with 16.3 million consumers each month spending around $36 billion annually
  • transportation with 7.3 million monthly users and $5.6 billion annually
  • food and grocery delivery 5.5 million monthly consumers and $4.6 billion annual spending
  • home services, freelancer services and healthcare and beauty services with all together $8.1 billion

Sectors that can utilize the trend for business development

It is impossible for enterprises to underestimate the impact of instant delivery. While some brands have already started breaking grounds in their respective sectors, some still have a long way to go. The investment to setup the ‘one day delivery system’ will surely revolutionize the distribution networks once and for all. Following are the sectors that can utilize the trend:


Retailers provide a unique experience using the instant delivery system and differentiate their brand. Incidentally,  this concept is not restricted to door-to-door service,  Brands now, are offering buy-online-pickup-in-store (BOPIS) model as it is favorable among customers. 30% of shoppers use BOPIS once a month.65% of them ended up buying additional products while picking up the order.

Major e-commerce brands like Amazon have combined one day delivery with its subscription model to increase individual spend rate. Amazon’s Prime members spend more than nonmembers with the difference of $700. But the retailers can also partner with aggregator business companies.


The Restaurants have also leveraged  the instant delivery model. Food delivery revenues are expected to grow up to $210 by 2021 due to consumer’s demand of faster delivery. The customers expect delivery services to be free or low cost because of the completion within the companies.

The competition has created space for dedicated courier services such as Postmates, Munchery, etc. One of the advantages of delivery services is that the cost of staff and rent is saved. Also, it gives them a window to experiment before establishing a brick-and-mortar outlet.

Information Technology

Same Day delivery system relies upon infrastructure. But the traditional infrastructure of transportation is not enough. To make the deliveries economically viable, the company needs Technology Platforms that can make logistics efficient. In B2B sector, IT companies are improving the efficiency of storage infrastructure for larger consumer-based businesses.

Same day delivery is expected to contribute 20-25% of the delivery market by 2025. The e-commerce segment of this market alone is growing by 40% annually. Going by the facts, one can presume that delivery system will play a key role in revenue generation in future.

 Shubham Khampariya

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