Today’s digital era has revolutionized every aspect of life, and grocery shopping is no exception. The rise of quick commerce has reshaped the online grocery delivery business, creating numerous opportunities for entrepreneurs and startups.
According to Statista, Australia’s grocery delivery market is projected to generate revenue of $10.17 billion by 2025. This growing industry is expected to show an annual growth rate (CAGR) of 7.80% from 2025 to 2030, resulting in a projected market volume of $14.80 billion by 2030.
Players like Coles are leading the Australian grocery industry. For entrepreneurs looking to launch a grocery delivery platform, building an app like Coles is a lucrative opportunity. However, it requires proper planning, strategy, and analysis of the industry.
In this blog, you will learn everything about Coles. Additionally, this comprehensive blog will discuss cost estimation, development approaches, necessary features, and available solutions.
Coles is a household name among Australians. It has over 850 stores across Australia, offering a wide range of products, including groceries, daily essentials, baked goods, fresh fruits and vegetables, as well as other items. Additionally, Coles also has liquor stores under its umbrella.
The Coles app allows its users to easily browse products. It offers a seamless shopping experience with its intuitive navigation, custom filtering, and relevant product recommendations. Furthermore, eco-friendly initiatives are encouraged by Coles, which attracts environmentally aware user segment.
Coles started its journey from a variety store, selling a range of inexpensive items, and transformed itself into a leading supermarket chain. Its customer-centric approach, strategic acquisition, and innovation adaptivity are some major reasons contributing to its success. From stores to mobile phones, Coles’ journey has been a pioneer in the industry.
Coles was founded in 1914 in Melbourne, Australia. Its early entry into the market provided a competitive edge. Initially, its focus was on providing a wide range of products at low prices. However, in 1958, it acquired 54 John Connell Dickins grocery stores, marking a significant move into food retailing.
Coles’ plan was to launch supermarkets offering everything a family might need. In the 1960s, it launched the nation’s first freestanding supermarket with car parking. In the 1970s, Coles stretched its network of retail outlets across the country, focusing on value, convenience, and innovation.
Coles has been embracing technology for a very long time. In 1982, Coles was the first to introduce electronic scanners in its stores, providing customers with a printed receipt of all their purchases.
Coles launched its online shopping application in 1999, when only 5% of Australians were using the internet for shopping. It has seen remarkable growth since then. Currently, Coles’ online sales have an annualised revenue of more than $1 billion. With its omnichannel marketing strategy, Coles caters to 80% of Australian homes.
In addition to the above-mentioned, various types of offers and plans are offered by Coles, which have contributed to its increasing popularity.
Coles’ app has been catering to the needs of users for the past 20+ years. The platform’s workflow is simplified to streamline the user experience. It offers an intuitive interface, easy-to-use functionality, unparalleled convenience, and speed to its customers.
Let’s have a look at how the Coles’ app operates:
Customers first create an account and browse through a wide range of products, including groceries, special offers, and value deals. After that, they select a preferred store to fulfill their order, add items to their cart, and proceed to checkout. To confirm the order, they make the payment by choosing a method such as credit/debit card, net banking, UPI, or cash on delivery (COD). After payment completion, the order is booked.
After the order is booked, the selected store begins the order fulfillment process by picking and packing the items.
Once the order is packed, delivery partners pick the order from the store and deliver it to the customer’s doorstep.
Meanwhile, using admin panels and robust backend systems, the admin manages real-time inventory, updates product catalogues, creates personalized offers, and more.
Coles combines several business models on a single platform to increase its revenue and gain customer retention. Moreover, with its strategic blend of technology, the platform provides a smooth operational interface to its customers. Coles’ business strategies are discussed below to provide you with a clear view and understanding.
Coles offers doorstep delivery of the booked products. It charges a delivery fee to the customers. However, free delivery is offered under some conditions, such as to new customers or for a minimum order value.
It allows customers to choose where and when they want to collect their order. They can select their preferred date and time for the pickup. They need to place their order before 2 pm for same-day pickup. However, for some products like Tobacco and Liquor, this service is not available if the person collecting the products is underage.
Coles provides bulk delivery to businesses. From office supplies to meeting snacks, it offers delivery and pickup of all kinds of products. Additionally, it offers scheduled delivery to businesses and free delivery for orders above $99.
To set itself apart from its competitors, Coles’ app offers a distinctive set of features to its customers. These features are strategically designed to provide an exceptional user experience, build a strong foundation, and establish trusted relationships with customers. Some of them are listed below:
It allows users to view their previous orders and easily find the products they need again. This feature streamlines the shopping experience by saving time.
Through this feature, users can collect points; every dollar spent is equivalent to 1 point. By collecting 2000 points, users can get a $10 discount while shopping in the Coles store. Other than that, by spending $30 on Coles, users can save 4 cents per liter on fuel at Shell Coles Express.
Furthermore, Coles has a Flybuy app where users can activate offers for bonus points.
Two subscription plans are offered by Coles: Coles Plus Saver and Coles Plus.
| Coles Plus Saver | Coles Plus |
|
Available at $7 per month 10% off (up to $50) every calendar month Double Flybuy points Access to exclusive deals Priority Customer Service |
Available at $19 per month or $199 per year One month free trial Bonus Flybuy points Rapid click & collect Unlimited free delivery Exclusive Coles Plus offers |
The store locator feature helps users find a nearby store using their current location or postcode. Users can also access information like store address, timings, directions, and contact number of the store via this feature.
| Admin-Specific Features | Seller-Specific Features | Buyer-Specific Features |
|
Admin Dashboard Commission Management Performance Analytics Multiple Levels of Administrative Access SEO and Marketing Tools Delivery Management Subscription Packages Management Content Management |
Vendor Dashboard Inventory Management Personalized Offers & Promotions Shop/Store Management Import/Export Bulk Data Platform Reports Delivery Slots Management Order Refund Requests Management |
Voice search Filtering & Sorting Order Substitution Single Item Cancellation Payment Alternatives Auto-detect User Location Order Return Requests Multiple Address Management |
The demand for online grocery delivery is proliferating with each passing day. Existing businesses and big players of the industry are generating profit out of it. Therefore, it becomes essential for entrepreneurs and startups inclined towards this industry to understand the process and different ways of revenue generation.
Monetizing your app in different ways will allow you to boost your business, cover additional costs, and stand out in the market longer than your competitors. There are several revenue generation methods a grocery delivery app can follow.
Let’s explore some of them:
The primary source of revenue generation for grocery delivery apps is charging a commission from vendors. Every time a customer makes a purchase using the platform, a small percentage is charged as commission. Other than revenue generation, this method encourages marketplaces to join hands with more vendors, which allows rapid expansion of the platform.
This method allows the platform owner to provide a special program with premium services to their users. Subscription/membership plans can be created for both customers and vendors listed on the platform.
To retain and gain loyal customers on the app, subscription plans are offered. These plans come with additional benefits, like fast and free delivery, exclusive discounts, and priority customer support, which allure the user to the platform.
Leveraging vendor membership, sellers can take advantage of premium features like access to premium tools, commission benefits, and more. Membership programs attract more sellers to the platform, which helps in scaling the platform.
Grocery delivery apps charge a certain amount as a delivery fee, depending on the distance, urgency, or demand. However, the delivery fee is generally waived off in case of a large cart value or for subscription members, to encourage repeat orders.
Stores looking to increase their sales often partner with grocery delivery apps to promote their products. App charges a premium to these stores for advertising their products on the platform.
The above-listed were the various ways through which a grocery delivery app can generate revenue. One of the main reasons to have multiple revenue streams is to cover the cost of building and operating the platform. Thus, it becomes important to understand the factors that influence the cost of building a grocery delivery app. Let’s have a look at some of the factors.
For entrepreneurs and businesses looking to enter the digital world of grocery delivery, developing a grocery delivery app is a must. But one common and important question everyone has is: “What is the cost of building a grocery delivery app?”. Thus, it is essential to know that the cost primarily depends on the complexity of the app and the set of features you want to provide to your users. Furthermore, various other factors influence the cost of building an app, which we will be discussing in this section of the blog.
Design complexity is the foremost factor that directly influences the cost of building an app. Basic designs cost less, while customized and more complex designs increase the cost, as they take more time and effort from the designer. Furthermore, custom UX/UI designs, animation, and graphics need a skilled design team, which directly adds to the development cost.
Providing advanced features like real-time order tracking, multiple payment methods, push notifications, and more requires more time and effort from the developers, which significantly increases the cost of developing an app.
For providing a seamless shopping experience to users, third-party integrations are crucial. The integration of these extensive APIs increases the cost of building an app as it requires more development effort, testing, and maintenance.
Having a robust security system is essential to protect customer data and secure transactions. It includes two-factor authentication, data encryption, and regular testing. In addition to it, monitoring and maintaining these security measures increases the expenses.
Apart from all the factors listed above, the development approach is a crucial aspect that influences the cost of building a grocery delivery app. Thus, the next section of the blog will provide you with a detailed view of the development approaches and their estimated cost.
There are two primary approaches to building a grocery delivery app: custom development and a readymade solution. Choosing a development approach depends on your business requirements and budget, as it directly impacts the cost of building an app. Let’s explore both the development approaches and their estimated cost.
For developing a grocery delivery app via this approach, a team of developers is needed. This method provides you with full control over design, features, and operations. It also offers easy customization and scalability. However, it is important to note that along with benefits, there are some challenges as well. The first challenge is to find a skilled developer team that understands your vision. Other than that, this method requires more time and money.
Let’s have a look at the estimated cost and time taken by custom development:
| App Complexity Level | Estimated Cost | Development Time |
| Basic App | $3,000 – $15,000 | 6-7 months |
| Medium-Complexity | $15,000 – $60,000 | 8-10 months |
| Complex App | $60,000 – $2,50,000 | More than 1 year |
Readymade software has all the necessary components needed to build a grocery delivery app. It includes industry-specific features, pre-integrated APIs, and much more. This approach is time-efficient and available at a fraction of the cost compared to custom development. However, the major challenge is to choose the right solution.
For entrepreneurs and startups seeking to launch their app quickly, a readymade solution is a smart choice, as it is cost-effective and already market-tested.
Choosing a solution like Growcer is a compelling move as it offers packages starting at just $1999. Moreover, it takes a few weeks to launch a grocery delivery platform.
Explore all the packages offered by Growcer.
Growcer is a cost-effective and time-efficient solution for startups and existing supermarket chains looking to launch a grocery delivery app. It is a robust and ready-made grocery delivery software built specifically for the grocery industry. It offers 100% customization and scalability to meet the business expectations.
Other than that, Growcer’s pre-built framework allows you to launch your platform faster than other development approaches. In addition to it, Growcer is equipped with all the industry-specific features, which we will be discussing further.
The features offered help your platform stand out and attract more users. Growcer, being a turn-key solution, provides you with all the essential functionalities that ensure user satisfaction. Its intuitive interface and simplified layout streamlines the shopping experience. Additionally, it offers a feature-rich dashboard for admins, vendors, and delivery partners to ensure smooth operations on the platform.
Let’s have a look at some of the features below:
Explore all the features offered by Growcer.
Launching an app via Growcer not only allows the benefit of speed, but it also comes with additional benefits. These benefits help your business grow and provide an edge over others. Listed below are some of the benefits offered by Growcer.
Growcer is a white-label solution allowing businesses to launch their grocery delivery app under their brand name.
It supports several business models, such as the inventory-based business model, the hyper-local business model, the BOPIS (Buy Online, Pick Up In-Store) model, and much more.
Startups and businesses can leverage free tech support for 12 months, which comes as an additional benefit with Growcer.
It is available at a one-time payment option, making it a cost-effective solution. It does not have any hidden commissions or recurring fees.
Full source code ownership of web and mobile applications is given to brands.
Go Baqala is an Abu Dhabi-based grocery delivery platform, that aims to provide high-quality groceries at an affordable price. Its primary requirements were to have features such as a product catalog, commission and subscription management, and more. Growcer met all its requirements and streamlined the launch. Today, Go Baqala is efficiently serving customers across the region and thriving in the industry.
Dhalmart is an all-in-one platform that offers groceries, organic vegetables, and more to its customers. Launched with the Growcer, it comes with user-friendly mobile apps for both buyers and delivery staff. Moreover, the platform is integrated with third-party APIs and robust tools for managing inventory and deliveries efficiently.
Kajet, a Singapore-based online marketplace, aims to bridge the gap between restaurants and suppliers. Their requirements were to have user-friendly interfaces, efficient navigation, industry-specific functionalities, and more. Growcer met all of their requirements, enabling a swift launch. Since the launch, Kajet has been thriving in the industry and serving its customers efficiently.
Building a feature-rich app like Coles is not a complex venture if you know the right approach. Creating an app from scratch offers endless possibilities for customization, but it is a costly and time-consuming process. On the other hand, readymade solutions like Growcer allow you to launch the app quickly, at a fraction of the cost compared to custom development. Moreover, it is customizable, which gives you the flexibility to modify it as per your requirements.
Ans. Building a grocery delivery app like Coles can take a few weeks or more than a year. It entirely depends on the development approach and features you want to provide. Building a complex app with all the advanced features via custom development can take more than 1 year. Whereas, readymade solutions take time of a few weeks to a few months, depending on the custom specification needed.
Q 2. Is readymade grocery e-commerce software scalable?
Ans. Yes, readymade grocery e-commerce software is built to be scalable. Especially, solutions like Growcer are built to adapt to your growing business. It offers features and functionality that allow businesses to expand their business without any inconvenience.
Ans. The Australian grocery delivery market is proliferating, and there are some major players in the industry, such as Woolworths, Coles, IGA, and many more. Some of the players have established supermarkets and expanded their business online to cover a greater consumer base.
Ans. Yes, readymade solutions do offer customization flexibility. A solution like Growcer allows you to customize features, graphics, workflow, and much more. Apart from offering customization, it supports several business models and niches, making it a compelling choice.