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3. For the past 2-3 years, consumer
media habits have drastically
shifted because of user
experience and convenience. The
average time spent on connected
devices was 3 hours and 50
minutes per day in 2023. As a
result, the on-demand delivery
market is expected to generate
around $335 billion in revenue by
2025.
Furthermore, social media has become an important
tool for modern consumers to learn about different
innovations happening around them. About a third of
U.S. adults use smartphones to buy things online
weekly.
However, from an On-Demand Delivery business
perspective, it is important to cater to every user,
both on the website and app. Let’s see which one
should be prioritized over the other in terms of
design and development.

4. Modern smartphone applications provide significant
convenience advantages over websites for on-demand delivery
platforms seeking to encourage repeat orders. The core
workflow and navigation blend into frictionless user
experiences that promote habitual use, such as one-click
checkout. Additionally, biometric authentication via Face ID
creates seamless re-ordering compared to repeated password
entry on websites.
Moreover, push notifications remind customers what is
currently going on, prompting timely re-orders. Even the
developers have created algorithms that analyze histories to
suggest replacement items proactively. However, the initial
onboarding process of acquiring new users may be more
convenient through a website.

5. Studies show mobile users spend over 85% of their
4+ hours of daily connected device time on apps
rather than websites. Capturing this frequent daily
engagement with an optimized app experience
drives massive long-term business value. Without
an app presence, a significant fear of missing out
(FOMO) risk exists, which is also true for daily users
as it forms the basis of not missing out on any
offers or deals.
Thus, on-demand businesses must cater to these
ingrained app-centric daily mobile habits.
Meanwhile, a critical priority is pushing website
visitors to install the app to benefit from daily use.
This takes full advantage of the frequent mobile
app engagement that defines modern digital
habits.

6. Over the years, personalization has become increasingly crucial to modern
shopping customers. Both websites and apps allow customization, but apps
facilitate user preferences that are more adaptable as compared to websites. They
also track engagement for content refinement. When an app asks for location
permission, it’s mostly because of geo-targeted promotions. Meanwhile, websites
collect user data yet lack flexibility in delivering personalized experiences.
Furthermore, push notifications represent a direct home screen advantage for
customers, but their overuse irritates users. Apps require diligent support through
continuous updates for relevance, unlike websites that are subtly tweaked as
needed. That is why abandoned apps damage brands by remaining publicly
accessible. Meanwhile, websites also need maintenance but are typically more
affordable than apps.

7. Consider a potential new user finding your business for
the first time. What action is more likely to be quicker -
opening up their mobile browser to visit your website or
searching through the app store to find your app, then
patiently waiting as it downloads?
It’s clear that with a mobile-optimized website, there tend to
be fewer barriers standing in the way. Most commonly, your
customer’s first contact with a business occurs either
through visiting the website directly or seeing posts on social
media. This means having an effective and easy-to-use
mobile website is the more practical option to attract new
customers from the ground up.
The choice between prioritizing a website experience over an
app, or vice versa, depends significantly on the phase of the
customer lifecycle. Meeting potential new customers where
they are with a website is important at the start while providing
existing customers with the best experience through an app
they have already downloaded drives retention over the long
term.
However, once a customer has downloaded your app, your
On-Demand Delivery business has largely overcome the main
obstacles to engagement and access. With a mobile app,
relevant data can be stored on the user's device rather than
being retrieved from remote servers every time. Login and
authentication processes can also be sped up through
biometrics like fingerprint or face recognition compared to
typing-in credentials. Above all, the app can be designed to
be easily accessible on the user's home screen.

8. The initial development costs for mobile app development
revolve around $50,000 to $250,000+ to design, code, and
launch custom native iOS and Android apps. Moreover, it will
require dedicated engineering teams to add features like
order tracking, location services, push notifications, in-app
messaging, and payments. Whereas, website development
costs around $5,000 to $50,000 for responsive website design
and development of core on-demand functionality, which can
be done with smaller teams.

9. After the launch of the mobile app, monthly or
annual costs of $5,000 or more are generally
reserved for fixing bugs and complying with OS
updates. Generally, these updates are done once
every two to three weeks and can be extended
for months. However, it is advisable to be
attentive during the initial phase to enhance
features, ensure performance, and resubmit
updated versions to the app stores through
arduous review processes.
Meanwhile, websites generally require
less intensive resubmission and review
procedures. It costs around $500-$2,000
through an agency that provides hosting,
security, backups, updates, and speed
optimization.

10. To drive more installs, most entrepreneurs often
invest in paid user acquisition channels like
social media and search ads. Still, ongoing costs
are high at $5-$15+ per acquired customer. On
websites, SEO is largely done for ranking
purposes and for achieving higher ROI as well.
Although SEO, an ongoing process, is done
properly to improve brand visibility and organic
website traffic quality over time at more
reasonable CPM or monthly retainer rates.
Based on these key cost factors, developing and
operating an On-Demand Delivery platform
requires a substantially higher overall budget,
specialized resources, and a longer-term
commitment. The decision depends significantly
on the delivery business model and
monetization potential.

11. Websites provide easier initial access during the earlier parts of the customer
journey before an individual has committed to fully engaging with the brand by
downloading a dedicated app. On the other hand, tailored mobile apps provide
superior accessibility and ease of use for existing customers who have already
downloaded the app and are more deeply committed to consistently engaging with
the brand through that platform.

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