The on-demand services sector has witnessed rapid growth in the recent past.
From transportation, food and grocery delivery to booking your doctor’s appointment, the on-demand economy is gaining pace, pushing the conventional models behind.
According to the PwC research, it is estimated that the on-demand economy will soar to reach a whopping $335 billion by 2025.
The wave which Uber and Airbnb started, has its ripples stirring the entire economy worldwide.
The uberization has begun, and now there is no going back.
The mobile app development industry has also boomed along with the rise in the number of smartphones over the years.
Another fact which will support the above-said situation is that, according to Burson Marsteller, The Aspen Institute Time, 42% of the adult Americans have used at least one on-demand service.
The on-demand economy is beneficial to many at different levels of the food chain.
Primarily it provides a wide range of opportunities for entrepreneurs.
Also, the consumers get their goods faster at a lesser price when compared to the traditional ways.
Again when looking at a macro level, the on-demand economy profitably facilitates better utilization of resources.
Even though the on-demand economy is covering many sectors, the major players are very few.
The investors jumped in to ensure their share in the booming on-demand services in the first quarter of 2015.
But by the third quarter of 2015, the venture capitalist investments came down for the on-demand services unless you are Uber or Airbnb.
Now let’s fast forward to 2020. We are witnessing the biggest revolution in the on-demand industry.
According to CBInsights, among the 310 companies whose value is or above $1 billion, 23 belong to the on-demand industry.
What more to say, every year, 22.4 million new consumers are opting on-demand services to fulfill their needs by spending 57.6 billion dollars, according to Harvard.
On-demand delivery services are being hailed all over the world as lifesavers.
We’ll be discussing the top 7 industries which are now holding power to disrupt the entire traditional sector.
According to eMarketer, the global e-commerce industry is expected to reach 6.542 trillion dollars by 2023.
The precision with which the e-commerce industry fulfils the on-demand delivery services has always attracted millennials.
E commerce applications like Amazon, Flipkart, and Alibaba have given us a whole new experience of shopping.
Notably, the Asia-Pacific region has the highest e-commerce growth in 2019 compared to the other areas.
Ecommerce app development has also witnessed an upsurge as a result of the rising revenues.
Looking again at statistics, we understand the hold of e-commerce in different countries.
Ecommerce soars with the increased use of smartphones.
People are glued to the screens, and they will probably order something online rather than go to the store.
Who doesn’t like their groceries to be delivered at their doorstep hassle-free?
Since on-demand services started flourishing like nothing before, on-demand app development has also witnessed a sea-change.
The On-demand transportation industry is a golden pool for investment when it comes to venture capitalists.
By 2025, the on-demand transportation market size is expected to reach $304.97 billion.
Taxi booking apps like Uber, Lyft and Ola are writing a new chapter in the on-demand transportation sector.
According to research, the market size of the on-demand transportation market size is anticipated to expand at CAGR of 19.8% from 2018 to 2025.
The graph explains a lot about the deeper divisions in the transportation market.
Online taxi booking, car-sharing or pooling, car rentals and pre-scheduling your rides are some of the features an on-demand transportation provider has to offer its customers.
On-demand food delivery is an industry which is undoubtedly scaling up in the map of on-demand services.
Millennials adore online food delivery apps.
The on-demand food delivery sector is expected to touch 200 billion dollars by 2025.
Such a massive spike for industry within its first ten years of inception.
Food delivery apps like Uber Eats, Seamless, GrubHub, and Doordash are now a part of Millenials everyday lives.
Eating out gave way into ordering in.
According to Statista, revenue from the online food delivery industry’s amounted to $122739 million by 2020.
Pizza Hut launched the very first food delivery service in 1994.
Since then, the online food delivery business has taken an upward climb.
Food delivery app development companies made sure that they explore the opportunity at hand to soar their business.
With the increasing ease that comes along with the on-demand food delivery apps, it is expected to rise even higher in the coming years.
Definitely, an industry to invest some of your hard-earned money.
On-demand healthcare mobile apps are gaining popularity widely.
When it is challenging to get that appointment with the doctor, on-demand mobile apps come to your help.
In 2017, the global online health market generated a revenue of 73.1 billion USD as per reports.
Healthcare industry is vast, and it can be categorised into many.
Telemedicine, health, electronic health record(EHR), and healthcare analytics are some of the divisions.
The graph gives an idea of the boom in the on-demand healthcare industry, which began in 2018.
Venture capitalists are identifying the vast potential that lies in the on-demand healthcare industry and is now sending in their shares into healthcare app development.
Another industry that is undergoing tremendous change is the on-demand logistics industry.
With the increased popularity of e-commerce platforms, the expectations on logistics also skyrocketed.
To meet the user’s expectations, the logistics industry has gone online.
Now you can book your truck or even drones to transport your consignments online anywhere anytime through logistics apps.
With the integration of technologies like AI, IoT, Blockchain and machine learning into logistics, the services they provide will meet a whole new level of perfection.
According to a study by Forbes, 61% of the companies rely on external services to fulfil their logistics needs.
Efficiency is crucial to meet the expectations of customers with the advancement in technology.
Logistics app development is something that venture capitalists are keenly observing at present.
The on-demand home services industry is booming with the ease that comes with it.
The increased usage of smartphones for everything and the mob is like ‘there is an app for that’.
By looking into the statistics, we understand that by 2021, the growth of the market of on-demand home services will be at a CAGR of 48.46%.
Mobile app ideas to fulfill various home service needs are flooding the internet.
According to a report, by 2024, the online global home services market is expected or has the potential to grow by 1574.86 billion USD.
There are divisions in the home care industry like repair and maintenance, home care and design, health, wellness and beauty and the others.
With the increase in the number of people using smartphones, the number of people searching for on-demand services rose.
The upcoming world is going to witness a whole new perspective of online home services.
The convenience and ease that comes with the on-demand home services are attracting many to it.
Wondering how video is in the on-demand services?
The video like every other industry mentioned above is one of the highly growing on-demand industries in the world.
Heard of Netflix, Hotstar, Hulu or Youtube?
Ever used one of those?
You’re already a customer who is using on-demand video streaming service with or without knowing it.
Online entertainment is growing like never before, as the best way to reach people today is through their smartphones.
There are subscription video-on-demand (SVOD) and video-on-demand(VOD) for free.
Netflix is an example of SVOD and Youtube a VOD which is now offering SVOD services as well.
According to Statista, the revenue of the video-on-demand industry amount to 34,777 million USD in 2020.
The revenue is expected to reach $40095 by 2024 as per the report.
User penetration is also expected to hit 27.6% by 2024.
A whole new dimension for entertainment is evolving with the growth of technology.
Now that we’ve seen the industries that will drive the on-demand services in 2020, we understand that we are all customers of one or the other on-demand service with or without knowledge.
The world is changing.
So is every industry.
With the innovation of groundbreaking technologies like AI and IoT the perspective with which we’ve seen our world a while before might no longer be relevant.
Evolution is the basics of every being, including humankind.
The same is valid for technology.
The pace with which the human king adapt to the changes in how we mark our presence in today’s world.
On-demand is a colossal industry that serves humanity and provides it with a new experience of speed.
Mindster develops cutting-edge on-demand mobile applications using highly sophisticated technologies available.
With the experience over the years and talent unmistakable, we will help you develop the app which holds power to transform your business forever.
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