Basics of Developing On-Demand Service App

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Many well-known companies like Uber, Netflix, and Airbnb have seamlessly integrated into our daily lives, reshaping how businesses cater to clients through on-demand service apps. Considering the fast-paced nature of modern life, these on-demand applications have promoted a significant shift in how people access various services. Individuals are now fully dedicated to their work and family duties, spending little time on routine tasks like shopping, cooking, driving, etc.

According to Statista's market research, mobile apps are expected to generate almost $935 billion in 2023. At the same time, PWC reports that the on-demand mobile service apps will reach a great value of $335 billion by 2025. These convenient solutions specifically target those who seek quick and effortless access to a wide range of services. In response to this demand, the on-demand economy has evolved to create an optimal purchasing environment, ensuring that customers can rely on the service delivery process's quality, convenience, and reliability.


Below, we will explore the nature of on-demand app development products, their key advantages and features, and the steps for their successful development. Also, we will briefly analyze the most popular types of relevant on-demand solutions. So, let's start the journey!

What Is an On-Demand Service App?

On-demand app development solutions are innovative platforms designed to bridge the gap between time-sensitive customers and independent service providers or agents. These on-demand applications act as intermediaries, facilitating the connection between businesses and their target audience, enabling them to establish mutually beneficial relationships.

The growing popularity of on-demand apps relies on their remarkable ability to satisfy individuals' unique needs. Besides, because of the constant growth of mobile users, their expectations have shifted dramatically. They now anticipate the convenience of obtaining the desired on-demand services with just a few clicks on their screens at almost any time. Such a tendency has set a new standard that businesses must meet to thrive.

But now, let us dive deeper into the performance of a proper on-demand business model.

How Does an On-Demand Business Model Work?

In the modern landscape, the on-demand economy and service apps have revolutionized customer engagement with services. That has become possible due to a broad transition to the platform-as-as-service (PaaS) model, which also involves utilizing various application programming interfaces (APIs) and third-party integrations. Thus, by swiping credit cards or using online payment systems, clients can select which services to obtain and how much they wish to pay for them.

Companies like Uber and Netflix have emerged as robust connectors, bridging the gap between people seeking goods or services and those capable of providing them, all at a specified price. On-demand service apps typically focus on specific domains, such as Airbnb for housing, Lyft for transportation, or GrubHub for meal ordering.

Occasionally, companies expand their offerings across different domains, as seen with Uber and Uber Eats branching into separate on-demand mobile app development solutions. This specialization ensures that clients can easily navigate the segmented on-demand marketplace, always knowing which on-demand solution to use when seeking a specific need: food, transportation, accommodation, or entertainment.

The on-demand service business model is characterized by a heightened sensitivity to delays and a high degree of agent independence. Clients expect prompt delivery of goods and services. Meanwhile, a service provider acts as independent contractor, deciding when and if they wish to work and receiving payment from the platform for completed services.

Ultimately, an on-demand service platform is typically developed as mobile and web applications, ensuring quick and easy access for users and providing a seamless customer experience. These apps are effectively managed via an admin dashboard, which oversees ongoing and completed operations, providing comprehensive control and oversight.

Understanding customer preferences and identifying the most intuitive and efficient method of service delivery are crucial aspects of on-demand app development services. Essentially, there are three primary options available. Businesses can offer services through business-to-customer (Netflix), business-to-business (Glovo), or customer-to-customer models (Airbnb). But when it comes to industries or market sectors, the key types of on-demand app development solutions are the following.

Healthcare & Telemedicine

The telemedicine industry is rapidly evolving, consistently incorporating the latest techs to ensure the delivery of high-quality services. So, telehealth on-demand apps aim to establish secure and seamless connections between individuals needing medical consultations and qualified healthcare professionals capable of providing them.

Utilizing Zocdoc, Healthtap, Doctor on Demand, and LiveHealth Online mobile app development solutions, users can quickly discover specialists, review their ratings and certifications, book appointments, and receive consultations through video calls. Besides, telehealth apps can facilitate remote patient monitoring, gather health data, enable requests for in-person doctor visits, support wireless testing, and monitor prescriptions. Thus, their full potential is still being explored.

Finally, it is evident that an on-demand app in healthcare must adhere to some laws and rules, like HIPAA or GDPR, to establish legitimacy. As a trusted on-demand app development company, Exoft can help you meet all the legal requirements appropriately.

Transportation & Logistics, Taxi, and Car Rental

Today, transportation and logistics services are experiencing significant advancements and improvements. They have gained popularity as they offer on-demand transportation, real-time vehicle tracking, in-app messages between clients and suppliers, fast payments, and transparency in terms of pricing. With such on-demand app development products, mainly providing freight forwarding and last-mile delivery services, customers can seamlessly transport parcels to any location.

On-demand taxi apps have also become invaluable, providing crucial benefits, including GPS and map navigation, in-app calling for clients and drivers, and ratings and review systems. Uber has emerged as a prominent player in this sector, revolutionizing the entire on-demand cab service industry. But many companies offer similar services, such as Lyft and Flywheel. And there is a need to mention car- and bike-sharing on-demand apps that meet the modern world’s demands regarding eco-friendliness and gas emissions reduction.

Lastly, the availability of car rental services such as Turo, Zipcar, and easyCar has made it incredibly convenient to choose from a diverse selection of cars, reserve the one by the hour or day, access 24/7 roadside assistance, and request pick-up or drop-off. Therefore, with such a car on-demand app, the lack of a personal vehicle is no longer a hindrance.

Food & Grocery Delivery

The convenience of having groceries or meals delivered right to your doorstep, no matter the time or location, has become a common practice. Renowned food delivery applications like Uber Eats, Instacart, GrubHub, and DoorDash have revolutionized how people access food services. On-demand delivery app tools offer many pros for customers and restaurants. Restaurant owners benefit from increased orders and streamlined order management processes, while users enjoy the convenience of quickly navigating user-friendly menus.


The on-demand delivery app market predominantly revolves around the food industry, including various solutions such as grocery, pizza, and even alcohol delivery apps. This thriving sector caters to the ever-growing demands of potential customers seeking seamless delivery experiences.

Furthermore, it is crucial to mention Postmates. This on-demand platform sets itself apart from the others previously discussed. Postmates offers an innovative food delivery app that enables users to order a wide range of items and receive door-to-door delivery, extending beyond just food. It guarantees convenient delivery of practically anything you desire, whether furniture or milk.

Travel & Tourism

The realm of travel covers many on-demand app development tools that offer valuable resources to individuals embarking on journeys. Among these useful tools are translation apps, city guide apps like Tripadvisor, restaurant apps, and messaging apps, all aiming to enhance the travel experience.

With the remarkable advantages of online booking, which spans accommodations (for instance, Airbnb and Booking) and dining options, the development of travel apps and tourism planning has experienced a substantial surge. This surge is driven by the desire to solve travelers' challenges during their trips.

On-demand app solutions like travel apps are also often comprehensive tools that mix various features in a single app. Such features include event schedules, flight and hotel reservations, car rentals, tourist attractions lists, etc. By consolidating these services, travel apps streamline the planning and execution of plans, making the entire experience smoother and more enjoyable.

Finance & Banking

Fintech and banking on-demand app products have emerged as user-friendly solutions for managing funds, accessing account information, and conducting payments for products and services. Discover, Varo, and Chime are examples of such apps. Their primary objective is to streamline and automate financial services through an intuitive interface.

Fintech and banking apps come in different forms, catering to various aspects of financial well-being, like account management and cash flow optimization. At Exoft, our app developers can build an on-demand app that also covers financial services, including digital payments, banking functionalities, loans, and investments.


Education on-demand apps offer a powerful platform for delivering practical virtual learning experiences to learners. Also known as e-learning or EdTech, these on-demand app development solutions provide interactive tools and features, including hybrid learning and social learning capabilities. Meanwhile, their advent has revolutionized the educational landscape by breaking the barriers of space and time. Students, teachers, and parents can now stay connected and engaged in learning activities from anywhere in the world.

With an experienced development team, education apps may serve as integrated systems that facilitate interactive online services for trainers, learners, and other stakeholders in the education industry. It enables the sharing of educational information, tools, and resources. Students can register and log in to the app to explore their preferred subjects, while educators can share materials and resources related to their areas of expertise.

By leveraging the e-learning on-demand app, students' academic progress can be significantly improved, fostering a dynamic and accessible learning environment. Today, the most popular education mobile app development products include Udemy, Khan Academy, Coursera, and edX.

Wellness & Fitness

Incorporating regular workouts into your lifestyle is crucial for maintaining a healthy and balanced life. Meanwhile, with the increase of IoT-enabled wearable devices, modern on-demand wellness and fitness apps take this concept to the next level by offering highly personalized on-demand services in yoga (Glo), pilates (Body by Blogilates), running & cycling (Strava), and various other sports.

One of the key benefits of such on-demand mobile app development solutions is their convenience. With a personal trainer on your smartphone or a comprehensive collection of home/gym workout programs at your fingertips, achieving your fitness goals becomes more accessible. Meanwhile, on-demand app developers can enable customers to request online and onsite training guided by a fitness expert.


Besides, the online fitness on-demand marketplace creates an excellent opportunity for trainers and users, fostering a mutually beneficial environment for requesting and delivering workouts. Lastly, the relevant on-demand app offers great pros of the on-demand business model, like flexibility, reliability, easy booking and payment processes, and ratings and reviews to guide your decision-making.


Entertainment on-demand app development solutions cover various applications offering interactive leisure and enjoyment activities. They create an ecosystem that catalyzes content creators, artists, and marketing strategies, enabling them to monetize their offerings.

There are several types of these on-demand mobile app development products, the four most popular being social media (Facebook and Instagram), music (Spotify), video streaming (YouTube and Netflix), and gaming apps (Pokemon GO). Each category offers unique ways of engaging with content. From listening to our favorite songs to connecting with friends and exploring their content, on-demand app developers can provide diverse avenues for interactive entertainment experiences.

Ultimately, providing entertainment is no longer limited to industry insiders. Now, anyone can give it a try. Videos, podcasts, blog posts, live streams, photographs, drawings, and music can be created and shared within the relevant on-demand mobile app development solutions by individuals with no prior experience or a desire to entertain millions.

Home Services

On-demand app products in the home services sector can be broadly classified into several categories: house cleaning & repair, packing & moving, babysitting, pet care, etc. These apps connect users with a pool of registered professionals who can fulfill their specific needs. A skilled development team can build an on-demand solution with features like easy booking, price comparison, contractor credibility verification, and access to reviews and ratings.

Users can choose between independent organizations directly employing workers or marketplaces acting as intermediaries between customers and specialty contractors. Meanwhile, the most popular on-demand mobile app development solutions offering home services are house cleaning and repair. These involve TaskRabbit, Handy, Homeaglow, and Slate. With professional on-demand app developers, you can create apps that offer a range of services and facilitate easy booking and hiring of professionals with just a few clicks.


The COVID-19 pandemic has revolutionized the traditional spa and beauty salon industry. Several on-demand app products in the beauty sector, such as BeautyStack, BeYou, and Soothe, have emerged, providing convenient on-demand platforms for booking stylists and therapists. Despite the changes, individuals still prioritize investing in top-notch personal care. What has evolved is how these services are booked and delivered.

Thus, users can hire beauty professionals to create stunning makeovers for special occasions, receive doorstep deliveries of beauty products, schedule appointments at beauty salons or spa centers, and indulge in various skincare and wellness treatments in the comfort of their homes.

Once such an on-demand app is downloaded, users can effortlessly browse through a range of local beauty professionals listed on the platform. They can book their preferred professional for the desired services with a few simple taps. Upon booking confirmation, this specialist promptly contacts the client to coordinate the appointment details, including the time and location where to perform the chosen services.

Key Advantages of On-Demand Service Apps

With the appropriate on-demand app development services, users get the following benefits:


On-demand app development solutions offer customers a remarkable opportunity to place orders quickly. With a single app at their fingertips, users can effortlessly search, book or schedule, make payments, and even provide reviews for their orders. The process is as simple as a quick button tap, enabling users to acquire precisely what they need in no time.


The convenience offered by on-demand service app development solutions extends far beyond simple delivery processes. They prove invaluable at every stage of service delivery business, empowering users with instant access to many features. From intelligent search capabilities to real-time tracking, seamless payment methods, and prompt and convenient delivery, the on-demand app is designed to streamline the entire user experience.


Transparency plays a pivotal role in establishing trust with customers. A robust on-demand service platform recognizes this importance and incorporates feedback systems to ensure transparency and foster trust. Our mobile app developers can build systems that allow customers to provide valuable feedback on their experiences, enabling service providers to identify any gaps in their performance and take necessary steps to address them.

By actively seeking and embracing customer feedback, on-demand mobile app development solutions strive to continuously improve their services and build a solid foundation of trust.

Common Features of On-Demand Apps


Here are several most essential features a proper on-demand app contains:

  • User registration & user profiles. Provide users with the opportunity to register and create their profiles (customers/companies) based on your app's marketplace model.
  • Map integration. Integrate maps to enable users to locate your business or other on-demand service providers nearby.
  • Real-time monitoring. Implement real-time tracking functionality, allowing users to track the courier's location and estimated delivery time.
  • Filtering and listing. If your business offers multiple products or services, include filters to help users refine their search based on location, specific offerings, payment methods, and other critical parameters.
  • Vendor profile. For a multi-vendor on-demand marketplace, vendor profiles are essential. They allow customers to assess the credibility of businesses and access crucial details about each vendor.
  • Shopping Cart. Enable customers to add desired services or products to a shopping cart, facilitating a seamless transition from research to purchase.
  • Payment gateway integration. Offer diverse payment options, including online payment with credit or debit cards, and consider incorporating a cash-on-delivery option for customers who prefer that method for their initial purchase.
  • Rates & reviews. Develop a rating system, allowing users to provide reviews and share their experiences. In an on-demand app, focus on user reviews to gather feedback and enhance customer satisfaction.
  • Push notifications. Utilize push notifications to enhance user engagement, retain customers, and share important updates and news.

By integrating these features into your on-demand app, you can provide users with an optimal experience and establish a solid foundation for success.

Final Thoughts

During the last few years, lots of cutting-edge digital products, mainly on-demand service apps, have appeared on the market. And there is still ample opportunity for new players to enter the field and cater to various untapped on-demand market segments. The provision of services directly to individuals in need has the potential to improve their lives significantly.

Are you considering transforming your innovative business idea into a robust on-demand app? With on-demand service app development from Exoft, you will get the most professional designers and app developers focused on your project. We are dedicated to turning your app idea into a tangible reality! Take the first step and reach out to us today, initiating a fruitful discussion.

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