The on-demand economy might be a relatively new thing, but it is growing rapidly as more businesses turn to the Uber business model. As they work towards developing iOS apps and Android apps, we can expect to see an increasing number of on-demand service apps in the near future. While most won’t end up being the next Uber, there are opportunities for businesses that decide to start offering on-demand apps.
How On-Demand Apps Became so Popular
Several factors came together to make on-demand apps popular. Smartphone ownership has increased significantly in the last few years giving people access to the on-demand economy.
You can also argue that the gig economy has introduced this new business model giving people a new way to make money, but it has also changed the expectations of the consumer. With a world of information, entertainment, and shopping available at the touch of a button, people have gotten used to getting what they want, when they want it.
Beyond that, you have also had a few major success stories in the on-demand economy. With apps like Uber and Airbnb gaining such popularity and consumers enjoying the convenience that they offer, it was only natural for businesses to try to translate that success to other industries.
Now there is a wide range of on-demand apps operating in many different industries. New on-demand startups are also popping up all the time, full of innovative ideas and are hoping to find new ways to serve customers better. Plus some large existing companies like McDonald’s and Taco Bell are finding that they need to partner with on-demand apps like UberEats to reach consumers.
Expanding into New Industries
The popularity of apps like Uber might be one of the better-known stories from the on-demand economy, but it is really just the tip of the iceberg. This new way of doing business has spread to several different industries and it is changing the way consumers get a wide range of different products and services.Along with transportation and accommodations, people are hiring plumbers, getting roadside assistance, booking stylists, and getting their groceries. We are even seeing apps that offer on-demand healthcare services—which is definitely a game changer.
Businesses and other service providers are recognizing the advantages that come with being able to reach consumers where they are. With this business model, products and services become more accessible and consumers get what they want in a timely and convenient manner. Companies are also discovering that by operating this way, there is little to no overhead cost. They are making money by connecting people, not be selling a good or a service. It’s a whole new way of thinking. With this realization, more businesses are continuing to look into the possibility of operating within the on-demand economy.
A Shift Toward Personalization
The internet has given consumers a taste for increasing levels of personalization in the products and services they use. For businesses moving into the on-demand economy, there are new opportunities to give consumers the personalized service they desire.
With the ability to collect and analyze customer data, on-demand apps can take personalization to the next level and provide customers with a whole new experience. Customer experience is at the center of digital transformation and on-demand apps are revolutionizing the way businesses deliver a stellar customer experience.
If the on-demand economy hasn’t come to your industry, it is probably only a matter of time. The question most business owners should be asking themselves is if they can find a way to integrate on-demand services in with their current business model. If you want to thrive in this changing economy, you need to start thinking of ways you can make this transition now.
Rae is a graduate of Tufts University with a combined International Relations and Chinese degree. After spending time living and working abroad in China, she returned to NYC to pursue her career and continue curating quality content. Rae is passionate about travel, food, and writing, of course.