The access to jobs and other forms of livelihood has become so universal that people are no longer confined to staying in the towns or cities that they were born in. There have been instances of people moving to a different side of the world in search of opportunities. To add to this, the opportunities keep coming to people who are highly motivated towards career growth, and people are willing to shift cities. For instance, a person might need to shift from the city of Washington to the State of Washington in probably a week or less.
For such demands, packing and moving services have always been available. However, it had been quite a complicated and outdated process to book your packing and moving request. Today it has been transformed because of the welcome onslaught of many packers and movers mobile apps.
The entry of mobile apps has coincided with the estimated growth for packing and moving services all over the world.
The packers and movers mobile app service market
It has been estimated that the packing and moving industry in the United States alone will cross $26 billion in revenue by the end of 2020. This humongous growth is not confined to America. The current global logistics market size is estimated to be around €5.5 trillion; the contract logistics market alone accounts for about €214 billion. The estimated growth rate has seen a steady 3% increase since the year 2009, and about 7000 companies spread across about 14,000 cities in the United States operate these services.
As you may have inferred, there is no sign of the industry slowing down. The application of on-demand services to this industry only multiplies the possibilities of profitability. It would not be an exaggeration to say that the market is still wide and open to accommodate new players. Now would be a perfect time for any aspiring entrepreneur to launch their packers and movers on-demand mobile app.
The different business models
The on-demand logistics industry has different business models that you can consider when you engage in your on-demand packers and movers app development. The business model that you will choose purely depends on the market dynamics, the competition, and of course, your audience.
The first one is the dedicated mobile app model, where you use the mobile app as an extension of your existing packing and moving business. The second one is an aggregator where the app does not hold any company but only collects and curates information, so it is available for the customer in an organized fashion.
The key steps
On the surface, the idea of packers and movers and development might seem like a simple idea. However, the intricacies that go into launching the app deserve magnified attention.
- Your mobile app should address the biggest pain points experienced by your prospective customers in your target segment. It is for this purpose that market research is deemed uncompromisingly necessary.
- Technology plays another major role in the development of your on-demand packers and movers mobile app. Choose the right platform, so it will not be difficult to find skills and not eat away a lot of development time, but at the same time, do not compromise on flexibility and scalability.
- Once you have figured out the technological aspects, you will need to ensure that you have partnered with the right mobile app development company. Even if you were to go for a white label clone of existing apps, it is still recommended that you study the credibility of the company that you will be working with.
- Highlight your unique selling points. This goes in line with understanding your customers, and if you were to figure out the perfect way to market your app, it goes a considerable distance in increasing your profit.
Three different apps that are needed to ensure that the on-demand packing and moving up functions without any hassle. There needs to be one app for the customer, one app for the service provider, and another for the administrator to oversee all the activities on the app.
- The user needs to be able to sign in and register for the services without any hassle. If possible, they should be able to use social media logins. The registration should immediately create a profile for them, which will hold a history of all the orders that they have ever placed on the app.
- They should be provided with a versatile payment gateway that enables them to make payments using all mainstream digital methods.
- The user should be able to contact the driver/agency through chat and calls, both of which should be enabled with the application.
- They should be able to select the pick-up and drop-off locations, and if possible, should be able to mark the most frequently used locations.
- The app should be able to estimate the approximate cost based on factors like the size of the consignment, the distance that needs to be covered, the estimated traffic, the tolls, if applicable, and even the nature of the product that needs to be shipped.
- The user should also be given an option to insure their package. It can be enabled by integrating a third-party insurance provider into the app system.
- They should be able to track the movement of the driver on a mapping interface.
- They should be notified of the important events in the process of moving. This can be done through push notifications, email, and SMS. It is to be remembered that all these channels can be used for effective marketing as well.
- They should have access to a review and rating system that will help them rate their experience with the driver and the packing solution provider.
If you use an aggregated model, the agency login is inevitable. The agency will have to partner with your app to make use of the customers that you facilitate for them.
- Just like the user, the agency or the service provider should also be able to sign up for the services without any hassle. However, in addition to the simple sign up that agencies will have, they will also need to provide details regarding their business registration and establish their credibility.
- The agency should be able to view a history of all the orders that they have executed.
- It is to be understood that the agency is in no way committed to fulfilling all the order requests. They should have the flexibility to accept and reject the tasks assigned to them.
- Since most of the mobile apps accept payments online, the agency should have the payment processed to the bank account at the earliest. They should also have a facility to check the earnings on a weekly or monthly basis.
- To make the entire ecosystem democratic, the agency should also be able to rate the customer based on their behavior with the support staff.
The administrator functions as the overseer of all the activities on the app. They should not only be provided with a mobile app but also an interactive web interface.
- The admin should be provided with a dashboard that enables them to view all the information regarding the app.
- They should be able to manage the drivers, the service providers, and the users. This means that they will also have the power to add or remove or block drivers and users.
- The administrator should have a facility to manage the commissions paid out to the service provider.
- They should be able to view the earnings from the app, the number of active orders, the number of active vehicles, and every other statistical information that can be deemed vital.
- The administrator is responsible for managing the content on the app. They should be able to do it through an easily usable CMS.
- They are responsible for customer support, and if required, they can delegate it to a support team.
- They can also accept and reject survey requests.
The avenues of profitability
So far, we have been talking about on-demand packing and moving becoming a profitable business idea. There are a couple of avenues in which the app can witness profit.
The most common pathway for profit is through commissions. The app, in essence, functions as a lead generator for the packing and moving business in the vicinity if it follows the aggregated model. Therefore, the app can charge a commission from the service provider for facilitating that business. It works strikingly similar to affiliate marketing in the online realm.
The app can also have a featured listing to provide enhanced visibility for the service providers who are yet to establish a brand for themselves. They can list the specific service provider on the home screen of the app, so these featured agencies get more orders. Agencies consider this one of the best places to advertise because although the advertisement is passive, it is still extremely targeted as it targets people who are likely to avail that service.
Needless to say, the app can make a profit by running ads on their app. Both the major mobile operating systems provide a facility for an app to host ads. The app owner gets paid by the number of times an ad is shown or the number of times a user clicks on the ad.
As you may have observed, the on-demand packers and movers app development process is a grand culmination of coding, testing, design, and marketing. Although the business aspects might not find any replacement, the business’s technical dimension can make the use of white label clones of existing on-demand packers and movers mobile apps.
These white label solutions save you a lot of time and money and ensure that your product is free from glitches that might interfere with the basic functions. All you need to do is get in touch with the company that specializes in developing and customizing white label clones. They will take care to build the app, customize it according to your business requirements, and have it delivered to you. Just like how you would deliver delight to your customers!