If you’ve landed on this article page, you’re probably searching for a
good business idea—an idea that’s light on the pocket but heavy on
returns, promising both a fulfilling journey and potential profit.
|
How to start a lucrative Food Delivery Service Business In
Nigeria
The food delivery business has been growing exponentially for
quite a time in Nigeria. The country being the seventh most
populous country in the world. Therefore, it provides a great
opportunity for budding entrepreneurs to start their own food
delivery business in Nigeria.
The Nigerian food sector is expected to reach US$2,168m by 2026,
with a growth rate of 41.76%. And with a competitive third-party
food delivery app, you can have a slice of the cake. However,
it’s important to keep customer needs at top priority during the
development stages.
To make scheduled deliveries work, your customers will need to
order their food well in advance. This gives you time to plan,
prep, and deliver your product as fresh as possible. Think about
what cut-off time will work best for you: when is the latest
that the customer can place their order? Will you plan all your
delivery routes a few days before, or on the morning of the
delivery run?
Then, decide your delivery time windows. Will you offer one-hour
windows, or can the customer select an exact time with a
10-minute buffer on either side? From a customer’s perspective,
the tighter the time window the better — but that makes things
much harder for you. So give yourself enough flexibility to
balance customer satisfaction against delivery efficiency.
One useful tactic is to incentivize customers to select wider
time windows, for example by charging a higher delivery fee for
very tight windows.
Choose the right platform for your business
The first step is to choose the right online platform for your
food delivery service. There are a few different options
available, but the most popular in Nigeria is Jumia Food. This
platform offers a simple, user-friendly interface that makes it
easy for customers to find and order your food. Plus, with
Jumia’s large customer base, you’ll be able to reach a wide
range of new potential customers.
Find the right suppliers; One of the most important aspects of
starting a food delivery service is finding reliable suppliers.
After all, you’ll need to source high-quality ingredients if you
want to serve delicious meals to your customers. It’s worth
taking the time to build relationships with local suppliers who
can provide you with fresh, seasonal produce at a good price.
Hire a team of delivery drivers: You’ll also need to hire a team
of delivery drivers (if you intend not to use an already
existing delivery platform) to get the food from your kitchen to
your customers’ homes. Make sure you carefully screen all
applicants and only hire drivers who are reliable and have a
good driving record. It’s also a good idea to provide them with
training on how to properly handle and deliver food orders.
Promote your food delivery service: Now that your restaurant is
up and running on Jumia Food for example, it’s time to start
promoting your delivery service. The best way to do this is by
offering discounts and special deals to customers who order
through the platform. You can also promote your business on
social media, using hashtags such as #JumiaFoodNigeria or
#fooddeliveryinnigeria.
Deliver great food – and great service: Of course, the most
important part of any food delivery service is the food itself!
Make sure you’re using fresh, high-quality ingredients, and
cooking your dishes to perfection. And don’t forget – good
customer service is just as important as great food. Be prompt
with your deliveries, and always take care to package the food
properly so it arrives in perfect condition.
Track your progress – and keep improving:
it’s important to track your progress, so you can see how
your food delivery service is performing. Whatever platform you
use, must provide detailed analytics that show you things like
how many orders you’re getting, what time of day people are
ordering, and which dishes are the most popular. Use this
information to fine-tune your menu and promotion, and keep
growing your business.
Prepare a budget estimate for setup cost
Key investments for the food business include food delivery
apps, Digital marketing, Social media management. Not just
planning, it’s crucial to prepare a road map keeping in mind
your business goal and target market, i.e., Nigeria. Prepare an
action plan for the same as this will help monitor your business
growth and make changes accordingly. A standard food delivery
business plan contains the following information; A catchy and
unique brand name. Location, target market, and restaurant menu.
Setup and Operational cost. Forecasted ROI (daily, weekly or
monthly). Required manpower (depending on your desired business
scale). Overhead expenses. Expected growth rate. Register With
Local Authorities
Build A Virtual Brand Presence
In this technology-dominated world, a business needs to build a
brand's virtual presence and connect with target audiences. With
a strong online presence, you can easily overcome the initial
challenges that any food business faces in onboarding new
customers.
This is where our tech experts can help food delivery businesses
in Nigeria. Marketing and social media promotions effectively
engage with your target audience. But with a customized food
delivery app just like UberEats, you can convert the audience to
loyal customers. We are going to discuss food ordering software
later.
Typically, for any food delivery business in Nigeria, it takes a
while to build a loyal customer base and be profitable. But by
leveraging the power of technology and online platforms, you can
break barriers and grow your business.
Payment Option
A food delivery app integrating multi-payment methods such as
Debit/Credit card, Cash On Delivery, eWallets is a must-have
feature. With this, customers can easily move from ordering food
to payment methods.
Commission
Most food delivery apps charge a direct commission from partner
restaurants in lieu of their services. You can change predefined
commissions based on the order size with your own build app.
Surge Pricing
In this revenue model, the food delivery apps charge additional
delivery charges when there is high demand or bad weather
conditions. Usually, food delivery apps charge more during the
festive season, holidays, weekends, or bad weather.
Just like any other online business, an online food business can
be operated from the comfort of your home. As mentioned earlier,
operating an online food business does not require a physical
location. However, high chance are you thought of start an
online food business since you didn’t have a lot of capital that
can get you a physical place to operate from.
Get license : Once you’re in the business of selling
consumables, you have to make sure that you’re operating with a
license from appropriate bodies like SON and NAFDAC. It’s
advisable to get these licenses on time in order to avoid
getting shut-down or having problems with the authorities.
Following these simple tips will help you get started with food
delivery in Nigeria. With a little effort, you can soon build up
a loyal customer base – and start seeing a real boost in your
sales. So what are you waiting for? Start setting up your
restaurant on your preferred platform today!
Get our practical guide on how to start a lucrative food
delivery Business in Nigeria. If you are planning to start a
food delivery business in Nigeria, contact with us to develop
your own food delivery app and become a part of this big buck
venture. Then we at the right expertise and technology to turn
your dream into reality within your expected budget.
|
