How Much Does It Cost to Build a Delivery App Like Glovo?

The European online food delivery market shows incredible promise. Market projections indicate a surge to $205.37 billion by 2028, with a steady CAGR of 9.46% from 2024-2028. Building a delivery app like Glovo comes with significant investment - anywhere between $30,000 to $250,000 or more.

The numbers tell an exciting story. More than 3 billion people use on-demand food delivery apps in 2024. The Meal Delivery market expects to reach 2.5 billion users by 2030. No wonder entrepreneurs are eager to create their own Glovo-like apps. The Spanish success story stands as proof - Glovo has raised an impressive $1.2 billion in funding.

You might wonder about building your own Glovo-like app without excessive costs. The investment potential makes sense, but success depends on smart planning and cost management. You also just need to understand which features make your app stand out.

This piece walks you through everything - from exact costs to must-have features and launch steps. Let's explore how your delivery app idea can become a strong market competitor!

What Makes Glovo a Standout Delivery App?

Glovo's powerful app connects businesses, consumers, and couriers to deliver almost anything within minutes. This Spanish platform operates in 23 countries and serves about 900 cities, working with over 20,000 businesses and 50,000 drivers. The platform stands out from other delivery services in unique ways. Let's look at the ecosystem that makes it worth copying.

How Glovo works for users, couriers, and partners

Users find Glovo remarkably simple to use. The app requires a quick download and registration. Users can set their location and browse products from nearby stores and restaurants. They can order food, groceries, pharmacy items, or send packages anywhere in town. Live order tracking, meal customization, and quick reordering from favorite spots make the app convenient.

The app has added AI-powered features that enhance each user's time on the platform:

• AI assistants help find perfect gifts
• Flash Deals provide time-limited discounts
• Smart profiles show favorite dishes and friends' recommendations

Couriers (called "Glovers") can earn money flexibly as independent contractors. They choose their work hours and methods. The platform gives them clear tasks, built-in navigation, and detailed earnings reports. Glovo has created a "partner fleet" system where couriers can work for external companies that handle paperwork like contracts and taxes.

Businesses find a digital connection to new customers through Glovo. Local shops and restaurants can join the digital economy - about half of Glovo's business partners had no online sales before joining the platform. The platform provides order notifications, inventory tools, and performance data to help businesses grow.

An algorithm called "Jarvis" matches orders with available couriers to ensure fastest delivery. This tech backbone assigns orders every few seconds and calculates the best match between customers, couriers, and businesses.

Why Glovo's model is attractive to startups

Entrepreneurs looking to build similar apps find Glovo's versatility and multiple income streams appealing. The platform's "category fluidity" lets it work in many business areas, unlike competitors who focus only on food delivery. This approach helps increase user activity and order sizes.

Startups planning to develop a similar app can learn from Glovo's revenue model:

1. Commission from partners: Businesses pay a percentage on platform sales
2. Delivery fees: Customers pay for quick delivery convenience
3. Subscription model: "Glovo Prime" costs about $5 monthly and removes delivery fees above certain order amounts
4. Quick commerce: Their urban micro-warehouses enable ultra-fast deliveries, which generated over €1 billion in sales with 50% growth

Success comes from more than just features - it requires excellent execution at scale. CISIN mobile application development experts suggest focusing on local optimization and mutually beneficial alliances with popular brands.

The platform's "Anything" button stands out as its most impressive feature. Users can ask couriers to bring any item that fits in their delivery bag. This creates endless possibilities for users while maximizing how the platform gets used.

Glovo builds mutually beneficial alliances with supermarket chains, restaurant groups, and sometimes even competitors in smaller markets. This shared approach enables faster growth with less investment - a valuable lesson for anyone creating a similar app.

The platform stays true to its mission: "to give everyone easy access to anything in their city". This clear goal shapes product development and keeps services relevant to local needs. The platform even customizes offerings for specific markets, like water gallons and butane bottles in Kenya.

How Much Does It Cost to Develop an App Like Glovo?

Building an app like Glovo takes serious money. The price depends on how complex you want it, what features you add, and how you build it. Here's a clear breakdown of what you can expect to spend.

Cost range for MVP vs full-featured app

Your development strategy plays a big role in how much you'll spend on a Glovo-like app. Starting with an MVP can cut your upfront costs.

MVP Development (4-8 months): A simple food delivery MVP costs between $35,000 and $70,000. This original version has these core functions:

• Primary user and restaurant enrollment
• Menu and order management
• Payment gateway integration
• Simple item tracking

MVPs help businesses verify market demand without spending too much upfront. This approach cuts initial costs by 40-50% compared to building everything at once.

Intermediate App (7-11 months): Adding more features pushes costs to $70,000-$150,000. This mid-range solution has everything from the MVP plus:

• Refined search and filters
• Customer reviews and ratings
• Push notifications
• Simple admin panel
• Up-to-the-minute tracking

Full-Featured App (12+ months): A complete Glovo-like platform with advanced features starts at $250,000+. These sophisticated systems offer:

• Up-to-the-minute data analysis
• Advanced admin dashboards
• Loyalty programs
• Multiple payment gateways
• AI-driven features
• Promotional tools

Breakdown by app type: single vendor vs aggregator

Your choice of business model shapes both technical complexity and costs. This decision affects your entire technical setup.

Single-Vendor Apps: These platforms work for individual restaurants or small chains. About 70% of consumers prefer ordering directly from a restaurant's own app. This model gives you:

• Complete brand control
• Direct customer relationships
• Ownership of all customer data
• No commission fees to third parties

Single-vendor apps are simpler to build and cost less. You'll spend between $10,000 to $35,000 for simple implementations.

Multi-Vendor/Aggregator Apps: Platforms like Glovo that connect multiple vendors are more complex. About 63% of U.S. consumers order from these apps at least once weekly. These platforms can be very profitable despite higher development costs.

Multi-vendor platforms must have:

• More sophisticated backend systems
• Vendor dashboards and management tools
• Complex commission structures
• Advanced search and filtering capabilities

These complete systems usually cost between $30,000 and $100,000+ to develop. The final price depends on feature complexity, platform choice, and team location.

Your development team's location makes a big difference in costs. Hourly rates run $100-$150 in North America, $80-$120 in Western Europe, $40-$70 in Eastern Europe, and $25-$50 in Asia. The same app might cost $50,000 in North America or $20,000 in Asia.

Note that beyond initial development, yearly maintenance adds 15-20% of the original cost. Your budget should include both launch costs and long-term operations.

Capture the Growing Delivery Market

Don't miss out on the digital shift-expand your customer reach and streamline operations with a custom on-demand delivery solution.

Launch Your Platform

Key Factors That Influence Development Costs

Several factors determine what you'll pay to develop a delivery app like Glovo. You can plan your budget better by understanding these variables.

Feature complexity and scope

Your app's complexity drives the biggest costs. Each additional feature adds more development hours and increases the final price.

Simple features like user registration and menu browsing won't break the bank. But advanced capabilities like up-to-the-minute tracking, AI recommendations, or loyalty programs can triple your costs. Offline support needs complex data caching and synchronization mechanisms.

Building in-app messaging requires more than just message handling. You need servers to manage and route messages, encryption to protect privacy, and instant syncing.

Maps and GPS integration might start simple, yet costs climb when you add tracking and route planning features. You'll also need ongoing API licenses.

Platform choice: iOS, Android, or both

Your choice of platform shapes both your original investment and future costs. Here are your options:

• iOS only: $12,000-$35,000, faster development with fewer device variations
• Android only: $10,000-$30,000, more market share but needs more testing due to device diversity
• Both platforms (native): Nearly doubles your cost as you need separate codebases
• Cross-platform development: Reduces costs by 30-40% with one codebase but might affect performance

Platform architecture influences spending patterns too. Android's open ecosystem offers flexibility but adds complexity. iOS provides controlled environments that make development workflows smoother.

Location and rates of your development team

Your developers' location significantly changes your budget:

• North America: $100-$150/hour
• Western Europe: $80-$120/hour
• Eastern Europe: $35-$80/hour
• Southeast Asia: $20-$50/hour

The same app might cost $50,000 when built in North America or just $20,000 in Asia.

Time zone differences and communication challenges matter too. These aspects can stretch your timeline and raise costs.

Backend infrastructure and scalability

Your app needs a properly funded "brain." A resilient backend manages users, orders, and data processing.

A simple backend setup ranges from $5,000-$20,000. Your growing user base will need flexible cloud infrastructure (AWS, Azure, Google Cloud) with usage-based costs.

Food delivery apps particularly need strong backend systems, analytics boards, and admin panels. Cloud services, databases, maps, GPS integration, and cost calculators add to your expenses.

Startups should start small and grow gradually. "Launching in a single city with a smaller budget is possible. Over time, you can reinvest income and grow," say industry experts.

Ongoing maintenance and updates

Most entrepreneurs overlook what happens after launch. App maintenance usually costs 15-20% of the original development each year. This includes:

• Bug fixes and updates: $1,000-$5,000/year
• Security patches: $1,000-$2,500/year
• Performance monitoring: Varies based on tools used
• Third-party API maintenance: $3,000-$20,000/year
• Platform updates: $5,000-$30,000/year
• User support: $2,000-$10,000/year
• Design and UI/UX updates: $5,000-$25,000/year

Food delivery apps typically need $1,000-$5,000 yearly for maintenance, depending on their complexity.

Regular updates help your app stay competitive and compatible with new operating systems. Cutting corners on maintenance creates technical debt that costs more to fix later.

Essential Features to Create an App Like Glovo

Building a successful delivery platform needs four different apps that work together. Each app has its own job but must connect naturally with others. Here's what you need to know about the core features for each app type when building something like Glovo.

User app: ordering, tracking, payments

Your user app should include:

• Registration options: Allow signup via email, phone, or social media accounts for friction-free onboarding
• Location selection: Enable users to set their current location to filter nearby available services
• Search and filtering: Implement category-wise product listings with custom filters that don't require page refreshes
• Order anything feature: Let users upload photos of items they want delivered
• Live tracking: Show delivery progress visually through map integration
• Multiple payment methods: Incorporate credit/debit cards, digital wallets, and cash-on-delivery options
• In-app chat: Provide communication channels with both restaurants and delivery personnel
• Order history: Allow users to check past orders, track spending, and easily reorder favorite items

Push notifications are significant to keep users informed about their order status, from confirmation to delivery. A rating system helps build trust and gives valuable feedback to improve service.

Courier app: navigation, delivery status

Delivery personnel need specific tools to work efficiently. Their mobile app should be simple yet functional.

The courier app needs easy signup steps and detailed order management features. GPS integration with optimal route suggestions saves time and fuel costs, potentially reducing expenses by 45%.

Delivery time estimation tools help couriers set customer expectations. The in-app chat connects them with customers and vendors. An account history section lets couriers track their completed deliveries, earnings, and performance ratings.

Electronic proof of delivery through signatures, photos, or OTP verification protects everyone from disputes. The app should also include masked calling features to protect personal phone numbers during calls.

Vendor panel: menu management, order handling

Partners need their own interface to run business operations. Their dashboard should help them respond quickly to customer needs.

Vendors need a simple registration process to join your platform. They need tools to manage their menu or product listings and can add, remove, or change items and update descriptions. Promotional management tools let vendors create special offers and discounts to attract customers.

Order tracking helps vendors monitor ongoing orders and check current status live. Communication tools help them talk to customers and delivery personnel. Performance analytics show them sales data, customer ratings, and business growth.

Admin dashboard: analytics, user control

The administrative panel works as your platform's command center. It gives you full visibility and control over your delivery ecosystem.

Your admin dashboard should include detailed order management with live tracking. You can track orders from start to finish, update statuses automatically, and handle refunds or cancelations. Vendor management features let you add new partners, set up commission structures, and check performance metrics.

Payment systems should work with multiple gateways and handle automated vendor payouts. Analytics and reporting tools show sales trends, customer behavior, and vendor performance.

User management lets you create different roles with specific permissions, store customer profiles, and respond to feedback. Notification systems help alert customers and staff about important updates and pending tasks.

The cost of building a delivery app like Glovo changes based on your feature priorities. Starting with core features for an MVP saves money while letting you expand as your business grows.

Step-by-Step Process to Build an App Like Glovo

Building a delivery app follows a clear process that needs good planning and execution. Each step builds on the previous one to create a polished, market-ready product. Here's how to build an app like Glovo.

1. Market research and competitor analysis

The delivery app world needs a full study. Look at competitors like Glovo, DoorDash, and Uber Eats to find gaps in the market. Research shows that understanding customer priorities and problems through surveys boosts success rates by up to 42%.

Look at:

• Your target audience's demographics and behaviors
• Your competitors' strengths and weaknesses
• Market size and growth potential in your region

2. Feature planning and wireframing

Your business model and core features need a clear outline. Choose between being an order-only platform, an order-and-delivery service, or a fully integrated system. Create a feature priority list next.

Your MVP should only have basic functions like registration, ordering, tracking, and payments. Complex features can wait until you get real user feedback. This approach cuts initial costs but still delivers a working app.

3. Choosing the right tech stack

Your technology choices will shape both development speed and future growth. Popular options include:

• Frontend: React Native or Flutter for cross-platform development
• Backend: Node.js, Python, or Java
• Database: PostgreSQL, MySQL, or MongoDB
• Third-party services: Payment gateways, mapping APIs, push notifications

Pick technologies that match your team's skills to speed up development and reduce errors.

4. UI/UX design and prototyping

Map out the complete user trip with wireframes before coding starts. This helps catch usability problems early and cuts down expensive changes later.

Design all screens for your customer app, courier app, and vendor panels first. Your interfaces should be easy-to-use with clean layouts and clear action buttons. Testing with potential users helps make these designs better.

5. Development and integration

Most teams use Agile methodology with iterative sprints. Backend development creates your app's foundation, followed by frontend interfaces.

Add third-party APIs for payments, maps, and notifications. Code reviews and daily stand-ups help catch problems early and keep development moving.

6. Testing and QA

A full testing process matters for delivery apps that handle sensitive information like payments and addresses. Your testing plan should cover:

• Feature functionality checks
• Performance under high traffic
• Security vulnerability scans
• Device compatibility tests

Automated testing saves time while maintaining quality standards.

7. Launch and post-launch support

App store optimization helps people find your app. Create engaging listings with screenshots, clear descriptions, and relevant keywords.

The work continues after launch. You'll need:

• Regular updates to fix bugs and boost performance
• Analytics tracking to understand user behavior
• New features based on user feedback
• Constant maintenance and security updates

Turn Your App Idea Into Reality

Skip the technical guesswork and follow a proven roadmap to launch your Glovo-like app efficiently and successfully.

Get a Free Consultation

How Glovo Makes Money: Revenue Models Explained

Revenue streams play a vital role in developing an app like Glovo. The Spanish delivery giant has built several monetization channels that work together to create a sustainable business model.

Commission from restaurants and stores

Commissions are the life-blood of Glovo's revenue strategy. Partner businesses pay a percentage on each order placed through the app. Most products carry a commission of 35%. The exact percentage changes based on individual partnership agreements.

McDonald's and other large restaurant chains can negotiate lower rates because of their stronger bargaining position. Most delivery platforms charge 15% to 30%, though Glovo sets its rates at the higher end of this range.

Restaurant owners accept these fees because they see value in new customer acquisition. One restaurant owner shared their perspective: "Delivery services get a bad rap because of the commission, but they're bringing us new clients. That's how I look at the commission , we're paying for advertising and customer acquisition".

Delivery fees from users

Glovo charges customers delivery fees that vary based on multiple factors:

• Distance between customer and vendor
• Current demand in the area
• Delivery time expectations

The company maximizes revenue during peak hours while keeping prices competitive during slower periods. These fees help cover courier costs.

Many delivery apps use dynamic pricing models that raise delivery charges during busy times, known as surge pricing. This strategy helps maximize revenue when courier availability falls short of demand.

Glovo Prime, launched in 2018, offers a subscription service for about $5 per month. Customers who subscribe don't pay delivery fees once their orders reach a certain value. This model encourages:

• Higher order frequency
• Larger basket sizes
• Increased customer loyalty

In-app advertising and promotions

Partner businesses can buy promotional placements and featured listings within the app. Restaurants that pay for better visibility in search results have higher chances of reaching new customers.

DoorDash representatives admit they "underestimated the power of the demand" for advertising opportunities on their platform. Uber reports hundreds of millions in annual advertising revenue. These numbers show Glovo's substantial advertising potential.

The platform generates revenue through several advertising formats:

• Sponsored listings in search results
• Featured restaurant promotions
• Banner advertisements
• Push notification campaigns

In-app ads perform better than mobile web ads with more than double the click-through rate (0.54% vs 0.23%). This makes them an excellent source of additional revenue.

Building multiple revenue streams from the start helps create a financially sustainable platform for apps similar to Glovo.

Challenges in Building a Glovo-Like App (And How to Solve Them)

Building a delivery platform requires more than just coding and design skills. Your project can face unexpected challenges that might derail it without early detection. Let's look at the major hurdles you'll face while developing an app like Glovo and some practical solutions.

Scaling infrastructure for high demand

Your app can crash from sudden traffic spikes during peak hours or special events. Your servers must process thousands of operations simultaneously when order volumes surge without performance issues.

The challenge becomes complex as you track drivers immediately, process payments, manage vendor inventory, and serve thousands of users who place orders at the same time.

Here's how to address this challenge:

• Cloud-based infrastructure (AWS, Google Cloud, Azure) helps with better load balancing
• Microservices architecture improves flexibility
• Caching and database optimization improve response times
• Regular performance tests help spot bottlenecks early

Managing real-time logistics

Real-time logistics forms the backbone of any delivery app. Poor route planning creates longer delivery times, unhappy customers, and lower sales.

You'll need expensive infrastructure for real-time data processing, servers must handle thousands of location updates every minute. Small glitches can make orders vanish without a trace.

These solutions can help:

• AI-powered dispatching automatically assigns orders based on current conditions
• Predictive analytics adjusts pricing dynamically
• Real-time rerouting prevents bottlenecks
• GPS-enabled dashboards benefit both drivers and admins

Ensuring data security and compliance

Delivery apps handle sensitive data like names, addresses, payment details, and locations. Security breaches can cause serious legal issues and huge financial losses.

Data storage rules, user consent requirements, and right-to-be-forgotten policies vary by region. Your app must include these requirements from the start rather than adding them later.

You can protect your app by:

• Using end-to-end encryption for all transactions and communications
• Adding multi-factor authentication to block unauthorized access
• Running regular security audits and penetration testing
• Creating clear privacy policies that follow GDPR and local regulations

Businesses often underestimate compliance costs. Penalties can reach up to 4% of annual global revenues or €20 million, whichever is higher.

Why Businesses Are Investing in Glovo-Style Apps

The third-party delivery market continues to grow rapidly worldwide. Experts project an expansion from $87.60 billion in 2024 to $197.00 billion by 2033. Companies of all sizes now rush to develop Glovo-style platforms.

Increased customer reach and retention

Delivery apps help businesses connect with millions of potential customers who might never visit their physical stores. Research reveals that 94% of customers are likely to order again after positive delivery experiences. Restaurants have seen online food ordering grow 300% faster than dine-in since 2014.

Sales grow naturally when businesses add delivery options, thanks to larger average order values. Nearly half of Glovo's business partners had no online presence before joining the platform. Physical stores find a lifeline through this digital transition as more shopping moves online.

Operational efficiency and automation

Businesses cut operating costs when delivery apps streamline previously manual processes. The technology reduces paperwork and human error while improving coordination between departments.

These platforms give businesses valuable data to refine their menus, manage inventory better, and identify busy hours. Restaurants can manage both in-store and delivery orders from one dashboard when apps blend with existing point-of-sale systems.

Opportunities for brand partnerships

Large retailers now team up with delivery platforms to reach more customers. DoorDash shows this trend through its collaborative efforts with Family Dollar and Old Navy, helping businesses offer quick delivery without building their own systems.

These partnerships help boost sales by showcasing businesses to active app users. Uber's delivery network alone reaches 171 million monthly active users globally.

Get a Precise Estimate for Your Project

Every app is unique-find out exactly how much your specific feature list and requirements will cost to build.

Consult Our Experts

Conclusion

Building a delivery app like Glovo needs careful planning but could become a thriving business. The online food delivery market keeps growing faster, and experts project it will reach $205.37 billion by 2028. This growth gives entrepreneurs a perfect chance to join this booming sector.

You can test your concept with an MVP that costs between $35,000 and $70,000 without spending too much. Your business can add features and expand to a full platform as it grows. Development costs vary based on your platform choice, feature complexity, and development team location. Eastern European developers charge $35-$80 per hour, while North American teams ask for $100-$150 hourly.

Your app ecosystem needs four connected components to work well. The user app handles ordering and payments, while the courier app manages deliveries. The vendor panel controls product listings, and the admin dashboard oversees operations. These components create a smooth delivery experience together.

Multiple revenue streams help keep your business financially stable. Restaurant commissions (typically 15-30%), delivery fees from users, subscription models like Glovo Prime, and in-app advertising create a sustainable business model. This mix of income sources protects your business when markets change.

All the same, you'll face some challenges. Your infrastructure must handle high demand, manage up-to-the-minute logistics, and keep data secure. Cloud-based infrastructure, AI-powered dispatching, and strong encryption protocols help tackle these issues.

The investment makes sense when you look at the benefits. Delivery apps help businesses reach more customers, run more efficiently, and build mutually beneficial alliances. Almost half of Glovo's businesses had no online presence before joining the platform, showing how these apps transform traditional businesses.