On-Demand Solution

ODTap has developed winning on-demand applications and platforms to equip the service industry to provide Uber-like offerings.

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on-demand business model

Fundamentals of Executing On-demand Business Model

During the 90s, it was the fast-food boom that altered the market trends. Today, the advent of on-demand startups is taking the IT industry by storm. Entrepreneurs are going for efficient and faster means to cater to frequent requirements of consumers by executing the on-demand business model. The idea behind these startups is resolving people’s needs using real-world solutions with higher accuracy, speed and quality for customer satisfaction.

Uber is amongst the very first on-demand solutions which became ‘the talk of the town’ only a few years after its launch. It was after this that many others also joined this industry bandwagon like Postmates and Drizly.

If you are looking to launch your on-demand startup, this article will help you gain valuable insights into this industry. In this blog, we will discuss the fundamentals of launching an on-demand startup.

Formulating Project Scope and Prioritizing Goals

The scope is the driving force for managing any project and one of the most important documents of a project plan. It describes the outcome of the project by prioritizing goals through discussions between sponsors and stakeholders. The scope can be altered throughout the life of the project. For an on-demand startup the scope should include:

  • The market that the on-demand application will enter.
  • The decision-making process of what services it will provide and what deliverables will be included or excluded from the project.
  • The benefits of achieving the set targets and project justification.
  • The reasons behind an unsuccessful on-demand startup or why these startups fail to achieve their set goals.
  • The required business model to attain the maximum profitable outcome.

Modules and Features

Dynamic feature modules enable certain attributes to be separated from the base app while including them in the main app bundle. In this way, the initial download is lighter for all the users and they can themselves decide the extra dynamic features they want, which can be installed later. These attributes should be decided by thoroughly considering the features which would be beneficial by being available on demand.

On-demand platforms differ from each other in many ways but some basic set of features are common to all these applications and can be used for all the niches. Let’s explore these common features at the customer, provider and admin end that form the basic structure of an on-demand services app:

Customer End
  • User Account
  • Search Bar
  • Pop-up Notification
  • Real-time payments and tracking
  • Cancellation Option
  • Review Option
  • Customer Help Service
  • FAQ
Provider End
  • Pop-up Notification
  • Receive or Decline Orders
  • Contact Customer
  • Initiate or End Service
  • Income Database
  • Work Schedule
  • Accessibility Status
Admin End
  • Dashboard
  • Supervising Customer and Provider
  • Supervise Pricing and Commissions
  • Analytics and Reporting


Wireframes are the blueprints of an on-demand app. They are simple frameworks with organized elements and do not have much to do with the color, font and graphics of the website. If planned at an early stage, they can efficiently organize the development process and avoid future errors. A typical wireframe for an on-demand application should include three key elements:

  • Information Design

The information elements should be arranged logically so the users can be guided clearly on what to explore. The design framework should consist of elements like the body, contact information, header, footer, share buttons, etc.

  • Navigation Design:

The navigation system must be swift i.e. users should be able to navigate through different pages easily using simple commands. The rules set for navigation design must be followed to make the system more efficient.

  • Interface Design:

The interface design in a wireframe should portray the basic elements like the logo, photos, buttons, drop-down menu, etc.

Cost and Timeline

According to research, 90% of the people using mobile phones use apps and only around 10% use them for browsing. This makes it obvious that on-demand apps have become a necessity for people nowadays. Some factors that determine the final cost are:

  • The type of vendor and it’s location.
  • The number of features and the complexity level.
  • Back-end structure and APIs.
  • The UX/UI design.
  • Development approach used.
  • The number of platforms used e.g. iOS, Android or Web.

The timeline for small apps is 2-3 months. For an application using the basics of any feature, it is 3-6 months and around 9+ months if any kind of complexity is involved. App development, however, is considered an on-going project for many companies.

Significance of Technology Stack

Tech stack is used to describe the tools, software, hardware, coding language, the OS and the programs being used to develop the on-demand business model. Choosing the correct tech stack is important as it should have the ability to run on a variety of Operating Systems since this makes the app robust and avoids any technical issues later on. Also, we must keep in mind that these applications should be compatible with the native mobile platforms: iOS and Android. Both these platforms differ from each other and so the tech stack will also be different for both.

Let’s delve into some of the essential points to keep in mind while selecting the correct tech stack for your application:


The purpose of the project must be taken into account here. A complex project will have a more intricate tech stack. For small projects stacks like Python-Django or Node.js-React can be used. Medium-sized projects require layers of programming languages and frameworks. Lastly, for large projects, a comprehensive tech stack is required to maintain the technicality, performance and integrity of the project. We, however, must make sure that the application is not loaded with unnecessary technologies by opting for the ones that form an effective solution for the task.


If the application is heavy then a robust technology stack is required in comparison to the one operating on streamlined interactions.

Required skill-set

The developer’s strengths should be the deciding factor here. The development team should opt for the tech stack they have expertise in so that the task becomes less time-consuming and is of better quality.

Platform Compatibility

The app should be compatible with multiple platforms for enhanced performance. This gives the user the advantage of easily shifting from one platform to another.


The security element should be rigid. The development team must be fairly skilled to close any loopholes that might give an advantage to the hacker. Lengthy blocks of codes should be avoided as they increase the risk of data security.

The Growth Strategy

The on-demand marketplace has completely revolutionized the conventional approaches for business models. Moreover, the integration of these services with mobile phones has altered our lives in a better way. In a research study conducted by Harvard Business Review, the on-demand sector wins over 22.4 million customers yearly, who spend around $57.6 billion on them.

Now, let’s analyze the growth strategy that a startup may use to attract more users for a higher level of market share.

Finding the perfect balance between supply and demand

Build an understanding of whether to start working on the demand or the supply side. To stimulate the internal dynamics, seeding the marketplace can be a genuine place to begin. By partially owning the market you will have better control over the quality of the service being provided.

Start small-scale:

Starting with a small-scale concept is similar to making sure that the demand and supply targets are kept to a minimum. This can be achieved by targeting a small operational area.

  • Partnerships with local brands:

Complimentary local brands should be identified as partnering with these brands can help attract more target markets due to the familiarity they hold amongst the locals living there.

Spot the accelerants:

Uber’s idea of “accelerants”, which are factors that aid in an increased demand for any service or product, is a good way of acquiring new users. Uber has identified factors like weather, sports, festivals and late hours as accelerants.

The Future of On-Demand Industry

The success of Uber and Airbnb paints a picture of a promising, bright future in the on-demand industry. Due to the changing customer expectations, more people are using smartphones for instant provisioning of goods and services to meet their desired requirements.

Many industries are investing in the on-demand business model. These startups may be struggling now to provide all the necessary services but their revenue streams seem to be growing continuously. With the evolving customer demands, these applications will be a game-changer in the modern, consumer-centric technological era of today.

If you are looking to launch your on-demand startup, reach out and our team of experts will help you out!

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