Three iPhone 16 Pro screens displaying a grocery delivery app interface with product categories, beverages list with add-to-cart buttons, and real-time order tracking map, set against a blurred kitchen background.

How to Build a Grocery Delivery App Like InstaShop: Full Guide

TABLE OF CONTENTS

In today’s fast-paced world, grocery delivery apps like InstaShop are transforming how people shop. With just a few taps, customers can have groceries delivered to their doorstep efficiently, safely, and on time. If you’re planning to enter this booming sector, building a grocery delivery app like InstaShop is a strategic move.

This blog explores everything you need from features and tech stack to cost estimation and monetization models to create your own on-demand grocery delivery app. Let’s dive in.

How to Build an App Like InstaShop

Creating an app like InstaShop requires a combination of modern technology, financial regulation adherence, and user-centric design. Here’s how the development journey typically unfolds:

  • Market Research: Understand the target audience, market trends, and competitor analysis.

  • Define Features: List out essential and advanced features based on user needs.

  • Choose the Right Technology Stack: Select appropriate frameworks and platforms (iOS, Android, Web).

  • Design UI/UX: Create intuitive and engaging user interfaces.

  • Develop and Integrate: Code the app and integrate necessary APIs and third-party services.

  • Testing: Conduct rigorous testing to ensure functionality and security.

  • Deployment: Launch the app on the desired platforms.

  • Maintenance and Updates: Regularly update the app to fix bugs and add new features.

    Explore Our New Blog – How to Develop App like Blinkit

Grocery Delivery App Features That You Must Include

Creating a successful grocery delivery app like InstaShop requires a robust, user-friendly feature set that supports seamless operations for customers, delivery agents, and administrators. Here’s a deep dive into the essential components:

1. User Features (Customer App)

Three iPhone 16 Pro screens displaying user registration, OTP verification, and social media login interfaces for a grocery delivery app

These features are customer-facing and impact the end-user experience directly. They are designed for convenience, speed, and trust-building.

User Registration & Login (Email, Phone, Social Media) , Allow users to create accounts using their email, mobile number, or social login (Google, Facebook, Apple ID). Offer OTP verification for added security.

2. Product Browsing by Category and Filters

Three iPhone 16 Pro screens displaying a grocery app interface with product categories, citrus fruit listings, and advanced filter options for price, brand, and delivery time

A smooth and intuitive product browsing experience is the backbone of any grocery delivery app. Users should be able to effortlessly explore items organized into clearly defined categories such as:

  • Fruits & Vegetables

  • Dairy & Bakery

  • Snacks & Beverages

  • Frozen Foods

  • Personal Care

  • Household Essentials

  • Organic & Gluten-Free

Each category should be visually represented with icons or thumbnail images to help users recognize product types instantly. The interface must allow users to drill down into subcategories (e.g., “Fruits” → “Citrus” or “Berries”) for greater specificity.

3. Smart Search Bar with Auto-Suggestions

Three iPhone 16 Pro screens displaying a smart search bar in a grocery app with trending suggestions, real-time auto-complete results, and product listings for bananas

A smart search bar is one of the most powerful tools to help users find exactly what they’re looking for quickly and efficiently. In a grocery delivery app like InstaShop, this feature is critical to boosting user satisfaction and reducing cart abandonment.

Your search function should go beyond just basic keyword matching. Instead, implement intelligent search algorithms that:

  • Predict Queries in Real-Time: As users begin typing (e.g., “mil…”), the search bar should suggest complete product names like “milk,” “millet,” or “milk chocolate” based on available inventory.

  • Auto-Complete & Spelling Corrections: Automatically correct minor typos (e.g., “bnana” → “banana”) and suggest likely product matches using NLP (Natural Language Processing).

  • Trending & Popular Searches: Display a dropdown list of popular, recent, and trending search terms even before the user starts typing, based on real-time demand and buying behavior.

  • Category-Specific Results:
    Allow users to directly search by categories (e.g., typing “organic” filters only organic items across fruits, snacks, etc.).

  • Voice Search Integration (Optional):
    Provide a microphone icon to enable voice queries, especially useful for multitasking users or those with accessibility needs.

4. Cart & Checkout with Multiple Address Options

Three iPhone 16 Pro screens displaying a grocery app’s cart summary, multiple delivery address selection, and payment options including card, Google Pay, Apple Pay, and Cash on Delivery

The cart and checkout experience can make or break the success of your grocery delivery app. A seamless, intuitive, and flexible checkout flow ensures users complete their purchases without frustration or friction.

Allow users to:

  • Add, remove, or modify item quantities with a single tap

  • View subtotal, taxes, delivery charges, and savings in real-time

  • Apply promo codes or loyalty points directly within the cart

Incorporate smart cart suggestions like:

  • “Frequently bought together”

  • “Add more to get free delivery”

  • “You saved ₹X on this order”

5. Real-Time Order Tracking

Three iPhone 16 Pro screens showing real-time grocery delivery tracking with route maps, status updates like On the way and Arriving in 5 minutes and live progress indicators

One of the most essential features in a grocery delivery app like InstaShop is the ability to offer real-time order tracking. It builds transparency, enhances trust, and keeps customers informed throughout the order lifecycle.

Live GPS-Based Tracking

Once an order is placed and accepted by a delivery partner:

  • Users should be able to track their order status in real-time, from order confirmation to dispatch, en route, and final delivery.

  • Integrate GPS tracking via Google Maps or Mapbox SDK to show the exact live location of the delivery agent on a map interface.

  • Display a clear route map with current location, estimated travel time, and distance remaining.

6. Secure Payment Gateway Integration

Support popular and trusted payment gateways like Stripe, Razorpay, PayPal, and local providers. Allow users to pay using:

  • UPI (Google Pay, PhonePe)

  • Credit/Debit Cards

  • Net Banking

  • Digital Wallets

Ensure all transactions are encrypted and PCI-compliant for maximum security and user trust.

7. Dashboard with Sales Insights

Provide a centralized admin dashboard that displays real-time data on:

  • Total orders and sales

  • Delivery success/failure rates

  • Revenue trends and vendor performance

This helps admins make data-driven decisions and monitor operations at a glance.

8. Order & Delivery Management

Admins should be able to view, assign, edit, or cancel orders easily. Use a drag-and-drop interface or automated dispatch system to manage deliveries efficiently.

This ensures faster order fulfillment and fewer delivery delays.

9. Vendor Onboarding & Approval

Enable local stores to sign up easily by submitting KYC documents. Use auto-approval systems for speed, with manual verification options for added control and compliance.

10. Customer Support & Ticketing

Three iPhone 16 Pro screens showing a customer support interface with issue categories, ticket submission form, and live order-specific chat conversation

Integrate a ticketing system to manage user complaints and queries across all order stages. Support agents can view, assign, and resolve tickets directly from an organized dashboard.

  • Track issues by order ID or user

  • Auto-assign tickets to available agents

  • Update status (open, in progress, resolved)

This improves response time and ensures better customer satisfaction.

How Much Does It Cost to Develop a Grocery Delivery Platform Like InstaShop?

Developing a shopping app like InstaShop can cost between $20,000 and $100,000+, depending on features, complexity, and location. This includes the full development cycle design, development, testing, and deployment. App development costs vary based on the scope and complexity of the app. Here’s a breakdown:

TierBasic MVPMid-LevelFull-Scale
Cost$20K – $30K$40K – $60K$60K – $100K+
Timeline4-6 weeks10-12 weeks20-24 weeks
Core Features
  • User onboarding
  • Split payments
  • Cart sync
  • Push notifications
  • Merchant dashboard
  • Real-time credit check
    All Basic MVP Features
  • Installment plans
  • Repayment tracking
  • Promo codes
    All Mid level Features
  • Advanced analytics
  • Loyalty wallet
  • Multilingual support
  • AI chatbot
ComplianceKYC basic (manual)
  • Automated KYC/AML
  • PCI DSS
  • GDPR + ISO Prep
Integrations1 Payment API
  • Payment API
  • SMS/Email provider
  • Multi-gateway
  • CRM & ERP connectors
SecurityStandard encryptionTokenization
  • Biometric login
  • Fraud AI engine
AI/Analytics
  • Credit scoring engine
  • Predictive behavior
  • Risk-based lending model

Ways to Monetize Your Instant Grocery Delivery App

Monetization strategies determine long-term profitability. Here are revenue streams you can explore:

1. Commission-Based Model

Three iPhone 16 Pro screens showing a grocery app vendor dashboard with total orders, revenue, commission details, an order invoice with commission deduction, and a partner performance chart with a Top Partner badge

This is the primary revenue stream for most grocery delivery apps. In this model, your platform earns a fixed percentage from each successful transaction between customers and grocery vendors.

How it works:

  • Set commission slabs (e.g., 10–25%) based on vendor category, order volume, or exclusivity.

  • Charge per item sold or per total invoice amount.

  • Offer lower commissions to top-performing partners as an incentive.

Advantages:

  • Predictable and recurring revenue

  • Aligns platform growth with vendor success

2. Technology Stack

Implement tiered subscription plans for both customers and grocery partners.

For Customers:

  • Monthly or yearly plans offering

  • Unlimited free delivery

  • Exclusive discounts

  • Early access to promotions

For Vendors:

  • Subscription for listing premium products or gaining better visibility

  • Benefits include waived commission on first X orders or marketing credits

    Example: “InstaShop Plus” for users and “Vendor Prime” for stores.

Advantages:

  • Stable, recurring income

  • Builds customer and vendor loyalty

3. In-App Advertising

Three iPhone 16 Pro screens displaying in-app advertising on a grocery delivery app, including product promotions, sponsored banners, and an advertising performance dashboard with views and clicks

Open up advertising slots within your app for vendors, FMCG brands, or local stores to promote their offerings.

Types of Ads:

  • Banner ads on the homepage or product pages

  • Sponsored product listings in search results

  • Pop-up offers or limited-time promo placements

Revenue Options:

  • Cost per click (CPC)

  • Cost per thousand impressions (CPM)

  • Cost per acquisition (CPA)

Advantages:

  • High-profit margins

  • Non-intrusive if placed well

4. Featured Listings

Charge grocery stores or brands for top placement in category listings, search results, or home screen carousels.

How it works:

  • Create “Featured Store” or “Top Brand” sections.

  • Let vendors bid for visibility or pay a fixed monthly fee.

Benefits to Vendors:

  • Increased traffic and conversions

  • Enhanced brand recognition

Advantages to You:

  • Direct and premium revenue

  • Boosts vendor engagement

5. Delivery Charges

While many apps offer free delivery as an incentive, charging a small convenience or delivery fee can become a substantial revenue stream, especially in busy metros or peak hours.

Ways to Optimize:

  • Charge variable delivery fees based on order value, time slot, or distance

  • Offer free delivery on orders above a threshold

  • Introduce surge pricing during high demand (like weekends or holidays)

Advantages:

  • Enhances cash flow

  • Encourages users to upgrade to subscriptions

The Tech Stack You Need for On-Demand Grocery Delivery App Development

Choosing the right tech stack is critical for performance, scalability, and maintenance.

showcasing tech stack for an app like Instashop, featuring logos of React, Node.js, Swift, AWS, Firebase, MongoDB, PostgreSQL, Kubernetes, Angular, Vue.js, Stripe, Docker, and more against a soft pink gradient background

1. Frontend Technologies

  • Flutter

  • React Native (Ideal for cross-platform mobile app development)

2. Backend Technologies

  • Node.js

  • Python (Powerful for handling business logic and API integrations)

3. Database Options

  • MongoDB

  • PostgreSQL (Support for both structured and flexible data storage)

4. Payment Gateways & APIs

  • Stripe

  • Razorpay

  • Tabby API (Facilitate seamless checkout and split payments)

5. KYC/AML Verification Tools

  • Onfido

  • ShuftiPro (Used for automated identity checks and compliance requirements)

Future Trends in Grocery Delivery App Development

To stay competitive in grocery delivery app development, consider integrating the latest tech.

Trends to Adopt

  • AI Chatbots for real-time customer support

  • Voice Ordering via Alexa, Google Assistant

  • Drone-Based Delivery (Pilot testing)

  • Dark Stores & Micro Warehouses for hyperlocal delivery

  • Blockchain for Inventory Audits

Conclusion

Building a grocery delivery app like InstaShop requires in-depth planning, technical proficiency, and strong UX principles. Whether you’re a startup or an enterprise, leveraging the right features, tech stack, and business models will set you apart in this competitive market.

Looking to launch your own InstaShop-like app?

Talk to our experts at SDLC Corp and take your first step toward building a market-dominating eCommerce app.

Why Choose SDLC CORP for Grocery App Development?

At SDLC Corp, we specialize in building custom grocery apps tailored for security, scale, and success.

Here’s what sets us apart

  • Experience: 20+ Delivery App solutions across the globe

  • Security-first approach: PCI DSS, GDPR, PSD2 compliance

  • Custom UI/UX: Engaging, intuitive designs

  • DevOps & Post-launch Support: CI/CD pipelines, 24/7 monitoring

  • Agile Delivery: Rapid MVP to scale journey

Whether you’re a startup or scaling enterprise, we help you design, develop, and grow a app like Instashop with the perfect balance of performance and budget.

Explore SDLC CORP top notch services:

Mobile App Development Services

On-demand Grocery Delivery App Development Company

FAQ'S

What Tech Stack Is Best for Grocery Delivery App Development?

The ideal tech stack includes Flutter or React Native for mobile, Node.js or Python for backend, and MongoDB or PostgreSQL for the database.

Depending on features and complexity, development can take 4 to 6 weeks for an MVP and up to 20 to 24 weeks for a full-featured app.

Real-time tracking is built using GPS APIs like Google Maps or Mapbox, combined with WebSocket-based communication for live updates.

Yes, using cloud infrastructure (AWS, GCP) with auto-scaling and microservices architecture ensures scalability and reliability.

The cost typically ranges between $20,000 to $100,000, depending on location, features, and development model (in-house vs outsourced).

Must-have features include product browsing, smart search, real-time tracking, multiple payment options, and user ratings.

Common monetization models include commission on sales, in-app advertising, subscription plans, and featured vendor listings.

No, it’s recommended to launch an MVP (Minimum Viable Product) with core features and gradually scale based on user feedback and performance.

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