Impact of Coronavirus Outbreak on On-Demand App Industry


Impact of Coronavirus Outbreak on On-Demand App Industry

  • By Amaninder Singh Brar

  • 19th May 2020

Is your on-demand business ready for the increase in demand due to the spread of COVID-19? If not, fret not, we are going to help you out.

Well, whether we like it or not, coronavirus is on the rise! The COVID-19 outbreak has caused chaos in not only people’s lives but bought the global economy to a standstill. With billions forced to stay indoors due to the pandemic, the demand for essential services has skyrocketed. There is an acute need for essential services to meet the daily needs amid the lockdown. This is where on-demand services come in the picture. With the rise in coronavirus cases, the global economy has faced an abrupt downfall. It’s not a theory but a reality that because of the virus, countries will face the biggest jolt on their economy. Due to this sheer panic and distress, companies are experiencing massive losses and debt.

However, being said that, there are specific industries that are enjoying a significant gain in revenue and profit, which they only dreamt of in the past. Yes, we are talking about the on-demand app industry. But, before we talk about the impact of the pandemic on the on-demand industry, first, we should get our basics right.

Do you know about on-demand apps? Let’s find out!


In layman’s terms, on-demand apps refer to the mobility solutions that allow customers to acquire services that, too, in real-time or at their doorstep. These services include on-demand food delivery, on-demand beauty services, on-demand ATM services, and more. The on-demand apps come with a list of technical features that make real-time delivery possible. These features include tracking, creating a wish list, a suitable payment service, multiple bookings, ability to give reviews. With these features, the on-demand industry has made a significant difference in the market today amid the pandemic. And, going by the stats, the market growth of the on-demand apps will be higher than expected.

Keys in the hands of coronavirus tighten the locks on doors. With the strict government regulations and social distancing being followed everywhere, there has been a sudden surge in demand for on-demand services. Modern technology has made it easy for businesses to come up with an innovative solution to meet the growing demands of people. With the use of smartphones, companies have made it easy for customers to purchase the daily need products in the comfort of their homes. From food delivery to ecommerce and healthcare to home services, everything is now accessible to customers on a single click of a button.

How are on-demand apps rising?

Amidst the COVID-19 outbreak, people are looking for ways to live their life peacefully and stay away from the deadly virus as far as possible. And, this is what on-demand apps have been focusing on for a long time. So, without any delay, let’s explore why on-demand apps are increasing.

• Social distancing and lockdown: People are in a desperate need of vaccine to protect themselves from the deadly virus. While it may take time for scientists across the globe to come up with a magic formula, till then, social distancing is the way to go. Because of social distancing, people don’t prefer to come out of their houses. This leads to an increase in the use of on-demand services to meet daily home needs. Pandemic has changed the way of life, and these apps are here to make the new era hassle-free for customers.

• Contactless delivery: As advocated by WHO, people have to avoid contact with others. And, this is what on-demand apps focus on. The apps have multiple payment options making it easy for people to choose their desired mode of payment. And, with the virtual payment method, customers can purchase their favorite products without coming in contact with the delivery agent.

• Quick service: Trust us; on-demand apps are capable of delivering services to customers quickly as compared to conventional methods. It’s the instant gratification and trust, which has led to the popularity of these apps. They serve the basic needs of people which can’t be compromised at any cost.

• Increase in revenue: Without any exaggeration, on-demand apps have taken a boom amidst the pandemic. People prefer to buy products from such apps as compared to stand-alone shops. The greater the demand, the higher will be the revenue for business owners. So, on-demand apps create a win-win situation for customers and businesses alike. People are happy with the real-time service of products, and business owners are content with the increase in revenue.

• Rise of multi-niche delivery apps: This pandemic has resulted in the rise of on-demand multi niche delivery apps. With these apps, now, customers can order food and do grocery shopping at the same time with the same app. Exciting, isn’t it! These apps provide more control to users over their orders. Some examples of on-demand multi niche apps include:

1. Food delivery
2. Grocery delivery
3. Medicine delivery
4. Essential products delivery

In the end, we hope the world comes to terms with the new normal. And, on-demand apps play a crucial role in adjusting with the new way of life. As a business owner, you must take the opportunity and make use of the technology to contribute your bit amidst the COVID-19 outbreak.

Written By
Amaninder Singh Brar
calendar 19th May 2020
Amaninder Singh Brar, Director of Operations, is the man responsible for using the latest technology to guide every department towards success. His vision and ideas have helped the prestigious institution in achieving the requirements of its global clients. He poses a sound understanding of technical requirements/problem analysis and resolution for providing the best IT solutions to clients.

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