Cost of Developing a Last Mile Delivery App Like OnFleet: A Guide for Entrepreneurs

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In the era of e-commerce dominance, last mile delivery apps have become indispensable tools for businesses striving to provide efficient and seamless delivery services. Leading players in this space, such as UPS, Fedex, USPS, OnFleet, and others have revolutionised the way packages are delivered.

In this blog, we shall deduce the cost of developing a last mile delivery app like OnFleet so that entrepreneurs aiming to foray into this domain know their numbers.

Cost Of Developing A Last Mile Delivery App Like OnFleet

Type Of AppTimelineCostFunctionalities
Simple app with basic features4-6 months$20,000-$50,000User registration, order placement, real-time tracking, and basic notifications
Uncomplicated app with extensive features6-9 months$50,000-$100,000Advanced route optimisation, multiple delivery options, feedbacks, payment integration, and administrative dashboards
Highly complex app with complex features9-12 months$100,000-$200,000Sophisticated dispatching algorithms, multi-platform support, API integrations (mapping, payment gateways), analytics and reporting, and customised features

Factors Influencing the Cost of Developing a Last Mile Delivery App

  • App Design and User Experience (UX)

App design and user interface (UI) are key to attract and retain users. The design should be uniform, responsive across devices, and optimised for use.

  • User interface (UI) design

The complexity and quality of the user interface design will impact the development cost. A well-designed and intuitive UI may require more effort and expertise, thus increasing the cost.

  • App branding and customisation

If you are aiming to brand and customise your app to align it with your company’s identity, it may add to the development cost.

  • User experience testing and optimisation

Conduct thorough user experience testing and implement optimisation measures to enhance the app’s performance but this may require additional resources and time, impacting the cost.

Development Approach

  • Native vs. Cross-platform app development

Choosing between native and cross-platform development depends on your target platforms and desired app performance. Native development tends to be more expensive.

  • Backend infrastructure and scalability

The complexity and scalability requirements of the app’s backend infrastructure can influence the cost. Building a robust and scalable backend involves additional development effort and infrastructure costs.

  • Technology stack selection (PLs, frameworks)

The choice of PLs, frameworks, and other technologies can impact the development cost.

App Complexity and Customisation

  • Number of user roles and their functionalities
  • Integration with third-party APIs and services
  • Custom feature development based on unique business needs

Development Team and Resources

  • Hiring in-house vs. outsourcing
  • Skillsets required (App developers, UI/UX designers, backend engineers)
  • Project management and quality assurance

Ideal Tech Stack While Developing An App Like OnFleet

Frontend:

  • HTML5/CSS3
  • JavaScript (ES6+)
  • React.js
  • Redux
  • Axios
  • React Router
  • Responsive Design Framework: Bootstrap or Material-UI

Backend

  • PL: Node.js or Python
  • Framework: Express.js (Node.js) or Django (Python): backend APIs
  • ORM/ODM: Mongoose (Node.js + MongoDB) or SQLAlchemy (Python + PostgreSQL) for object-relational mapping

DevOps

  • Deployment: Docker for containerisation
  • Orchestration: Kubernetes for managing containers
  • Continuous Integration/Continuous Deployment (CI/CD): Jenkins or GitLab CI/CD for automated testing and deployment
  • Cloud Platform: Amazon Web Services (AWS) or Google Cloud Platform (GCP)

Architecture

  • Microservices Architecture
  • Event-Driven Architecture using a message broker like RabbitMQ or Apache Kafka

App

  • Cross-Platform Development: React Native or Flutter
  • State Management: Redux or MobX for managing app state
  • Real-time Updates: WebSocket or Socket.IO
WebsiteFrontend Framework: React.js or Angular ; Responsive Design: Bootstrap or Material-UI
DatabaseMongoDB or PostgreSQL ; Use database indexes and caching mechanisms
Real-time ChatWebSocket or Socket.IO  ; Message broker like RabbitMQ or Apache Kafka
CallingWebRTC ; Twilio API
Push NotificationsFirebase Cloud Messaging (FCM) and Apple Push Notification Service (APNs)
SMSTwilio API or Nexmo
EmailSendGrid or Nodemailer
Payment GatewayStripe or Braintree
GeolocationGoogle Maps API or Mapbox API
Analytics and Crash ReportingGoogle Analytics or Mixpanel ;   Crashlytics or Sentry

Cost Breakdown and Budgeting for Last Mile Delivery App Development

App Development Costs

  • Design and UX/UI development

The cost may vary depending on the complexity of the app, the number of screens and features, and the level of customisation required.

  • Frontend and backend development

The cost will depend on the technology stack used, the complexity of the app’s features, and the development time required.

  • Third-party API integrations

The cost will depend on the number and complexity of the integrations required.

  • Quality assurance and testing

It involves manual testing, automated testing, and user acceptance testing. The cost will depend on the size and complexity of the app, as well as the testing methodologies employed.

Maintenance and Support Costs

  • Server hosting and infrastructure maintenance

Servers and infrastructure are required to handle user requests, store data, and ensure smooth app performance. The cost will depend on the app’s expected user base, server requirements, and hosting provider.

  • Bug fixing and performance optimisation

Over time, bugs and performance issues may arise that require fixing and optimisation.

  • Feature updates and enhancements

As technology evolves and user needs change, it is essential to update the app with new features and enhancements.

Additional Costs and Considerations

  • App store submission and developer account fees

To publish the app on Google Play Store or Apple App Store, there’s fees associated with developer accounts which vary depending on platform and region.

  • Security and data privacy measures

Costs may include implementing encryption, data protection protocols, and complying with relevant regulations and standards.

  • Marketing and user acquisition costs

Marketing efforts to promote the app, acquire users, and increase app visibility. The cost will depend on strategies employed, such as digital advertising, influencer partnerships, or content creation.

cost of developing a last mile delivery app like onfleet

Understanding the Scope and Features of a Last Mile Delivery App

Core Functionality

Customer App Features

The customer app is designed to provide a user-friendly interface for placing orders and tracking deliveries. It typically includes:

FunctionalityDetails
Start A BookingCarriers can track active loads, review their pickup time, and hit start
Select CommodityChoose the commodity of your load from options and view trucks
Select Packaging TypeShippers to select packaging type and enter load specifications
Load DetailsShippers can review the details before proceeding further
Collect Payment From ReceiverShipper can communicate payment will be paid by the receiver
Truck Details & Fare EstimationShippers can review the truck details and fare breakup
Select Payment MethodShippers may choose their mode of payment
Add StopsShippers may add multiple stops for unloading / delivery of goods that maybe picked from a single location
Live TrackingShippers can track the status of their booking after confirmation
My LoadsShippers may check load details and track status of all bookings

Driver App Features

The driver app is an essential component that empowers drivers to efficiently manage their assigned deliveries. Key features include:

FunctionalityDetails
Arrive To Pick UpAfter carrier reaches the pick up location, they can update status
Load DetailsCarriers can view the load details they have accepted
Stop DetailsCarriers can view the number of stops and its details
Start LoadingAs the loading begins, the carrier can update the status
Loading TimerA timer will start to record the time taken for loading
Proof Of PickupThe carrier needs to upload the proof of pickup after loading completes
Arrive To DeliverOnce the carrier reaches the delivery location, status can be updated
Unloading TimerAfter the unloading starts, a timer will start to record unloading time
Proof Of DeliveryThe carrier needs to upload the proof of delivery after completion
Automated InvoiceAs soon as the proof of delivery is uploaded, the booking is completed and an automated invoice is generate

Central Dispatcher

Bird’s View

This is the overall view of the status of every booking that is ongoing, scheduled, or completed along with the details of all the available and unavailable drivers

Book A Truck

This allows the dispatcher to create a booking on behalf of the customer and resolve any issue that might be arising at the customer’s end

Assign/Unassign Driver

The dispatcher can assign or unassign bookings for carriers available for the area of a booking

Load Details

The load details of any booking can be viewed in the dispatcher panel by the dispatcher whenever required

Advanced Features and Integrations

  • Advanced Analytics and Reporting

Last mile delivery apps can incorporate advanced analytics and reporting features for operational efficiency. Therefore, businesses can track key metrics, evaluate performance, and make data-driven decisions.

  • API Integration with Existing Systems

Integrations with CRM software, inventory management systems, or enterprise resource planning (ERP) tools, enhances operational efficiency, and streamlines data flow between various platforms.

  • Inventory Management and Order Fulfilment

Last mile delivery apps can integrate inventory management systems to provide accurate stock availability information, allowing businesses to optimise order fulfilment and reduce instances of stock-outs.

  • Customer Support and Feedback

To ensure customer satisfaction, last mile delivery apps can offer features for seamless customer support, including in-app chat or messaging options, as well as feedback mechanisms for users to rate their delivery experiences and provide valuable feedback.

  • Integration with Third-Party Services (payment gateways, maps)

Integrating with payment gateways, mapping services, or SMS gateways, expands the app’s functionality, and enhances user experience.

Conclusion

The cost of developing a last mile delivery app like OnFleet requires careful consideration of the core functionality and advanced features necessary to meet the demands of customers and streamline operations.

While the cost of developing a last mile delivery app like OnFleet can vary based on factors like app complexity, platform choice, and desired features, understanding the scope and key components can serve as a foundation for estimating the development cost.

Our product Shypr, a last mile software solution is an apt product for entrepreneurs foraying into this domain. It possess marquee features such as: Single Pickup & Multiple Drop: option for shippers to choose LTL loads for pickup from a single location and drop to multiple locations.

Route Optimisation: routes are automatically optimised in case of multiple stops to enhance efficiency of delivery and save time. Enterprise Account: Shypr offers a dedicated platform for customers who usually do bulk loads and pay using their credit line.

cost of developing a last mile delivery app like onfleet
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Disclaimer: The Blog has been created with consideration and care. We strive to ensure that all information is as complete, correct, comprehensible, accurate and up-to-date as possible. Despite our continuing efforts, we cannot guarantee that the information made available is complete, correct, accurate or up-to-date.
Sasi George

Sasi George

After an Engineering degree and a Diploma in Management I devoted 16+ years working in the automotive industry. My innate skill and extreme passion in writing, encouraged me to adopt it up as a profession. I have been writing for more than 10+ years in the software industry. The 400+ blogs I published are informative, exhaustive and interesting to a professional and causal reader.

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