Many people find it irritating to go to the fuel pumps to fill petrol in their vehicles. Sometimes, a gas station is far away from their houses, which is why they are avoiding huge transportation. At this time, a user-friendly on-demand delivery solution becomes a great savior for these people.
This need for a perfect delivery solution has created an emergence of on-demand fuel delivery. The on-demand fuel delivery startups are becoming a growing trend in today’s economic world.
It has created the need for an on-demand fuel delivery solution for the fuel businesses. An on-demand fuel delivery app delivers fuel at the customer’s doorsteps in just a few taps over their smartphones.
If you want to make more profits in the fuel delivery markets, then you need a robust solution. For building a profitable on-demand fuel delivery solution, you should hire dedicated software development team.
If you are thinking of starting your own on-demand fuel delivery business, then this blog is for you. In this blog, we will guide you on how to start a fuel delivery business.
Top leaders of the on-demand fuel delivery market
No doubt the fuel delivery segment is still untouched by many fuel delivery businesses, yet few businesses have paved their way through the on-demand fuel delivery markets. Some of them are as follows :
Booster
Founded in 2014, Booster only serves the Dallas and Bay area. It has attracted an investment funding of $32 million since its inception. Booster purchases its fuel from the wholesale markets. Thus, it manages to sell at a cheaper price than the other fuel stations.
Booster trucks have a capacity of 1200 gallons that are enough to fill over 40 tanks. The company also provides a complimentary cleaning of windows and windscreen to its customers.
Yoshi
Yoshi is not limited to fuel delivery, It also provides complete car services like a car wash, oil change, tire check, engine cleaning, etc. You can get your tank filled at a nominal fee.
The price per gallon drops if you get other services as well. They also have a free thirty-day trial for anyone willing to try their services. Yoshi has introduced multiple referral programs to increase its business.
Filld
Filld does not provide its services directly to its customers. Instead, it comes to their neighborhood on a fixed day. In this way, they can provide their services everywhere by minimizing their costs.
They also charge delivery fees. Firstly, they will message and when you reply affirmatively, they come to your locality for providing their services.
Zebra Fuel
Zebra fuel directly purchases fuel from the producers to avoid the high rent. It allows its users to book a slot for fuel delivery. Then, one of their delivery people comes to the customer’s location to fill the fuel in their vehicle. The company charges a nominal delivery charge as per the day and time.
Challenges faced in starting an on-demand fuel delivery business
The idea of an On-demand fuel management system has not become so popular yet. It’s functional in only a few countries. Here are some challenges that upcoming fuel delivery startups may have to face:
Safety concerns
Safety concerns often put the fuel delivery service providers in a difficult spot. Lack of good quality tanks, proper security systems for limiting unauthorized entry, and the right safety systems for saving the tanks during an accidental fire are the major safety concerns in the industry.
Order management
This feature of an on-demand fuel delivery app allows the users to manage their orders effortlessly. Now, you can easily see the status of your orders. Also, you can schedule your delivery timings as per your orders.
Route Management
Fuel delivery businesses are facing serious challenges in managing their delivery routes. The mismanagement of routes hinders the fuel delivery business owners from delivering their products effortlessly. The customers can get late deliveries which can harm your business. Sometimes the products can get delivered to the wrong address also.
Must-have features to include in your fuel delivery solution
Before using an on-demand fuel delivery app in your business, you need to know how it is beneficial for you to make hassle-free fuel deliveries. Here are some essential features that you can integrate into your on-demand fuel delivery solution :
Real-time tracking
Real-time Tracking is a must-have feature of any on-demand fuel delivery solution. This feature allows the users to keep a tab on their fuel deliveries with the driver’s name and track the driver’s fuel tank truck in real-time on the map with ETA.
Multiple payment modes
The customer can pay for the requested fuel delivery with various payment modes such as debit/credit cards, internet banking, and mobile wallet.
Rewards and offers
With an on-demand fuel delivery app, you can give lucrative offers and some attractive promos right into their inbox. With this type of feature, it will be easy to maintain long time relationships with the customers, and building loyalty from the customers can be easy.
Order History
There should be a vertical where the users are allowed to view their order history. Also, you can offer them an option into your app that allows them to download and save their order receipts into their smartphones.
Accept/reject orders
Fuel delivery business owners can accept or refuse orders. They can even put the order pending if they are not comfortable to complete the order at a given time.
Fuel meter
The on-demand fuel delivery solution needs to have a fuel meter that informs the users about the quantity of the fuel coming from the tankers.
What are the benefits of using an on-demand fuel delivery solution for your business?
An on-demand fuel delivery solution allows you to ease your customer’s life by eliminating their need for going to a gas station. So, you need to build an efficient fuel delivery app with time-saving features. Take a look at some key benefits offered by a robust on-demand fuel delivery solution before using it :
Market leadership
On-demand fuel delivery is still in its budding phase. Thus, there are very few players in the global fuel delivery market. A profitable on-demand delivery solution gives you the chance to enhance your fuel delivery business to make the most of this opportunity.
Customer loyalty
You can start some customer loyalty programs. It will help you to attract new customers and retain the existing ones. You can give discounts, coupons, offers, attractive rewards, redeemable points, etc. to your customers.
Low maintenance costs
A robust on-demand fuel delivery app allows you to promote your business on every famous platform. This will decrease your promotion costs. By saving a large amount of cost and surges, you can increase your level of profit with low investment and maintenance.
Business Automation
Now, you don’t need to store the heavy files and papers for maintaining your delivery records. You can automate your fuel delivery business by integrating an on-demand fuel delivery solution. It will provide you with all the necessary information when you need it. You can also keep track of your transactions by using its robust analytics.
What are the steps to start an on-demand fuel delivery business?
Popular gasoline delivery companies are delivering fuel to homes, residential buildings, offices, schools, transport businesses, and individuals. There is a vast market for the future scalability and expansion for the Uber-like fuel delivery businesses. Here are a few things that you need to consider before starting your on-demand fuel delivery business :
Get acquainted with the rules and regulations
You need to follow all the compliance processes and ensure that the fuel business ensures all the rules and regulations of the local area to avoid legal issues in the future. Your fuel delivery system should be compatible with all the necessary norms that have to be followed in the development.
Seek approval from PESO
It can be crucial for an on-demand fuel delivery startup to operate smoothly in the markets. You need to follow many rules and regulations to operate your business smoothly. You need to take approval from PESO ( Petroleum And Explosives Safety Organisation) to start your on-demand fuel delivery business.
Hire HAZMAT drivers
You need to search for the commercial HAZMAT (Hazardous Material) drivers who could handle, deliver, and dispose of fuel to your customers safely. HAZMAT Drivers are highly trained professional truck drivers who can help you with the transfer of inflammable materials. They are not only trained for safe driving but they can also handle the delivery of hazardous materials.
Collaborate with fuel companies
You have to find some source from where you can easily get the fuel for your business. Make sure that you collaborate with the right fuel provider so that you can avoid fuel supply issues.
You can tie-up with a carsharing or fuel delivery vehicle provider to have enough fleet power. Because the more fleets you have for your deliveries, the more effectively you can serve your customers.
Build IT infrastructure
After obtaining all the permissions and clearances, you need a strong IT infrastructure that includes a processing facility equipped with feedback and a complaint redressal system.
Also, the fuel delivery business owners can integrate various security software into the solution to prevent fuel fraud and also ensures complete safety. An efficient infrastructure is necessary to digitize all communication systems of the fuel delivery business.
Business Analytics
You need business analytics software to assess vital parameters to keep a tab on your business. A robust on-demand fuel delivery solution assists you to measure and control some critical things like pressure and temperature.
It also helps the user to manage the inventory and supply of the product. It also provides rich insights to its users for making major business decisions.
Making the software
Software development is the most important phase. Here, you need to bring together all your resources that will help to build clear communication among your team.
The success of the app and its functionality is based on the strength of back-end codes. Thus, you need to be more alert with your coding process. Then you need to check for the validity of the support in the idea and performance. Ensure that the app has a user-friendly interface that eases the communication for its users.
Wrapping Up
The on-demand fuel delivery apps hold promising growth potential. That is why this is the best time to invest your wealth in building an on-demand fuel delivery app platform for your fuel delivery business. If you are developing the app with an intense focus on specific areas, you can have more out of the app.
You can expand the business by enhancing your business operations. You can gradually add additional products later on. However, developing an extra product line demands fresh investments.
I hope you liked this blog. Keep reading this space for more such resourceful insights.
