How Start-Ups Fuel the Growth of the On-Demand Economy

  • Date Published
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In this blog, you will learn how start-ups are trying their hands at the on-demand business model and creating billion-dollar businesses out of the same.

The arrival of app development companies and mobile app developers has provided wings to all the small as well as large scale businesses. They can now experiment with different ideas, create MVPs while not spending too large a chunk of their budget.


Today users spend a good amount of time scanning, searching, evaluating, and using on-demand services. As there is an evident increase in the use of smartphones the app development world is experiencing a huge surge in revenue. Mobile apps offer easy and quick services at the tip of your fingers, hence it has captured a huge market. This is the sole reason for the exponential rise in the sales of smartphones.


Numerous start-ups have built on-demand businesses from scratch and have become unicorns. A huge percentage of these start-ups now want to enter the on-demand industry. As the ‘Uber for X’ model has seen astounding success, industries such as logistics, grocery, entertainment, education, and many more have joined the party.


This blog offers you an insight into how start-ups and mobile apps are shaping the on-demand economy. So, if you’re a budding entrepreneur dreaming to go big this read would certainly provide you with the needed inspiration.

How Are Start-Ups Contributing to the On-Demand Economy?


Engaging Mobile App Experience

The on-demand services have created billion-dollar businesses out of start-ups. The mobile apps that these start-ups develop need to design an intuitive user interface that offers an engaging user experience. To achieve the preceding feats it’s important to hire an experienced mobile app development company.

Such is the requirement of consumers that every business willing to reach the masses in less time has to go for a mobile app sooner or later. As the world is experiencing a shift from desktops to laptops to smartphones now, start-ups are also looking forward to developing mobile apps.

The mobile-first approach has gained significant attention in the past decade. Mobile apps such as Uber and Airbnb have shaped the success stories for their stakeholders. The innovative ideas when backed up with optimized tech can offer practical life solutions while offering high ROIs.


Offering Reliable Services

The whole aim of creating on-demand services is that it offers services anytime and can be accessed from anywhere. They serve a large number of consumers with minimal human interaction. This automation of services is the prime factor for attracting consumers all over the globe.

But to capture a loyal consumer base one also has to offer a sustainable business model that serves a purpose in the user’s life. As smartphones are the most desirable means to offer any services today, the app development world has seen exceptional growth.

Various mobile-app start-ups have flourished in different industrial domains. For example, the online food delivery platforms have managed to change the perception of how we used to consume food. Now, when we think about ordering food we directly reach out for our phones to check if our desired cuisine can be ordered via home delivery.

McDonald’s and Dominos have become proficient at providing these services. They offer innovative methods for the users to make orders using minimum efforts while learning more and more every day about user preferences.

These business models work as they provide users with never-ending flexibility. The same benefits have been introduced in different industries such as ticket booking, laundry service, hotel booking, and many more.


Introduction to Personalized Services

As the only thing connecting the user and the service provider is the mobile application, it accounts for a lot of user data. This also offers direct engagement with users. As every individual has their profile the data retrieval tools can individually learn about every user and offer them personalized services.

The data offered by the user is gold to the service providers. They observe how a user is reacting to their services and make future business decisions based on the observed data.

Advanced technologies such as Artificial Intelligence can be further used to predict user behavior and offer them their desired services or products before they even ask for them. This high level of convenience keeps the consumer glued to the platform. Remember, users, are extremely loyal to the apps they use. Once they get prone to certain services they don’t switch to other service providers until they’re being offered something more.


Enhanced Experience Using Mobile Apps

Mobile apps are the driving force behind the creation of the billion-dollar on-demand economy. Never had we imagined before a decade that we would avail our desired services using just a few taps. But the on-demand services have made this possible.

On-demand apps such as Lenskart are using Augmented Reality to enhance the user experience to another level. Their AR feature allows its users to try on sunglasses in real-time to see how they look from different angles using the mobile phone camera. Isn’t that amazing?

As these apps remove the middlemen, it allows them to offer their services at affordable prices. So a user gets it all, convenient service, and an enhanced user experience at reasonable rates. The on-demand services have been adopted at such a high pace that they’re redefining the conventional ways of doing business. The advent of mobile apps has given a fair chance to small-scale business owners to live their dream of turning big one day.



We learned how start-ups are trying their hands at the on-demand business model and creating billion-dollar businesses out of the same. The on-demand economy is on the rise in the years to come. If you’re a budding entrepreneur who has a groundbreaking business idea and is looking forward to contributing with an IT service provider, then this is the right place for you.

Technource, an on-demand app development company has worked on several on-demand projects over the years. Our work can be observed through the case studies we’ve uploaded to our website. We’ve cultivated our expertise by learning through numerous challenging projects that have come our way. Our clients around the globe can vouch for the same.

We maintain our client’s privacy by signing a non-disclosure agreement from the start and also provide them with post-project consultation at affordable rates. We are a one-stop place to cover all your technical requirements. Sign-up for a free consultation to know more about our app development process and the growing on-demand economy.