2020 Growth Trends For On Demand Service Platforms

By Rae Steinbach on February 21, 2020

The on demand app economy is changing the way businesses serve consumers. On demand platforms like Uber have had a significant impact on transportation, and there is even more Uber-like app development on the horizon. From services that help parents connect with babysitters, to an on demand auto-parts delivery service connecting auto repair shops with parts manufacturers, the proliferation of on-demand service platforms continues to remain one of the hottest new business growth trends.

As new as on demand economy apps are, the market has already grown 58% in value in 2017. In the future, we are going to see the development of more on demand service and delivery apps, an increase in consumers in the on demand economy and on demand app builders discovering new ways to meet the needs of consumers with a greater diversity of platforms.

The following are the specific trends within these themes to keep an eye out for in 2020 when it comes to on demand economy apps.

Steady Growth in the Number of Workers Entering the On Demand App Economy

More workers are joining on demand platforms every year. As available employees see the potential to make a stable income with on demand work apps, more people will continue to enter this workforce.

As of 2018, there were already 6.6 million workers using on demand platforms, and this number has grown steadily with each year. Compared to 2017 where this number was 5.4 million, it is clear this trend in on demand work apps is expected to hold strong.

Consumers Adopting On Demand Service Apps in a Wider Range of Industries

You can already find on demand economy apps that operate in a wide range of industries. However, the largest share of the on demand work app market is dominated by services like transportation, food delivery, and online marketplaces. As consumers get used to more common types of on demand service and delivery apps, they are also going to look for ways to take advantage of those that operate in other industries.

One example is the Uber-like app development for a service that operates in the auto parts industry. Tonquin is an on demand app that connects auto part distributors, retailers, repair shops, and dealers. It’s like Uber for auto parts. If a repair shop needs a part, they can place an order and the on demand delivery app will automatically source the part and connect the service with a local driver that can pick up and deliver the order.

This trend actually demonstrates why it makes perfect sense that the on demand economy is going to see an increase in its workforce in coming years. As on demand apps become more ubiquitous, they branch out to serve new industries and sectors. This results in an environment where more people than ever already possess the qualifications necessary to serve their own customers via on demand platforms.

Consider the example of health apps. Many experts predict that on demand services will soon routinely include health services as well. Patients with limited mobility may be able to, for instance, schedule house calls with their doctors via an app. Thus, those who already work in healthcare can now reach more patients than ever.

Background Checks Becoming Important for On Demand Apps

As on demand platforms expand into more areas of consumers’ lives and more on demand app legal issues arise, we are going to see an increased need for background checks. A good example is the on demand work app, Hello Sitter. This platform provides parents with a convenient way to find a babysitter. As we discovered during the course of development and launch, customers would be hesitant to use the service if there were not background checks performed on the people that work through the app.

Here’s another example that proves this trend taking off for on demand service and delivery app builders. Checkr is a service that specializes in providing fast, accurate background checks for companies that operate in the on demand app economy. According to Checkr, the company has already run more than 42 million background checks. On demand app builders must consider this trend in order to build and maintain user trust.

This highlights how developers who wish to provide on demand services to customers can stay competitive. Quite simply, those who prioritize security will be far more likely to make the right impression on potential users than those who do not. An on demand service platform that isn’t secure may theoretically attract fewer users than a similar product that is otherwise weaker, but far more secure.

More Highly Skilled Positions Within On Demand Work Apps

Services like Uber and AirBnB are some of the most popular in the current on demand economy, but as it expands into more industries, we are going to see an increase in on demand platforms that need more high skilled workers.This will be notable as more people start using on demand service apps within industries like healthcare and medicine.

One such product is the on demand nursing service app, FRND. Like the healthcare app idea described earlier, with FRND, users can contact a nurse to set an appointment or request urgent care. The nurses can handle a wide range of healthcare needs, and there are doctors ready for a video conference if the nurse feels the situation needs the attention of a physician.?

This example of an on demand work app indicates the need for skilled employees is rising within the on demand economy as the services offered become more specialized. Of course, this is once again an instance in which users will have to trust that the skilled employees providing these services are genuinely qualified to do so.

Increasing Need for On Demand App Builders

Mobile app development is a skill that is already in high demand, but an on demand delivery app builder needs a different skill-set than for building your average mobile app. On demand work apps have to be able to connect with and use a number of different services on a mobile device, and they have to be able to network users with service providers in a way that is timely and convenient.

As the market for on demand service and deliver apps grows – and as businesses find more ways to deliver on demand services – we should expect to see an increase in demand for programmers that specialize in Uber-like app development. The above trends are just a few we can expect to see in the future as the on demand economy continues its upward momentum.

Blue Label Labs: Experts in Building On Demand Businesses

The on demand service industry is rapidly growing and while it offers the allure of rich profits, the voyage from idea to real-life business is a difficult one to undertake with competition cut-throat and margins thin.?

Blue Label Labs is a recognized leader in launching on-demand businesses. We work with companies of all sizes to design, develop, and launch profitable on demand services that scale. We’ve helped launch numerous on demand businesses and understand the many business and technical pitfalls that often sink budding on demand businesses so that we can help you navigate around them. Reach out to us to see how we can help bring your on demand service to life.

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