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How to Build Your Business Around Hyperlocal On-Demand Delivery Model?

How to Build Your Business Around Hyperlocal On-Demand Delivery Model?

E-commerce business has experienced an immense boom during the last decade and in that boom, the pandemic just added fuel to the fire. You can get anything delivered to your doorsteps with just a few clicks.

Groceries, apparel, medicine, food, you name it and it can get delivered to you. How the world shop, has changed dramatically, we are more depended on online shopping now, reasons are quite evident. Online shopping is hassle-free, convenient, and doesn’t require much human interaction.

Due to the rise of various E-commerce sites, it is obvious that people are noticing this industry and the demand is also increasing. Various startups are indulging themselves in this business. There are various business models that can be used in an E0Commerce business, one of them is the Hyperlocal Model. In this article, we will talk about how the Hyperlocal model can be used for your business. So, let’s dive in.

“Thus, in the future, instead of buying bananas in a grocery store, you could go pick them off a tree in a virtual jungle.” - Yasuhiro Fukushima

What is Hyperlocal Delivery Model?
Features of a Hyperlocal Delivery Business Model
Benefits of Hyperlocal Delivery Model
How to Build Business around Hyperlocal Delivery Model?
Companies that use Hyperlocal Model

What is Hyperlocal Delivery Model?

Hyperlocal means a certain small geographical area and a defined community. Your neighbourhood or your locality can be termed as hyperlocal. Through the hyperlocal model, a business can cater to the needs of the people from that certain locality. It is an online delivery model that fulfils the needs of the consumers with the help of a local ecosystem, which means the pickup and the delivery location need to be in the same zone.

The business that uses this delivery model receives the order from the customer for a certain product or service through the app. Then the app passes on the details of the orders to the aggregator and then the aggregator assigns a person that will deliver the requested products or services to the customer’s place.

Features of a Hyperlocal Delivery Business Model

Below are some features of this model that makes it unique and useful:

  • The target area in this model is a certain place where people have a high demand for goods and services and through this those demands can be fulfilled instantly.
  • It takes care of the needs of people with the help of modern technology.
  • This model provides the deliveries for the goods extremely fast and they arrive at the customer’s doorstep in no time.
  • GPS, Social Media, and mobile applications are needed so that this model can function in your business.

Benefits of Hyperlocal Delivery Model

Some of the benefits that the Hyperlocal model gives out are:

  • The hyperlocal model helps the local retail stores gain the visibility that was endangered due to online shopping sites.
  • Retail shops enjoy a significant advantage and that is they don’t need to create and maintain an app for their business, they can just add their business on the E-commerce platform and it can function easily.

How Online Food Delivery Startups are dealing with CoronaVirus Outbreak?
Foodtech startups Zomato & Swiggy have started Contactless delivery in Covid-19 crisis. They also have partnered with E-grocers like BigBasket, Grofers.

How to Build Business around Hyperlocal Delivery Model?

If you are choosing the hyperlocal model for your E-commerce business, then you need to follow the steps below.

Choose the Industry

The first and foremost thing you have to do is select the industry around which you want to build the hyperlocal delivery model. It can be for groceries, food delivery, medicines or other products. The market you choose will decide the future of your business.

Choose your Target Audience

After selecting the industry, the next step is to decide your target audience. Not everyone can be your audience, so you must decide to whom you want to serve.

Form the Partnership

It is now time to partner up with the retail shop and the aggregator who will provide your customers with the products and services. You need to choose them carefully, as your business reputation depends on them. The delivery network has to be strong.

Select a Revenue Model

Think about how you want to earn revenue through this business and what model you want to use. There are inventory-led models, aggregator models and hybrid models in the hyperlocal business model. Choose the one that will go with your business.

Develop an App

In this step, you need to build an app, through which your customers, delivery partners, and suppliers will be connected. The app has to be user-friendly and hassle-free, this way it will strengthen your customer base.

Companies that use Hyperlocal Delivery Model


Through this app, you can book your movie tickets, recharge your phone, and order food.


One of the biggest food delivery apps that serves the people of India. You can book a table in a restaurant, order food, and discovers multiple restaurants that serve your favourite cuisines.


The app delivers your medicine to your doorsteps and can also conduct any tests suggested by your doctor here, they will deliver the report after completing your test.


This app delivers groceries to your place, not only that it also delivers other products including cosmetics and frozen foods.

Nearbuy.com - Company Profile | Hyperlocal E-commerce Company
Nearbuy is a hyperlocal eCommerce company that helps customers to find, purchase & save on merchants near them. Know more about its company profile, etc.


At present, the Hyperlocal model has become one of the most important ones in the E-commerce sector. In a fast world, having your things delivered to you in lesser times is one of the blessings of this model and that is what attracts the customers. With time, the apps by the businesses that follow this model need to be more developed so people can receive better services. The business will continue to grow when they try to better itself.


What is the hyperlocal delivery model?

The hyperlocal delivery model is an online business model where the demand of the customers can be fulfilled through local shops.

What is Hyperlocal targeting?

Hyperlocal targeting means targeting your audience from a selective geographically limited area.

What is a Hyperlocal delivery system?

It is a process of delivering goods from a seller to customers from the same locality.

How would you build your business around an on-demand hyperlocal delivery model?

Select the industry you want to operate in, select your target audience, Partner with an aggregator, build an app, and prepare a revenue model.

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