9 Best Grocery Delivery Software in 2024

Demand for online grocery shopping skyrocketed during the pandemic — and it’s never come back down. In 2022 the slowest month for e-commerce deliveries was May, when grocers in the United States racked up $5.7bn in sales. That’s even higher than in April 2020, when the pandemic was at its peak and we were all still cleaning our deliveries with disinfectant wipes.

So even though in-store grocery shopping is still much bigger than online, demand for delivery and pick-up options is here to stay. The only question is: how do independent regional and local grocers stay in the game? It’s hard to compete against giant retailers like Walmart, which is projected to turn over more than $45bn in online grocery sales in 2023 alone. They have all the resources they need to develop their own winning grocery delivery platforms, and then some. For smaller retailers, the task is tougher.

Things like in-store experience, product selection, local relevance, and customer loyalty are all important pieces of the puzzle. At Routific, though, our expertise is delivery management software, so that’s the focus of this piece: what do store owners need from grocery delivery software, and how do they get it?

We’ll start with the different business models for grocery deliveries, because your business model will determine your software choice. Then, we’ll look at the key features a grocery retailer might want to look for in their software, followed by a quick look at some of the main grocery delivery apps and software options. 

Grocery delivery business models

The main choices when it comes to business models for grocery delivery come down to speed: how quickly will you promise to deliver once customers have placed their orders? Same-day or on-demand delivery needs one kind of delivery system; scheduled deliveries need something different. 

1. On-demand delivery models

On-demand delivery seems like an offer customers can’t refuse: what they want, when they want it, with no planning needed. Companies like Instacart, DoorDash, and Uber Eats are all built on fulfilling this desire. It’s not something your average grocery store can offer on its own — it relies on a vast network of gig economy drivers who’re available at short notice to do other people’s shopping for them. 

It can be a dangerous business model, though. In Vancouver, where Routific is based, a new grocery delivery service launched in 2021 promising 15-minute grocery deliveries. I used Tiggy a few times, and from a customer point of view it was fantastic — but it clearly wasn’t profitable. The company shut down in mid-2022 and hasn’t been heard of since. Even Getir, one of the few success stories, is scaling back its operations.

In fact, 15-minute grocery delivery has been called “one of the worst business models ever created”. Delivering on demand means lots of very small loads, and delivery drivers end up criss-crossing the same area many times a day. There’s no opportunity to group orders and schedule them to be delivered along a single route, so you get no economies of scale. It’s also very hard to predict demand, so you may not know from one day to the next how many drivers to have on shift, for example. 

So beware of grocery delivery apps that seem too good to be true — they probably are!

When does it makes sense to deliver on demand?

Online food delivery platforms like DoorDash, Grubhub or Uber Eats work best for restaurants. Customers choose from a limited menu and expect their food delivered hot and fresh, in 30 minutes or less. In that case, it makes sense to contract your deliveries out to a gig-economy style delivery service like DoorDash. 

For stores who want to try offering on-demand grocery delivery, Instacart is still the main player. Check out our detailed review of Instacart below. 

2. Scheduled delivery models

Scheduled deliveries, whether same-day or next day, make it possible to batch deliveries so that you can load several orders onto a single vehicle and plan an efficient route. A grocer could choose to manage their deliveries in-house, or contract out to a third party delivery service. 

DIY deliveries or contract out? The pros and cons

Contracting your deliveries out to a third party delivery service like Instacart or Uber Eats has some advantages:

• There’s no need to hire and manage drivers.
• Someone else manages all the delivery operations. 
• You have access to expensive, sophisticated platforms and systems.
• It’s a relatively quick and easy way to begin offering online grocery ordering.

The disadvantages include:

• You have no control over the delivery experience.
• Customer loyalty goes to the platform, not the store.
• It’s more difficult to deal with customer queries.
• You risk being locked in to someone else’s business. 
• Fees can eat into profits. 

(See this excellent article by Mark Fairhurst at Mercatus for more information.)

Basically, inviting someone else to handle your deliveries involves gaining convenience and the ability to offer your customers a user-friendly online grocery shopping experience. In return, you give you up some control and potentially some profits. 

💡Take control of your deliveries with Routific. Try us free for 7 days — no credit card needed.

What kinds of grocery store offer online delivery?

Broadly, there are three kinds of grocery store that offer delivery services:

• Traditional chains:  Giant corporations like Walmart and Kroger tend to build their own systems to manage online ordering and home delivery.
• Online-only grocers: Unlike Instacart, which sends shoppers into existing retail stores, true online grocers like Thrive Market and Boxed operate their own warehouses and distribution networks. 
• Local independent stores: Most cities have local grocery chains or specialist stores that can offer personalized service and local products. These are often the stores that can benefit the most from using grocery delivery software. 

Is there a way to make grocery delivery profitable?

Yes! The secret to profitable deliveries is keeping your cost per delivery as low as possible. The more deliveries each driver can make per hour or per day, the easier it is to make profitable deliveries. Efficient delivery routes are critical — which is why route optimization is one of the key features to look for in software solutions for grocery delivery. 

Let’s look at the other key functionality that delivery software for a grocery business should offer.

Key features of grocery delivery software

1. Order upload

Manual entry is a time sink. Look for software that allows you to upload a spreadsheet, or import orders directly from your point of sale (POS) software or order management system. This feature streamlines the order processing workflow, saving you time and reducing the risk of human error.

2. Route optimization

Route optimization is at the heart of efficient delivery. Software like Routific can automatically plan the most efficient routes for your drivers, reducing fuel costs and delivery times. 

New England-based Walden Local, for example, has grown from 30 deliveries per route a day, to upwards of 100+ per route in their densest areas. With lower cost per delivery, they can expand their reach: 

“It's worth it for us to send a driver to the tip of the Cape. With density there's leeway.” — Jackie Andrews, Walden Local

3. Dispatch and driver management

Along with route planning, dispatch and driver management features help you assign drivers to routes, track their progress, and even reassign tasks on the fly. Driver mobile apps for both iOS and Android should come as standard.

4. Real-time tracking 

Keeping customers in the loop about exactly where their orders are helps to avoid frustration, and minimize the number of “where is my order?” queries. Real-time tracking also helps dispatchers and managers monitor the fleet's performance and make real-time adjustments.

5. Customer notifications

Automated notifications are the perfect complement to real-time tracking, keeping customers informed from the moment their order is placed until it arrives at their doorstep. 

It’s also a way to maintain a personal connection with customers, and build customer loyalty. Farmer Brie Casadei, for example, used Routific’s customer notifications feature to stay close to her customers even as her business expands:

"There are days when one driver might be making 60 deliveries, and that's 60 customers I still want to talk to. I still want to say 'Hey, thanks for your order’. The communication through Routific has saved us so much time." — Brie Casadei, Terra Firma Farm.

6. Proof of delivery

Proof of delivery reassures customers and avoids disputes, especially as contactless deliveries continue to be popular. Look for driver apps that make it easy to upload pictures or capture digital signatures. 

7. Customer satisfaction features

Features like post-delivery surveys or review prompts can provide valuable insights into your service quality, helping you make data-driven improvements.

8. Analytics and reporting

Data is your friend. Comprehensive analytics and reporting features allow you to track KPIs, monitor performance, and make informed decisions. Whether it's delivery times, customer satisfaction scores, or cost per delivery, the right metrics can guide your business strategy.

Nice-to-have features

End-to-end grocery store systems that handle everything from produce sourcing to final delivery are rare for a reason. Existing software systems are often deeply embedded in the business — so while you need your POS to talk nicely to your delivery software, they don’t necessarily need to come in the same package. Here are a couple of extra features that may be useful:

Inventory management

Keeping track of what's in stock is crucial for any grocery delivery service. Inventory management features allow you to monitor product levels in real time, helping you avoid overstocking or running out of essential items. 

Customer data management

Customer data management tools help you store and analyze customer information, from basic contact details to order history. This data can be used for personalized marketing campaigns or to offer tailored recommendations.

The top grocery delivery software options in 2024

1. Barn2Door

Barn2Door is a great option for community farm shares and local produce delivery. This farmer-focused e-commerce platform enables farmers to build online grocery stores, take orders and accept payments (both online and in person), offer subscriptions and manage deliveries.

Terra Firma Farm in Connecticut, for example, uses Barn2Door not only to sell their own dairy products, but also to stock a range of other local produce. That’s a win for both their customers and their neighbors. 

Rating: Not listed on software review sites.
Pricing: Starts at $99 per month. Their marketing toolkit is an additional $29 per month.

2. DispatchTrack

DispatchTrack says its delivery management software is used by global brands like Wal-Mart and Coca-Cola, as well as furniture and other retailers, technical services providers, third-party logistics (3PL) providers and more. It has a global footprint, with teams in the United States, India, Europe, Latin America, Australia. and south-east Asia. 

It may not be a good option for small and medium-sized businesses, though. Its pricing is not public and you will have to contact them for a custom quotation. This is often a sign of a complex product that’s tailored more to the needs of enterprise customers than SMBs.

Online reviews mention customer self-scheduling and analytics as things customers love about DispatchTrack. On the downside, some reviews say it is slow. Several reviews say they would have liked more training, suggesting the user experience may be difficult.

Rating: 4.6 (10 reviews)
Pricing: Not disclosed. No trial version.

3. Dispatch Science

Dispatch Science is aimed at companies managing high vehicle and order volume — in the range of 10 to 1,000+ vehicles. 

The software provides the same route optimization, dispatch, driver tracking and API integrations as most others. Standout extra features are a customer self-service portal, and built-in invoicing and collections. 

Dispatch Science is probably more suitable for couriers than for businesses that do deliveries as an add-on to their main activity, like grocery stores. It’s also a fairly new product, from a company founded in 2016. There are only 6 reviews on Capterra, and one of them notes that “since this is a newer platform there are definite growing pains with stability issues that show up on occasion” — although the same review notes that the app development team is usually quick to respond.  

Rating: 4.8 (6 reviews)
Pricing: From $650 per month for up to 10 drivers. No free trial. 

4. Instacart

Instacart is a household name when it comes to on-demand grocery delivery. It partners with existing grocery stores to offer a wide range of products to consumers, using gig economy workers to shop for and deliver groceries. 

Basically, Instacart acts as a middleman between local stores and customers. As we noted above, that creates dangers as well as opportunities! While Instacart can enable a store to start offering online shopping and delivery really fast, the store has less control over the customer experience. This can cause issues when it comes to fresh produce — if the shopper doesn’t select carefully and the customer is unhappy with the quality of what they get, it’s probably the grocery store that will get the blame. On the other hand, when things go well it’s usually Instacart that gets the credit.

Instacart only serves the US and Canada, so if you’re outside North America this is not an option for you. 

Rating: 4.6 (35 reviews) — but all these reviews are from customers, not retailers.
Pricing: Varies by partnership agreement. There are no upfront costs, but Instacart takes a percentage of each sale. No free trial.

5. Onfleet

With a base-tier price of $500 per month, Onfleet is aimed at mid-market companies with 10 to 1,000 vehicles. In this way it’s very similar to Dispatch Science, and the two apps have similar functionality — although Onfleet doesn’t have a customer self-service portal or billing. It does have an auto-assign feature to match drivers with jobs, which is handy for on-demand couriers and delivery services.  

Online reviewers like Onfleet’s in-app live chat function, which makes it easy for drivers and dispatchers to communicate. Negative reviews mention poor route optimization, the high price and the fact that it’s not very user-friendly. 

You can read more about alternatives to Onfleet here.

Rating: 4.7 (80+ reviews)
Pricing: Starts at $500 per month for up to 2,000 pickup/delivery tasks. Barcode scanning, age verification and 5,000 pickup/delivery tasks start at $1,150 per month.  There is a 14-day free trial, but you will need to give your phone number and credit card details.

6. OnTime 360

OnTime 360 is a very comprehensive order and delivery management solution. It includes order taking, and has a web portal so customers can create their own orders and log in to check progress. It also offers label printing, barcode scanning, and billing & invoicing via a Quickbooks integration.  

The downsides include high cost, with users sometimes paying for features they don't actually use. Their routing functionality is also, according to one review, “pretty basic”, with a limit of 300 stops.

Rating: 4.3 (30+ reviews)
Pricing: Starts at $39 per month for a limited feature set. Route scheduling and the Quickbooks integration are only available from the Professional tier plans at $129 per month. There’s a $99 account activation fee for all plans. 14-day free trial.

7. Routific

Routific specializes in delivery management and route optimization for small to medium-sized businesses, mainly in the food and beverage sector. Orders can be uploaded from a spreadsheet, or using our API to integrate with an ordering system. Route planning and optimization is quick and easy, with one-click dispatch to drivers and real-time tracking. 

Routific users love our efficient route optimization, accurate ETAs and customer service. Our driver app is free to download for both Android and iOS. 

“I researched several route planners and signed up for free trials with the 3 I liked most. Routific by far had the best functionality and ease of use." — Capterra reviewer

Routific doesn’t support high-speed, on-demand delivery, so it’s not a good choice for grocery businesses that want to offer this. It’s a better option for scheduled deliveries. At Greenhouse Juice, for example, customers can order up until midnight for delivery the next day.

Rating: 4.9 (110+ reviews)
Pricing: Starts at $49 per vehicle per month, or $59 per vehicle per month for GPS tracking and proof of delivery features. Automated customer notifications via email or SMS are $19 per vehicle per month. Per-stop pricing is also available.

💡Try Routific free for 7 days — no credit card needed.

8. Shipday

Shipday is designed for local businesses that want to offer on-demand deliveries, including grocery stores, restaurants, and pharmacies. Stores can employ their own drivers, or connect with third-party delivery providers like Uber Eats and Grubhub. 

The platform offers features like route optimization, real-time tracking, and customer notifications. One of its standout features is the ability to integrate with popular e-commerce platforms like Shopify and WooCommerce, making it easier for businesses to sync their online and offline operations.

While Shipday is a robust solution for small to medium-sized businesses, it may lack some of the advanced analytics and reporting features that larger enterprises might require.

Rating: 4.9 (19 reviews)
Pricing: Free plan available with limited features. Paid plans start at $29 per month.

9. Shophero

Shophero is specifically built for independent grocery stores. It offers a “white label” solution so that grocers can build their own online grocery marketplaces. The service includes inventory management, website creation, marketing (digital, email, social, and offline), shopper support, and delivery coordination. It’s not entirely clear how Shophero does its delivery management, though – is it better for on-demand or scheduled deliveries? You will need to speak to them to find out. 

Shophero primarily focuses on the US market, so international businesses may need to consider localization and currency conversion features separately.

Rating: Shophero is fairly new so there are no reviews on Capterra yet.
Pricing: Not disclosed. You will need to contact them for a custom quote. 

Wrapping it up

As you can see, there are lots of grocery delivery software options on the market, serving quite different needs. For independent grocers who want to offer on-demand delivery, Shipday and Instacart are good options to consider. For scheduled deliveries, consider Routific, Onfleet, Dispatch Science, DispatchTrack or OnTime 360. For farmers, Barn2Door is the standout option.