Advantages Of Using Blockchain Technology In Food Delivery Apps Every decade a new technology raises that changes how things work in our everyday life. Last decade it was mobile apps, this decade it is the Blockchain technology that is bringing about the change in our day to day life.
Blockchain technology has the turned tables in favour of many industries. Online food delivery is definitely one of them. Today, we can track our meals right from our home or elsewhere with ease. Online Food Delivery industry has been increasingly growing with the growing technology in the past few years.
Food Delivery has gained a lot of popularity in the market, and the industry is working on meeting consumers’ demands by making investments in its production and supply chain. Since the last two years in the pandemic period, food delivery apps have been using various innovative ways to augment their profits by making supply chain more transparent and traceable.
Blockchain technology ensures security, food hygiene, expenditure records, information safety and functional efficiency and is the go to technology for the new era.
What is Blockchain Technology? Blockchain is a decentralized, digitalized and shared ledger for maintaining records, and tracking and securing all financial and additional transactions involved.
Investing in food delivery app development is definitely a great opportunity but also a risk as it needs an advanced tech savvy system to function and gain success.
Service providers always consider implementing blockchain technology in the app development. An example is edeliveryapp.com – an online food delivery software that already has implemented blockchain in their app suite. Blockchain has been massively gaining importance and this will continue to grow in the coming years. Experts predict the market will rise to more than $36 billion by 2025.
With the growing technology and industrial trends, it is fair to say this could happen before 2025. Let’s know about the Pros and Cons of Blockchain-based Food Delivery Apps. Pros of Blockchain based Food Delivery Softwares Food Safety Food safety is consumers’ top most concern while ordering food online. Especially in these times of a pandemic, people are very particular about the food’s quality. This is a major concern of food delivery businesses. With a Blockchain based delivery app, it is possible to allow and offer 100% transparency in the supply chain. This avoids risks of potential food safety disasters.
A study by Jupiter Research says that blockchain technology will help $31 billion globally in food fraud savings by 2024. Customers can also identify their food products’ ingredients, origin and ensure authenticity and hygiene quality. Smart Contract Smart Contract allows the food delivery service provider to verify and ensure the quality of food delivered by them. Each stakeholder involved in the preparation of the food can record information about it in the blockchain system. This data can be accessed by delivery service provider as well as the customer. Faster and safer payments This is a feature that makes online food delivery super cool and efficient.
Now, you don’t have to pay the traditional way and cross-check information by a different players because Blockchain based apps endure faster and safer payments. Blockchain system offers 100% security and the no other entity other than those who have permission can have access to the data. This avoids misuse of identity and information. Verification and Security Check Blockchain based apps allows verification of the delivery partner. Service providers can check the credentials of the delivery agent and restaurants through this feature. The third party (consumer) can benefit from this feature.
Cons of Blockchain based Food Delivery Apps: The food delivery industry faces a lot of other challenges which cannot be tackled by blockchain technology too. Let’s read about these here: Random/Redundant Data Collection This is a definitely one of the biggest obstacles in the food delivery industry. The functioning of food delivery apps involves processes that can be hard to trace and catalog.
For example, minor details like the rice brand and quality in your meal is not easy to trace. The processing of the raw materials can not be traced and shown on the app to the consumers. No ordering system can give you precise details of all stages manufacturing, processing, supply chain of the food materials used. The Human Failure This is the most known and documented glitch in every industry and system. It is obvious for minor and major difficulties to arise when manual efforts are involved.
Blockchain technology is known to ensure security and efficiency but this direct assurance of the information is not complete valid. The data entered into the blockchain is subject to any human error. The human error will be included in the record of events. But blockchain verifies and stores data and not events. This calls for the risk of information morals either intentionally or by accident in the system.
Blockchain digitally documents manually entered record. Though Blockchain technology promises transparency and traceability, it is tough to guarantee accurate information in such cases. Adaptability This is one of the biggest challenge for blockchain currently. Blockchain uses or can be used on completely new set of technologies – today most or many of the currently running software’s are built on legacy platforms that may not support blockchain. Rewriting complete legacy software’s again from scratch does not make business sense and the cost increases manifold. Also its a human nature to resist change.
Summary Blockchain technology has definitely influenced the Food Delivery industry and helped it grow consistently. It is an evolving technology highly involved in the development of food delivery apps. In coming future the blockchain technology has more reasons to grow this decade.