Foodpanda 2.0 aims to expand Foodpanda's online food delivery and grocery delivery business in India. Its goals include occupying 15% of the online food delivery market by 2017, becoming profitable in India by 2019, and occupying 20% of the online grocery market by 2020. To achieve this, Foodpanda 2.0 will introduce a new premium app version with improved services, expand restaurant and supermarket partnerships, and leverage strategic marketing communications. The success of Foodpanda 2.0's expansion will be evaluated based on app downloads and the adoption of its paid app version and market share in online grocery delivery.
2. BACKGROUND
•The foodpanda group is a global mobile food delivery marketplace
headquartered in Berlin, Germany, and operating in 24 countries and territories,
including India, Pakistan, Russia, Bangladesh, Hong Kong and Singapore.
•The service allows users to select from local restaurants and place orders via the
mobile application as well as the website.
•The company has partnered with over 40,000 restaurants.
4. The online food ordering business is witnessing exponential growth. The organised
food delivery is valued at $15 billion in India.
Foodpanda entered the Indian market owing to its tremendous growth potential.
The food reatil market in India is expected to reach $894.98 billion by 2020
Also, the grocery market in India is expected to touch $1 trillion by 2020 and
a significant portion of the market shall be occupied by the online grocery stores.
SITUATION OVERVIEW
5. GOALS
• The company is expected to occupy 15% of the online food delivery
market(in India) by 2017.
• To make India a profitable market by 2019.
• To maintain its position as the market leader in the online food delivery
business(in India).
• To occupy 20% of the online grocery delivery market by 2020.
6. How will it happen???
• Introduction of a new fremium version of the app(with improved services) .
•Striking differences between the free and the paid versions
• Collaboration with multiple supermarkets.
• Collaboration with a larger no of restaurants .
8. COMPANY OVERVIEW
• The company initially entered the food delivery business and seeing the market
potential intends to start its online grocery delivery business (in India first) .
• Foodpanda is the market leader in the online food delivery business in India.
• Foodpanda occupied Just Eat and Tasty Khana to expand their scale of operations
in India.
9. MARKET OVERVIEW
• Zomato and Swiggy are the main competitors.
• Foodpanda has collaborated with many restaurants and major collaborators
are Dominoes and MacDonalds in India (as restaurants) and Paytm and
PayUMoney for payment purposes.
•Foodpanda 2.0 will reach out further to the young population who value time more than
money and thus we plan to introduce an online grocery delivery store.
10. TARGET CUSTOMERS
• All the people who want to try food of different cuisines/ from different restaurants.
• Demographically , the young population who percieves time as a more valuable
asset than money.
•Geographically, urban and semi-urban population, sec A ,sec B and sec C.
•Physcologically, experiencers and achievers.
12. GOALS
• The food delivery segment will continue
to be the major revenue generation source
and by 2019,the company is expected
to start earning profits(in India).
• The company is expected to occupy 20%
of the online grocery delivery market
and earn a net revenue of $40 million
from the same by 2020.
• By 2017, the company is expected
to occupy over 15% of the total food
delivery business in the country.
By 2020, the expected percentages are
over 23%.
13.
14. TARGET MARKET
CUSTOMERS :
• Access to a larger number of cuisines.
• Access to a larger number of restaurants.
• Cheap/inexpensive food.
• Better time management.
• Ease of access to daily needs.
15. COLLABORATORS:
• Local restaurants : They want increased consumer
traffic.
• Grocery stores: They want to increase their net
revenue via increased consumer
traffic .
• Payment partners: They want a larger amount of
cash to flow through their
channels for every ‘cashback’
offers they provide.
16. COMPANY:
• The delivery service is the primary offering .
• The majority stakeholder is Rocket Internet
and they hold 52% share.
• Recent investment of $100 million by
Goldman Sachs.
•The online grocery delivery business will
involve hiring more sales personnel and
delivery guys to manage the ever increasing
traffic.
17. COMPETITORS:
• ZOMATO and Swiggy
•Local competition.
•In India, the company acquired
Just Eat and Tasty Khana ; the
local competition.
• In the online grocery delivery
venture , the company is expected
to face a few existing players in
the venture such as Grofers &
BigBasket in India.
18. CONTEXT:
•Indian market has one of
the highest potentials in the
world,economically.
•Demographics constitute
young population who are
experiencers and want to see
themselves as achiever.
• The increasing value of time
over money has created new
opportunities.
• However, India is yet to adapt
wholly to the new technological
reforms.
19. VALUE PROPOSITION
CUSTOMER VALUE
VALUE PROPOSITION:
• Quickest delivery
• Large no of restaurants to choose from.
• Greater discounts.
• Separate platform for customer reviews.
• Price compare among the various grocery stores.
• Free delivery*
• A number of payments options to choose from.
20. POSITIONING STRATEGY:
• Highlighting the POD more than the POP as POPs
are well known.
• Marketing strategies to effectively convey the
differences between the premium and free offerings.
• Using a corporate umbrella branding strategy to
launch the new app and to launch the online
grocery store.
21. POSITIONING STATEMENT:
“ Foodpanda 2.0 provides its customers the
access to a large no of restaurants
, grocery stores and provides home delivery
services better than anyone else because we
believe customer satisfaction is the only thing
which builds a company and we owe it to you.
We provide you this with the help of our
trusted collaborations and our dedicated team.”
23. COLLABORATOR VALUE
POSITIONING STRATEGY:
• Positioning highly rated restaurants on top
of the search results.
• Trade promotions.
• Reduced commissions to pay.
• Greater discounts By Foodpanda(not the
grocery stores/restaurants)to attract
customers.
• Greater discounts by Foodpanda if
customers pay through specified wallets thus
increasing customer traffic for the payment
channels.
24. COLLABORATOR VALUE
POSITIONING STATEMENT:
“Foodpanda 2.0 promises to provide its
collaborators growth and consumer traffic
beyond expectations. We do this by
constantly evaluating and updating our
marketing strategies to cope up with the
needs of the new customer and at the same
time looking for the intersets of the
collaborators and stakeholders.”
25. COMPANY VALUE
VALUE PROPOSITION:
• Expansion into newer markets.
• Establishment of a diverse brand
portfolio.
• Increased revenue generation.
• Greater oppurtunities for breaking
the ‘stereotypical ’ image a firm’s
brand/ any brand has.
26. COMPANY VALUE
POSITIONING STRATEGY:
• The company’s stakeholders shall
be identified in all the trade promotions.
• All the stakeholders(having 5% share
or more)shall have atleast 1
representative in the board .
• All the channel conflicts will be
resolved by the company themselves.
• If any stakeholder wishes to release its
stake, the terms for the same will be
convinient and beneficial for both
the company and the stakeholder.
27. COMPANY VALUE
POSITIONING STATEMENT:
“Foodpanda 2.0 promises to provide its
collaborators growth and consumer traffic
beyond expectations. We do this by
constantly evaluating and updating our
marketing strategies to cope up with the
needs of the new customer and at the same
time looking for the intersets of the
collaborators and stakeholders.”
30. FREE APP
• Free delivery (for food/grocery) within
a 4 km radius.
•Beyond 4 km radius , delivery charges
will be nominal.
•Food Delivery after 55 mins(within 4 km)
will result in a discount of 4% every
10 mins (provided they pay via wallets).
• A fixed nominal(rs 20) fee to be
charged for every online grocery
delivery.
31. FREE APP
•A no of payment options(COD available)
• Larger no of restaurants to choose from,
more than the original Foodpanda app.
• Better deals/greater discounts.
• Amazing cashback deals.
• Referral benefits(rs 5 worth talktime).
• Separate customer review platform.
• Cost= rs. 0
32. PAID APP
• Free delivery (for food/grocery)
within a 9 km radius.
•Beyond 9 km radius , delivery charges
will be nominal.
•Food Delivery after 55 mins(within 7
km) will result in a discount of 10%
every 10 mins (provided they pay via
wallets /debit/credit cards).
• No fee to be charged for online
grocery delivery.
33. PAID APP
•A no of payment options(COD
available).
• Larger no of restaurants to choose
from, more than the original
Foodpanda app.
• People using the paid version shall
earn credits for every transaction
which can be used for discounts.
34. PAID APP
•A minimum 7-8% discount available
on all restaurants.
• Better cashback deals than the free
app.
• rs.12 (worth talktime) for every
referral.
• Separate customer review platform.
• Costs to be discussed.
36. NAME : FOODPANDA 2.0 (so less additional markeing expense for brand
recognition/announcing category membership.)
LOGO:
SYMBOL: A Foody Panda
BRAND MEANING: Foodpanda 2.0 gets you food as well as gets you the
materials for a good preparation.
40. INCENTIVES
CUSTOMERS:
• All the price reductions for the
paid users and free users have
been mentioned in the earlier
slides.
COLLABORATORS:
• Recognition of all the collaborators
in trade promotions.
• Marketing strategies by the
company to increase consumer
traffic on collaborators’ platform.
41. INCENTIVES
COMPANY:
• Medical benefits
• Bonuses on regular intervals.
• Employee recognition program.
• Recreational facilities within the
company campus.
• Inexpensive food within the
premises.
58. INFRASTRUCTURE
• Sales team : responsible for sales
promotion tools management and
to maintain healthy relationships
with collaborators.
•Marketing team : responsible for
devising an effective marketing
strategy and managing mass
communication tools.
59. INFRASTRUCTURE
•Management team : responsible for
managing the entire company ops
and to maintain healthy relationships
within the company and with the
stakeholders and collaborators.
•Technical team: App management
and handling the entire online
platform of the company.
60. INFRASTRUCTURE
•PR team : They evalaute the people’s
responses to a change or a proposed
change in the development of the
company. They also manage the
human resources within the company.
• Delivery guys : The ‘heart & soul’ of
the company.
62. Business Processes
The 2 primary business processes are
• Ordering
• Delivery
Online food delivery companies
generally try to enrich their services
with 4 conviniences.
63. Business Processes
•Decision Convenience – Making it fast
and easy to choose.
•Transaction Convenience – Making it
fast and easy to pay. For eg. payment
via cards, Paytm accounts or wallets
like PayUMoney.
64. Business Processes
• Benefit Convenience – Making it fast
and easy to enjoy/use.
•Post-Benefit Convenience – Making it
fast and easy to re-purchase. For eg.
You can save your address and
payment details, bookmark your
favorites to re-order in seconds.
66. SCHEDULE
•Foodpanda 2.0 should be released
by October 2016.
•The initial marketing activities for
for customer recognition should
begin by August 2016.
•The mass communication programs
should begin soon after the app is
released.
67. SCHEDULE
•The expansion of the delivery
services should be finished by
August 2017.
•A preliminary model of the new app
should be released alongside the
customer recognition program.
• Updates to the app to be
scheduled regularly.
70. PERFORMANCE EVALUATION
• To increase the no of downloads of the
app in the Indian market to over 2 million
within 1.5 years.
• The introduction of the paid version can
be called successful if 10% of the
downloaders upgrade to it (in the Indian
market).
• The online grocery store venture should
occupy 7-8 % of the market by the end
of 2017.