This report analyses the marketing plan for Menulog food delivery app in Australia. It includes details about the company, its competitors, target market, research methods used, and current value analysis of the brand.
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Running head: MARKETING PLAN FOR MENU LOG FOOD DELIVERY MARKETING PLAN FOR MENU LOG FOOD DELIVERY Name of the Student Name of the University Author Note
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1MARKETING PLAN FOR MENU LOG FOOD DELIVERY Executive Summary The analysis in the report is based on the analysis of a local home delivery service of Australia. The analysis is based on the details of the home delivery service and the competitors of the company in the market. The company that is taken into consideration for this analysis is Menulog food delivery app. The competitors of Menulog are analysed in this report and the target market of the company in Australia is also analysed in detail. The methods of research used for this analysis is also discussed. The position of the brand, in this case Menulog with respect to the perceptions of the customers and the competitors in the market is also analysed in detail. The report is concluded with the saying that the Menulog has held its position in the Australian market even after the entry of many competitors.
2MARKETING PLAN FOR MENU LOG FOOD DELIVERY Table of Contents Introduction....................................................................................................................3 About the company........................................................................................................3 Competitors of the company..........................................................................................4 Target market of the company...................................................................................6 Current value and position of the company in the market.........................................6 Methods of research used in this analysis......................................................................7 Current value analysis of the brand................................................................................9 Positionofthebrandascomparedtoperceivedvaluesofcustomersand competitors.............................................................................................................................9 Conclusion....................................................................................................................10 References....................................................................................................................11
3MARKETING PLAN FOR MENU LOG FOOD DELIVERY Introduction The report is based on the analysis of a company based on the competitors it has in the market and the value of the company in the industry. The company is analysed based on its target market and the position it holds in the industry. The research is done based on the perception of the customers and competitors about the value and the position of the company in the market. The industry that is taken into consideration for this analysis is the food supply industry (Albrecht et al., 2015). The home delivery service industry of Australia is taken into consideration for this analysis. The chosen company for this analysis is Menulog Home Delivery services. About the company Menulog is a food delivery company originating from Australia. The company was founded in the year 2006 in Sydney, Australia. The company operates a food delivery app and has tie-ups with approximately 500 famous restaurant chains. The company offers more than 130 cuisines to the customers from all over the world. The company has 8600 partner restaurants in Australia. The company has been operating in this industry for more than 10 years now. The company has handled more than 22 million orders of meal since its inception. In the year 2015 in the month of February, the company had decided to merge its operations withEatNowwhichisanotherorganizationperformingthesameoperations (Menulog.com.au., 2017). The company was however bought by Just East for an amount of 855 million dollars in the month of May of the same year. The company formed another partnership in the year 2016 with Drive Yello which is a technology based organization which would help the organization in providing facilities regarding the booking of drivers, tracking of deliveries and access other data as well. The organization has featured in the media many times (Bharadwaj, Varadarajan & Fahy, 2015). The company was highlighted in the year 2015 in a study which showed the hungriest suburbs of Australia which was
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4MARKETING PLAN FOR MENU LOG FOOD DELIVERY published in a newspapers named The Daily Telegraph and The Herald Sun. The company has also organized award functions like the Tasty Takeaway awards, which recognised some of the popular restaurants in Australia. In the year 2015, the company had launched a program which was first of its kind and it recognised the healthiest restaurants with takeaway options. The dishes in the menu of the restaurants were highlighted if they fulfilled the healthy food criteria (Bustinza et al., 2015). The organization created the world’s first pizza made of 23 carat gold. The company therefore has a good amount of media coverage and has also featured in the news due to the initiatives taken by them (Coccia, 2017). Competitors of the company The food delivery industry in Australia is on the rise in the recent years. The business of the food delivery is increasing along with the number of apps as well. The food delivery apps in this country are offering a variety of cuisines including fast food and pizza. The food delivery companies from other countries of the world are also entering the booming market of Australia. UK based food delivery app Deliveroo has entered the Australian market in the time of two months (Davcik & Sharma, 2016). The other companies that operate in the food delivery market of Australia are Delivery Hero which has made around 600,00 customers in a short span of time. Another major competition of Menulog in this market is Foodora. Menulog was purchased by Just Eat in the year 2016 for an amount of 855 million dollars. The three companies in this industry including Menulog, Foodora and Deliveroo are the main competitors and they have been fighting for the market share in the Catering and Restaurant industry of Australia (Filieri, 2013). The food revolution in Australia has led to the entry of another food delivery service in the market which is namely UberEATs. UberEATs is the freshest player in this industry. The company mainly uses the drivers they already have in their networks to deliver food to
5MARKETING PLAN FOR MENU LOG FOOD DELIVERY the customers. The company claims to deliver food from the trendy and high-end restaurants in the country. The restaurants however do not only belong to the five-star category; however, they have a variety of all other types of restaurants (Goetsch & Davis, 2014). The other competitor of the company Foodora is German company and it was previously known as Suppertime. This organization also has an app and they deliver food with the help of cars and bicycles. The company claims to deliver food which is of high quality and healthy as well. Another major competitor of the company as mentioned above is Deliveroo (Grönroos & Voima, 2013). This is an UK based company and it has also entered the Australian about two years ago. The company claims to take into consideration the viewpoints of both the customers and the delivery people as well (Herrera, 2015). The discussion regarding the competitors of Menulog depicts that the other companies or food delivery apps are new to the market of Australia. Menulog is however operating in the Australian market from around 10 years. Menulog is therefore an experienced player in the market and gives stiff competition to the other players who are new to the market (Hinestroza & James, 2014). Menulog is a food delivery app which knows the Australian market well and can cater to the needs of the citizens in the best manner. However, in the recent times after the increase in the customer base of this industry, the competition has also increased. This has decreased the market share of Menulog and increased a lot of competition (Huang et al.,2015). Target market of the company The food delivery market of Australia has shown huge growth in the recent years. This industry has proven to be a new battleground for the food delivery companies in Australia. The target market of the companies has also increased in this industry. The increase in the target has attracted many new companies in the food delivery industry. The model of business for these food delivery apps is quite simple (Jones et al., 2016). The
6MARKETING PLAN FOR MENU LOG FOOD DELIVERY companies deliver food from the partner restaurants to the customers. The customers need to pay a minimum of delivery fees sometimes for the food that is delivered. The customers are allowed to have their favourite cuisines without leaving their couches in the comfort of their home. These facilities have been provided to the customers by the food delivery apps that were already present in the market or the new players that have entered in the market (Kumar & Pansari, 2016). The food market of Australia is booming in the recent tines. The orders of Menulog has seen huge growth recently. The competitors of the company have also shown growth in the sales. The customers now prefer to have their favourite cuisines deliver to their homes rather than visiting restaurants. The customers are also ready to pay a minimum amount of delivery charges to the companies. The unwillingness of the Australian citizens to cook at home is helping in the growth of food industry which is now worth of multibillion dollars (Mobin, Dehghanimohammadabadi & Salmon, 2014). The target market of Menulog are these people who are not ready to cook at home or go out to the restaurants. Menulog has therefore encashed this opportunity to increase their share in the market and profitability as well. Current value and position of the company in the market Menulog holds the first position among the food delivery apps in Australia. The company has more than 7000 restaurants as partners and offers more than 130 cuisines. The company was snapped by Just Eat which is a British company and the company entered the Australian market in this manner. The company was more than 855 million dollars. The company was successful in the Australian since its inception. Menulog was the number one company in Australia in the field of food delivery (Nieves, Quintana & Osorio, 2014). Just Eat was another company of the same market position based in UK. The company acquired Menulog in the year 2015 and entered the Australian market. The food delivery market of Australia along with New Zealand is worth more than three billion dollars. Menulog is a
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7MARKETING PLAN FOR MENU LOG FOOD DELIVERY company which has strong leadership base which has made the company successful in Australia as well as other countries (Piligrimiene, Dovaliene & Virvilaite, 2015). The two companies have proposed to work together in growing Australian market to grow and increase their market value as well. Menulog has gained a lot from the experience of Just Eat in the field of food delivery. The main importance of the merger laid in the gain that Menulog had from the digital marketing activities of Just Eat (Ribarsky, Wang & Dou, 2014). Menulog has used the opportunities that were received by the company due to the increasing use of smart phones and applications. Menulog has been competing in this area based on food delivery options with the other new players in the market. Methods of research used in this analysis The companies need to study the behaviour of the consumers related to their response to the products and the services that they provide. The research is done by the companies to test the new services and products that are being introduced by the companies. The development of the existing services or the products of the company are analysed with the help of these researches that are conducted by the companies. The company also needs to analyse the behaviour of the consumers towards the services or the products that are promoted by the companies (Rutsaert et al., 2014). The marketing plans of the companies are made based on the behaviour of the consumers towards the services and products of the companies. The habits of the consumers related to the purchase of the products and their opinions are also analysed with the help of research. The companies can use many methods to conduct research on the customers. The research of the customers of Menulog has also been done based on these methods (Růžičková & Novák, 2014). The first method that was used for this research is survey and questionnaire. The survey was done based on the feedback that was received by the company in the website. The detailed information was collected based on the questionnaire method. The questionnaire was prepared based on the satisfaction level of
8MARKETING PLAN FOR MENU LOG FOOD DELIVERY the customers regarding the services of the app. The time taken to provide the deliveries was another parameter of the questionnaires. The amount of delivery charges of the app was another important parameter of the app (Srivastava, Franklin & Martinette, 2013). The answers were taken based on a scale of 0 to 10, where 0 being the least favourable and 10 is the most favourable option. Another method of research that was used is the method of surveying the focus groups. Small groups of the consumers were interviewed based on different parameters of the survey. In this manner the behaviour of the consumer towards the brand was analysed. Another way by which the research related to Menulog was done is the method of ethnographics. Ethnographics is a research method which is an in-depth analysis of the behaviour of the consumers. The daily activities and the lifestyle of the consumers were analysed (Urbancova, 2013). The way in which the service of the food delivery app is a part of the daily activities of the group of people is analysed with the help of this research method. This research method has proven to be expensive for many companies, however it is an in- depth analysis and provides immense help to the companies to analyse their consumers. Panels of researchers were formed to operate the research function for a long term and thereby the research methods are analysed by the members (Veerendrakumar & Narasalagi, 2015). The advertising campaigns, the designing of the services of the company are done based on these research methods. Current value analysis of the brand Menulog has acquired the number one position in the Australian market and has announced a growth of 77% in their revenues in the year 2016. The restaurant delivers more than 6.4 million orders with the partner restaurants. The company has a continuous growth over the years and is serving more than 2.3 million happy customers.
9MARKETING PLAN FOR MENU LOG FOOD DELIVERY Position of the brand as compared to perceived values of customers and competitors Menulog has held the first position in the market of Australia since its inception. It is considered to be the number one and most trusted food delivery app in the current situation as well. The Australian food market has however grown a lot since the last few years. The increase in the market of food delivery business of Australia has also increased the number of players in the market as well. The competition in the market for Menulog has increased a lot in the last few years (Verbeke & Tung, 2013). One of the new players in the market of food delivery was UberEATs, which is a cab company in Australia and they have recently entered the food market. The company claims to deliver quality food within the estimated time. The company claims to have a mix of trendy and high-end restaurants as well. However, the experience of the customers with the app was not good. The customers had complained regarding the delay of the delivery of food and the low quality of the food as well. However, the refund policy of the company was good. The other company in the food market is Foodora which is a company of German origin (Albrecht et al., 2015). The app of the companywasabitcomplicatedandnotuser-friendly.However,theappisquite straightforward after signing up and the food is also delivered in good condition. Another major competitor of Menulog in the market is Deliveroo. This is an UK based company and it is company based on technologies and they claim to understand the point of views of both the restaurants and the customers as well. The sign-up process of thus app is quite user-friendly, however, the discount is not applied in the app. The food is also delivered in good condition according to the customers. Menulog is the most experienced player in the market and they are operating in Australia for quite a long time (Bharadwaj, Varadarajan & Fahy, 2015). The company has an extensive coverage all across Australia. The app offers all kinds of cuisines as per the preference of the customers. The experience of the customers is the most favourable with Menulog as compared all the other food apps. This has therefore given
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10MARKETING PLAN FOR MENU LOG FOOD DELIVERY Menulog the number one position in the market. The position of the company in Australia as compared to the other food delivery apps is therefore number one according to the perception of the customers and the competitors as well (Bustinza et al., 2015). Conclusion The report can be concluded by saying that Menulog has maintained its position in the market since the time of its inception. The company has however gone through many rough patches in the recent years. In spite of this, they have tried to improve their services over the time so that they can gain from the growing Australian market and also counter the competition that is being given by the new players in the market. The value of the company has also increased in the recent years due to the increase in customer base. This way the company has been successful to maintain its top position even after being acquired by the British company Just Eat.
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