Consumer Decision Making for Line Man Food Delivery: Research Proposal

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This research proposal investigates the factors influencing consumer decisions regarding the Line Man application for food delivery in Bangkok. It explores the context of online food delivery, the rise of mobile applications, and the impact of technology adoption on consumer behavior. The proposal examines the conventional food delivery market, the competitive landscape including Foodpanda and UberEats, and the marketing 4Cs (customer needs, cost, convenience, and communication) relevant to the industry. It also delves into consumer behavior in the online food delivery sector, including the influence of promotions and word-of-mouth. The research aims to identify key factors affecting consumer choices and perspectives on using the Line Man application, contributing to a deeper understanding of the food delivery market in Bangkok.
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Research Proposal 1
Designing and Managing Research Projects
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Research Proposal 2
Working Title: Factors Affecting Consumers in Making Decision in Using Line Man
Application for Food Delivery in Bangkok
Research Objective
1) To examine factors affecting consumers in making decisions in using the Line Man
Application for food delivery
2) To study consumers’ perspectives on using the Line Man Application for food delivery.
Research Question
1) What are the factors affecting the customer in decision making in using the Line Man
Application for food delivery?
Introduction
Most of the people use internet in today’s world and easy access to the internet has influenced a
lot of facets of people lives. Food is one of the fundamental necessities of living. It has been
found that online food delivery developed a new factor in the process of eating like most other
factors of modern life. The Line Man application is the food delivery app that permits the
customer to place their order by using the mobile app, helping customers to skip the lines. This
method of ordering the food attract a large number of customers especially youth as they can get
food from anywhere without going outside. The major differences between ordering by a mobile
application or website and both websites are accessed on handheld devices like smart phones and
tablets. The use of browser is being used by the user for searching app (Regattieri, Gamberi and
Manzini, 2007). In the case of applications, it is an actual part that is downloaded and established
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Research Proposal 3
on a mobile device by application store or android market, rather than being caused to be within
a browser. The role of the mobile application is huge in comparison of websites as they working
in a well-efficient manner without getting stuck anywhere. Furthermore, among food ordering
application characteristics, customer can track the order for delivery in real time in the
application or push notifications. GSP system enables the application to track the exact location
of the person which helpful to them the location of their ordered food. Customers prefer to utilize
the food ordering app over ordering food online (Gadema and Oglethorpe, 2011). It enables them
to choose whatever they want to have without having to define it to another human being and
have the food provided at his doorstep.
The line is one of the main messaging platforms in a number of Asian Markets with 218m
monthly active users globally. There are major fiver services being used by the Line Application
such as food delivery, goods delivery, taxi-hailing, postal delivery, and messenger. The Line
Man application is user-friendly because the user can understand them in an effective manner
which can be logged by them in the easiest manner. The service's status provided by the
application can be traced by them in real time, so the user knows about their order product status
in real time. A most important factor is that the customer pays for their orders on the mode of
cash on delivery, which makes it convenient and safe for users. Line Man application for food
delivery is a development district, delivering from over 40,000 restaurants and street food
vendors in Greater Bangkok.
Along with that, it has been found that the application is connected with a leading restaurant of
Thailand directory by Wongani, Thailand’s top restaurant review app. It permits the user to
browse menus and ratings from a local restaurant, and have food gathered from outlets that do
not provide delivery. It has been found that the food delivers services has over 500,000 users in a
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Research Proposal 4
month in Bangkok and its nonessential areas focusing over 30,000 restaurants not only from
street foods but also from food dining. For user to utilising the application, the customer requires
to developing and registers their profiles such as address, names and payments information on
the app (Maity and Dass, 2014). The apps are device to find out the local restaurants and the
cuisine types. Line App provide entire menu of each registered restaurant so that users can opt
whatever they want after analysing the quantity and price of the food. For all the releasing, Line
Corp has marked up Lalamove, a Hong Kong-based start up that’s a kind of Uber for bike
couriers and wagon drivers.
Literature review
According to Frewer, Risvik and Schifferstein, (2013), there is a number of reasons that attract
people to get order of food from online. Internet is one of them because large range of people
uses mobile application due to easy access over the internet. This section is divided into three
parts in order to define the role of online food ordering in an effective manner.
The conventional food deliverance industry and the online food delivery industry
The market of the food is developing at a middle age rate of 2 to 4% from 2016-17. Moreover,
the food delivery market is rising at a CAGR of 11-15% from 2016-17. The reasons for this
development are because of the amendments in customer behaviour, where time and
convenience are valued at upper level. It is approximate that the conventional food deliverance
market will cover the maturity stage within the next five years. It has been approximate by the
market to get growth the rate of 3.4% in the next five years. The advancements in the technology
can enhance the chance for the conventional food deliverance and have reformed the food
delivery industry. Furthermore, technological advances have amended the behaviour of
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Research Proposal 5
customers. It has been found that the online platforms permit customers to access a number of
restaurants by visiting a single website and developing it more suitable for customers. It can be
probable that new amendments can bring noteworthy development to conventional food
deliverance. The rate of CAGR is 89.7% in 2015 of online MTO food delivery industry (Paul
and Rana, 2012). This demonstrates that the online platform offers new chances for the food
delivery market. It is developed that the proportion of online food delivery industry to the
complete food deliver industry will skip from 8% to 53% in 2019.
Mobile application
According to Chandon and Wansink (2012), online food application is an ordering system that
helps the customer to put their command at any time and any place. The reason to improve the
system is because of the issues facing by the food industry. Gadema and Oglethorpe, (2011),
argued that there are many issues handling by the food industry such as wrong order written by
the waiter, long queue issues due to peak season, amplify of taking away foods than visitors,
speed major vital of food preparation and limited promotion. The use of applications helps
customer to choose whatever they want as peer their choices. From where, the systems also
permits to easily and quickly handling online menu which customers can surf and predict how
much is spend on food, and place the orders with just a few clicks (Yeo, Goh, and Rezaei, 2017).
Therefore, along with that, they provide user-friendly food searching menus and also evaluates
the exact price of that opting food item from menus before they place the final order.
Technology Adoption
The major point is to expand the effectiveness of the food ordering and decrease human blunders
and give top-notch administrations to the clients of the restaurants. The application on the tablets
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Research Proposal 6
must probably speak with different gadgets. Initially, the client or guest will open the application
and looks for food items menus from the adjoining accessible area of the customer. The client
sees the arranged menu card on the android application (Pinto de Moura et. al., 2010). The
determination of nourishment things is finished by an individual in the event that he/she visiting
our application with or without login and enlistment module. At this stage, the enrolled and non-
enlisted people can include nourishment things in their shopping kart for an impermanent reason.
Due to technology adoption, the customer desires to purchase selected items then the situation
will be analyzed whether customer login is done or not. With the help of the advanced network,
the customer is forced by the registered restaurant to login first before ordering something.
For performing all exercises in the venture, the researcher will make one database comprises of
specific local areas all restaurants recorded alongside their everyday food items and expenses.
The customer will place an order from his adjacent identified local restaurants searcher by the
server. After that, the confirmation of customer order will be completed by making a call
provided by the customer at the time of registration (McClements, 2015). After successful
verification admin will check is the order is long-established. In case of good condition, the
admin broadcasts data regarding the order to the specific restaurant. Eventually, the delivery boy
will provide delivery within estimated to that customer. In case of any modifications in the menu
of food, the admin changes the menu. The changed menu in any registered restaurants updates
the customer’s android device. After that, the customer chooses whatever they want and they
shift into cart items.
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Research Proposal 7
Source: https://pdfs.semanticscholar.org/2145/d9a780b9ace18fbc5da3225349ec5c34b26b.pdf
Consumer behaviour in the online conventional food deliverance
There are number of online delivery system that does not have physical store. The manner in
which these organizations speak with their clients is from side to side the online stage, for
example, internet based life. It has been found that customer behaviour in the online food
delivery industry relies on the promotion and word of mouth (Law, Bermak and Luong, 2010). A
majority are business owners and office workers. Although, there are some operators only
provide their forces in Bangkok and major cities. That is why it is suggested to the researcher to
enlarge their area of services for the purpose of capturing the higher market size. Consumer
notices that online food delivery is more effective and provides them with a great chance to
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Research Proposal 8
attempt exclusive foodstuff. This increasing trend is sustained by the major development in the
online market.
The rivalry in the online conventional food deliverance
Due to the elevated demand in the online conventional food deliverance, the food industry has
involved a number of players. It has been found that Food Panda was the first delivery company
by Rocket Internet that seriously handled the online food delivery market. It is the company that
spends USD 60 million in 2015 in order to acquire 7 food delivery companies, involving Food
by Phone, Thailand is the place where most of the phone delivery services company is working.
it has been found that Foodpanda is not only the company that attracts this market. On the other
hand, Line food Delivery Company based on Korea also attracted a large audience to this
market. Line Company has introduced the Line Man Service in Thailand in 2016 (Noraziaha, A.,
Yin, W.Y., Abdalla and Ming, 2012). The major difference between Line Man and Foodpanda is
that the main focus of Line Man is on delivery services, whereas the focus of Foodpanda is
majorly on food. Along with that, UberEats is also the competitor of Line Man that comes in this
industry to attain the competitive advantages. This new service have taken advantage of uber’s
business model and such service was first developed in the United Stage and is anticipated to
introduce in Thailand in early 2017.
Marketing 4 C’s
There are 4 C’s that need to be considered by every kind of business to provide a better quality
of services to the customers. These are customer wants and needs, cost, convenience and
communication. In the context of the consumer needs and want, it can be said that the first C in
the marketing mix is wanted and needs of the customer. Instead of paying attention on the
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Research Proposal 9
product itself, the first C pays attention on completing an invalid in the life of the customer
(Wang, Law and Bermak, 2012). This marketing strategy is vital for businesses that are involved
in looking for an accepting of their clientele. Cost is another marketing mix and it is necessary
for running operation to not get confused with price. Line Man is an effective company that takes
care of such aspects and commits with an effective price to the customers. Price is a small
segment of the entire cost of purchasing a product to a customer. It is vital to decide of entire
cost not price of the product to the customer. According to Gordon, (2012), it is necessary to
understand that the costs does not cover price of the item, but also can involve things like the
time it takes for the customer to get ordered item for their product. Along with that the cost also
involves the benefit of the product.
Convenience is the third marketing mix’s C that compares to Place in the 4P’s promotion
strategy. Although the use of both of them is entirely different from each other and place simply
shows to where the creation will be sold. Convenience is considered as much more customer-
oriented move towards to this advertising strategy (Smutkupt, Krairit and Esichaikul, 2010).
Promotion of a product is taken into consideration to bend customers for the purpose of getting
them to purchase a product. Promotion can be ineffective and manipulative. Nevertheless,
communication is also considered as a customer-oriented approach to the task of selling the
products. The interaction between customers and sellers is necessary to increase the sales of the
company. Line Man Application is able to correspond with their clientele in an effective manner
so that any kind of confusion can be eradicated. It has been found that the marketing strategy can
be implemented within the business with the help of the promotion.
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Research Proposal 10
Methodology
Type of Investigation
For the purpose of attaining the aims and objectives of the study, quantitative research will be
conducted. As the aim of this research is to evaluate the perspective of the customer experience,
the survey will be an effective way to investigate the answer of this study. This is the research
that comes under the ideal category in order to make inferences on a population through
gathering information by the survey. Furthermore, the quantitative approach includes the
questionnaire that involves questions of how often the respondents use the online application for
food delivery and how they perceive the real-time marketing content.
Research method
It has been found that the selected method for this research surveys. In order to collect the
information regarding the customer decision-making process for online food ordering, the
researcher willchoose 50 customers that use the online application or online food ordering.
Heeringa, West and Berglund (2017), claim that there are many methods for conducting the
survey through which the company can get cover a large range of people in one go. For this
research, the researcher will make a questionnaire which entails 10 questions related to the
selected topic. The monkey survey technique will be used by the researcher in order to collect
relevant information from the participants. All participants will get questionnaire through
monkey survey on their email so that they can fill them as per their convenient time. It would be
helpful for the researcher to get good enough information by them regarding their experience and
due to availability of time, the participants can give response with effective way. The software
used for analysis will be SPSS statistical package software to pertain basic elaborate statistics. A
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Research Proposal 11
pre-test of the survey will be developed from 50 customers in the same forum and its validity
will be tested by taking consideration of Cronbach alpha coefficient.
Sampling techniques
For this research, the sample size will be 50 customers who are having experience of online food
delivering from Line Man application and who live in Bangkok. There was no differentiation
between male and female in the participants. The sampling strategy entails two kinds of
approaches such as probability and non-probability approach, which helps the researcher to get
the accurate observation from a distinct population. For this research, the probability sampling
strategy will be chosen, which is used in the form of random sampling technique for the purpose
of providing an equal chance to all participants equally (Onwuegbuzie, Bustamante and Nelson,
2010). Nevertheless, non-probability strategy of sampling is a method that does not provide an
equal chance to all individuals.
Data analysis
After gathering the data and information, it is vital to analyze them, for the purpose of generating
valid and reliable related to the issue of the research. In this concern, there is a number of
methods for analyzing the data such as statistical analysis, content analysis and disclosure
analysis for the purpose of providing reliable information to the readers through the research. For
this study, to analyze the data of 50 candidates from the survey, the researcher will use statistical
data analysis technique in order to present the descriptive statistics of the data involving
correlation, regression and cross tabulation (Hox, Moerbeek and Van de Schoot, 2017). Along
with that the researcher will interpret the meaning behind giving responses by the participants.
For this, SPSS software and MS-Excel are taken into consideration in order to present the data in
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Research Proposal 12
graph and tables to improve effective understanding regarding the responses and findings for
getting information about the customer decision making affect on the Line Application.
Contribution to the study
In business, this research can be used as a reference to the kind of customers who orders food
online. This study will be helpful for a number of restaurants to get enough knowledge regarding
the characteristics of the customers in order to make the decision for food. It could also facilitate
other eateries company to keep the focus on the quality of foods and demonstrate what exactly
they offer. The belief of the customer of the food keeps significant value and it is necessary for
the business to satisfy the customer in an adequate manner. Along with that, the contribution of
this study is huge in filling the gap in marketing research within a developing industry such as
online food ordering specifically in branding. Indeed, the research in these two specific areas is
liberal and this study could open a way to more detailed studies in the online food ordering
industry for the purpose of getting information about the factors that affect the customer
decision-making process.
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Research Proposal 13
References
Chandon, P. and Wansink, B., 2012. Does food marketing need to make us fat? A review and
solutions. Nutrition reviews, 70(10), pp.571-593.
Frewer, L.J., Risvik, E. and Schifferstein, H. eds., 2013. Food, people and society: a European
perspective of consumers' food choices. Springer Science & Business Media.
Gadema, Z. and Oglethorpe, D., 2011. The use and usefulness of carbon labelling food: A policy
perspective from a survey of UK supermarket shoppers. Food policy, 36(6), pp.815-822.
Gadema, Z. and Oglethorpe, D., 2011. The use and usefulness of carbon labelling food: A policy
perspective from a survey of UK supermarket shoppers. Food policy, 36(6), pp.815-822.
Gordon, R., 2012. Re-thinking and re-tooling the social marketing mix. Australasian Marketing
Journal (AMJ), 20(2), pp.122-126.
Heeringa, S.G., West, B.T. and Berglund, P.A., 2017. Applied survey data analysis. Chapman
and Hall/CRC.
Hox, J.J., Moerbeek, M. and Van de Schoot, R., 2017. Multilevel analysis: Techniques and
applications. Routledge.
Law, M.K., Bermak, A. and Luong, H.C., 2010. A Sub Embedded CMOS Temperature Sensor
for RFID Food Monitoring Application. IEEE journal of solid-state circuits, 45(6), pp.1246-
1255.
Maity, M. and Dass, M., 2014. Consumer decision-making across modern and traditional
channels: E-commerce, m-commerce, in-store. Decision Support Systems, 61, pp.34-46.
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Research Proposal 14
McClements, D.J., 2015. Nanoscale nutrient delivery systems for food applications: improving
bioactive dispersibility, stability, and bioavailability. Journal of Food Science, 80(7), pp.N1602-
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Noraziaha, A., Yin, W.Y., Abdalla, A.N. and Ming, C.K., 2012. Smart online electrical billing
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Onwuegbuzie, A.J., Bustamante, R.M. and Nelson, J.A., 2010. Mixed research as a tool for
developing quantitative instruments. Journal of mixed methods research, 4(1), pp.56-78.
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Pinto de Moura, A., Miguel Cunha, L., Miranda Azeiteiro, U., Aires, L., Graça, P. and Vaz de
Almeida, M.D., 2010. Food consumer science post-graduate courses: comparison of face-to-face
versus online delivery systems. British Food Journal, 112(5), pp.544-556.
Rathore, A. Khadke, A., Wakode, C. and Ubnare, P. 2018. Food finder- Mobile food ordering
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Regattieri, A., Gamberi, M. and Manzini, R., 2007. Traceability of food products: General
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Smutkupt, P., Krairit, D. and Esichaikul, V., 2010. Mobile marketing: Implications for marketing
strategies. International Journal of Mobile Marketing, 5(2).
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Research Proposal 15
Wang, B., Law, M.K. and Bermak, A., 2012, July. A low-cost capacitive relative humidity
sensor for food moisture monitoring application. In 2012 4th Asia Symposium on Quality
Electronic Design (ASQED) (pp. 95-99). IEEE.
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intention toward online food delivery (OFD) services. Journal of Retailing and Consumer
Services, 35, pp.150-162.
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Research Proposal 16
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