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  • Essay / Food Delivery Service: Foodpanda Brand Swot Analysis

    Table of ContentsSWOT AnalysisStrengthsWeaknessesOpportunitiesThreatsConclusionReferencesSuccessful businesses are fundamentally based on a sequence of crucial decisions, emphasizing the importance of astute situational analysis and strategic responses (Fallon, 2018). In the quest to evaluate the landscape, a tool appears essential: the SWOT analysis (Fallon, 2018). SWOT, an acronym for Strengths, Weaknesses, Opportunities and Threats, provides organizations with a structured approach to charting their path forward (Contributor, 2015). It forms the foundation of strategic planning, enabling companies to overcome challenges and chart new trajectories (Fallon, 2018). The cornerstone of this analysis is the establishment of organizational stability (Contributor, 2015), making it an invaluable asset for businesses in understanding their objectives, goals and aspirations (Contributor, 2015). In a competitive landscape, a SWOT analysis also becomes a powerful tool for evaluating competitors, as evidenced in the case of Foodpanda's exploration of their competitive environment (Rajan, 2016). The comprehensive analysis of this essay encompasses both the internal (strengths and weaknesses within the company) and external (opportunities and threats within the company) facets faced by this food delivery service. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay SWOT AnalysisStrengthsFoodpanda enjoys a global brand presence, casting a far-reaching shadow over the international food delivery scene (Faridi, 2017). Distinguished by its user-friendly interface and extensive menu selection, Foodpanda offers an attractive and easy-to-navigate platform with a visually appealing design (Faridi, 2017). By bridging the gap between consumers and various food sellers, Foodpanda has become a vital player in improving accessibility and convenience (Faridi, 2017). The platform's commitment to facilitating user-friendly experiences extends to features such as mobile apps and 24-hour websites, allowing customers to place orders, make reservations and make reservations. effortless online transactions (Faridi, 2017). Additionally, Foodpanda's commitment to customer engagement shines through its review and feedback facility, further enhancing its appeal (Foodpanda, n.d.). The company further offers ordering options categorized by cuisine type and dish selection, providing a tailored experience to its users (Foodpanda, n.d.). Supported by its impressive success on the global market, the Foodpanda brand has found a strong response (Foodpanda, nd). Foodpanda's workforce has competent delivery personnel, a strategic move that ensures that orders reach customers efficiently and without compromise (Rajan, 2016). Their in-depth knowledge of localities ensures that food remains hot upon delivery, contributing to a consistently satisfactory customer experience (Rajan, 2016). By prioritizing the driving skill and professionalism of its delivery drivers, Foodpanda sets high standards (Rajan, 2016). Additionally, a meticulous performance tracking system via a dedicated app incentivizes delivery drivers to excel by rewarding positive feedback with increased orders (Pang, 2017). This is complemented by a dedicated accounting team capable of handling large-scale customer orders, demonstrating Foodpanda's commitment to delivering even in the face of complexity.(Pang, 2017). Handling an average of 100 orders per customer, their ability to meet diverse and complex customer needs sets them apart (Pang, 2017). In terms of restaurant coverage, Foodpanda's reach extends to 23 countries and over 500 cities worldwide, positioning itself as an unrivaled global food delivery service (Reuters, 2015). Leveraging this vast network, Foodpanda offers a diverse range of culinary choices, transcending the boundaries of individual restaurants (Foodpanda, 2018). This strategic approach allows them to capitalize on a wide range of food preferences while adapting to traditional restaurant offerings (Foodpanda, 2018). In doing so, Foodpanda secures a considerable market share and strengthens its dominant competitive position in the sector. WeaknessesFoodpanda faces competition from similar applications, limiting its growth opportunities (Davison, 2013). Its service is limited to specific regions in Malaysia (Davison, 2013). The platform results in costly and slow deliveries, especially when customers choose “cash on delivery” as their payment method, requiring accurate and often time-consuming transactions (Davison, 2013). The estimated delivery time of 46 to 60 minutes may not always be met due to the need to confirm the order between restaurants and customers, sometimes resulting in deliveries taking up to 1.5 hours (Davison, 2013 ). Additionally, Foodpanda's menu selections can be unclear, in some cases where customers have difficulty finding simple items like plain white rice in some restaurants (Davison, 2013). This lack of menu clarity sometimes requires direct communication with the restaurant to clarify discrepancies between menu offerings and actual dishes (Davison, 2013). Another vulnerability of Foodpanda is its limited availability of services, limited to restaurants located in specified delivery areas (Anon, 2016). This limited coverage extends to a total of 500 cities worldwide (Anon, 2016). Customers residing in areas not served by Foodpanda may experience difficulty placing orders (Anon, 2016). Additionally, the free shipping threshold sometimes requires higher spending, which may deter single customers (Anon, 2016). Despite its global presence, Foodpanda has not yet achieved full city coverage in some areas (Anon, 2016). Opportunities Foodpanda has many opportunities for expansion, both in Malaysia and globally (Anon, 2016). The company can improve its delivery service by optimizing delivery times (Anon, 2016). To ensure quality and freshness of deliveries, Foodpanda should establish robust food distribution networks, equipped to minimize logistical errors and avoid undue delays (Anon, 2016). In cases where deliveries face delays, proactive communication with customers regarding the reasons for the delay becomes paramount (Anon, 2016). Implementing new methods to speed up order processing and maintain user accessibility presents another avenue for growth (EQ Taxi, 2017). This involves streamlining the delivery process, allowing restaurants to focus on their core operations, saving time and resources (EQ Taxi, 2017). Reducing delivery times results in cost savings, improved customer satisfaction and increased customer loyalty (EQ Taxi, 2017). In fact, more than 70% of a restaurant's business is generated by repeat customers, and a well-functioning delivery network increases the likelihood of restocks (EQ Taxi,2017). The Foodpanda app's comprehensive capabilities for tracking food delivery expenses provide restaurants with an added advantage (EQ Taxi, 2017). Additionally, Foodpanda can explore emerging markets around the world to capitalize on growth opportunities (Wheeler, 2016). Initiatives such as the acquisition of Delivery Club in Russia marked a strategic evolution, although the company later decided to exit the Russian market to strengthen its operations in 20 main markets in Eastern Europe, Asia and the Middle East (Wheeler, 2016). Despite its success, Foodpanda faces increasing competition from industry rivals such as Deliveroo, Uber Eats, and Amazon Restaurants, with Uber Eats leveraging its existing transportation network to gain a competitive advantage (Wheeler, 2016). The proliferation of mobile app use for online food ordering, driven by discounts and loyalty programs, presents a significant opportunity for Foodpanda (data from the International Advertising Bureau). Around 69% of people use mobile apps to order food online, with pizza and Chinese food being the top choices for consumers (data from the International Advertising Bureau). Discounts and loyalty points are proven motivators for customers, increasing their willingness to place orders (data from the International Advertising Bureau). ThreatsOver the past few years, Foodpanda has been facing an increasing level of competition, which poses a progressive threat to its market position. It faces various existing and similar competitors, including industry giants like Domino's Pizza, McDonald's, and Pizza Hut, as well as emerging players like Deliveroo and UberEats (Anon, 2018). Deliveroo, established in 2013 and headquartered in London, is dedicated to high-end food delivery and has intentionally refrained from collaborating with lower-tier restaurants, pledging to deliver orders within an impressive time frame of 32 minutes (Anon, 2018). The Deliveroo service currently covers more than 50 cities in 12 countries and benefits from partnerships with restaurants worth more than $5,000 (Anon, 2018). UberEats, launched as a pilot project by Uber in 2014, capitalizes on its vast global network of millions of Uber drivers. In cities where UberEats operates, these drivers are not only responsible for transporting passengers, but also facilitating food deliveries, which poses a significant competitive challenge for Foodpanda (Anon, 2018). Additionally, Foodpanda faces the global threat of an expanding global obesity epidemic, which may impact customer behavior and preferences in the food delivery industry. Overlooked potential competitors could also become formidable challengers over time (Anon, 2018). Keep in mind: this is just a sample. Get a personalized article from our expert writers now. Get a Custom Essay Conclusion In conclusion, SWOT analysis provides valuable insights into Foodpanda's business. strengths, weaknesses, opportunities and threats. The key to SWOT analysis is establishing a resilient and adaptable organizational structure (Fallon, 2018). This analytical framework is important for businesses of all types because it helps clarify their goals and aspirations (Fallon, 2018). Looking at Foodpanda's strengths, we recognize it as an international brand that effectively meets consumers' dining needs, especially during peak periods, saving them considerable time in choosing restaurants3