Food delivery apps in India: wherein lies the success strategy?

2019 ◽  
Vol 35 (7) ◽  
pp. 12-15 ◽  
Author(s):  
N. Meenakshi ◽  
Anamika Sinha

Purpose The purpose of this study is to understand the evolution, current competitive scenario, and future direction for the food-tech business in the Indian market. Design/methodology/approach The paper is based on press reports, industry reports, and secondary information about companies based on interviews of CEOs, analysts, industry trend watchers, and academicians. Findings The incumbents are competing on the basis of various parameters such as capital infusion (especially, funding), tie-ups with restaurants, customer loyalty, fleet size and management, and management of employees. High growth is driving volumes for all companies, although there is lack of differentiation in offerings. Companies need to build customer loyalty and seek diverse monetization models for profitability in the future. Research limitations/implications First, food-tech companies need to identify means of differentiation to gain competitive advantage. Second, customer loyalty is the key to long-term profitability and firms need to identify ways to build it. Promotions and offers cannot build loyalty. Third, firms would need to expand into different types of monetization methods, such as cloud kitchens, B2B food delivery services, to build revenues and profits. Practical implications Incumbents and prospective entrants in the food-tech industry need to understand the structure of the industry and the structure of competition to be able to succeed in the long term. They need to understand that promotions cannot be a differentiator and that funding will dry up. Therefore, it is critical to identify means of differentiation to build a loyal customer base. Social implications The food-tech industry in India has strong social foundation. More than 50 per cent of the Indian population is below the age of 25, the percentage of working population is increasing in India and so are income levels. In this context, the food-tech business is important as order outs are increasing. This, however, has also led to problems in the workforce for such startups as companies do not want to invest in employee training, safety or work conditions owning to high attrition rate because of the standardized nature of the job. Originality/value This paper makes an attempt to assimilate information about the progress of the food-tech industry in India in the last few years. It attempts to identify various factors that decide the nature of competition among incumbent players. It also identifies what factors these incumbents need to bear in mind while looking ahead.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Abir Hichri ◽  
Moez Ltifi

Purpose The study is based on a hybrid model composed of accounting and business data and is amongst the first to test the impact of corporate social responsibility (CSR) performance on the financial performance of the company, as well as the impact of financial performance on CSR performance. The bidirectional logic chosen by the study is rarely adopted in the global context and has never been tested in the Swedish context. Moreover, the purpose of this paper is to test the mediating effect of customer loyalty on the company’s CSR performance-financial performance relationship to assess this effect over the long term. This design has been neglected in previous studies. Design/methodology/approach Data was collected from a sample of 110 Swedish companies during the period 2009–2019. This study collects the data from the Thomson Reuters Eikon database. A multiple regression analysis was performed to test the hypotheses. Findings The results confirmed the bidirectional relationship between CSR performance and company financial performance. This means that CSR performance positively influences the company’s financial performance. Similarly, financial performance positively influences the company’s CSR performance. Moreover, customer loyalty has a positive and significant mediating effect on the company’s CSR performance-financial performance relationship. Originality/value This study adds several inputs. The first contribution of the research is to test a hybrid model composed of accounting and commercial data. This model is amongst the first to test the impact of CSR performance on the financial performance of the company and the impact of financial performance on CSR performance. The second contribution is the bidirectional logic chosen by the study which is rarely adopted in the global context and has never been tested in the Swedish context. The third contribution is to test the mediating effect of customer loyalty on the company’s CSR performance-financial performance relationship to assess this effect over the long term. This design has been neglected in previous studies. The fourth contribution is the choice of the field of investigation for the reliability of the data used and the generalisation of the results obtained.


2017 ◽  
Vol 35 (7) ◽  
pp. 842-857 ◽  
Author(s):  
Achchuthan Sivapalan ◽  
Charles Jebarajakirthy

Purpose Enhancing retailing service quality (RSQ) serves as a basic strategy for gaining competitive advantage in the retailing industry and enables retailers to make a loyal customer base. The purpose of this paper is to propose and empirically investigate a comprehensive mechanism for enhancing customer loyalty to retail stores via service quality practices. This study suggests information on retailers can be the antecedent of the RSQ and its dimensions, thereby proposing a comprehensive mechanism for enhancing customer loyalty to retailers. Design/methodology/approach The data were collected using questionnaire surveys from 2,375 customers of three main supermarkets in Sri Lanka. After testing the measurement model, two structural models were run to test hypotheses. Findings The findings showed that the RSQ positively influenced customer loyalty. From all the RSQ dimensions, the store’s physical aspects, personal interaction and policy had a significant influence on customer loyalty. The findings also demonstrated that information on retailers contributes to enhancing a customer’s favorable evaluation of the supermarket’s physical aspects, personal interaction and retailing policy. Research limitations/implications This study was conducted with supermarket customers in one country using the cross-sectional data. Hence, the model should be replicated among retail customers in other countries with the longitudinal data. Practical implications Practically, this study recommends to retailers which dimensions of service quality they need to focus to enhance customer loyalty to their business. The study furthermore recommends certain dimensions that need to be emphasized while retailers design their promotional and communication programs. Originality/value Information on retailers has been suggested as an antecedent for enhancing supermarkets’ service quality practices. Thus, this study proposes a comprehensive mechanism for enhancing customer loyalty to retailers via service quality practices.


2015 ◽  
Vol 25 (6) ◽  
pp. 744-776 ◽  
Author(s):  
Apostolos Giovanis ◽  
Pinelopi Athanasopoulou ◽  
Evangelos Tsoukatos

Purpose – The purpose of this paper is to extend the well-established nomological network of service quality-relationship quality-customer loyalty by introducing service fairness – a distinct service evaluation concept. Specifically, the study aims to investigate the impact of service fairness on relationship quality as a complementary to service quality driver, and the direct and indirect effect of service fairness on customer loyalty in the presence of service quality and relationship quality in a no failure/recovery effort service context. Design/methodology/approach – A telephone survey of a random sample of 408 customers of auto repair and maintenance services was implemented using a structured questionnaire with established scales. Data were analyzed with partial least squares path methodology, a structural equation modeling methodology. Findings – Interactional fairness is the most important formative determinant of customers’ overall fairness perception, followed by procedural and distributive fairness. Relationship quality measured as a higher order construct, made of satisfaction; trust; affective and calculative commitment, is the main determinant of customer loyalty. Also, it partially mediates, along with service quality, the relationship between service fairness and customer loyalty and fully mediates the effect of service quality on customer loyalty. Finally, service fairness has the highest overall effect on customer loyalty. Research limitations/implications – The sample is industry-specific and this may affect generalizability of findings. Also, the cross-sectional design adopted does not reflect temporal changes. Practical implications – Interactional fairness is of utmost importance to customers of the investigated industry. So, customers should be fairly treated at every point of contact. Also, service quality is heavily affected by service fairness. Thus, fair service leads to high-perceived service quality. Third, service quality affects customer loyalty only through relationship quality. Only when service quality is coupled by long-term quality relationships, signs of customer loyalty appear. Finally, service fairness influences customer loyalty mainly through service and relationship quality and has the highest overall effect on customer loyalty. So, fairly treating customers is crucial for developing long-term relationships that lead to customer loyalty. Originality/value – The role of service fairness in the service quality-relationship quality-customer loyalty chain is investigated and using a higher order construct for relationship quality.


2020 ◽  
Vol 32 (3) ◽  
pp. 543-558 ◽  
Author(s):  
Neale J. Slack ◽  
Gurmeet Singh

PurposeThe purpose of this study is to determine the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.Design/methodology/approachIn total, 480 supermarket customers participated in an intercept survey in four urban centres of Fiji. Descriptive statistics were used to determine the level of service quality provided by supermarkets, and inferential statistics to determine the gap between customer's service quality expectations and perceptions and to test the research hypotheses.FindingsThe findings indicate service quality of supermarkets is perceived as being unsatisfactory, service quality significantly affects customer satisfaction and loyalty and customer satisfaction partially mediates the relationship between service quality and customer loyalty reducing customer's perceptions of service quality, leading to lower customer loyalty.Practical implicationsThis study provides an indication as to where supermarkets should target their marketing attention and scarce corporate resources and may help in their efforts to service, satisfy, retain and attract more long-term loyal customers in the increasingly competitive supermarket sector. This research could inform government policy makers in sequencing the supermarket sector transformation and assist local supermarkets to adapt to this changing retail landscape.Originality/valueThis study advances our understanding of the effect of service quality on customer satisfaction and loyalty and the mediating role of customer satisfaction in the supermarket sector.


2013 ◽  
Vol 36 (2) ◽  
pp. 182-197 ◽  
Author(s):  
Elisabeth Borg ◽  
Jonas Söderlund

Purpose – The purpose of this paper is to investigate the practices mobile project workers rely upon to deal with their liminal work situation, i.e. a work situation in which they are “in-between” and do not have a clear long-term belonging to any specific organisation or project. Design/methodology/approach – The study employs a qualitative approach and draws upon in-depth interviews with 24 engineers working for one of Scandinavia's leading technical consultancies. The aim of the qualitative data analysis was to identify a set of commonalities and differences in their experiences and ways of dealing with liminality. Findings – The data indicate that mobile project workers experience their liminality in two separate dimensions; one which is primarily technical and task related, and one that is predominantly group related and social. These types of liminality are dealt with either actively, to lower or handle the ambiguity in the situation, or passively when the individual waits for the situation to be dealt with by others. Based on these two dimensions and types, the paper identifies and discusses four kinds of liminality practices. Research limitations/implications – The paper demonstrates the importance of focusing on individuals in project-based work, and specifically how they deal with work in-between. The paper shows when and how individuals make use of different liminality practices in their work, and calls for further research on the different skill sets and competencies that are needed to deal with liminality. Originality/value – By identifying four liminality practices applied in situations signified by the experience of being in-between, this study offers an important contribution to the literature on flexible and mobile work conditions. Thus, the paper contributes to the knowledge of threshold-like employment positions that denotes the everyday work situation for an increasing number of individuals engaged in knowledge-intensive and project-based work.


2018 ◽  
Vol 10 (2/3) ◽  
pp. 130-148 ◽  
Author(s):  
Decha Dechawatanapaisal

Purpose The purpose of this paper is to extend job embeddedness research by investigating employees’ perception of human resource (HR) practices as the predictors of organizational job embeddedness, and its mediating role between HR practices and quit intention. It also assesses the moderating effect of job satisfaction on the job embeddedness-turnover relationship. Design/methodology/approach Data were collected through a questionnaire survey from 1,028 accountants in various disciplines from one of the largest corporations in Thailand, including its numerous subsidiaries and joint ventures. Hypotheses were tested and analyzed by means of a confirmatory factor analysis, multiple regressions, and a bootstrapping procedure. Findings The results reveal that all HR practices except training are positively related to organizational job embeddedness. Analysis also provides support for the mediating effects on quit intention of two HR practices, namely rewards and career development, through organizational job embeddedness. In addition, the interaction effect shows that the negative relationship between organizational job embeddedness and quit intention reduces when job satisfaction is high. Research limitations/implications The current research took place among accountants. Replicating the study in a variety of business sectors, professions, or cultures would be useful for the generalizability of the findings. Practical implications Several HR strategies and tactics can help improve employee loyalty. Particularly effective are attractive rewards that reflect work values, and a promising career roadmap. Organizations might need to consider work conditions that sustain job satisfaction for turnover prevention in the short-term, and continuously manage long-term retention through embeddedness. Originality/value This study extends current research by investigating the relationships of so far untested theorized antecedents that clarify how employees become embedded in the workplace in order to keep them from quitting.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Marta Gancarczyk ◽  
Joerg Freiling ◽  
Jacek Gancarczyk

PurposeThis paper aims to explain the dynamics of entrepreneurial decisions and actions (D&As) in the small and medium-sized enterprise (SME) growth process. The study focuses on the changing portfolio and relationship governance and captures these dynamics by using the concept of “enabling constraints” (ECs).Design/methodology/approachIn-depth, long-term and multiple-case study method was adopted based on six high-growth SMEs. Pattern-matching and alternative template approach formed a basis for developing a research framework, further corroborated and advanced in the empirical study.FindingsThe research provides empirical evidence of ECs as entrepreneurial perceptions that both limit (constrain) the range of accessible options and facilitate (enable) new opportunities. This study’s results point to how owner-managers' judgments about growth motives and rationales constrain their choices and how they enable new directions, acknowledging the changing context.Originality/valueThis work contributes to the research on SME growth processes by specifying their dynamics in terms of a creative mutual causality. Here, D&As stem from entrepreneurs' perceptions that are affected by the context, with the latter also shaped by prior decisions and actions. This theoretical contribution has been synthesized in the form of a framework of ECs in the SME growth process with related propositions.


Significance Not only has the range of software services provided widened, but a host of other services are being delivered remotely and in person through digital platforms to Indian consumers. This diversification is changing the working conditions of India’s burgeoning digital economy workforce. Impacts Wages in the digital gig economy will fall as more workers enter this segment. Platform work in unskilled areas such as food delivery will lower India’s long-term skills base. Gender gaps in the digital economy will persist given the lack of policy correctives.


2020 ◽  
Vol 10 (3) ◽  
pp. 1-14
Author(s):  
Jitender Kumar ◽  
Ashish Gupta ◽  
Archit Vinod Tapar ◽  
Md Chand Rashid Khan

Learning outcomes The cases highlight the challenges in running a new start-up especially by women in a developing nation such as India in a high growth industry. The success of a business depends on employee motivation, sales, marketing, functional coordination and coordinated efforts from all the executives. Experten Office Supplies Pvt. Ltd. (EXOS) was women empowered entrepreneurial startup (printing) in Mumbai established themselves as a trustable brand among their clientele for their office stationeries need. At Initial stages, they started with a good pace and growth in revenue. Directors of EXOS, Komal and Upasana Sanjay Kumar, were facing a downturn, their declining sales and were stressed regarding the resignation of their core member Pravin. The reasons for the situation were many, including unplanned motivational factors, non-risk-taking ability, no proper sales management (organization structure), planning process issues, lack of reward system and dependency on a person, less marketing initiative. These issues must be resolved to come back in the business, increase its sales, better sales organization structure. After the case analysis, students should be able to: know the key role of marketing and sales as a management function. Develop motivation policies for the salesforce and key team members in the organization. Understand the salesforce retention strategies of the organization. Case overview/synopsis In September 2019, directors of EXOS, Komal and Upasana Sanjay Kumar were discussing the downturn of EXOS and were stressed regarding their declining sales and profit margin. Both were disappointed at the resignation of their Business Manager. They were in worry as the new deal that they were about to get which could have made them earn, but Pravin resigned from the job in short notice. The case has short- and long-term aspects. The short-term aspect is about the decision related to EXOS’s top performer, Pravin, how to retain him, which motivational factor will help him to rethink his resignation. The long-term aspect deals with framing a motivation model that will prevent the organization from a similar situation in the future. The case outlines the human resource management issues and particularly the importance of motivation to retain the talent of a small startup firm. Directors recognize the importance of Pravin and they have a realization that the deal on which Pravin is working is critical. Under this situation, Upasana has to stop Pravin. Complexity academic level Undergraduate, Master of Business Administration (MBA) or in the Management Development Programs. Supplementary materials Teaching notes are available for educators only. Subject code CSS: 8 Marketing.


2019 ◽  
Vol 121 (11) ◽  
pp. 2791-2808 ◽  
Author(s):  
Mohammed Belal Uddin

Purpose The purpose of this paper is to investigate the factors influencing the satisfaction of customer and customer loyalty in the fast food restaurant industry. A theoretical model, including hypotheses, has been proposed in this study. Design/methodology/approach Data were assembled using convenient sampling method. The hypothesized model was verified with the data from 204 respondents. Principal component analysis and structural equation modeling approach were applied to analyze data. Findings The results (significant at p<0.01 and p<0.05) exhibited that food quality, price and service quality were positively linked to customer satisfaction. Customer satisfaction was positively associated with customer loyalty. The empirical results found a contrary association between the location and environment of restaurant and customer satisfaction. Practical implications The managers and owners of fast food restaurants may use the results of this study to confirm customer satisfaction and loyalty of the customer. With loyal customer groups, their businesses can be sustained and gradually grown up. Originality/value This study will provide guidelines for the management of fast food restaurants to formulate their business strategies in the competitive market. It will give a signal to the managers to stay focused on customer relationship management as the ultimate goal of the business.


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