Peapod provides online food market shopping in eight pipe atomic number 18as in US. Its online shopping website is backed by a powerful distri buter network consisting of tie-ups with local anaesthetic care outlets and recently its own dispersal warehouses. Members pay order and words fees for home deli truly. The company faces a financial crunch and is acclivity huge losses scorn its step-up due to rattling high order fulfillment personifys. Its chief competitors are local grocers who sell at a outseter rate than Peapod, and other upcoming online grocers like netgrocer.com, homegrocer, webvan, etc. Retail food food market Industry Analysis The US retail grocery guardianship is $700bil. including groceries, wellness and beauty items and beverages. Intense impairment competition has course to trade consolidation. No single player holds more than 10% market share. Supermarkets average 15 to 20% ROI by low cost direct purchases and sophisticated cost-effective supply handcuffs and are an established brand. Entry to online grocery retailing by alive players was viewed as either: a) Â Â Â Â Â Â Â Â Cannibalizing its own local brick-and-mortar stores OR b) Â Â Â Â Â Â Â Â Additional sales channel The industry is exceedingly price sensitive. Presently the industry growth has slowed down to 3.4% due to lineage moving to wholesale clubs and medicate stores. The Online Grocery Segment basically its not a new emerging industry but an emerging sales channel for the grocery industry.
The online grocery plane section seeks to sell groceries to the Internet savvy c onsumer online. Its a highly competitory in! dustry in its infancy. Market research predicts a very high growth rate for this industry. This disintermediation and self serve up model decreases the costs of setting up large retail outlets at various locations. The software and equipment costs in 99 by Peapod are 3,500 out of the total operating costs of 102,000 indicating solo approx. 3.5% of the operating costs went in maintaining the website. Thus the... If you want to catch a full essay, order it on our website:
BestEssayCheap.comIf you want to get a full essay, visit our page:
cheap essay
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.