Uber Eats

The Beginning

 Five years ago, there were only a

handful of online food aggregators.
 Today, the industry is a behemoth that
ferries 80 million orders each month in
over 500 cities. In all, food aggregators
like Zomato, Swiggy, and Uber Eats
deploy over 400,000 delivery boys and
girls daily on the ground in the country.
 Ordering food online is convenient and
restaurants gain from the extra visibility.
The Journey
 Uber Eats started its operations in
India on 2nd May 2017.
 Starting with 200 restaurants in
Mumbai, today, Uber Eats is present in
over 31 cities in India, and has tied up
with 12,000 restaurants. 
 Globally, it has a presence in over 293
cities. The team claims to add over
110 restaurants across the country
every day. 
 India is the company’s third largest
market globally after the US and
Australia.
The Potential Fall
PESTLE Analysis
Political and Economical
 #Logout - A movement led by the National
Restaurant Association of India (NRAI).
 Food products offered for sale are liable to
sampling at any point in the supply chain.
Companies will also need to provide an
indicative image of the food on their
platforms so that consumers can recognise
the product.

 Major reason for Uber selling its Indian

UberEats arm is its effort to reduce its global
losses and prepare for the mega IPO of $120
Bn later this year.
 With the spin off to Swiggy, it will cut losses,
generate cash flow and invest in emerging
technologies like Uber Air, Self Driving Cars
& Trucks etc.
Social and Technological

Swiggy being the major player

Zomato was basically, Hotel
which survived over the years,
reviewing and booking platform.
have built much needed niche
An Asset light model without any
market and relations with
deeper value creation.
vendors.

Uber uses data gathered from

Uber Eats, its food delivery Late deliveries and cold food.
service, to help predict food Orders cancelled due to
preparation time for its routes unavailability of ingredients or
and provide food and restaurant products.
recommendations for customers.
Legal and Environmental

 NRAI slams online food delivery aggregators for predatory market practices.
 Arbitrary terms and conditions.
 Customer data masking.
 Aggregators using customer data to build their own products.
 Forced use of services like logistics.

 Huge fleet of vehicles always a threat to the environment.

 No discouragement for restaurants that follow the plastic ban regulation.
Reforms
Not follow the rat race of
providing the maximum
Scheduling your orders just
discount, but improve the
like the cab.
overall experience and
convenience of food ordering.

Cater outlets that are certified

Better sync with the
under food, hygiene and safety
restaurant’s inventory.
norms.

Introduction of an option that Acquire outlets that encourage

allows the customer to say no plastic ban and follow the
to plastic cutlery. safety norms.
SEGMENTATION

 Geographic - Geo segmentation as per area is carried out but due to lesser
reach the good or known hotels of a particular area are not yet on Uber eats.
 The cause of this lesser reach is high margins and commissions which leads to
lesser hotels being encouraged to get on boarded.
 Another demographic used is the targeting of Tier 1 cities as the restaurants
there provide products at higher prices thereby fetching more commission for
Ubereats.
 They are also a more feasible bet due to their higher purchasing power.
SEGMENTATION

 Demographic - Millennials and z generation youths are segmented with more

capability.
 Being a tech product this age group would find it easier to use the product
and understand its system.
 Behavioral - Small units of consumption, creating non event based buying
pattern as well.
 Uber Eats is unable to understand this behavioral pattern yet and is
encouraging bigger basket sizes while the consumers expectation from online
aggregators is very different.
 Psychographic – Middle class and upper class.
TARGETING

Target audience has been chosen to be students / young working class

people through its campaigns. But the statement by the CEO has been
stating that to create an ecosystem that involves everyone to use uber eats.

This ambiguity towards what they want while what they are actually working
towards in itself is a hug issue.
 UBER DUE TO ITS AVAILABILITY OF A IT ALSO HAS A BETTER TRUST ALTHOUGH IT HAS BEEN UNABLE TO THEY HAVE CURRENTLY POSITIONED
BETTER LOGISTICS CHANNEL CAN FACTOR GLOBALLY AND IN INDIA. HIGHLIGHT THE SAME IN INDIA THEMSELVES AS AGGREGATORS THAT
PROVIDE FASTER DELIVERY AT LOWER WHICH IS VITAL TO WIN CUSTOMER PROVIDE THE MOST NOMINAL RATES
COSTS THAN SWIGGY AND ZOMATO. TRUST AND TO DIFFERENTIATE ONE AND CONSUMERS DO NOT ORDER
SELVES FROM THEIR COMPETITORS. FROM THEM IF THEY DO NOT SEE THE
SAME.

POSITIONING
Segmenting Reforms

 Geographic – It is very evident that the

lower geographical reach is due to the
higher margins and reducing the same to
make them competitive with other
aggregators would ensure ease in on
boarding.
 While the strategy of targeting Tier 1
cities might be a profitable one, Uber
must realize the growing consumer
potential in cities like Jaipur, Nagpur and
Uttar Pradesh.
 Behavioral – Users that order online are
also observed to be more cost efficient,
students and professionals.
Targeting Reforms

Looking at the TG the same

Specific targeting based on the
can be done via social media
segments that we have
and workplace
observed (youth and
advertisements. Uber eats
professionals) would go a long
could also provide in-canteen
way in ensuring that the right
discounts upon ordering from
kind ideas can be developed to
Uber eats at the respective
reach out to them.
persons workplace.
  Uber eats has various unique characteristics and USPs
that they are unable to portray in the correct manner to

Positioning 
their consumers.
Faster delivery times and the trust factor can be
Reforms showed via proper advertising and consumers connect.
 They must also leverage their parent brands great trust
by using them to further promote their services.
Perceptual Mapping
Point of Parity

Basic needs -Menu Industry needs -

stating, nearby hotel's Cashback offering,
Lacking in the basic Creating a successful
offering. Overall giving additional offering.
industry standard pop. brand campaign.
a convenience to the Taking that extra step
consumers. has become common.

Creating basic
Backing on consumer
standards of industry
data and creating
like cashback offering, Creating integrated and
Reforms: efficient hotel listing
providing additional reachable campaigns.
and discounting
consumer centric
accordingly.
information.
Point of Difference

The brand value of uber and the unique Creating efficient advertisements like
interface and colour scheme of the brand Purane prices, Naya app and everyday
uber eats. moments. With the video
`
What can be done better?!
Creating efficient media planning
Targeting vegan restaurants, like showcasing ads on travel and
healthy food associating with the experience based channels and
brand. targeting food bloggers,
influencers on SM and OOH.

Keeping an interactive social Swiggy has created flighting

media page on Insta and media distribution by targeting
Facebook and extensive email the Cricket phenomenon of
marketing aswell. India.

Building a review system on

Uber eats needs to create a ubereats like Zomato where I
pulsing effect in the start now to creates more engagement and
create the brand name. becomes a platform to discuss
food.
Social Media Engagement
7 P’s

PLACE :- HUGE INVESTMENT

BLOCKED IN MULTIPLE
PROMOTION – HEAVY
RESTAURANT CHAIN
DISCOUNTS TO CUSTOMERS PRICE :- UNEVEN PRODUCT :- UNPARALLELED
PARTNERS. MOST OF THE
WITH INCENTIVES TO STRUCTURED CONVENIENCE
MARKET ALREADY
DRIVERS AND RESTAURANTS.
SATURATED BY
COMPETITORS.

PROCESS:- WEB INTERFACE –

PEOPLE :- RUNNING SHORT EVIDENCE :- WEBSITE AND
ORDER- RESTAURANT –
OF MANPOWER PACKAGING
HOME/OFFICE
Inclusion of Uber eats and Uber ride

Uber already have cars/drivers on Strong algorithm already developed A competitor with such a Global
the roads and effective system to by Uber can be used to organize the stronghold would be hard to beat.
manage it . prime factors In online food delivery
system.
  Uber dine in even waives the standard
uber delivery and service fee for
customers.
 Adding dine in let uber add traditional and
those restaurants that care more about
presentation and don’t do delivery.
 Eliminating payment to delivery person
Uber Eats – and agencies.
Time taken to preparation, distance to the
Dine in

restaurant etc. to be shown.
 Make it easy for customers to hail an uber
ride with the restaurant as pre-set
destination.
 Provide them rebate and coupons.
 Expand customer base - GEN Z , corporate
and chirpy individuals
Promotion and Product

Uber to push order

density by building Expanding by Aggregate
products and expanding and Scaling up products.
restaurants base.

Pick up and drop of

Loyalty programs and lunch boxes from home
student campus app. to offices, deliver
documents or parcels .
 Product Lifecycle

 Currently Uber eats is at growth stage

 Stagnant growth due to various factors (for eg.
cash crunch, distribution channel)
 Also heavy competition by Zomato, Swiggy and
uncertain legal environment.

Reforms

 Promotion spending is limited in growth stage,

so profit margin can increase. Uber eats can use
 efficient promotional campaign.
 Premium product offering with exclusive
restaurants.
 Commission for restaurants to be reduced to
20% for value centric customers.
Future of Food Aggregators

In longer run, commission would be reduced to

13-15 %.

Creating monopoly with specific restaurants.

Setting up Cloud kitchen business model.

Elite membership for free and fast delivery.

Market Share Estimation

2018 2025
2%

10% [PERCENTAG
E]

[PERCENTA
GE]
54% [PERCENTA
34% GE]

[PERCENTA
GE]

UBER FOOD SWIGGY ZOMATO UBER FOOD ZOMATO SWIGGY

EATS PANDA EATS PANDA
 Uber eats has 70% market share in US , which
shows it has perfect business model and the
same can be executed in India.

Creating in house food brand, so that it can

sustain in future.

Conclusion Uber Eats which currently is a Cash Cow can

easily become a STAR, according to the BCG
Matrix.

Following the given STP, 4 P’s and PESTLE

reforms, Uber Eats can grow exponentially.
Thank You

Anant Shah
Rahul Sharma
Satyam Singh
Tanmay Kunte
Viren Hemrajani