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Online Fast Food
Table of content
Introduction 3
What is online marketing? 3
Reasons for going online 4
Tangible benefits 5
Intangible benefits 5
Improved sales 5
Lower costs 6
Online marketing as a communication vehicle 7
Methods adopted to go online 8
Consumer to Business 8
Justification; Advantages of online to the fast food store 8
Business to Consumer 9
Justification of the method 9
Strategy to be used 9
Internet as a strategic component of online marketing 9
Justification of the strategy 10
Improved efficiency of the fast food store 10
Web design 11
Web site promotion 11
Web page outline 11
Finding food 12
Purchase 13
Delivery 14
Support 14
Setting up the online store 15
Conclusion 15
Reference: 16
Introduction
The explosion of electronic commerce in many business enterprises is creating a profound impact on organizations' business strategies. Competition rules are being redefined in many companies as technology advancement continuous specifically in the e-commerce. ...
... King, et al (2004) predicts that e-commerce will continue to grow, according to research done by Forrester Company, online trading is expected to reach over $ 800 billion in 2008. E-commerce have grown from a high technology wonder to a business initiative, e-commerce today has become important and can not be ignored in any company which wants to gain competitive advantage. Thus, it is important that an e-commerce strategic projection has to be incorporated in a company's strategic business plans. (King, et al, 2004)
For the purpose of this paper we shall examine the details of a fat food company going online to sale its fast food and other services online. The paper will examine the reasons for going online, methods to be adopted, and best strategies to be employed and their benefits.
What is online marketing?
Online marketing is trading using electronic media which is many times termed as e-commerce; thus online marketing (e-commerce) is the trade of services and products by means of computer networks or the internet. (Flanigan, 1994) Chan, Lee, & Dillon, (2001) defines online marketing as selling and buying of goods or services using electronic media it follows the basic principles of traditional commerce but in this case, buyers and sellers swap commodities through the internet for money. In e-commerce sellers and consumers of products transact business over networked computerized processes. This has offered maximum convenience to buyers and sellers alike. Buyers in this form of business get the opportunity to compare prices, quality and other factors before deciding to undertake the transaction. The buyer gets advantages of saving on physical transport costs and he/she can a product even from far place on a click of the mouse. (Flanigan, 1994)
Reasons for going online
Today, Industry players agree that e- commerce is going to continue to grow. According to research carried out by centre for research in electronic commerce, Ecommerce is predicted to revolutionaries industries in the 21st century. Economy of the internet continues to increase robustly. Many companies both new and well established continue getting profits through e-commerce. E-commerce still has a big market which is not tapped. As Kilter (1996) points out it effects on industrial economy may be compared to the importance occurrence when the world shifted from agricultural to industrialization in the 17th century. However, customers today want more information about a company and their services before buying its products or services. Thus they are several reasons why a fast food store will have to go online some of them will be discussed below.
Tangible benefits
The tangible benefits of online marketing touches on the monetary aspect of the a company, it touches on the financial benefits that will occur due to the fast food going online, that can only be measured using tangible metrics. For example, cost saving, market share, productivity and profitability of the company. These benefits will enable the fast food store to make a lot of saving and the money will go along way in improving other aspect of the store (Mowery and Rosenberg 1989).
Intangible benefits
The intangible benefits brought by the online marketing includes improved customer care, advanced knowledge on customer needs, enhanced coordination with the company partners, improved product quality and the fast food store will have a competitive benefits. The competitive benefits of the company usually are seen in the form of cost position of the food store or products differentiation. Online marketing impacts the company advantages by having an effect on the way the company operates, by changing the products of the company and also changing the way of the competition itself
Improved sales
Going online will definitely improve sales of the fast food store since it will open new markets. The fast food store will be able to reach a wide market and at the same time maintain its market segment. Another important aspect of online marketing is that the fast food store will be able to receive customers' suggestions and views about the fast food store service directly and respond immediately or within a shorter period. Through this, it will be able to monitor customers' requirements and any changes in market demand, and respond accordingly, this will greatly improve the service delivery of the fast food store. (King, Lee and Vineland, 2004)
Lower costs
The aim of any business is to reduce production cost in order to improve its revenues online marketing is one of the cheapest ways of doing business. Business to business communication costs will be reduced greatly when the store adopts online marketing as a medium of transaction. Costs such as; phone calls, purchasing costs, travelling costs, inventory costs, data entry costs, faxing etc reduce the amount the transaction costs. The old day's ways of marketing was not only time consuming but also costly especially to a wide range of clients. The current internet technology is the best as it is currently the widely used distribution channel that is being used in the market. (King, Lee and Vineland, 2004) Since many household and offices in the London today have a computer and most of them are currently connected to the internet, it makes an opportunity for the fast food marketers to reach a high percentage of the population of consumers hence also saving marketing cost which are normally very high. Thus this will translate to the fast food store offering its customer affordable or low prices for its food
Online marketing as a communication vehicle
One of the good aspects of online marketing is the internet, which is a bi-directional communication tool which is ironically the least expensive way of advertising compared to other types of advertising such as radio, television, magazines and news papers. Internet marketing offers great benefits for businesses in this century; increased effectiveness, wide range of audiences, reduced advertising, marketing, and transportation costs, improved exposure, increased popularity, among others. The fast food store will therefore, have a cheaper way of advertising and at the same time reach a wider segment of its clients. In addition online marketing will enhance communication between the company and the customers through email communication. (King, Lee and Vineland, 2004
The client orientation involves the responsive of the store. An email address for example on a home page of the fast food store will create human connection between the food store and the viewing audience. The members of the fast food store will have to answer promptly to an email they receive and if the same information request is received with some frequency not normal to what is expected for example a complain about a certain recipe or service , then, the food store will have to take necessary steps to rectify it. If the answer to an information request can be found on the fast food store pages, some kind of decision will have to be made to create additional pathways or improved ones. When the information is not received, then the motion will be set in order to add the requested information on the site as quickly as possible. (Flanigan, 1994
Methods adopted to go online
Consumer to Business
Another market trend in online marketing is that, currently consumers what to specific information from companies. In this case, the consumer requests for a specific service from the company or supplier through an electronic mode. This kind of e-commerce is will be used by the customers in requesting meals from the fast food store. (Mowery and Rosenberg, 1989)
Justification; Advantages of online to the fast food store
Online marketing of fast food to customers will have several advantages both to the company and to the customer
Advantages to the food store includes
1. Access to bigger markets
2. Reduced sales costs
3. Ability to compete with big companies
4. Company can easily track sales and use the information to recommend other food item/recipe and services to the customer
Business to Consumer
This is one of the relatively new methods of online marketing in which the consumers access the system of the company of the suppliers via a computer network. This particular type of online marketing is a two way traffic which allow information to be send to either of the parties including; distribution, sales and marketing. In this case, a link is provided that will allow the consumer to check with the company what is happening. This aspect is very important for the fast food store particularly, for selling its food and other meals online. The food store will implement this as its tool of selling its food to the customers. (King, Lee and Vineland, 2004)
Justification of the method
1. Can get the recipe he/she wants directly delivered to him wherever he/she is
2. Reduced cost
3. Automated cost-comparison accessible
Strategy to be used
Internet as a strategic component of online marketing
Internet has globalized this world and in the same online marketing is global. Difference in cities or countries does not effect online marketing if you have any kind of crises you can log on from any where in the country and can solve your problem in a faction of time. Transaction is very fast and effective; many online business sites now offer sophisticated tools to help consumers manage all their assets more effectively and conveniently. (Flanigan, 1994) Thus, customers of the company will be able to order for a meal even if they are far war. Basically the fast food store will have to implement this strategy of online marketing.
Justification of the strategy
Improved efficiency of the fast food store
Online marketing is relatively a new advancement in the field of fast food even then there are many business and customers who have switched from conventional to online marketing. The reason being quite obvious, its advantages online fast food has advantages which no one can ignore the most attracting advantage being the convenience and flexibility it provides. Flexibility of time, an example of flexibility can be taken from the fact that now there are no time limitations you can order meals at any time of the day or night no need to rush to the fast food store. Then there is convenience an example of which can be that there is no need to wait in queues and no wasting of time in traffic everything is a just a click away. (Investor's words, 2007)
Internet has globalized this world and in the same online fast food store will be global. Difference in locations does not affect online marketing if you have any kind food you want; you can log on from any where in the city and order your meal in a minute. Transaction is very fast and effective; many online marketing sites now offer sophisticated tools to help you select your food more effectively in accordance to your health needs. (King et al 2004)
Web design
It is important that a website should be developed which will be used by the food store to carry on its business with the customer the designing of the website can be tailor- made to suit the needs of the food store. Some of the times that will be includes on the web site will be; (Chan, Lee, & Dillon, 2001)
Web site promotion
The fast food store will be required to advertise and promote its business, in order for the customers to be aware of the fast food store to come to the store, read the menu or view the web site of the food store. (Chan, Lee, & Dillon, 2001)
Web page outline
The fast food store needs to have a menu showing the different foods, drinks, and other services that the food store provides to the customer, this food will have to be displayed on the online menu for customers to have a view and select the food or drinks they want. Customer should be able to easily navigate through the online menu and find whatever food they want. The customers have to be able to effortlessly browse the menu and mark food for purchase. Customers also need to see pictures of the food online. (Chan, Lee, & Dillon, 2001)
Finding food
The fast food store will have too display all the food they are serving in categorized on country basis so that the customers should be able to easily find the food which he/she is searching for. (Chan, Lee, & Dillon, 2001)
Fast food meal consisting of fries, burger and a soft drink
The fast food store can use such picture on their website to show the meals they offer
Purchase
It should be easy for customers to buy the food they want. The store should have a way of receiving online payments, either through the use of credit cards or through other ways of payment. For instance, business-to-customer sales can simply entail a purchase order.
Purchasing of the food can be multipart; nevertheless it ought to be made as easy as possible for the buyer.
1. The customer should give particular information concerning him/her. typically this is name, physical address and e-mail and telephone number
2. A mutually suitable payment means must be selected. Credit card information or billing information has to be gathered.
3. The food store will have to process the client's payment information.
4. Finally, the client should receive confirmation of the food sale. Security needs also to be taken care of in credit card sales and the capability to encrypt transfer of data.
Delivery
The food store will have to develop and formulate good ways of fulfilling the customer's order and delivering the food to customers. The food store should use different ways of delivery depending on the location and type of food purchased. (Agre, and Rotenberg, 1998)
Support
Customers need a way in which they can voice problems, suggestions or recommendations, the food store will have to develop a customer service system, which will consist of support to deal with customers' complaints or returns in the case of problems.
Setting up the online store
The fast food store can buy one of a range of ready-made software applications which set up an online business. However the problem of buying already made software is the lack of capacity to customize the application. Alternatively, the food store can have a web programmer who will develop the store's website according to its needs and requirements. (Agre and Rotenberg, 1998)
Conclusion
In today's business world online marketing continue to be very relevant to companies as they struggle to invent cheaper and more efficient ways to market their products and services. Online marketing has modernized the way business is being done and opened up new challenges for the companies. Fast food online marketing is an important aspect of e-commerce and the fast food store utilizing the technology will highly succeeded in its businesses. The future for doing business is e-commerce, as studies show more and more companies are turning to e-commerce as a way of doing business. Though, online marketing is not magic, but it offers a lot of advantages to both consumers and companies. However, for the fast food store to be successful in implementing online marketing it will need to critically evaluate its capability to change its business procedures, its technology and also its human resource, this are the aspects that will ensure success in ecommerce.
Reference:
Agre, P E. and Rotenberg, M (1998): Technology and Privacy: The New Landscape. Cambridge, Mass.
Chan, H., Lee, R. & Dillon, T., (2001): E-Commerce in Practice; Fundamentals and Applications, England: John Wiley & Sons, LTD.
Flanigan, G (1994). Internet Applications New York publications
Flaming, L. and Connor B. (1999), Real-Time internet applications; Linux Journals
Hoffman, D. and Novak, T. (1996): Marketing in Hypermedia Computer-mediated Environments: - Conceptual Foundations: Journal of Marketing, Vol. 60(July)
King, D., Lee, J., and Vineland, D. (2004): Electronic Commerce; A Managerial Perspective, New Jersey: Pearson Prentice Hall.
Kilter, P (1996): Principles of Marketing: Stages of customer relationships. 4th European Edition Prentice Hall Harlow (UK)
Kotler, et al (2005): Marketing Management, Prentice Hall
Mark, D. (2001): Principles and Practice of Marketing; 3rd Edition of Chartered Institute
McCarthy, J. (2001): Basic Marketing: A managerial approach, 13th ed., Irwin, Homewood.
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Mowery, D. C and Rosenberg, N. (1989): Technology and the Pursuit of Economic Growth, Cambridge: Cambridge University Press
Parries, M K. and Jeffay, F.D (Dec.2005); the proceedings of the 9th International workshop on internet interface elements
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