Marketing in Action Case Real Choices at Sprig What\'s for dinner? Sprig would l
ID: 327512 • Letter: M
Question
Marketing in Action Case Real Choices at Sprig What's for dinner? Sprig would like to play a part in a health- conscious customer's answer to that question. Sprig is an on- dustry is developing and attracting attention from many new demand delivery restaurant that offers balanced meals which are fully prepared and delivered in 15 to 20 minutes. The serts, drinks, and kids' meals in San Francisco, New York, Los company focuses on using the freshest ingredients to create Angeles, and Seattle. It offers ready-to-cook meals that are innovatively delicious food that supports a healthy lifestyle. Itsdelivered with directions on how to successfully complete the target market includes those who have busy schedules and dish. Postmates operates a network of local couriers to deliver desire meals that include servings of fruits, vegetables, promeals through a service called Pop that promises food delivery teins, and other nutrients. Sprig's website claims, "We use the best ingredients to create dishes that are high on flavor and low on butter, oils, and sugar." Customers have a choice of ordering meals via the Internet or by an app The on-demand delivery segment of the restaurant in- players. Munchery delivers fresh-food entrees, sides, des- in 15 minutes or less. Pop is fast because it eliminates the ickup leg. Rather than spending time traveling to a specific erchant location or waiting for the food to be prepared Postmates drivers who participate in Pop carry an inventory of CEO Gagan Biyani realized as he worked at ride-sharing freshly made items ready to drop off immediately. Even Uber is company Lyft that when he ordered on-demand meal delivery in the market with UberEats, its own on-demand meal delivery he was relying way too much on unhealthy options like pizza. ice that uses existing Uber technology and customer rela- So in 2013 he created a company that gives the health-con tionships for competitive advantage scious consumer better choices without compromising speed S So what's next for Sprig? Are they on the right track or convenience. Jessica Entzel, executive R&D; chef and Biyani's trgeting only the smaller health-conscious segment of on-de- irst employee, manages Sprig's menu development. She teams with Nate Keller, a former executive chef for Google, who develops relationships with local farmers and manages as experienced by the search engine, social media, and other the company's sustainability efforts. Keller has a great deal of tech markets-that is, a shake-out of initial providers with only freedom and a large budget to experiment with recipes and a few remaining competitors today. How does Sprig become then test them with a host of eager tasters. Sample menu se-one of those few that survives? lections include grilled jerk chicken with habanero slaw, beef J keema with roasted red potatoes and cabbage, and truffled OMake the Call and delivery? Biyani expects the on-demand delivery market experience shake-out among competitors similar to what mac and cheese with cauliflower béchamel Sprig uses data continuously collected from customers to S7-30. What is the decision facing Sprig? refine the menu and ensure consistent delivery of desirable innovative meals that offer high eedback on each item to see if it meets and exceeds customer expectations. When the ratings are not as expected, she digs deeper into the responses to discover ways to fix the problem C7-34. What are some ways to implement your recommenda- before including that item on the menu again. She also makes sure the presentation of the meal is first-rate, a difficult task to accomplish consistently in on-demand delivery. Hence, the Se:Bsed on Hay McCracken, "The RED behind Meal Delivery Stanp Sprig's New Reciges: Fast Company (lan 27, 0p meal development process takes into account how to trans- 221, Mel R port the food without it arriving to the customer as an unat 7-31. What factors are important in understanding this deci- Entzel studies customer SI 7-32. What are the alternatives? 7-33. What decision(s) do you recommend? tion? www.tastcompany aocessed April 21, 2016l: THomepa Sprig, Business nader (Al 21, 2018,/www.echinsder.ig-lood-delilvery-on-demand-startup-2016-4 jaccessed prl21, 2016htp:iog postmates.com/post/1 30627727422/paprocks (accessed Aoril 29, 2016 tractive mess.Explanation / Answer
Sprig can focus in following two different consumer segment.
University/College students
Focusing on different universities as well as colleges would be very beneficial for the company as it directly fit within the criteria of delivering Rapid food to the students as they don't have much time between the brakes. Deciding the pricing according to the paying capacity by doing the survey as well as determination of the competitive pricing according to the market competitors would be beneficial for the company.
Idea of providing fast and healthy food would be a great fit for the university students as most of the students does not have any kind of access to quality food and rely on fast food which is harmful for their health. Advertising the company as more ethical towards creating and providing quality food to the customers would be very beneficial for the company as it would directly enhance the overall availability of different factors which could be beneficial for the company for doing business in the specific market segment and to the customer.
Athletes and fitness oriented people
Providing quick food for the fitness oriented people would be beneficial for the company as there are very less competitors in this specific field. By projecting itself as the most organic company for delivering food to the people would be very beneficial. As this market has very less competition.
As there is very less competition in this specific segment doing business for the fitness industry would be very beneficial for the company and would be able to generate huge revenues from the same market.