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Yemeksepeti Growing And Expanding The Business Model Through Data Case Solution
| Solution Id | Length | Case Author | Case Publisher |
|---|---|---|---|
| 2044 | 608 Words (4 Pages) | William R. Kerr, Gamze Yucaoglu, Eren Kuzucu | Harvard Business School : 817095 |
A Word File
Effective strategies of Yemeksepeti at early stages were- implementation of a straightforward business model (user satisfaction aspect) due to low internet penetration rate, the addition of rating mechanism, development of onsite call centre, provision of fax machines to restaurants having no internet connection and training sessions for the user service department. The company could have been better if it had also focused on marketing and promotional campaigns to create brand awareness among both users and restaurants (Aulet, 2013).
Following questions are answered in this case study solution:
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Evaluate the early stages and growth of Yemeksepeti. What did the company do well and how could it have been better?
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What early choices helped or hurt its growth opportunities?
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What revenue breakdown would you target for 2020 across the sources in Exhibit 5
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Why has the Joker program been successful and would you expand it?
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Should Yemeksepeti pursue the tracking or prediction tools being contemplated?
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What other data-driven growth paths do you see for Yemeksepeti, and how should they organize themselves to proceed forward?
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Personal Takeaways can be derived from this Case?
Case Study Questions Answers
2. What early choices helped or hurt its growth opportunities?
The company chose to make restaurants as its members without charging any fee, also avoided charging from users, outsourced logistics and payments to restaurants, and didn’t include an online credit card payment option in its model at early stages. The company owners also decided to attract an experienced investor for internationalization purposes. All such choices proved to be beneficial as these decisions helped the company in exploiting growth opportunities (Kerr, Yucaoglu and Kuzucu, 2017).
3. What revenue breakdown would you target for 2020 across the sources in Exhibit 5
Revenue breakdown (2020):
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Commission revenues (from 73% to 65%)
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Other revenues (from 27% to 35%) [advertising (10%) + partnership (8%) + Joker (12%) + Listing fee (5%)]
4. Why has the Joker program been successful and would you expand it?
Joker program has been successful because it was a user retention/acquisition tool for restaurants that contributes to increasing the order frequency of users. It was an algorithm-based data mining tool that specifically targets those users who never placed an order/ not ordered within the past 3 months and uses their order history to design customized daily deals. It should be expanded as it benefitted everyone- restaurants got new/old customers back, users got discounts, and the company got a new revenue stream.
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