The emergence of the Food Delivery App has shaped the F&B industry for over a decade. While these apps have undoubtedly boosted the sales of F&B chains, this combination has also brought about numerous threats that F&B businesses have recently become aware of and are actively seeking solutions for.
Is the balance of benefits equal?
When looking at the overall picture of the relationship between F&B businesses and food delivery apps, it’s clear that the disadvantages fall on the side of the businesses.
Food delivery apps often charge membership fees and commissions based on each order, not to mention additional costs for sponsorships and promotions run by the app. On average, each order sold through a food delivery app costs businesses 30-40% of the sales.
Another disadvantage is that businesses cannot manage their customer experience on food delivery apps due to dependency on the platform’s data and interface/features. In the food delivery app, F&B businesses compete directly with competitors on the same platform; the playground belongs to the Food Delivery App, so they can advertise competitors’ brands to your customers and place their banners in more favorable positions.
Competition on Food Delivery App can be boiled down to price wars, with the one offering deeper discounts having a higher chance of being selected by customers. This “cutthroat” competition through promotions inadvertently diminishes brand value in the market.
Seeing that the balance of benefits does not favor them, many F&B chains are striving to find their own path to balance the scales.
What can F&B businesses do to gain independence?
A proprietary app that can provide discount codes and create two-way interactions through fun experiences, thereby effectively nurturing and retaining customers, is the first step that F&B chains consider. While building such a standalone app in the past faced numerous challenges in terms of IT costs, operations, updates, and also failed to optimize customer experience right from the app download step, businesses can now easily own one.
Pango Team initiated the concept of “The Master Channel” leveraging the power of applications containing the Mini App ecosystem such as Zalo and MoMo. When businesses invest in The Master Channel, they focus resources on one main channel to create better experiences for customers at lower costs. The remaining channels will direct customers to “The Master Channel”.
These Mini Apps are located right on The Master Channel – Zalo, MoMo, etc., where businesses are completely proactive in providing interesting experiences and owning customer data through interactive activities on the platform.
Pango Gift – the “warhorse” every F&B chain needs
Businesses can easily create diverse customer experiences such as games, surveys, etc., to encourage interaction or send vouchers directly through personalized messages on The Master Channel.
With the Pango Gift Mini App, businesses can rename it to “Highlands Gift” or “KFC Gift.” All app interfaces do not need recoding and can be configured in a few hours of design.
All gifts collected from the brand will be stored in the gift wallet, making it easy for customers to track and use across different apps.
Mini Apps alone cannot fully encapsulate the potential and scope of “The Master Channel”.
The customer data platform PangoCDP is the “engine” behind all Mini Apps, supporting automated scenarios such as sending reminder messages for customers to use vouchers and notifying them of suitable promotions. This helps increase the voucher usage rate, significantly boosting direct sales. The business’ program can be spread because customers can easily share their “gifts” with friends right on Zalo and Momo app.
With the support of the PangoCDP platform, data from the interaction steps, voucher reception to redemption will be fully compiled. Businesses can easily track customer journeys to proactively refine and optimize customer experience as well as develop future engagement and care strategies.
Not only helping businesses “defend” against the dominance of Food Delivery Apps, The Master Channel also enables them to “counterattack.”
A cute little gift card inside a milk tea bag, where customers scan the QR code to receive a voucher in the “gift wallet”, applicable for buying directly at stores. As soon as customers scan the QR code and agree to the data terms, businesses will be able to follow the customer journey from online to offline.
Food delivery apps remain an essential sales channel for F&B businesses. However, limiting dependency on these apps is clearly necessary. The Master Channel and PangoCDP provide the ability to own data, proactively interact directly with customers and are the key for F&B businesses to “determine” their own fate amidst the expansion of Food Delivery applications.
Scan QR code or click here to experience Pango Gift
Not only data exploitation strategies, but also detailed marketing campaign implementations for businesses based on data orientation and much new knowledge around The Master Channel will be presented in detail in The Main Interaction Channel – The Master Channel, Volume 1.
Six chapters of the book will guide readers through the impressive development journey of interaction methods between businesses and customers.
From the most primitive forms to multi-dimensional interactions in the smartphone era, the book will present successful stories along with leading global brands in boosting revenue by enhancing customer experience, explaining the success of The Master Channel concept when applied at two leading Vietnamese companies, Nutifood and CellphoneS.
The book is now available at Fahasa, Phuong Nam, Hai An, Ca Chep bookstores, and online at 24h bookshops and e-commerce platforms like Tiki, Shopee, and TikTok Shop. You can also quickly order the book here: https://i.o2o.vn/H767
