STP Analysis, Instacart - Essay Example

STP Analysis Section A Positioning ment for Instacart Context For most groceries consumers who enjoy natural resources, Instacart provides reliable and amazing groceries to more than 2 million groceries consumers across the U.S. As compared to the traditional groceries retailers, Instacart tends to provide varieties of groceries to its customers (Cheng). In fact, it provides a combination of comprehensive, extraordinary convenience and low prices to U.S consumers. Target AudienceInstacart has various markets across the United States.

Most of these target markets work best for the franchise. Common target audiences for Instacart include light commercial customers, home, healthcare facilities and even schools. These are different market segments with different needs. For schools Instacart provides a combination of high quality and affordable groceries. On the other hand, for the light commercial customers, Instacart offers a variety of comprehensive groceries with extraordinary convenience. BrandConvenience and ReliabilityPoint of Difference/BenefitInstacart relentlessly focuses on its quality and customer experience.

In doing this, Instacart offers its customers low prices, wide selection and convenience products and brands. Achieving repeat purchases and customer loyalty remains the key aspects to Instacart success. Instacart communicates fulfillment of its promises including the delivery of date estimates, options for expedited delivery, update facilities, delivery shipment notifications and presentation of latest inventory through availability of information (Cheng 32). Instacart provides quality, timely customer service, fast and reliable fulfillment, and trusted transaction environment.

It also features rich in nutrients products and repeated customer purchases systems. Competitive AspectInstacart defines the environment for its products as intensely competitive. In fact, it views its primary and potential competitors as:Companies that provide alternative grocery products that include hotels and restaurants, which offer customer service and third party fulfillment. Large retailers, physical retailers, vendors, manufacturers and distributors of alternative products most of which tend to possess sales volumes, significant grocery awareness.

Some competitors who sell the franchise products through direct marketing, mail order and the internet Indirect and direct competitors including the Hellofood, FreshDirect, Blue Apron, Muchery, Plated and Good Eggs franchise. Most of these competitors offer fresh and direct deliveries in the market.The primary competitive factor in Instacart is its market segments that include quality and fresh products, convenience, selection, availability, price, personalized services, brand recognition, discovery, information, speed of fulfillment and customer service (Manjoo).

Other competitive factors include: reliability, trust in transactions and having the ability to adapt changing markets conditions. For products offered to individual and business sellers, additional competitive factors in this case includes their ability to generate sales especially for third parties in which Instacart serves, quality of Instacart service tools and services and finally, the performance speed of Instacart products (Romero 23). In simple terms, Instacart offers competitive frame of reference especially in its service delivery.

Instacart is actually more than ordinary grocery retailer. It offers more than just retailer services. Reason to BelieveInstacart remains the biggest grocery retailer that provides fresh, quality and instant access to varieties of groceries in the market. Unlike its competitors, Instacart provides a combination of extraordinary convenience and low prices products for U.S consumers. Instacart has various technical benefits, which provides a faster, stronger and clearer product delivery than most of its competitors.

It also appeals in terms of its emotional benefits that include brighter and better gray coverage. SECTION BWorks CitedCheng, Andria. Instacart aims to be your one-hour grocery delivery service.MarketWatch, Inc. Retrieved from http://www.marketwatch.com/story/online-grocery-service-instacart-gets-220-million-venture-capital-infusion-2015-01-13 Erbentraut, Joseph. Heres What the People Delivering Your Instacart Groceries Really Think., 2015 3:54 pm EST Updated: 02/02/2015 4:59 pm EST. Retrieved From http://www.

huffingtonpost.com/2015/02/02/instacart-workers_n_6548822.html Hitt, Michael A, R D. Ireland, and Robert E. Hoskisson. Strategic Management: Competitiveness & Globalization. Mason, OH: South-Western Cengage Learning, 2013. Print.Manjoo, Farhad . Instacart’s Bet on Online Grocery Shopping. APRIL 29, 2015. Retrieved From http://www.nytimes.com/2015/04/30/technology/personaltech/instacarts-bet-on-online- grocery-shopping.html Michman, Ronald D, and Edward M. Mazze. Specialty Retailers - Marketing Triumphs and Blunders.

Westport, Conn: Quorum Books, 2000. Print.Romero, Ric. Instacart shops multiple markets, delivers groceries to your door. KABC-TV/DT. Retrieved from http://abc7.com/business/instacart-shops-multiple-markets-brings-groceries-to-your-door/522375/ Stephany, Alex. The Business of Sharing: Making It in the New Sharing Economy. , 2015.