Research Report Draft
Research Report Draft
Research Report Draft
“Launching a new loyalty program for online food ordering that works
with delivery companies”
1. Executive summary................................................................................................................................................
2. Study Context........................................................................................................................................................
a. General introduction................................................................................................................................................
b. The industry.............................................................................................................................................................
c. The market................................................................................................................................................................
d. The environmental context of the problem.............................................................................................................
3. Research problem..................................................................................................................................................
a. Marketing Decision Problem (MP)............................................................................................................................
b. Marketing research Problem (MRP).........................................................................................................................
c. Objectives.................................................................................................................................................................
c. Approach to the problem.........................................................................................................................................
d. Analytical framework...............................................................................................................................................
Objective 1: Understanding target customers: demography, purchasing habits and motives..............................
Objective 2: Understand customers preferences, and external factors affecting their decision
making process......................................................................................................................................................
Objective 3: Evaluate customer understanding and openness to participate in the program...............................
Objective 4 :Evaluate program features influence on customers’ purchasing habits............................................
4. Research design.....................................................................................................................................................
a. Research design selection........................................................................................................................................
c. Questionnaire design................................................................................................................................................
d. Sampling and sample design....................................................................................................................................
Population Criteria................................................................................................................................................
The population size...............................................................................................................................................
b. Descriptive results....................................................................................................................................................
c. Main results..............................................................................................................................................................
d. Discussion of the results:.........................................................................................................................................
Hypothesis 1..........................................................................................................................................................
Hypothesis 2..........................................................................................................................................................
Hypothesis 3..........................................................................................................................................................
Hypothesis 4..........................................................................................................................................................
Hypothesis 5..........................................................................................................................................................
6. Recommendations 2 pages...........................................................................................
7. Conclusion & limitations 1 page...........................................................................................
1. Executive summary
This report encapsulates a marketing research initiative undertaken to facilitate the launch of a new
loyalty program by a startup in le Grand Tunis for online food ordering. The loyalty program is
designed to collaborate with all delivery companies, enhancing market penetration through a
subscription-based model with an annual fee of approximately 10dt. Subscribers gain exclusive
access to a diverse array of online promotions and discounts for their food orders.
The managerial problem at the forefront is centered on the successful launch of this loyalty program
in collaboration with delivery companies. This issue is translated into a Marketing Research Problem
(MRP) focused on determining and understanding the Tunisian Online food ordering Market
behavior.
The report systematically addresses the environmental context through a SWOT analysis tailored to
the loyalty program. Strengths, weaknesses, opportunities, and threats are dissected to provide a
holistic view of the market dynamics and potential challenges.
As the study progresses, it outlines the strategic approach to comprehending the nuances of the
Tunisian online food ordering market. The research methodology involves identifying key variables
and hypotheses to analyze, creating an analytical framework that aligns with the study's objectives.
In the subsequent phases of the report, the research design is detailed, encompassing the selection
of a conclusive approach, definition of variables, and formulation of a questionnaire. Sampling
methodology, data collection and analysis procedures are meticulously planned to ensure a robust
and insightful study.
The subsequent section presents the results of data analysis, shedding light on respondent profiles,
descriptive outcomes, and key findings. These insights serve as a foundation for strategic
recommendations aimed at optimizing the loyalty program's efficacy in the market.
In conclusion, the report acknowledges the limitations in the marketing study and mentions their
sources. This research endeavors to provide actionable insights into the dynamics of the Tunisian
online food ordering market, facilitating informed decision-making for the successful
implementation of the loyalty program.
2. Study Context
a. General introduction
In the bustling landscape of le Grand Tunis, a promising startup is poised to revolutionize the online
food ordering experience through the introduction of a groundbreaking loyalty program. This
initiative aims to redefine customer engagement and market dynamics by offering an exclusive
subscription-based model that collaborates seamlessly with all major delivery companies in the
region. With an affordable annual fee of 10dt, members gain access to a plethora of enticing
benefits, including exclusive promotions and significant discounts on online food orders. The core
objective is to penetrate the market effectively, fostering lasting connections with users and
establishing a strong foothold in the competitive online food ordering sector.
b. The industry
As we delve into the industry landscape, it becomes apparent that the online food ordering sector in
le Grand Tunis is experiencing unprecedented growth. With the surge in digitalization and changing
consumer preferences, the demand for convenient, efficient, and rewarding food delivery services
has soared. Existing players in the industry have set the stage for innovation, making it an opportune
moment for our startup to introduce a loyalty program that not only caters to the evolving needs of
consumers but also enhances collaboration with delivery companies. Understanding the intricate
dynamics of the industry becomes pivotal in shaping a loyalty program that stands out and
addresses the unique challenges and opportunities prevalent in the market.
The market growth is luring the interest of both amateurs and field experts leading to the emerging
of multiple online food ordering platforms in Tunisia such as Glovo, Yassir Express, Jumia Food,
Livrina, Kool Delivery, Restoallo, MenuTium, TawTaw delivery, Uber Eats, KFC Tunisia, Talabat,
Servini, Livresto Express, BeeDelivery, Yelp, and more [6]. For convenience purposes, we chose to light
focus on the companies with the highest number of downloads on Playstore, which are Glovo (50M+
downloads)[7], Kool.TN(50K+ downloads)[6][7], Jumia food (10M+ downloads)[6][7], Yassir express (1M+
downloads)[6][7], and Livrina (10K+ downloads)[6][7]
In conclusion, In le Grand Tunis, the booming online food ordering sector presents a prime
opportunity for our startup to launch an innovative loyalty program. Focused on platforms like
Glovo, Kool.TN, Jumia Food, Yassir Express, and Livrina, we aim to meet evolving consumer needs
and enhance collaboration with delivery companies. Success hinges on understanding industry
dynamics, addressing challenges, and staying adaptable in this dynamic market.
c. The market
Navigating the intricacies of the
market is crucial for the success of
our loyalty program. In Grand Tunis a
diverse demographic with varying
preferences and expectations awaits
a service that not only simplifies food
ordering but also adds substantial
value through loyalty rewards.
Analyzing market trends, consumer
behavior, and the competitive
landscape will guide the development
of a loyalty program that resonates
with the target audience. Moreover,
a keen awareness of local nuances, cultural influences, and economic factors will play a pivotal role
in tailoring the program to meet the specific demands of the Tunisian market.
The online food delivery market in Tunisia is going through a remarkable growth. Based on a
research study conducted by Statista, The market has a projected revenue of US$48.23 million [1] in
2023 and an impressive annual growth rate (CAGR 2023-2027) of 17.06 percent [2], it is expected to
reach a market volume of US$90.56 million[3] by 2027.
When compared globally, the compound annual growth rate (CAGR) is 10.3 percent [4] from 2023 to
2030. Although the market growth is impressive, it is important to note that China, for example, is
expected to dominate the Online Food Delivery market with a staggering revenue of US$395,900
million[5] in 2023.
This rapid growth in Tunisia's online food delivery market is driven by the surging demand for
convenience and the increasing adoption of digital platforms.
In conclusion, our success relies on understanding market intricacies to tailor a loyalty program
meeting diverse preferences. We aim to simplify food ordering and add value through rewards,
guided by market analysis and awareness of local factors. Tunisia's online food delivery market is
rapidly growing, projected at US$48.23 million in 2023 with a 17.06% CAGR through 2027. Globally,
the CAGR is 10.3% from 2023 to 2030, but China is expected to dominate with US$395,900 million
revenue in 2023. This growth in Tunisia is fueled by surging convenience demand and increasing
digital platform adoption.
d. The environmental context of the problem
Understanding the environmental context surrounding the introduction of our loyalty program is
paramount. Factors such as regulatory frameworks, technological advancements, and socio-
economic conditions can significantly impact the program's reception and success. Additionally,
partnerships and collaborations within the delivery ecosystem, including potential challenges and
opportunities, form a critical part of the environmental context. This comprehensive understanding
will serve as the cornerstone for subsequent analysis, ensuring that our loyalty program is not only
aligned with market demands but also adaptive to the evolving external landscape in Grand Tunis.
Despite the expanding market, several factors are the market expansion and penetration for new
and existing companies in Tunisia. First, the presence of extra costs, such as delivery fees, might
have been discouraging potential customers from placing online orders. Moreover, a lack of a
compelling motive to opt for online food delivery over traditional dining has slowed market
adoption. Additionally, a limited understanding of consumer behaviors, attitudes, and preferences in
Tunisia hinders businesses' ability to adapt effectively to their target audience. The shift from
traditional dining to online ordering has led to fluctuating consumer behavior, making it essential for
businesses to adapt to changing trends. Lastly, consumer price sensitivity has increased due to
inflation and rising prices. The average food inflation rate in Tunisia stood at 6.38 percent [8] from
2007 to 2023, with the highest recorded peak at 15.90 percent [9] in May 2023 necessitating strategic
pricing and promotional approaches to remain competitive in this evolving market.
In conclusion, Understanding the environmental context is crucial for our loyalty program in Grand
Tunis. Regulatory, technological, and socio-economic factors impact success. Partnerships in the
delivery ecosystem are vital. Challenges include extra costs, like delivery fees, hindering adoption.
Motivating customers to choose online over traditional dining is a challenge. Limited understanding
of consumer behaviors and preferences complicates adaptation. The shift to online ordering requires
businesses to adjust to
changing trends. Rising
consumer price sensitivity
from inflation demands
strategic pricing in this
evolving market.
3. Research problem
a. Marketing Decision Problem (MP)
“Launching a new loyalty program for online food ordering that works with delivery companies”
=> We need to know all the factors that can influence the launch of the loyalty program by
understanding the market behavior.
b. Marketing research Problem (MRP)
Determining and understanding the Tunisian Online food ordering Market behavior
=> Management wants to launch a loyalty program therefore we should study the market behavior
so that we can explain. We begin with a deep dive into target customers, customers preferences and
tendencies, customer understanding of the program, customers willingness to participate, crucial for
tailoring the loyalty program to meet their specific needs. Concurrently, analyzing delivery
companies provides insights into market gaps and successful strategies. Consideration of socio-
economic factors, such as affordability and perceived value, plays a pivotal role in program design.
Localization efforts, including cultural nuances in le Grand Tunis, further enhance the program's
resonance. Developing strategic partnerships with delivery companies involves understanding their
dynamics, challenges, and logistics for effective collaboration. Market research through the survey,
ensuring the loyalty program aligns seamlessly with the intricate market behavior and the program
factors that influence the decision-making process of the online food ordering landscape in le Grand
Tunis.
c. Objectives
In light of the significant growth and evolving landscape of Tunisia's online food delivery market, we
can conclude “Determining and understanding the Tunisian Online food ordering Market behavior”
is crucial for a successful market penetration through the loyalty program.
Launching a new loyalty program for online food ordering that works with delivery companies is the
ultimate goal for the startup. Thus, We need to know the major factors that can influence the launch
of the loyalty program by understanding the market behavior and customer perception of the
program through defining target customers, understanding their preferences and tendencies,
assessing their understanding of the program, and their willingness to participate, highlighting the
program's influence on the customers’ decisions and the factors that influence the decision-making
process.
e. Analytical framework
Variables Explanation
Purchasing Habits This variable aims to gather insights into respondents' food ordering
behaviors, such as frequency, spending patterns and motives.
Objective 2: Understand customers preferences, and external factors affecting their decision making
process.
Food Preferences This variable explores respondents' general preferences when ordering
food, including factors like taste, convenience, and pricing..
Influential Factors This variable investigates how external factors affect food ordering choices
such as cultural factors and friends recommendations .
Openness to Participation This variable explores respondents' understanding of the concept of loyalty
program and their willingness to participate in such programs.
Program Features This variable assesses which program features are most appealing to
respondents, helping to determine what aspects of the program can
influence their purchasing behavior.
4. Research design
a. Research design selection
Our research approach adopts a conclusive and descriptive methodology to comprehensively
understand the intricacies of the Loyalty Program in le Grand Tunis for Online Food Ordering.
Utilizing a survey form, we aim to gather specific and detailed insights into various facets of
customer behavior, preferences, and perceptions within this dynamic market.
The main point of the research is having a clear image about the consumer behavior and how
consumers will interact with features and characteristics of the loyalty program. Evaluating and
understanding customer understanding and openness to participate in the program and its influence
on the consumer behavior needs descriptive research in order to determine the Tunisian Online food
ordering Market behavior. Adopting a conclusive design helps decision-makers through its insights in
Tunisia's ever-changing online food ordering scene.
b. Measurement and scaling
Ordering
nominal 13
Identifying key features
features and
5-point Likert
promotions Incentives 14
scale
Influential influencing
4
Factors customers' recommendatio 5-point Likert
15
decisions in ns scale
online food
5-point Likert
ordering. feedback 16
scale
ordering
loyalty
program.
program.
payment
nominal 25
method
income level.
c. Questionnaire design
The survey is conducted in two languages (Arabic and English). It consists of 3 main parts: the first
consists of language selection, the second part selects the sample members from the respondents
through screening questions to transfer them to the last part that has the main survey questions.
The questions are organized in terms of contextually arranged sections, with an approximative filling
time of 8 minutes. Each one of the sections highlights a specific one of the 6 variables. The first
section focuses on the purchasing behavior. The second section tackles the food preferences of the
consumer. The third one puts the light on the Influential factors. The fourth is mainly about the
consumer’s understanding and interest in loyalty programs. As for the fifth section, it is dedicated to
Program features studies. Lastly, the sixth section is studying the demographic characteristics of the
sample. All questions are set as obligatory questions to avoid missing values.
Population Criteria
Total population over 18 * percent of adults owning a smartphone * percent of online shoppers *
percent of food e-commerce of the ecommerce market
= 890,777 * 74.72 percent * 94.1 percent * 29 percent * 20 percent
= 36,326.49
- The mean related to the experience with delivery app use related to time delivery is approximately
3 , which means people have tendency towards satisfaction
- The mean related to the experience with delivery app use related to variety is 3.09 , which means
people have tendency towards satisfaction
- The mean related to the experience with delivery app use related to quality is 3.08 , which means
people have tendency towards satisfaction
Objective : Evaluate customer understanding and openness to participate in the program.
Hypothesis 1
Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
a
1 .330 .109 .102 .79377
a. Predictors: (Constant), Program_ features, Purchasing_ habit, Customer_ Preferences,
Influential _Factors
ANOVAa
Sum of Mean
Model Squares df Square F Sig.
1 Regression 36.920 4 9.230 14.649 <.001b
Residual 301.802 479 .630
Total 338.722 483
a. Dependent Variable: Openness_ Participation
b. Predictors: (Constant), Program_ features, Purchasing_ habit, Customer_ Preferences,
Influential_ Factors
Coefficientsa
Standardize
Unstandardized d
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.360 .309 7.648 <.001
Purchasing_habit .022 .059 .016 .367 .714
Customer_Preferen -.085 .040 -.092 -2.105 .036
ces
Influential_Factors .160 .053 .132 2.989 .003
Program_features .274 .044 .277 6.297 <.001
a. Dependent Variable: Openness_Participation
→The model summary shows a low R Square value (0.109), indicating a weak fit. The
ANOVA table shows the model is statistically significant (p < .001).
→Program features and influence factors significantly impact openness to participation,
while purchasing habits and food preferences do not.
Hypothesis 2
Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
a
1 .080 .006 -.004 .61726
a. Predictors: (Constant), 30- What’s your Monthly Income level?, 26 - What is your gender?,
28- Where do you exactly live in Grand Tunis, 29- What is your marital status ?, 27- What's
your age ?
ANOVAa
Sum of Mean
Model Squares df Square F Sig.
1 Regression 1.155 5 .231 .606 .695b
Coefficientsa
Standardiz
Unstandardized ed
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.929 .144 20.280 <.001
26 - What is your .061 .060 .048 1.032 .303
gender?
27- What's your .015 .041 .021 .361 .718
age ?
28- Where do you .019 .026 .035 .755 .451
exactly live in Grand
Tunis
29- What is your -.004 .098 -.002 -.037 .970
marital status ?
30- What’s your -.027 .025 -.059 -1.114 .266
Monthly Income
level?
a. Dependent Variable: Purchasing_habit
→ The R Square value is very low (0.006), suggesting a poor model fit. The ANOVA table
indicates the model is not statistically significant (p = .695).
→ Demographics do not significantly influence purchasing habits.
Hypothesis 3
Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
1 .023a .001 -.002 .61520
a. Predictors: (Constant), Influential_ Factors
ANOVAa
Sum of Mean
Model Squares df Square F Sig.
1 Regression .098 1 .098 .259 .611b
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.977 .149 20.000 <.001
Influential_Fact .021 .041 .023 .509 .611
ors
a. Dependent Variable: Purchasing_habit
→the R Square is very low (0.001), indicating a poor model fit. The ANOVA table shows this
model is also not statistically significant (p = .611).
→Influential factors do not significantly affect purchasing habits.
Hypothesis 4
Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
a
1 .115 .013 .011 .89836
a. Predictors: (Constant), Influential_Factors
ANOVAa
Sum of Mean
Model Squares df Square F Sig.
1 Regression 5.192 1 5.192 6.434 .012b
Coefficientsa
Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 2.833 .217 13.036 <.001
Influential_Fact .150 .059 .115 2.536 .012
ors
a. Dependent Variable: Customer_Preferences
→The R Square value is low (0.013), suggesting a weak model fit. However, the ANOVA table
indicates the model is statistically significant (p = .012).
→Influential factors have a significant effect on food preferences.
Hypothesis 5
Model Summary
Std. Error of the
Model R R Square Adjusted R Square Estimate
a
1 .032 .001 -.001 .61505
a. Predictors: (Constant), Customer_Preferences
ANOVAa
Sum of Mean
Model Squares df Square F Sig.
1 Regression .187 1 .187 .496 .482b
→The model shows a very low R Square value (0.001) and is not statistically significant (p
= .482).
→Customer preferences do not significantly impact purchasing habits.
6. Recommendations 2 pages
7. Conclusion & limitations 1 page