21 February 2018
After we talk about the fashion industry in my last 2 articles, now let’s jump into another industry. The food and beverage industry is a prospective industry that even Amazon, the legendary online bookstore, start their business in this industry. Let’s talk a bit more about that. But before that, I want you to know that I will talk about how to create a website in a managerial or founder approach. Not in a technical way.
Amazon is known as their trademark to be an online bookstore. When a classic bookstore only sells its product in a physical store with a limited amount of storage, Amazon gives a different approach to let any book lover completing their book wish list in seconds. Amazon has storage that could fill with millions of books. So it’s far more effective and efficient than a classic bookstore.
Amazon diversified into any retail stuff including the food and beverage industry. As far as I know, Amazon has two businesses in that industry with two different approaches as well. They are called AmazonFresh and Amazon Go. Both of them using technology as their fundamental approach, but in fact, they are targeting a different kind of market share and using a different method to connect with their customers.
AmazonFresh is a grocery delivery service that runs in some US States, London, Tokyo, Berlin, Hamburg, and Munich. Quoting from Wikipedia, AmazonFresh offers grocery items for sale, as well as a subset of items from the main Amazon.com storefront. Items ordered through AmazonFresh are available for home delivery on the same day or the next day, depending on the time of the order and the availability of trucks. Many grocery items are for sale. As of the 11th of October 2017, AmazonFresh sells a range of Booths branded products for home delivery in selected areas.
Otherwise, Amazon Go gives an absolutely different feeling when people want to go shopping. The one and only Amazon go store is located at 2131 7th Ave, Seattle, WA, near the corner of 7th and Blanchard. Amazon Go doesn’t have any clerks in their store. They only have some cooks to serve your food in the kitchen. You only need a basket and your phone (integrated with the application). After that, you only need to take whatever item you need to your cart and you can see the total price with your phone. Also, you need to pay digitally as well. No queue, paperless, cashless, and total freedom of shopping experience.
So basically, Amazon Go delivers its service to people who like to go shopping, yet they want something new, something better. With the sophisticated touch of the newest technology, this competitive advantage will entice people in Seatle. At least they will see the promotion video and want to try shopping in the Amazon Go store by themselves. The experience will become contagious and spread to other people. Or perhaps, some people from another region will also come to Seatle and try to get some groceries from there. Just walk out and go with ready-to-eat food. I think it’s an amazing concept.
According to Business Insider, the next five years will see a staggering 21 percent growth in online food and beverage sales. I got this data from Magento Official Website and this could be your motivation to make your first online store in food and beverage industry.
Actually, since food is a basic need of human beings, then the food business is a good thing to do. Yet you will encounter tons of competitors. You need to prepare for the food wars. Every aspect of the taste, ingredient, how you present your food, and how well you make it is also a very important thing. And don’t forget about the identity of your own food.
To fuse the food industry with technology will also need some tech-savvy. Especially when you decide to use a website. And that’s why I’m here to tell you how to create a website.
When you ask ‘how to create a website? The answer is Magento. Magento has a product named Magento Commerce that will help you to create a website. Here’s a little truth about that.
Magento Commerce is not only made for fashion, but also for the food and beverage industry. Coca-cola is one the client to use the software to make their website. This giant company entrusts Magento to deliver every value of their coke product and newest promotion concept to all customers across the world.
So it’s trustworthy software to create. But you need a team to build your own website. But fear not! Magento also has a lot of certified people from Magento Training Programs to help make one of yours. Also, I have some people and you can hire them at a competitive price. So what are you waiting for?
Ah yes, I’m not done with this question. In the managerial approach, when you ask ‘how to create a website, especially in the food industry, then you should ponder these questions below.
The first sub-question of how to create a website is what kind of food or beverage do you want to serve your customers. There are so many categories of the food industry these days. I’m not an expert in food or beverage. As far as I know, even in one small region, there are different kinds of food to choose from. So if you want to make a website, since it will be online and meet more people to be your market, then you need to consider your core value or your special food.
Demography, sociography, and psychography are the key to do segmentation. Which kind of people likes to eat your food or beverage? If you just take some local people to become your customer, then it’s an easy task to do. But if you choose more than one city to work on, then it’s harder and needs more resources to produce and deliver your food.
I don’t know whether you do have the skills to cook or not. But if you do and if you have a lot of time to do it, then producing your own food is a good decision to make. Of course, you will need to buy your own ingredients, make a logistic partnership, and think about how much that it takes to produce the food that will serve your targeted customers.
When the first choice is almost impossible to do, then consider the second one. You can start a partnership with local chefs or other stores. This is way easier than the first one. But you need negotiation skills to do so. It’s all yours to choose. (You could do both actually, just like what Amazon Go did)
As Magento Expert said, delivery timing is key to selling perishable goods. You need to provide customers with accurate delivery dates, especially for purchases driven by special occasions and holidays. By smoothly managing food and beverage order inventory and logistics across multiple systems and partners, you can significantly boost margins.
At least you need to ponder all of those sub-questions above to answer the ‘how to create a website’ question. When you are done, you can ponder another question.
Above all, schedule your time to visit this site and get to know each other. You can ask anything about the e-commerce world and how to develop your business from scratch. We will wait for you.
See you in my next article!
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