INSTACART Naomi Di Cocco Estifer Baldera An

Transcript:INSTACART Naomi Di Cocco Estifer Baldera An:
INSTACART Naomi Di Cocco Estifer Baldera An evolving business model Carlos Piola Fernando Sierra Barna Consulting Firm John Molson MBA International Case Competition 1 Key Issues 2 Overview 3 Strategy 4 Action Plan 5 Financials 6 Risk Assessment AGENDA Challenges Lack of trust from some of your partners Rising competition Profits only in Covid years INSTACART EXECUTIVE SUMMARY Challenges Lack of trust from some of your partners Rising competition Profits only in Covid years Key Issue INSTACART EXECUTIVE SUMMARY How to ensure Instacart business model sustainability? Challenges Lack of trust from some of your partners Rising competition Profits only in Covid years Key Issue Goal Develop a strategic plan to ensure growth in view of changing market conditions INSTACART EXECUTIVE SUMMARY How to ensure Instacart business model sustainability? Challenges Lack of trust from some of your partners Rising competition Profits only in Covid years Key Issue Goal Strategy Develop a strategic plan to ensure growth in view of changing market conditions Remain an inventory free company, creating trust in our partners through a reduction of fees and enhancing information-sharing to grocers through ad sales and platform development services INSTACART EXECUTIVE SUMMARY How to ensure Instacart business model sustainability? Challenges Lack of trust from some of your partners Rising competition Profits only in Covid years Key Issue Goal Strategy Impact 6% increase in profit margin $2.1B USD Incremental profit $31.6B USD Incremental Revenue Develop a strategic plan to ensure growth in view of changing market conditions Remain an inventory free company, creating trust in our partners through a reduction of fees and enhancing information-sharing to grocers through ad sales and platform development services INSTACART EXECUTIVE SUMMARY How to ensure Instacart business model sustainability? OVERVIEW Key Issues 2013 2015 2019 2020 FUTURE Growing Growing revenues but a loss of $15 per order. Source: Team Creation Key Issues Profits Reached profits because of Covid creating high demand . Creation With the vision of helping grocers to win e-commerce Growing $735 million in revenue but a loss of 300 million. Finding sustainability COMPANY HISTORY COVID IMPACT SAME DAY Same day delivery is offered to clients, aiming to get a 1 hr delivery time in the future. Is one of the few players that have not. By giving digital presence and in cases building them websites and online stores. Sku available and thousands of partners. Source: Team Creation Key Issues DO NOT HANDLE INVENTORY 500