Underestimated or overestimated factors
Posted: Sun Jan 19, 2025 9:56 am
A new company delivering oriental food has started operating in a large city. The company's marketers conducted a SWOT analysis, which assessed potential threats. The following disturbing factors were identified:
A decline in the standard of living of the population and a decline in solvency (specific figures were given in the analysis; this factor was taken into account in the menu, which included attractive offers such as “After 8:00 pm, a 10% discount on the dish of the day,” “When you buy a dish, we pour you a free drink,” and so on in order).
The work of competitors' delivery services, which offered the population classic product range options (in order to distinguish themselves from competitors, wok noodles, which were not widespread in Russia at that time, were added to the menu).
Rising fuel prices and higher cash app database delivery and service costs in general. This factor leads to a decrease in marginality or an increase in the average bill. There is a contradiction with the first point.
At first glance, the analysis is detailed and high-quality. But upon closer examination, it turned out that there are a number of shortcomings. The analysts incorrectly assessed the competitors' proposals.
As a result, delivery services simply divided the city districts without coordinating their efforts to actually divide them into service areas. Mobile applications were not used at all, while competitors actively used them. Online food delivery service is a very powerful trend. Without using it right away, the company took a long time to gain the required speed of work and lost a large number of its clients under 35 years old.
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The correct assessment of STEP analysis factors should be done as follows:
It is almost never possible to obtain an assessment of factors that is close to the real situation. In any case, there will be overestimation or underestimation of certain causes. It is necessary to follow the rules, the implementation of which helps to reduce the likelihood of obtaining a greatly overestimated or underestimated assessment.
Analytical work should be carried out by specialists. It is best to entrust the STEP analysis of a company to a large organization focused on marketing research and having a large staff of qualified specialists in various fields. This approach will allow for more objective assessments of factors.
For a comprehensive analysis, it is advisable to create a working group of representatives from the company's main departments. This will allow you to analyze the details of work processes in all areas of activity.
Evaluate the essential factors and the indicators related to them repeatedly and from different positions. Employees from different departments who were not involved in the STEP analysis should be involved in the evaluation. This will provide a new, possibly non-standard, insight into the results of the analysis.
Conduct re-analysis periodically. The frequency of their conduct is determined by the type of business. It is possible to conduct it once a quarter, half-year or year. STEP analysis is a voluminous work that should be entrusted to companies engaged in marketing.
A decline in the standard of living of the population and a decline in solvency (specific figures were given in the analysis; this factor was taken into account in the menu, which included attractive offers such as “After 8:00 pm, a 10% discount on the dish of the day,” “When you buy a dish, we pour you a free drink,” and so on in order).
The work of competitors' delivery services, which offered the population classic product range options (in order to distinguish themselves from competitors, wok noodles, which were not widespread in Russia at that time, were added to the menu).
Rising fuel prices and higher cash app database delivery and service costs in general. This factor leads to a decrease in marginality or an increase in the average bill. There is a contradiction with the first point.
At first glance, the analysis is detailed and high-quality. But upon closer examination, it turned out that there are a number of shortcomings. The analysts incorrectly assessed the competitors' proposals.
As a result, delivery services simply divided the city districts without coordinating their efforts to actually divide them into service areas. Mobile applications were not used at all, while competitors actively used them. Online food delivery service is a very powerful trend. Without using it right away, the company took a long time to gain the required speed of work and lost a large number of its clients under 35 years old.
Read also!
"Lead generation - what is it? Basic methods and how to manage them"
Read more
The correct assessment of STEP analysis factors should be done as follows:
It is almost never possible to obtain an assessment of factors that is close to the real situation. In any case, there will be overestimation or underestimation of certain causes. It is necessary to follow the rules, the implementation of which helps to reduce the likelihood of obtaining a greatly overestimated or underestimated assessment.
Analytical work should be carried out by specialists. It is best to entrust the STEP analysis of a company to a large organization focused on marketing research and having a large staff of qualified specialists in various fields. This approach will allow for more objective assessments of factors.
For a comprehensive analysis, it is advisable to create a working group of representatives from the company's main departments. This will allow you to analyze the details of work processes in all areas of activity.
Evaluate the essential factors and the indicators related to them repeatedly and from different positions. Employees from different departments who were not involved in the STEP analysis should be involved in the evaluation. This will provide a new, possibly non-standard, insight into the results of the analysis.
Conduct re-analysis periodically. The frequency of their conduct is determined by the type of business. It is possible to conduct it once a quarter, half-year or year. STEP analysis is a voluminous work that should be entrusted to companies engaged in marketing.