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Market entry strategies:

The use of food delivery apps in the UAE is estimated to develop steadily, reaching
US$2.18 billion in 2022 and a projected annual growth rate of 8.5% (CAGR) by
2026, according to Statista's research. By 2026, there will be 6 million people using
online meal delivery services, which will cause the user penetration rate in this market
to quickly rise to about 45%. Thus, it is highly profitable to invest in this business in
UAE.
Acquisition
The first strategy that we’ll develop to enter in the Arab market is by acquiring the
food delivery leader in the region i.e. Talabat. One of Dubai's greatest, most
dependable, most reasonably priced meal ordering applications, Talabat, has been
fostering excellence and glory for years.
They have been dominating the meal delivery industry because to a talented staff, a
strong customer care system, and quick and accurate order fulfilment procedures. For
Emiratis throughout the UAE, Talabat's beneficial qualities work like magic.
Acquiring Talabat will help Doordash in the following ways:
1. Reduction of competition:
As Talabat is the market leader, the major competition would have been faced by
it only. So, acquiring it will remove major competition threat for the company and
give a competitive advantage in the market.
2. Customer loyalty:
Talabat has an extensive loyal customer base. The company would also enjoy
their customer base and would not have to struggle much in attracting customers
and already know the customer taste and preferences.
3. Access to the capital:
The company will also have access to a larger capital in UAE and thus expand its
operations easily.

Differentiating from the competition


Food delivery and third-party delivery are not novel concepts. The secret to DoorDash’s rapid
growth is its differentiation; Uber Eats would never have succeeded if it had been copied and
pasted.
A market hole is found by DoorDash. The inner cities are overrun with delivery services,
while the larger metropolitan areas had an abundance of options. Outside the central cities,
where there are considerably fewer delivery options and it is more difficult for restaurants to
attract new customers, there is opportunity. In locations like UAE where suburban areas are
usually disregarded, DoorDash may offer the highest value, meet a demand, and expand their
brand by focusing on the suburbs. Competitors like Talabat, Deliveroo are famous in the
main cities like Dubai, Abu Dhabi etc. but the suburbs are highly ignored. Doordash will
target such areas as well and make services available there making itself unique and
differentiated from others.

Having a technology focused strategy


It should come as no surprise that a successful, contemporary start-up has technology at its
core, yet DoorDash stands out from the crowd thanks to how it employs its cutting-edge
technology.
Its integration with its affiliated eateries, which gives them advanced data to assist them
comprehend client behavior. Retailers have access to comprehensive insights into everything
from the items that are most frequently ordered at specific times of the day to the places
where they perform best. By doing this, service providers can influence corporate decisions
and enhance the consumer experience.
The platform of DoorDash is made to be very simple to use from the perspective of the
consumer. Users can obtain some aggregate data as well; for example, each restaurant has a
"pleasure score," which ranges based on a combination of user reviews, delivery quality, and
general popularity, a scale from one to 10 is used. Despite all the challenges involved in
expanding a logistics-based firm, DoorDash subscribes to the adage that "simple is best."
While services like Uber Eats are constantly getting new features added, DoorDash dials it
down and focuses on creating an intuitive user interface. This strategy is working well for the
company in all its other countries and will work in the UAE as well

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