As product managers, we all love to try new ideas, but sometimes the work we are asked to do is so new that no one can compare it to us. And there is no definition of product development at all. Ocado product managers find themselves in this situation. They are trying to make the company’s online supermarket a success, but no one has succeeded yet. Looks like it’s time to get creative!
Online supermarket market
For those of you who remember the dot-com craze, you may remember a famous company called Webvan. Changing the world by recommending everyone to shop online and have it delivered to our home. It didn’t work and she didn’t.
Due to the high population density, four major supermarket chains have launched their own online ordering service. However, they all have the biggest problem with this service: delivering food to individual homes. The latter is very expensive. It is a struggle for all these companies to make this business profitable.
Food technology market
The challenges of this market forced Ocado’s product managers to look for new ways to monetize their businesses. What they do is look up the company and try to find out what the company does that can be valuable to other companies. What they found were a very good grocery pick-up and delivery company.
The product managers have decided that they now want to package and sell one of Ocado’s core competencies: they want to license their patented technology and equipment to other companies so they can enter the home market. If they can find a way to make it a viable business. They will find something else to add to their product manager resume.
Product managers are looking for foreign partners instead. Their goal was to share the technology they used to build a 1.2 million square foot distribution center, about the size of 20 American football fields. With the right international partners, Ocado can grow its business into a software and technology company.
The average supermarket customer or restaurant goer tends to accept the food they have bought or delivered to their table without worrying or worrying about how the food is delivered to them. We know the steps or processes. A turnip is essential for trips from the farm to our local supermarket or restaurant. And we appreciate the work that goes into it. Automating these processes can really help your business’s bottom line. And finding the perfect food distribution software solution is one of the first steps.
The online ordering solution for grocery involves a supply chain strategy that loads the actual produce, meat or other food supplies into trucks at the farmer’s location. They are often taken to middlemen or distributors who take orders from restaurants and supermarkets to sell. Farmers bring crops to the people. Sign a contract to sell their products. and arrange the delivery with the supplier. The crop must be in good condition. So time is always an important ingredient in this supply chain formula.
Distributors, on the other hand, need to know in advance who they will be selling their crops to when they deliver them. And usually try to get it out of the warehouse the same day. Products and other food items are perishable and can be quickly consumed as food in a short period of time, so advantage in this industry is essential.