Success Factors for B2C E-commerce of Food Products

Abstract

The B2C e-commerce of food products is growing rapidly, but from a relatively low level compared to other product categories. Customers find the e-commerce convenient since they can order their food whenever they like and save time in their everyday life. However, it is not all implementations of e-commerce that have been successful and many different business models exist on the Swedish market competing for success. The aim of this report is to identify the success factors for B2C e-commerce of food products, and to give recommendations on which factors to prioritize for improving the e-commerce business. The Delphi method is applied to fulfill the aim of the report. As a first step, representatives from companies offering e-commerce of food products and e-commerce experts are interviewed to find potential success factors. In parallel, previous research is studied to identify factors influencing success. Through a coding approach a separate set of success factors are identified from the interviews and the previous researchers. The two separate results are then analyzed and discussed which generates identified success factors in the three different categories: Market related activities, Operations related activities, and Digital infrastructure. As a second step of the Delphi method, the interviewees participate in a survey which generates a prioritization among the identified success factors. The prioritization is further analyzed and discussed from a time perspective, where the development phase of the e-commerce is considered. It is concluded that some of the identified factors are more critical in the growth phase, while other factors are of essence in the maturity phase or in both phases. Factors that leads to increased sales volumes, larger customer base and increased market share are prioritized today since the e-commerce actors aim to grow. The factors which contributes to increased profitability are not prioritized yet, while factors facilitating the feeling of convenience for the customers are always of importance.