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Food Delivery Cost and Profitability Analysis involves examining all the costs associated with delivering food orders, from direct expenses like delivery fees and packaging to indirect expenses like discounts offered to customers and commission fees paid by restaurants. By juxtaposing these costs against the revenue generated (primarily through order values and commission fees), the analysis aims to provide insights into how profitable the food delivery service is on a per-order basis. 1.Start by gathering comprehensive data related to all aspects of food delivery operations. 2.Clean the dataset for inconsistencies, missing values, or irrelevant information. 3.Extract relevant features that could impact cost and profitability. 4.Break down the costs associated with each order, including fixed costs (like packaging) and variable costs (like delivery fees and discounts). 5.Determine the revenue generated from each order, focusing on commission fees and the order value before discounts. 6.For each order, calculate the profit by subtracting the total costs from the revenue. Analyze the distribution of profitability across all orders to identify trends. 7.Based on the cost and profitability analysis, develop strategic recommendations aimed at enhancing profitability. 8.Use the data to simulate the financial impact of proposed changes, such as adjusting discount or commission rates.

Part 1 Unveiling the Role of Actuaries in Revolutionizing the Fast Food Industry Introduction The fast food industry is known for its rapid pace, ever-changing customer preferences, and complex operations. In this dynamic landscape, making informed business decisions is crucial to staying competitive and ensuring long-term success. Actuaries, traditionally associated with the insurance and finance sectors, are now finding their expertise in demand within the fast food industry. These skilled professionals bring a unique skill set that can help fast food businesses optimize operations, manage risks, and enhance overall efficiency. 1. Analyzing Consumer Trends Actuaries play a pivotal role in the fast food industry by analyzing consumer trends and behaviors. Through data-driven analysis, they can decipher customer preferences, buying patterns, and product demand. This insight enables fast food chains to introduce menu items that cater to changing tastes, thereby increasing customer satisfaction and driving sales. For instance, actuaries can analyze data to identify which ingredients or menu items are trending, helping restaurants create innovative offerings that align with current consumer preferences. This proactive approach allows fast food chains to stay ahead of competitors and adapt to market trends quickly. 2. Pricing and Profitability Setting appropriate prices for menu items is a balancing act between attracting customers and maintaining profitability. Actuaries bring their expertise in risk assessment and pricing strategies to the fast food industry. They can utilize data analysis to determine optimal pricing points based on factors like ingredient costs, customer willingness to pay, and competitive landscape. Moreover, actuaries can help businesses analyze the impact of promotional offers, discounts, and loyalty programs on overall profitability. By incorporating data-driven insights, fast food chains can design pricing strategies that not only attract customers but also ensure sustainable revenue generation. Reference: Chatgpt Read more here: https://lnkd.in/gdahEWTs #nactuarial #nanalytics #fastfoodrestaurant #pricingstrategies #customerfocused

While the industry continues to generate unprecedented amounts of data through digitalization, food & beverage businesses struggle to fully utilize the information. Here's a guide to unlocking your data's true potential: https://brnw.ch/21wGu6q #FoodandBeverage #BigData

While the industry continues to generate unprecedented amounts of data through digitalization, food & beverage businesses struggle to fully utilize the information. Here's a guide to unlocking your data's true potential: https://brnw.ch/21wGu6s #FoodandBeverage #BigData

🍿 Food ordering and delivery platforms in 2024 The food ordering and delivery sector is experiencing a significant surge in growth, with projections indicating that this trend will continue to escalate in the forthcoming years. Our latest blog entry delves into the most recent advancements and trends within this industry, and we offer our predictions for the year 2024. Should you have an interest in gaining further insight into the future of food ordering and delivery, we highly recommend perusing our blog post. #foodtech #fooddelivery #foodordering #trends #deliveryplatforms

Lessons from Fast Food !! Can Foodservice Lead the Way in Customer-Centric Behaviour? In the world of foodservice, the fast-food industry has been a pioneer in customer-centricity. Here's what we can learn from their success: 1.Speed & Convenience: Fast food restaurants understand the value of quick, convenient service. They prioritize efficiency without compromising quality. 2. Customisation: Offering customisable options allows customers to tailor their meals to their preferences. Think of it as a "menu of choices" approach. 3. Feedback Loop: Fast food chains actively seek customer feedback and use it to refine their offerings. They listen and adapt. 4. Consistency: Across locations, customers expect the same taste and experience. Consistency builds trust. 5. Digital Transformation: Embrace technology for ordering, delivery, and loyalty programs. It enhances convenience and personalisation. 6. Sustainability: Many fast food giants are investing in sustainable practices, aligning with customers' environmental concerns. Foodservice can indeed lead in customer-centric behaviour by prioritising these principles. It's a reminder that any industry can learn valuable lessons from those who have mastered the art of putting customers first! #CustomerCentricity #Foodservice #FastFoodLessons #sustainability

This was the best session at the Food On Demand conference imho. Andrew Custage’s quote confirms what we see in our client data! “There’s a sizable percent of consumers that say ‘even though inflation has caused prices to increase, I still get restaurant food as often as before,” Custage said. “A lot of those conveniences and habit forming that happened over the last five years seems to be here to stay.” I’d add that knowing who and where these customers are(and where they are not) at each location across your fleet is critical to crafting a successful menu pricing strategy. It’s not just about price inflation. While value is increasing in importance in every economic segment right now, so to is our responsibility as an industry to improve value on the top side of the equation. Brands and locations that execute well on every measure are doing this, and therefore, have more pricing power than their segment peers. #Restaurants #Dynamicpricing #Fishbowl

Missed Mike Provencher's Data & Insights session with Andrew Custage at the Food On Demand Conference? 💡 Check out this article to catch up on the highlights and stay in the know on the latest foodservice pricing and delivery insights!

A recent report highlights a surprising shift in the fast food world: McDonald's sales have dropped for the first time in a decade due to soaring fast food prices. Several factors contribute to this decline, including inflation, supply chain disruptions, changing consumer preferences, a highly competitive market, and higher menu prices affecting demand. Inflation and rising costs have forced McDonald’s to increase prices, while supply chain issues continue to affect ingredient availability and cost. Meanwhile, consumers are opting for healthier food choices, contributing to reduced foot traffic. This trend is not just a concern for McDonald's but has broader implications for the entire fast food industry. Companies may need to reassess their pricing strategies, innovate their menus, and seek operational efficiencies to attract and retain customers. Fast food chains might also focus on enhancing the dining experience and fostering customer loyalty. As leading players like McDonald's adjust their strategies, the ripple effect could influence market dynamics across the sector. Interested in taking control of your finances and reducing your tax burden? Reach out to Together CFO or set up a call with us by clicking the link below. **_https://lnkd.in/gNmSEaig