Instashop’s Digital Performance & Company Analysis

Topic: Company Analysis
Words: 576 Pages: 2

InstaShop is a grocery delivery app that functions in Egypt. Initially, the company is UAE-based, but the application is distributed in many countries in the Middle East. At the moment, a website, an application for mobile devices, as well as an active page on Instagram are available for interaction with the service (InstaShop). InstaShop combines on-demand supermarkets, restaurants, pharma, and other consumer categories. Based on the SWOT analysis, it is possible to identify current weaknesses in the company’s digital performance, as well as potential areas for growth and development.

SWOT Analysis

  • Strengths:
    • The application is available on various mobile devices, as well as a desktop version. This item provides access to the application of the largest number of users.
    • An order can be made in 3 clicks, which makes the interaction extremely simple.
    • Due to the large number of sellers available, users can find the products they need in any area.
    • Consumers can view product and store ratings in the app, which increases transparency and helps build trusted relationships.
    • Stores can receive data based on users’ activities and preferences, which helps in improving the service.
    • Stores need physical space to store products, but there is no need to open physical stores when interacting with the app. This factor allows you to save on rent and maintenance, as well as interact with an unlimited number of users.
  • Weaknesses:
    • The name of the store is tied to the name of the social network, which can be confusing for users.
    • The main method of promotion is the website and Instagram page, which reduces the effectiveness of digital marketing.
    • The specified delivery time of 45 minutes is rarely possible, more often the order is delivered in 75-90 minutes. This item may mislead some users and result in distrust.
    • Poor user interaction from technical support.
    • Frequent errors in orders and increased waiting time.
  • Opportunities:
    • Expanding the number of product categories.
    • Use of more diverse digital marketing channels, including targeting and more active promotion in social media.
    • Better interaction with users to improve order delivery and image processing.
  • Threats:
    • Competition from physical stores and other online product marketplaces due to better services.
    • Insufficiently active participation of service representatives in interaction with customers within digital platforms.

The analysis presented allows to determine that the main advantages of InstaShop over other services are the convenience of interacting with the service for customers. Mobile applications and a desktop version of the website are available for ordering, which increases the convenience for customers. However, many complain about frequent errors in delivered orders, as well as high waiting times. Additionally, service support often fails to resolve user issues with orders, resulting in frustration. The service platform works perfectly, so difficulties arise only at the stage of interaction between customers and service representatives.

To improve the digital performance of InstaShop, it is necessary to more carefully monitor the order assembly process in order to avoid errors in their delivery. Additionally, the company needs a more effective strategy for interacting with customers and processing their requests. In this situation, it is possible to increase the number of support employees, as well as the introduction of various bonus programs to increase customer retention. It is also important that the company should increase its presence in social media, where customers could also interact with the service. At the moment, the main problem of the application is the insufficient level of the company’s involvement in communication with users, which reduces its credibility.

Work Cited

InstaShop. n.d. Web.

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