Business Plan Overview for Grubdom

Below is an overview of Grubdom's 5 Year Business Plan

What is Grubdom?

Grubdom is an online restaurant discovery, food ordering, and delivery platform that primarily caters to small, family-owned, and non-corporate restaurants. Customers can browse and discover various local eateries, place orders for delivery or pickup, and enjoy a wide range of dining options.

For delivery orders, Grubdom charges a 15% commission, while pickup orders incur a 7.5% commission. Unique to Grubdom, the platform does not use algorithms to suggest food to customers, ensuring a more organic and personalized browsing experience. Additionally, Grubdom shares all customer data with restaurants, empowering them with valuable insights. The platform mainly targets millennials and older Gen-Z individuals (ages 25-40).

Grubdom is also planning to expand to international operations, with entries into Jamaica, the Dominican Republic, Belize and El Salvador within two years.

Grubdom is also revolutionary in the aspect of paying Delivery Agents a much better rate than what is currently commonplace in the online food delivery space. Delivery Agents are compensated with a minimum of $5 per delivery trip for up to 2 miles, with an additional $1.25 per mile afterwards, with trips capped at 7 miles. Notably, delivery fees paid by customers are not part of Grubdom's revenue and are fully passed on to the delivery agents.

Executive Summary

Grubdom is an innovative online restaurant discovery, food ordering, and delivery platform designed to highlight and support non-corporate, small, and family-owned eateries. Unlike traditional platforms such as UberEats, DoorDash, and Grubhub, Grubdom does not use algorithms to suggest food to customers, giving control to the users and ensuring a fair playing field for all participating restaurants. Additionally, Grubdom shares all customer data with the restaurants, empowering them to enhance their operations.

Mission Statement

To empower small and family-owned food establishments by providing a fair, transparent, and data-driven platform that connects them with food lovers who value local, unique culinary experiences.

Business Objectives

Launch and Initial Growth:

- Begin operations with 10 restaurants in 25 markets within the first year. - Each restaurant aims to produce at least 10 orders per day at an average of $35 per order.

Expansion:

- Within two years, expand operations to Jamaica, the Dominican Republic, and El Salvador. - By the end of the second year, have 50 restaurants in 50 different markets, with each producing 25 orders per day at an average of $25 per order.

Long-Term Goals:

- By year five, operate in 100 different markets with 250 restaurants, each producing 35-50 orders per day at an average of $20 per order.

Market Analysis

Target Audience

Grubdom will primarily market to millennials and older Gen-Z individuals (ages 25-40), a demographic known for their tech-savviness, preference for unique and local food experiences, and support for small businesses.

Market Need

There is a growing demand for platforms that support local businesses and provide customers with unique dining experiences. Many small and family-owned restaurants struggle to gain visibility on major platforms dominated by corporate chains. Grubdom addresses this gap by providing a dedicated space for these establishments.

Marketing Strategy

Brand Positioning

Grubdom will position itself as the champion of small and family-owned restaurants, emphasizing the unique and authentic food experiences these establishments offer. The marketing language will be friendly, relatable, and community-focused to resonate with the target demographic.

Marketing Channels

Social Media:

- Utilize platforms like Instagram, Facebook, and TikTok to showcase the unique offerings of partner restaurants. - Engage with food influencers and bloggers to create buzz.

Content Marketing:

- Develop a blog featuring stories of the partner restaurants, food trends, and customer testimonials. - Use SEO strategies to drive organic traffic to the platform.

Local Partnerships:

- Collaborate with local events and festivals to promote the platform. - Partner with community organizations to build a strong local presence.

Advertising:

- Leverage online advertisements targeting the 25-40 age demographic. - Utilize ad space on the Grubdom web and mobile platforms to generate additional revenue.

Operations Plan

Platform Development

Web and Mobile Platforms:

- User-friendly interface for both customers and restaurants. - Robust backend to handle orders, payments, and data sharing seamlessly.

Technology Stack:

- Use scalable technologies to ensure the platform can handle growth and expansion.

Restaurant Onboarding

- Focus on non-corporate, small, and family-owned eateries. - Offer a simple onboarding process and provide training and support.

Delivery Operations

Delivery Agents Compensation:

- Minimum of $5 per delivery trip for up to 2 miles. - Additional $1.25 per mile afterwards, capped at 7 miles. - This structure keeps delivery costs manageable for customers and profitable for delivery agents while ensuring food freshness.

Delivery Strategy:

- Keep delivery distances short to maintain food quality and support local community dynamics.

Financial Plan

Revenue Streams

Commission on Orders:

- Charge a commission on each order placed through the platform.

Advertisement Space:

- Sell ad space on the web and mobile platforms to generate additional revenue.

Financial Projections

Year 1:

- 10 restaurants in 10 markets. - Each restaurant producing 10 orders/day at $35/order.

Year 2:

- 50 restaurants in 50 markets. - Each restaurant producing 25 orders/day at $25/order.

Year 5:

- 250 restaurants in 100 markets. - Each restaurant producing 35-50 orders/day at $20/order.

Expansion Plan

Year 2:

- Enter international markets: Jamaica, the Dominican Republic, and El Salvador. - Adapt the platform to local languages and preferences.

Year 5:

- Solidify presence in 100 markets. - Increase the number of partner restaurants and delivery agents.

Summary

Grubdom is poised to revolutionize the online food ordering and delivery space by focusing on small and family-owned restaurants. With a unique approach that empowers both customers and restaurants, Grubdom aims to build a loyal customer base and a thriving community of local eateries. The platform's commitment to transparency, data sharing, and fair practices sets it apart in the competitive landscape, ensuring sustainable growth and success.