In the bustling landscape of the Philippine small business restaurant, cafe, bakery and food and beverage sector, the choice of which online platform to showcase and sell products can be crucial. Many small businesses in the Philippines are turning away from traditional online food delivery platforms like GrabFood and FoodPanda in favor of having their own restaurant online ordering system that offer more flexibility and control over their operations.
Prosperna, a rising star in the realm of eCommerce solutions, has been gaining popularity among food and beverage small businesses for several reasons.
Let's delve into the seven key reasons why Philippine small businesses are opting for Prosperna over the established giants.
7 Reasons Businesses Choose Prosperna Over Online Food Delivery Platforms
1. Commission Fees
One of the primary pain points for small businesses on platforms like GrabFood and FoodPanda is the hefty commission fees they are required to pay. These fees can range up to a staggering 30% of each order, significantly eating into the already slim profit margins of small businesses.
In contrast, Prosperna offers a more cost-effective solution with transparent pricing structures, allowing businesses to retain a larger portion of their earnings.
2. Customer Information Sharing
It is against GrabFood and FoodPanda's terms of service to use customer information for any purpose other than fulfilling orders. This lack of access to valuable data hinders small businesses from building direct relationships with their customers and limits their ability to tailor marketing strategies effectively.
Within the GrabFood (Philippines) terms of service, the contract specifically states:
Merchant shall not use GRAB Personal Data for direct marketing purposes" and must not extract or retain any user data outside of order operations
Within the FoodPanda (Philippines) terms and conditions, the contract specifically states:
Merchants are not permitted to use information obtained from FoodPanda (customer names, contact details, order history, etc.) for any other reason—including marketing
Prosperna empowers businesses by providing them with customer data and business insights, enabling personalized interactions and targeted marketing campaigns directly to their customers.
3. Reduced Competition
The fierce competition on GrabFood vs having your own website and FoodPanda often results in small businesses struggling to stand out among numerous similar offerings.
Prosperna offers a less saturated environment where businesses can differentiate themselves and showcase their unique value propositions effectively by enabling you to have your own domain (www.mybusiness.com). This reduced competition leads to higher visibility and better chances of capturing your target audiences directly.
4. SEO Capabilities
Unlike GrabFood and FoodPanda, Prosperna equips Philippine small businesses with robust search engine optimization (SEO) capabilities that drive traffic directly to their websites. By optimizing their restaurant online ordering system and online presence for search engines, businesses can increase visibility, attract organic traffic, and reduce dependency on third-party platforms for customer acquisition.
5. Profit Margins
Profit margins in the food business are notoriously slim, making it essential for small businesses to maximize their earnings. With lower commission fees, access to customer data, enhanced SEO capabilities, and reduced competition, Prosperna enables businesses to increase restaurant profitability and sustain long-term growth.
6. It's a Marketplace, NOT a Website Builder
FoodPanda and GrabFood vs your own website may have been popular during the pandemic, but at the end of the day, they are listing platforms, NOT website builders.
They work as an online marketplace, who’s #1 goal is to provide consumers with the BEST CHOICE for the LOWEST PRICE.
SO by nature, it’s jam-packed with other businesses and your competitors in the food and beverage industry.
Delivery service providers are definitely growing together with eCommerce, so why not get your own online store with its very own pre-integrated payments and order fulfillment system?
Having both would actually be our suggestion (read on and you’ll know why).
7. Online Food Delivery Platforms are an "Added" Sales Channel
To be 300% clear, we’re not AT ALL criticizing sellers that use delivery service marketplace platforms. In fact, we believe in having a wide multi-channel online approach to your business strategy.
But the question is, how can you increase restaurant profits while growing?
We think these online food delivery platforms are doing well in providing "some form" of visibility, especially for NEW CUSTOMER ACQUISITION. However, it can be difficult to stand out because of their limited features, and making a profit as an SME is much harder because you have to pay high commission fees.
So what we want to encourage is the importance of having your own online store as a main sales channel, together with different platforms like delivery service marketplaces, social media accounts, etc. as your extended channels for marketing and sales.
Prosperna vs. Online Food Delivery Platforms FAQ
What makes Prosperna a better choice for small businesses than online food delivery platforms like GrabFood and FoodPanda?
Prosperna provides Philippine small businesses with a more cost-effective solution by offering lower commission fees, sharing valuable customer information, empowering SEO capabilities, reducing competition, and helping increase restaurant profit margins compared to traditional online food delivery platforms.
Can I maintain control over my branding and customer relationships with Prosperna?
Yes, with Prosperna, you have complete control over your branding and customer relationships. Unlike online food delivery platforms that limit access to customer data, Prosperna equips you with insights to personalize interactions and build direct connections with your customers.
How does Prosperna help drive traffic to my online store compared to using GrabFood or FoodPanda?
Prosperna offers robust SEO capabilities that enable you to optimize your restaurant online ordering system by improving your online presence and attracting organic traffic directly to your website. This differs from online food delivery platforms where businesses compete for visibility within the platform itself.
Will I face intense competition on FoodPanda and GrabFood vs having my own website on Prosperna?
Prosperna provides a less saturated environment for businesses, allowing you to stand out and showcase your unique offerings effectively. This reduced competition enhances your visibility and increases your chances of reaching your target audience.
How does Prosperna support small businesses in maximizing their profit margins compared to relying solely on online food delivery platforms?
By offering transparent pricing structures with lower commission fees, providing access to customer data for targeted marketing strategies, enabling SEO optimization for increased visibility, reducing competition, and ultimately improving profit margins, Prosperna empowers small businesses to thrive in a competitive market landscape.
Final Thoughts
In conclusion, Philippine small businesses are increasingly gravitating towards Prosperna as a more favorable alternative to traditional online food delivery platforms like GrabFood and FoodPanda. By addressing critical pain points such as high commission fees, lack of customer information sharing, limited SEO capabilities, intense competition, and low profit margins, Prosperna emerges as a comprehensive solution that empowers small businesses to thrive in a competitive market landscape.
If you're a Philippine small business restaurant, cafe or bakery looking to elevate your online presence and take control of your operations, consider either making the switch to Prosperna—a platform designed to support your growth ambitions while prioritizing your success or using both, online delivery platforms like GrabFood and FoodPanda and Prosperna combined to create a multi-channel sales and marketing engine.
Prosperna, Your Partner to eCommerce Success
Prosperna is an all-in-one AI-powered eCommerce platform for SMBs, entrepreneurs, and content creators. Our mission is to empower 1 million businesses with simple and affordable software powered by AI.
We’re so passionate about helping small businesses succeed that we’re giving you full access to our powerful tools for 14 days, absolutely free. No commitments—just pure growth for your store.
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