The project concerns TaxiNord, a Danish taxi company, which merged with DanTaxi as of 1. January of 2017. TaxiNord operates in a market in development with a new taxi law that enhances the competitive possibilities and the intensity of the competition. It faces a lot of direct and substituting competitors with a service that is homogeneous and lack differentiation. The focus of this project is thereby how TaxiNord can ensure its future competitive position by focusing on creating new differentiation elements of the homogeneous service. In order to answer the problem statement an internal analysis was conducted regarding TaxiNord’s value chain to expose their strengths and weaknesses. An external analysis was conducted regarding the customers’ buying behaviour, preferences and selection criterias and a competitor analysis of TaxiNord’s competitors to seek inspiration from their selling propositions. These analyses have together with the macro and meso analysis conducted in the problem identification formed the basis for a SWOT analysis in order to reveal possible unique selling propositions for TaxiNord. The possible unique selling propositions were then evaluated regarding their strategic problems and consequences by analysing TaxiNord’s annual report for 2015; to reveal which funds they have available to invest in product development and marketing. Of the possible unique selling propositions that were found, the development of a loyalty card and additional initiatives to their app ”MOOVE” were chosen as the first steps in making TaxiNord’s service less homogeneous. These differentiation elements form the basis for a profit budget for 2018-2019, where it was shown that it is possible to invest the necessary funds to develop and marked the differentiation elements and still create positive final results before taxes. On the basis of the earlier analysis it was suggested that TaxiNord follow a hybrid strategy in the future, where they still keep discounts for the customers as they are facing many competitors with a price elastic service. It was suggested that at the same time they should focus on the creation of differentiation elements in order to make the service less homogeneous. Thereby giving the customer an output that is more than just the drive on its own, which could lead to the price will becoming less important and give TaxiNord competitive advantages and enhance their competitive position. The loyalty card and additional initiatives to their app ”MOOVE” are therefore the first steps in their hybrid strategy’s differentiation elements.
|Educations||Graduate Diploma in Marketing Management, (Diploma Programme) Final Thesis|
|Number of pages||106|