The 'next generation' food delivery e-bike

A product and service strategy for Union

More Info
expand_more

Abstract

Union is one of the oldest Dutch bicycle manufacturers, and is connected to the large conglomerate Pon Holding. They offer simple but stylish bicycles with a focus on the urban area, for the consumer market. Recently they have linked their brand to the Food & Beverages domain, and are keen to collaborate with businesses in this sector.The Dutch electric bicycle market has been growing rapidly in the last decade and is expected to continue to grow over the next decade. Since Union has the ambition to expand their portfolio, a new electric bicycle is a logical next step for them. The emerging trend of the food delivery market has been growing in the Netherlands as well, and an increasing number of food delivery companies are changing their mode of transportation from gasoline vehicles to electric bicycles. Union has realised that this combination of circumstances gives them a potential opportunity to combine the development of a new e-bike with an entrance into the food delivery e-bike market. Creating a product proposition only for the B2B food delivery market will not be profitable, in terms of sales volume, so Union would like to combine the product with its regular consumer sales. Accordingly, the research question for this project is ‘How can Union enter the food delivery e-bike market, with a product and commercial proposition that primarily serves the needs of food delivery companies, and secondly, is suitable for consumers as well?’Analysing the food delivery e-bike market has shown that (the few) competitors currently offer low quality bicycles for a relatively high price, which leaves room for improvements in terms of product, price and service. User research within both target markets has revealed several interesting overlapping problems, needs and desires, which are seen as key focus points. Generating creative ideas, based on these key focus points has resulted in a selection of proposed features and specifications, which are the starting point of the concept design.Ultimately, the design activities have led to the development of the Union DELI, an e-bike designed for food delivery companies. With a simple but robust design, integrated battery and mid-motor, it is optimal for daily intensive use and weight transportation. This in combination with the ‘connected’ e-bike service (a service that lets the client see and use relevant e-bike-data) food delivery companies can ensure an even better experience for their customers. The e-bike can be customised as desired through the use of modular lighting and transportation elements. The integrated lights can be replaced by one or two food boxes. This modular design makes the Union DELI also suitable for regular use. Client branding ensures that the e-bike represents visually the client’s brand. Repair and maintenance and financial services are all included in the lease construction of the DELI. The geometry and design appearance of the e-bike are based on user desires combined with Union’s brand positioning and portfolio. The DELI therefore fits well with the Union brand. Finally, recommendations for further research combined with a roadmap are presented to give an overview of the activities and next steps that should be taken to prepare for the launch of the DELI.