Ziosk swot analysis

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Ziosk swot analysis

Ziosk's strengths lie in its large market share, mentions in the media, and well-designed website, while their weaknesses stem from a poor social media presence, and seemingly low morale among company employees. Opportunities for this company exist in the form of geographic expansion, product specialization, and SEO marketing, while the company is currently under threat from a high level of competition and criticism from restaurant industry workers and customers.

Ziosk's challenges include the need to attract millennial B2B buyers, the need to prevent technical and user errors, the need to increase transparency about their product pricing, and a need to boost their social media engagement levels. E-commerce can potentially help to address these challenges by creating a hub of pricing and product information for potential and existing customers and creating a multi-channel selling approach that could potentially boost customer engagement on social media as well as create a better safety net in the event of technological errors.

A deep dive into these findings has been presented below.

Ziosk — SWOT

Strengths

  • "Ziosk is creating one of the largest place-based media networks capable of reaching over 100 million viewers per month."
  • 71.33% of Ziosk's web traffic comes from referrals, meaning that the company has a solid network of other web pages citing them and referencing them which is bringing them a lot of traffic.
  • The company's website is very clean looking, loads fast, and is easy to navigate.
  • Ziosk appears in the media quite often. For example, there are quite a number of YouTube videos that reference Ziosk (however, the view count on most of them are relatively low). Additionally, Ziosk appears in the news quite often, especially in major media publications such as Forbes, the L.A. Times, and Yahoo Finance.
  • According to a 2018 article, Ziosk has a 95% share of the table-top tablet market.

Weaknesses

  • Ziosk has a relatively low employee rating, according to insights published by Craft.co. Their overall rating from employees is 3.2 out of 5 stars, with culture and values earning a score of 3.1; work/life balance earned a score of 3.1; senior management earned a score of 2.4; salary and benefits earned a score of 2.8; and career opportunities earned a score of 2.7. This indicates that the company may have a low level of morale among their staff who are unhappy with things like management, pay, benefits, and opportunities to grow within the company.
  • Ziosk doesn't appear to have an official presence on YouTube. There is no evidence of a YouTube Channel for them.
  • Although Ziosk has a solid number of followers on Facebook (over 35,000), they have significantly low engagement across their posts, with most only receiving a couple of likes, no shares, and no comments. Across several of their recent posts, a single individual has left multiple negative comments lamenting on the poor reliability of Ziosk and stating that they don't work, yet there was no public rebuking of these complaints from Ziosk nor other customers.
  • Likewise, the company also suffers from a very low level of engagement on Twitter, as well as a comparatively low follower count (957).
  • On LinkedIn, Ziosk has a bit better follower count (2,662), but still has pretty low levels of engagement on all their posts (although engagement here is definitely the best across their social media channels).

Opportunities

  • Only 10.88% of Ziosk's web traffic comes from search, indicating that the company likely has an opportunity to further boost their traffic by improving their SEO strategy.
  • Ziosk has a revenue of around $25.28 million, according to Dun & Bradstreet, which indicates that there is a lot of opportunity for the company to continue increasing their sales/capture market share.
  • It looks like the company is currently only operating in the United States, which suggests they have a lot of opportunity to expand into other countries.
  • In May 2018, Ziosk launched a new version of their tablet that is specifically for indie restaurants. This indicates that there could be an opportunity for Ziosk to continue creating other new devices that are tailor-made to serve other specific restaurant verticals.
  • Ziosk doesn't have an Instagram page, but there are is a lot of customer engagement on Instagram using #ziosk. This indicates that there is likely a lot of opportunity for Ziosk to engage and interact with restaurant customers on Instagram, which could potentially be useful in helping to increase the usage rate of Ziosk among dining patrons.

Threats

  • Ziosk has a hearty number of competitors, including companies such as MenuPad, eZee iMenu, TabbedOut, and MyCheck.
  • Ziosk has received some negative attention in the press. For example, there appears to be some push back from restaurant workers who claim that they started receiving undesirable shifts at work due to arbitrarily low customer satisfaction surveys taken on a Ziosk and complaints about the way Ziosk tallies/calculates these types of scores. Additionally, some female restaurant servers have claimed that Ziosk was used to sexually harass them by allowing customers to leave "derisive remarks" anonymously.
  • Some customers feel that the presence of tablet technology on the table takes away from the experience of dining out and creates a less intimate atmosphere, despite the fact that the tablet can speed along the payment process.
  • A key competitor of Ziosk, Presto, recently raised over $30 million in funding.

Ziosk Challenge Analysis

Ziosk's Challenges

  • User Experience: Some features of table-top tablets such as Ziosk's can be confusing to customers resulting in the customers being unknowingly charged money for accessing features on the tablet that they don't realize will cost them, such as games.
  • Technical: Sometimes glitches in Ziosk software can cause servers to lose tips, and both servers and customers have complained about calculation errors.
  • Customer Acquisition: According to a recent article published by Forbes, "73 percent of B2B buyers today are Millennials, who prefer buying online." Given that Ziosk is a B2B company, they are likely faced with the challenge of attracting milliennial B2B buyers.
  • Transparency: A survey of over 700 B2B decision-makers found that "buyers want more online pricing" information made available on company websites. Ziosk currently does not have pricing information available on their website, suggesting that this lack of transparency could serve as a potential challenge for them.
  • Social Media: As noted in the SWOT analysis above, Ziosk is currently challenged by a weak social media presence and low levels of social media engagement.

Using E-Commerce to Address These Challenges

  • User Experience: According to Matt Oxley, co-founder of DotLabel, an award-winning user experience agency, the foundations of user experience depend on truly understanding the user through objective research. In alignment with this understanding, the user journey and path to purchase is important, as well as understanding the obstacles and barriers users face when it comes to completing a transaction. One such obstacle is a "confusion on what to do next," which is exemplified in the challenges section above in the way that customers were confused about exactly what they were purchasing and whether and when they would pay for it. Oxley recommends working to better understand and optimize the user journey as a way to combat this challenge.
  • Technical: Glitches in Ziosk's tablet software, such as those noted above in the challenges section, could potentially be combated via the use of multi-channel selling. For example, if the data processing and transaction information was not confined solely to the tablet, but instead users could access their information and complete the transaction using other channels as well (e.g. their personal mobile device or Ziosk's website for example) this could potentially create a safety net in the event that a restaurant's Ziosk devices or in-house network falters for some reason. This assumption is supported by the fact that multi-channel selling is seen in the e-commerce industry as a way to protect a business's revenue stream in the event that an issue occurs with one of the channels, as noted here, here, and here.
  • Customer Acquisition: As nearly 50% of B2B product researchers at companies are digital natives, and the vast majority of B2B buyers are millennials (with one-third stating they are the sole decision-maker), who wish to buy online, Ziosk could implement an online store on their website that would better attract this key buyer demographic. This could potentially be used to attract new customers, as well as make it easier for existing customers to purchase replacement products or additional products/services/add-ons etc.
  • Transparency: In alignment with the statements above about millennial buyers, this demographic is also heavily reliant on online research before making buying decisions, most of which is done before they even engage with a sales representative. As B2B buyers are increasingly demanding transparency on company websites when it comes to pricing (as noted above), it would likely help Ziosk tackle this challenge to provide more of this type of information upfront, which could potentially be done in the form of e-commerce-style product listings.
  • Social Media: Likewise, many B2B buyers are becoming increasingly reliant on social media as a way to conduct product research, therefore, Ziosk has the opportunity to integrate their social media channels with e-commerce elements that could potentially lead to increased customer engagement and followings across their social media channels, while simultaneously driving more traffic to their website.

Research Strategy

In order to fulfill this request, we first began by researching Ziosk's overall company in an effort to see what types of information is available about their company operations. This leg of the research proved to be a bit challenging, as it was determined that Ziosk is a privately held company that does not make their annual report publicly available. Such a report would typically be the best place to begin gathering information for a SWOT. However, since this information was lacking, we instead relied on analysis of the company's website, customer reviews, trusted media sources, social media, market research, industry surveys, and analytics databases in order to better understand the company's current SWOT standing. Once that was complete, we then began to analyze the company's current challenges. Some of these challenges emerged as a result of the SWOT research while others were obtained by analyzing customer complaints and understanding the larger issues facing Ziosk's general market/industry/vertical which were deemed to be logically relevant to Ziosk. Next, research into the benefits and solutions that e-commerce provides was conducted in order to make logical assumptions as to how these benefits and solutions could be used to address Ziosk's identified challenges.
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