The objective of this study is to provide recommendations on how to improve the cooperation between Wolt and its courier partners during and after the Covid 19 crisis based on the views and opinions expressed by the courier partners in Tallinn. The views and opinions of Wolt's courier partners on actions and strategies implemented by Wolt during the pandemic and preferred relationship status will be used to make suggestions on how to improve the cooperation between the two parties.
According to Statista, an online database, food delivery platforms, along with other service sector businesses in Estonia, contributed significantly to GDP, over 61% from 2009 to 2019. Moreover, the global turnover of $151,526 million in 2021 was forecast in the sector Online Food Delivery, with China expected to generate the highest turnover, and the estimated turnover for Estonia in 2021 is$20 million (Statista, 2020, 1). Wolt, one of the largest e-residency companies in Estonia, contributes significantly to the Estonian economy by paying social contributions on behalf of its individual courier partners and paying business courier partners a higher commission to compensate for their tax expenses. By the last quarter of 2020, Wolt has paid up to EUR 300,000 in taxes for its courier partners in Estonia. Therefore, the continued survival and profitability of online food delivery platforms in Estonia is important for the well-being of citizens. As the hardship caused by the pandemic continues to transform almost all aspects of human life worldwide, the role of online food delivery companies in providing consumers with prepared food cannot be overstated.
Table of Contents
1. INTRODUCTION
1.1 THEORETICAL FRAMEWORK
1.1 Platform business
1.2 Online Food delivery ecosystem & delivery options
1.3 Covid-19 pandemic and online delivery business
1.4 Covid-19 induced innovations in the food delivery business
1.5 Organisational crisis managemet
1.6 The post pandemic challenge
1.7 Improving cooperation between platforms and couriers
2.0 METHODOLOGY AND DATA ANALYSIS
2.1 Wolt and Overview of online food delivery in Tallinn
2.2 Research hypotheses
2.3 Research design
2.4 Population and sampling
2.5 Data collection and research instruments
2.6 Data analysis
3 RESULTS AND DISCUSSIONS
3.1 Demographic of respondents
3.2 Couriers relationship status with Wolt
3.3 Couriers views on post covid cooperation with Wolt
3.4 Assessment of Wolt financial support
3.5 Evaluation of Wolt strategies and measures
3.6 Compliance with covid-19 measures
3.7 Effect of covid-19 measures on courier partners
3.8 Testing of hypotheses
3.9 Discussion on Interview results and comparisons
4. SUMMARY AND RECOMMENDATIONS
Research Objectives and Themes
This master's thesis investigates the effects of Wolt's measures and strategies during the Covid-19 pandemic on its courier partners in Tallinn. The primary objective is to provide recommendations for improving the cooperative relationship between the platform and its independent contractors based on empirical data and stakeholder feedback.
- Analysis of independent worker relationship status and employee privilege expectations.
- Evaluation of pandemic-induced safety measures (virtual onboarding, contactless delivery, etc.).
- Assessment of courier motivation and communication preferences.
- Examination of the trade-off between flexibility and employment benefits.
- Strategic assessment of platform-courier cooperation within the Estonian labor market context.
Auszug aus dem Buch
1. INTRODUCTION
According to Statista, an online database, food delivery platforms, along with other service sector businesses in Estonia, contributed significantly to GDP, over 61% from 2009 to 2019 (O'Neill, 2021, 1). Moreover, the global turnover of $151,526 million in 2021 was forecast in the sector Online Food Delivery, with China expected to generate the highest turnover (Statista, 2020, 1), and the estimated turnover for Estonia in 2021 is $20 million (Statista, 2020, 1). Wolt, one of the largest e-residency companies in Estonia, contributes significantly to the Estonian economy by paying social contributions on behalf of its individual courier partners and paying business courier partners a higher commission to compensate for their tax expenses. (Estonian World, 2018, Merilin, 2020, 4). By the last quarter of 2020, Wolt has paid up to EUR 300,000 in taxes for its courier partners in Estonia (Laks, 2020, 7). Therefore, the continued survival and profitability of online food delivery platforms in Estonia is important for the well-being of citizens. As the hardship caused by the pandemic continues to transform almost all aspects of human life worldwide, the role of online food delivery companies in providing consumers with prepared food cannot be overstated. (Li, Mirosa, & Bremer, 2020, 1)
Certainly, the Covid 19 pandemic has increased the demand for online delivery services. More and more restaurants were forced to partner with platform companies to reach their customers, many of whom were affected by the restrictions. The platform's ability to handle the increasing demand for its services depends on the number of courier partners available. Therefore, attracting a large number of courier partners and maintaining cordial relationship with them is crucial to meet the increasing demand from customers. It would have been easier for Wolt and other platform companies to enjoy working with their courier partners if they were not independent contractors. The status of courier partners as independent workers makes it somewhat difficult for platform companies to always enjoy their cooperation. It is cheaper for the platform companies to employ independent courier partners, but it also means that they do not always get to enjoy the cooperation, mainly because the courier partners have the freedom to choose when they work, where they work and who they work for. While
Summary of Chapters
1. INTRODUCTION: Outlines the economic significance of food delivery platforms in Estonia and the specific challenges posed by the Covid-19 pandemic on the platform-courier relationship.
1.1 THEORETICAL FRAMEWORK: Reviews platform business models, the impact of crises on organizational structures, and the existing literature on food delivery ecosystems.
2.0 METHODOLOGY AND DATA ANALYSIS: Details the descriptive research approach, including the use of questionnaires for 278 courier partners and expert interviews with Wolt management.
3 RESULTS AND DISCUSSIONS: Presents the analysis of demographic survey data, courier relationship statuses, and empirical testing of the research hypotheses regarding motivation and awareness.
4. SUMMARY AND RECOMMENDATIONS: Synthesizes research findings to propose actionable strategies for improving cooperation between Wolt and their courier partners post-pandemic.
Keywords
Wolt, Online Food Delivery, Courier Partners, Covid-19 Pandemic, Platform Business Model, Labor Relations, Independent Contractors, Tallinn, Virtual Onboarding, Financial Support, Economic Impact, Employee Benefits, Flexibility, Crisis Management, Service Satisfaction.
Frequently Asked Questions
What is the core focus of this research paper?
The work examines how the food delivery platform Wolt adapted its operational strategies during the Covid-19 pandemic and how these changes impacted the relationship with its courier partners in Tallinn.
What are the primary themes discussed in the study?
The study centers on the status of independent contractors, the effectiveness of Wolt’s support measures (virtual onboarding, financial aid), and the friction between the desire for flexibility and the demand for employee benefits.
What is the main objective of the thesis?
The primary goal is to provide evidence-based recommendations to Wolt for fostering better, long-term cooperation with its courier fleet beyond the immediate pandemic crisis.
Which scientific methodology was applied?
The author utilized a descriptive approach, gathering quantitative data through a survey of 278 courier partners and qualitative insights from two separate interviews with a senior Wolt operations manager.
What topics are covered in the main body?
The main sections analyze the theoretical framework of platform economies, detailed survey results regarding courier satisfaction, and a statistical test of hypotheses related to motivation (financial incentives) and awareness (of support programs).
Which keywords define the scope of this work?
Important keywords include Wolt, Online Food Delivery, Courier Partners, Labor Relations, Independent Contractors, and Crisis Management.
Why are courier partners in Tallinn reluctant to become full employees?
The research concludes that while partners desire benefits, they are generally unwilling to sacrifice the freedom and flexibility inherent in their current independent contractor status.
Did courier partners know about the financial support programs?
Yes, testing of the third hypothesis revealed that the majority of couriers were aware of Wolt's financial support programs, suggesting that low participation rates were not due to lack of information, but rather to the specific qualifying criteria.
Does the company plan to continue these pandemic-related measures?
According to the interview with the Wolt manager, virtual onboarding will likely be maintained and refined for increased flexibility, whereas temporary financial support measures are planned to be discontinued as the pandemic situation stabilizes.
- Quote paper
- Ekundayo Bello (Author), 2024, Wolt Cooperation Strategy with its Couriers before and after the Covid 19 Pandemic, Munich, GRIN Verlag, https://www.grin.com/document/1473341
