Factors affecting churn rates of Riders for Online Food Delivering Applicatio

Abstract

In this paper, the rising of churn rates in the food delivering industry was discussed and how each factors affect the changes in the churn rates. Maslow's Theory of Needs were chosen as our main theory to focus on and the factors were adapted to the context of food delivering platforms. Qualitative research is done by conducting extensive interviews with riders who have been active in the platform and considered themselves as full-time riders. From the results, it can be concluded that financial incentives and the sense of loyalty are the main factors that kept riders from churning to other platforms. Other factors such as safety, self-esteem and self-actualization needs are less impactful and could not have the significant affect on the churn rates. The recommendations given focuses on how these food delivering platforms should pay more attention to their financial incentives programs and well as the team building/challenge activity that would increase the sense of belongings to the riders.