TazeBar annual report 2022

makes a dream come true

This annual report translated by Iran digital economy annotation. Over the years, we have come to understand that despite all the hardships and challenges along the way, TazeBar offers a value that is deeply felt in today’s agricultural industry ecosystem, and this value is nothing but quality, commitment, and trust.

TazeBar has always strived to optimize complex processes in supplying agricultural products to businesses, introducing them to a new and worry-free shopping experience. Boldly, we can say that in this field, with the use of technology and the experience gained over the years, we have become pioneers and innovators in this industry, acquainting our customers with a fresh and valuable perspective.

In the following report, we will present some of the exciting statistics and information of TazeBar in the year 2023 (Solar Hijri Calendar) resulting from the performance of various departments within the organization, including marketing and sales, customer support, operations and processing of products, procurement, transportation, finance, administration, human resources, technology, and product development. We believe that continuing our remarkable successes and building on the capacities acquired in previous years, we are prepared for a journey full of ups and downs, and adventurous endeavors as our team takes bold steps towards achieving the goals of the new year.

Our dream processing continues with data.

Customer Selection in the Year 2022

Product Type:

• Vegetables = 62%
• Fruits = 14%
• Greens = 24%
• Product Category:
• Handpicked = 69%
• Grade A Bulk = 25%
• Grade B Bulk = 6%
• Order Delivery Hours:
• 8-10 AM = 33%
• 10-12 AM = 40%
• 12-2 PM = 27%

Order Delivery Days:

• Saturday = 17%
• Sunday = 16%
• Monday = 15%
• Tuesday = 15%
• Wednesday = 16%
• Thursday = 21%

Due to TazeBar’s main focus on the Horka region, like previous years, vegetables were the primary needs of customers in the year 2023. Additionally, one of the competitive advantages of TazeBar is providing handpicked products to customers, which accounts for 69% of customer orders, showing a 5% increase compared to the previous year. The most ideal time range for restaurants to receive their orders is between 10 AM and 12 PM, and Fridays and Saturdays are considered peak order days due to being before and after the weekends, respectively.

Number of TazeBar users:

The number of TazeBar users has experienced an annual compound growth rate of 320% from the beginning of its operation until the end of the year under review.

Tools Used by TazeBar Customers for Online Purchases:

Share of different tools in Tazebazar’s total sales volume (in Iranian Rials):

• Website via desktop = 75%
• Website via mobile phones = 24%
• Mobile application = 1%
• Share of different tools in the number of TazeBar orders:
• Website via desktop = 61%
• Website via mobile phones = 38%
• Mobile application = 1%

Busiest Days for TazeBar orders:

• TazeBar orders Distribution Based on 22 Districts of Tehran
• 80% of TazeBar orders are received from six districts, which are 1, 2, 3, 6, 16, and 18.
• Districts 16 and 18 have experienced an 18% growth in sales compared to the previous year.
• Orders outside Tehran are related to the cities of Shahriar, Parand, Karaj, and Robat Karim.

Review of TazeBar’s performance in the Year 2023

Distance Covered by TazeBar in the Year 2023:

• Total distance covered by TazeBar in the year 2023 = 125,120 kilometers
• Average distance covered per order = 5 kilometers
• Average delivery time per order = 43 minutes

TazeBar’s commitment to On-Time Delivery for Customers’ Preferred Time Slots:

One of the significant values of TazeBar for customers is providing orders within their chosen time slots, sometimes down to the exact hour. With precise predictions and appropriate capacity planning, TazeBar’s transport fleet ensures that orders are delivered to customers’ designated locations without delays, even in the face of traffic challenges in the city of Tehran.

• 95% of orders were delivered to customers on time and within the specified time slots.
• Only 5% of orders were delivered with delays to customers.
• The percentage of on-time deliveries in TazeBar’s2023 operations improved by 2% compared to the previous year.

The main reason for the higher delays in the month of Mordad (July-August) was the occurrence of unforeseen events leading to some delivery vehicles being taken out of service. However, with proper capacity planning and accurate forecasting, TazeBar prevented the recurrence of such events.

Top-selling Products in the Year:

More than 61% of TazeBar’s sales in the past year were comprised of ten products, ranked as follows: beefsteak tomatoes, potatoes, lemons, mushrooms, screw cucumbers, white onions, yellow onions, regular cucumbers, Shirazi lemons, and carrots.

Out of the top ten best-selling products, 65% belonged to the handpicked category, while the rest were in the bulk category.

The most popular item among customers in the bulk category was mushrooms, and in the handpicked category, Shirazi lemons held the top position.

TazeBar’s future Plans:

In the year 2023, TazeBar aims to expand its direct procurement from farmers and continue to enhance the process of purchasing these products directly.

Analysis of Customer Purchases:

TazeBar was among the first companies to establish and implement its own systematic and dedicated payment infrastructure for on-site payments, fully integrated with its order delivery platform, known as “Tazero.” This system eliminates the need for human intervention in financial documentation, reconciliation, etc., which large technology companies like Digikala still lack.

Customer Credit Purchases:

In the year 2023, the Customer Credit Purchase project, initiated based on insights gained over several years in the central Tehran TazeBar Market, began. Through this project, TazeBar managed to supply 51% of its yearly purchases on credit. The company continues to aim for increased repayment time and the growth of credit accounts, with the goal of expanding credit sales without putting a strain on the company’s liquidity and making the buying process from TazeBar more comfortable and appealing for its customers.

Percentage of Payment Methods Used by Customers:

• Cash purchase = 49%
• Credit purchase = 51%
• The Share of Chain Supermarkets and Online Platforms from Real Sales in the Year 2022:
• 25% of TazeBar’s real sales in the year 2023 were attributed to chain supermarkets and online platforms.

We predict that in the year 2023, with capacity building and intelligent development of the operations and product processing unit, we will experience significantly higher growth in sales to these customers.

Analysis of TazeBar’s Performance Indicators in the Year 2023:

• Order Amount = 260% growth compared to the previous year
• Order Volume in kilograms = 182% growth compared to the previous year
• Number of Orders = 125% growth compared to the previous year

The trend of the number of orders from the beginning of TazeBar until now shows that the number of orders in the past year has grown by more than 25% compared to the year 2022.

The trend of order weights from the beginning of TazeBar until now shows that the tonnage of products sold in the past year has grown by more than 82% compared to the year 2022.

The trend of order revenues from the beginning of TazeBar until now shows that the number of products sold in the past year has grown by more than 160% compared to the year 2022.

A Review of the Past Year:

• Farvardin (March-April) = Initiation of credit purchases from suppliers
• Ordibehesht (April-May) = Direct procurement from farmers and creating a database of their information
• Khordad (May-June) = Equipping the product processing unit with sorting machines
• Mordad (July-August) = Sale of 12 tons of Shirazi lemons in a single order to Hyperstar
• Shahrivar (August-September) = Attracting SnappSupply as a new customer, implementing on-site payment option for customers, attracting investments from Iran France and Amaj Group
• Aban (October-November) = Design and operation of the Market Place infrastructure system, improving order processes to achieve increased margins
• Dey (November-December) = Commencement of the technical infrastructure execution for the supply platform called “Tazejo”
• Bahman (December-January) = Receipt of Knowledge-Based Certificate

Human Resources at TazeBar and Distribution in Teams:

An increase in the number of operations team personnel in Bahman and Esfand (December and February), to create a new work shift and increase sales capacity.

The average number of personnel in TazeBar in the year 2023 was 45 people per month.

Since TazeBar is one of the startups founded in the startup studio of ControlTech, all technical and product development matters are carried out and managed by ControlTech.

Regarding employee retention in units, the minimum retention was in the operations team with an average of seven months, and the maximum retention was in the finance team with 12 months in a year.

Technical Products of TazeBar are Among the Most Valuable Assets of the Company:

• TazeBar: Super Admin Application
• TazeRo: Transportation
• TazeChin: Sorting and Packaging
• TazeBan: Marketing and Sales
• TazeYab: Supply Chain

Part of the Product Development in the Past Year:

• Launching the on-site payment capability for orders.
• Allowing customers to edit or delete their orders.
• Providing customers with recommended shopping baskets based on their buying behavior.
• Creating personalized product categories for me.
• Generating Excel and PDF reports of financial transactions.
• Implementing a value-added tax structure.
• Implementing an intelligent system for pricing all products.
• Utilizing the TazeBar market place.

Most Important Technical Actions in the Year 2023:

In the past year, significant and diverse actions were taken to develop the technical products of TazeBar. The establishment of a new platform called TazehBan, along with the design and implementation of more than 60 valuable features, were among the most important technical actions and product developments at TazeBar.

Here are some of the most important ones:

• Introducing the intelligent on-site payment capability.
• Implementing a systematic pricing system in the TazeBar admin.
• Utilizing the TazeBan market structure.
• Establishing a pricing structure for exclusive customers with different prices from others.
• Enabling the option for customers to receive orders on future dates and transforming one order into multiple shopping baskets.
• Providing intelligent recommendations for shopping baskets based on customer needs.
• Creating features to arrange orders in TazeRo using artificial intelligence.
• Allowing customers to delete or edit their orders in the user panel.
• Offering discounts to customers purchasing large quantities of products in the “Daste Chin” category.
• Sending intelligent and systematic deficit notification messages to customers before order delivery and product shortage.
• Reducing the number of text messages sent to customers.
• Offering the ability to download Excel and PDF files of financial transactions in the user panel.
• Adding a new shop category, in addition to fruits and vegetables, to expand the range of products available on Market Police.

Upcoming Year:

The upcoming year will require hard work and dedicated individuals. In previous years, we have succeeded in establishing an organized structure for a strong team in units such as product processing and operations, procurement, finance, customer support, and transportation, working in shifts around the clock, and more.

Now, it is time to expand the activities of technical and product development units, marketing and advertising, the supply unit located in various cities, and more. We will focus on recruiting specialized experts in these units. Additionally, the development and strengthening of existing organized units will continue with targeted efforts.

For example, further mechanizing the operations unit with specialized sorting machines for agricultural products, adding more work shifts to the operations unit, attracting chain restaurants and well-known brands, attracting other major suppliers such as Hyperstar and Digikala, creating a customer club and providing them with detailed financial and analytical reports to create special appeal for customers;

• implementing field advertising campaigns
• developing an intelligent database created from farmers in different regions
• increasing field presence in various provinces for direct purchase from farmers
• recruiting and employing TazeBar buyers in other provinces such as Hamedan and Shiraz
• expanding the TazeBar distribution chain beyond Tehran and its vicinity where we had a good start in the year 2023

and many other initiatives that will be detailed in future reports. Moreover, based on the valuable statistical and information data we have acquired over the years, we will perform analyses to predict, price, and determine the best time for customers to buy the required products in line with their seasonal needs, ultimately achieving TazeBar’s motto:” From Farm to Kitchen.”

Stay with us on this journey…