Announcement
QUARTER FINAL | BUSINESS CASE - BCS 04
Submission BCS 04
NMO 2020
DND Case Study of becoming an Indian global leader
Submission Date & Time : 2020-03-22 11:04:10
Submitted By: Kartiki Khandelwal - From Team Fire
Case UnderstandingThe case study was regarding a Daily Need Delivery (DND ) start-up which uses an app based ordering system for managing sales of milk, curd and paneer. The customers can subscribe for monthly purchases , mark dates when they don't need delivery , get on door delivery in the morning and make wallet payments. It is present in 3 main metro cities in India. It has a hyper local delivery partner for delivery. However, it is facing various challenges which includes that sometimes delivery partners don't report to their duties , customers claim that they haven't received the products while delivery person claim that they have delivered the product. Apart from this , feedback regarding foul smell of the products and missing deliveries were also reported. Thus , DND is facing losses due to all this and wants to find solutions for the same.
BCS Solution SummaryThe problems related were analyzed and on that basis various solutions are proposed which includes addition of bar code scanning system , monthly feedback system , offers for festive seasons and credit score system . Evening deliveries could be introduced , trial offers could be initiated , eco-friendly packages could be used . Addition of a quality feature which enable customers to review the standards , deliveries in bulk for non-dense areas of specific days of the week and regular meetings with the delivery people. Various advertisements in newspapers , use of digital marketing , Google analytics , email marketing , content marketing and referral marketing.
Solution
Solutions along with Management Principles used:
- Bar code scanning system: Develop a new feature in the application . As soon as the delivery person will deliver the products to the customers they will scan the QR code either on the phone of the customers or any page pasted outside the door of the customers. It will also notify DND of successful delivery. This will reduce the chances of any missing deliveries and the conflict between delivery person and customers regarding the delivery. - 4 P's of marketing
- Deliveries in bulk for remote areas at specific 2-3 days :For remote and dense areas since it will be not feasible for us to deliver everyday due to less sales and more of transportation cost , we can add a special feature for this where deliveries are made in larger amounts at specific 2-3 days a week . (Division of work)
- Eco-friendly packaging: For problems related to packaging we can use eco-friendly packaging.(Espirit de corps)
- Regular meetings for employees: To reduce the abseentism among the employees we can held weekly meetings or give them bonus to motivate them or start deducting money from their accounts if abseentism is very high.(Remuneration as it will enable financial and non-financial transactions)
- Addition of quality feature: To gain trust of the people regarding the quality we can add an option in the app regarding quality where people can review our quality and see what measures we are taking regarding quality checks and ask any queries.(Equity as managers must be fair and honest with customers)
- Penetration marketing Strategy: To fight the competitors and create a separate place for our product in the minds of the people we will use proper advertising and use penetration strategy where we will try to keep our prices a little lower or near same with our customers and tell me that we deliver the same at their doorsteps too.(Authority)
- Evening deliveries: We will introduce evening deliveries too .
- Timing feature: We will add the time feature too in the beginning and then according to our customer's timings manage our delivery workforce .(Division of work)
- Trial Offers: To reduce the number of uninstalls we can give people trial offers in the beginning for limited period of time such use it for 4 days and get 5 day free. We can also give cash backs to customers whose order exceed a specified limit for customer retention.
- Festive season offers: Since , we know that during festive seasons the demand for the products will be high so we can increase the workforce if required and give customers exciting offers for bulk orders.
- Buffer stocks: For natural events occurring we can get ourselves prepared by keeping little buffer stock in the warehouse and can hire extra labour during that time.
- Future Increase in prices: For prices increasing in future , we can assure them of our quality and tell them that it is in proportionate with our costs. (Scalar chain knowing where they stand in the marketplace)
- We can also establish a brick and motor shop and a warehouse facility when we will enough funds.
Optional Assignment
Answer 2- Marketing Plan for next year
- Digital Marketing : It can be used since these are main metro cities
- Marketing strategies: Advertisements , posters , banners like this could be used.
- Google Analytics : It could be used for our app in our to understand the customers better. It can used to know the geographical location of the customers , their bounce rate , their most viewed pages and less viewed pages in order for any scope of improvements.
- App Engine Optimization : It could be used so that whenever people search anything related to dairy products our app is the one that comes up first.
- Content marketing,: Improving our content is the main focus.
- Email marketing : It could be used such as mail chimp, where can send multiple mails to the customers regarding our application and track the performance of our mails i.e. who has opened them, no of clicks , any forwards of the mails etc so that we can know our target customers.
- Integration with local retailers : Our products could be sold from there also.
- Integration with small local food shops : We can also provide them the products required to them on a daily basis
- Social Media Marketing : Face book ads , instagram stories and twitter can used for advertising
- Advertisements in daily newspapers
- Referral marketing : It can also be used where our customers could refer the application to other customers and by doing so they can earn points which would benefit them in wallet payments and can also be redeemed.
- A credit score system :It could be implemented where when the amount of total items purchased by a particular customer exceeds a pre-defined limit , or after each month , or after referring to their friends etc . credit points will be added to the customer's account. They can be redeemed while making further wallet payments in the application.
- Promo codes and customer coupons can also be initiated
- Increasing our market reach: Entering more cities and increasing our geographical presence.
- Hiring more sales people
- Brand extension: New products can be launched such as cheese , butter , buttermilk , flavoured curd etc.
- Video Contents: Video's can be uploaded regarding the use of our application so that people don't find any problem regarding its usage and it becomes user friendly.
- Offers for festive seasons : Special offers could be implemented for festive seasons for bulk delivery.
- Increasing usage of products: Demonstrate people more uses of the products thus increasing its demand and therefore, increasing its sales.
ConclusionThe case of DND was analyzed and its problems were reported. After that various solutions were suggested and its marketing plan for the next year was proposed. It is believed that with these predicted marketing strategies DND will be able to achieve its objectives.
Attached File Details
Comments
Winston Pinto
being a perishable product, bulk delivery, Buffer stock is not really an option. More details on testing of packaging and product would be an eye opener. Solutions adviced requires corresponding effect on budget and cost. Being Hyperlocal setup, Digital Marketing should be in communities, local meetups, door to door etc. Understanding nature of the product is very very essential here. Sales will follow basis on WOM and increase in subscription through BTL channels.
Shruti bhargav
The change in delivery time isn't the solution here since most of dairy products are required in the morning. Understanding the demand first and then planning the supply would be better idea. The budget in each parameter holds importance. Promotion is important, yet the product distribution is much more important.
Participant
Kartiki Khandelwal
NMIMS
Myself Kartiki Khandelwal . Born and brought up in Jaipur. Currently pursuing MbaTech from NMIMS. I have my engineering specialization in Computer Science.
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