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A PROJECT REPORT ON

SUBMITTED BY:
AANCHAL ASHRA (18BSP0015)

ANNMOL SINGH (18BSP1498)

ISHA SHARMA (18BSP1641)

MANISHA MEHTA (18BSP1709)

SHREYA RASTOGI (18BSP2685)

GOPALA SINGHAL (18BSP4141)

PGPM (2018-2020)
TABLE OF CONTENTS

1. Executive summary
2. Objectives
3. Introduction
4. Goals
5. Market structure
6. Swiggy’s business model
7. Swiggy’s funding
8. How does swiggy food delivery system work?
9. Marketing mix of swiggy
10.Segmentation, targeting, positioning and differentiation of swiggy
11.Swot analysis of swiggy
12.Competitive analysis
13.Swiggylitics
14.Social media marketing and content strategy
15.Recent marketing trends
16.CSR initiatives of swiggy
17.How swiggy manages their loyalty programmes?
18.Sales and distribution management on distribution of swiggy
19.Challenges ahead
20.Conclusion
21. References
EXECUTIVE SUMMARY

India is currently witnessing a FoodTech revolution. The increase in the country’s urban population, coupled
with the growth of nuclear families where both partners are working professionals, has led to a growing
demand for FoodTech services such as on-demand delivery, cloud kitchen and food/restaurant discovery.
Swiggy, an online food delivery platform, is one example of a FoodTech start-up that has been making
waves recently.

The Report is aimed to know

1. Introduction and marketing mix of Swiggy

2. STPD: Segmentation, target market, positioning and differentiation of Swiggy

3. How Swiggy is managing competition

4.Market positions and strategies of Swiggy

4. CRM Tools they are applying to make customer loyal

5. Marketing Analytics utilization in marketing products and services

6. Recent marketing strategies they are following and advantages

7. Digital marketing tools they are adopting to gain an edge in the market

8. CSR initiatives taken by them

9. Problems they are facing and Challenges ahead

The data in the report has been collected through secondary sources using Magazines, News Articles,
Newspapers, and various other secondary sources.

OBJECTIVES

• To identify 4P’S AND STPD of Swiggy


• To do the SWOT analysis of swiggy
• To know the various strategies and Initiatives of Swiggy
INTRODUCTION

Type Private

HQ Bangalore, IN

Founded 2014

Size (employees) 2,428 (est)+2%

Website swiggy.com

Swiggy commenced operations in 2014 in Bengaluru, India’s start-up hub. As one of the late entrants, the
company faced tough competition in a no-holds barred battle for a share of the FoodTech market in 2016.
Several players like TinyOwl, Dazo, Zupermeal and Spoojoy failed for reasons such as lack of funding,
untimely launch of a product or service, lack of specialization and aggressive competition. On the other
hand, Swiggy clocked over 450.1 percent revenue growth in FY 2017*.

Swiggy offers a integrated ordering solution by deploying multiple proprietary apps, including a vendor
management app provided to restaurant partners, and a delivery app powered with routing algorithms,
provided to driver partners.

When a consumer places an order with Swiggy through the iOS or Android apps or website, the order is
immediately transmitted to the merchant and the right driver, based on availability and distance from the
restaurant, is attached to the delivery.
The merchant confirms receipt of the order and starts preparing the food, while the driver reaches just in
time at the restaurant to collect the prepared food and deliver to the customer. In-app navigation facilitates
hassle-free delivery.

"Swiggy's goal is to revolutionise the food delivery market in India by providing a cheap, fast and efficient
alternative to taxing the already short-staffed restaurateurs. There are several existing and even more upcoming
food-ordering platforms in the country, However, Swiggy sets itself apart from the competitors by having their
own delivery fleet, thereby minimising the risks in delivering an order," claims Majety.

Swiggy currently has 650 delivery executives from diverse backgrounds - college students working as part-
time and full-time employees.

It is in the process of hiring over 12,000 delivery executives by the end of this year. According to Jaimini, co-
founder and now the technological backbone of Swiggy, the start-up's delivery fleet is powered by algorithm-
enabled smartphones that are constantly enforcing more efficient ways to complete deliveries.

The technology is developed entirely in-house and adapts to the changing requirements based on geography,
logistics etc.

• Swiggy was founded in August, 2014 by Nandan Reddy, Sriharsha Majety & Rahul Jaimini.
• Ordering food online & providing delivery solutions at your doorstep from the best restaurants in your
neighbourhood.
• Accepts online payments for all orders with no minimum order policy.
• Has own fleet of delivery personnel.

Further bolstering its expansion strategy, Swiggy is contemplating a foray into the hyperlocal market. This has
helped the company to make use of its delivery fleet optimally during the lean time of the day (predominantly
afternoon time). Globally, food delivery players are diversifying into related businesses to best utilize their
fleet. In summary, Swiggy appears to be hitting all the right notes with a plethora of upcoming services,
strengthened senior management and value-added technological solutions.

GOALS

• To revolutionize the restaurant-takeaway-delivery business in India


• ▪ Reliability and consistency in service
• ▪ Evolve as a leading marketplace
• ▪ Increase market share
• ▪ Increase brand building and marketing campaigns
• ▪ Achieve more than break even in the existing cities
• ▪ Expand to six new cities in the next one year

MARKET STRUCTURE

• Net worth at Rs. 386.25 lakh

• Swiggy reported Rs. 4.18 lakh as other income (income from non-business activities)

• Sales of Rs. 7.41 lakh in 2014

• Employee costs at Rs. 125.62lakh comprised 57% of the total sales cost

• However, the year closed at Rs.212.20 lakh losses.


SWIGGY’S BUSINESS MODEL

Swiggy has two major revenue streams.

1. The major part of Swiggy’s revenue from commission it collects from restaurants for lead
generation and for serving as a delivery partner.
2. Swiggy also charges a nominal delivery fee from customers on orders below a threshold value
which 200 rupees for most cities.

SWIGGY’S FUNDING

Swiggy is backed by one of best investors available in the market. Swiggy has raised a total of 75.5 million
dollars in funding from various investors, including Bessemer Venture Partners, Norwest Venture, Accel
Partners, SAIF Partners, Harmony Venture Partners, RB Investments and Apoletto
HOW DOES SWIGGY FOOD DELIVERY SYSTEM WORK?

As soon as you have placed your order, the wheels are set into motion. The swiggy restaurant partner app
receives instant notification about the order. After your order, In the meanwhile, the restaurant checks if they
can prepare your order. In case they’re running low on a secret sauce or have completely sold out a popular
dish you ordered, they inform the Swiggy team, who in turn gets in touch with you to select another dish. So,
now wondering where your order is? You have got so many ways to find out. Your order’s being tracked
every second and is visible to you on the Swiggy app. After adding the finishing touches, the restaurant
packs your order and hands it over to the assigned Hunger Saviour. The Hunger Saviour is now given
directions so he can navigate to your destination to deliver your order. The food has left the building! From
the point where you select your order till it’s in your hands. They track your order at every step and
overcome all the hurdles along the way.
MARKETING MIX OF SWIGGY

➢ Product in the Marketing Mix of Swiggy

Swiggy is one of the popular delivery companies that supplies ordered food and beverage items to its
customers. It has created a single window and included a wide range of food parlours and restaurants under
its umbrella. A customer now can make a choice from visual menus of restaurants in neighbourhood and order
online. Ordering food and getting a swift delivery has become a hassle-free option from a customer viewpoint
because of Swiggy. The company has estimated seven hundred and fifty restaurants on its platform and
receives nearly seventy thousand orders on monthly basis. Swiggy is not accountable for the quality of food
as it only delivers from one hand to another.

In the case of complaints, it usually takes up to the restaurant in question. The company encourages promotions
and ratings of restaurants for online delivery. Swiggy has launched an On-Time-Delivery service titled Swiggy
Select that guarantees cashback if the order does not reach a customer in stipulated time-frame.

• Swiggy is one of the most popular delivery company that supplies ordered food and beverage items.

• A customer can go to the Swiggy Website or App, make a choice from online menus of restaurants in
his or her neighbourhood, order online and, if all goes well, get a swift delivery.

• Payment can be done online or on delivery.


➢ Place in the Marketing Mix of Swiggy

Swiggy has spread its presence to few cities in India like Bengaluru, Gurgaon, Pune, Chennai, Delhi,
Hyderabad, Kolkata and Mumbai. It has its headquarters base at Bengaluru in Karnataka and has established
its corporate offices at Hyderabad in Telangana and Gurgaon in Haryana. It is a popular app that takes order
for food delivery from listed restaurants on its portal. Swiggy has set up a strong and widespread distribution
network to offer prompt and best results.

• Swiggy has spread its presence to few cities in India like Bengaluru, Gurgaon, Pune, Chennai, Delhi,
Hyderabad, Kolkata and Mumbai.
• It has its headquarters base at Bengaluru in Karnataka and has established its corporate offices at
Hyderabad in Telangana and Gurgaon in Haryana.

It has an exclusive fleet of personnel that includes services of nearly eight hundred delivery people
working on-field. They are involved in picking up orders from selected restaurant and delivering it to
customers. Delivery boys are equipped with Swiggy App and smartphones that make tracking of a
delivery throughout routeing algorithms easy. Swiggy has hired Shadow fax Technologies, a third-
party delivery company, for part-time distribution in Delhi and Bengaluru.
➢ Price in the Marketing Mix of Swiggy

Swiggy has an extensive workforce and this flexibility prompts it to allow its customer a policy of no minimum
order. This has increased its customer base to a great deal. Swiggy was able to raise 2 million dollars in Series
A funding from Accel Partners and SAIF Partners. During Series B it raised 16.5 million dollars funding from
an undisclosed investment firm and Norwest Venture Partners. Swiggy has tie-ups with restaurants that offer
a minimum of 15% to 25% commission and this has helped it in increasing its distributive channel and
garnering better revenues. It also charges a minimum delivery fee from its customer irrespective of a small or
high amount order.

• Its success depends on keeping delivery prices extremely low.

• In Bangalore, for example Swiggy gives free delivery for any order over Rs 250 and a delivery fee of
Rs 35 for orders below 250.

• It generates its revenue by taking a cut from the restaurants itself.


➢ Promotion in the Marketing Mix of Swiggy

Swiggy realises the importance of a good marketing strategy and has adopted several plans to create further
brand awareness. It relies heavily on mouth publicity and satisfied customers is its greatest advertising tools
as they recommend the brand to friends and family. Swiggy has adopted online marketing strategy and has
taken help of social media platforms like Twitter, Facebook, Instagram, YouTube and Pinterest via
innovative and interesting ad campaigns like #SingWithSwiggy and #DiiwaliGhayAayi.

Its Facebook page is very popular and active as it offers regular updates and encourages active participation.
Swiggy has launched innovative videos that have become very popular amongst masses like Swiggy Goes
International. The company runs contests to encourage direct participation by customers through
#SwiggyTuesdays and offers to munch bag and coupons as rewards. Ahead of its launch in Mumbai city, it
partnered with popular Dabbawallas of Mumbai to get a better grasp of the situation and later used it as a
promotional strategy to gain brand exposure.
SEGMENTATION, TARGETING, POSITIONING AND
DIFFERENTIATION OF SWIGGY

SEGMENTATION

TARGETING
POSITIONING

DIFFERENTIATION
SWOT ANALYSIS OF SWIGGY

COMPETETIVE ANALYSIS
(How Swiggy is different from its competitors?)

Swiggy has managed to raise $18.5 million so far and is in the process of raising the next round, which puts
it in ideal position to take the battle to biggies in the food delivery start-up and apps segment, Zomato,
TinyOwl and Food panda

1.What differentiates Swiggy from its competitors is that it has its own fleet of delivery boys who are
equipped with smartphones and the Swiggy app, which helps the user to track their delivery through routing
algorithms.

2. Since Swiggy has their own fleet of delivery boys, it does not have a minimum order policy. Swiggy
charges a commission from the restaurant and also charges a delivery fee from the customer. Users can order
anything without worrying about the minimum order policy, they just have to pay delivery fee and get food
delivered even if it costs only Rs 50. On orders which are higher than a certain amount Swiggy just takes the
commission from the restaurant.
3. Swiggy claims to be more reliable and faster than its competitors Zomato, TinyOwl and Food panda. Swiggy
average delivery time is close to 37 minutes and this is what makes it stand apart.

4. Also, Swiggy Express, a new initiative, which is in the pilot stage currently aims to deliver food within 15-20
minutes. Swiggy gets food from partner restaurants put them in hot boxes and once the order comes it will be
dispatched directly, making sure hot food reaches customers within 15-20 minutes. Swiggy is also looking at
partnering a few beverage chains to deliver coffee and tea.

5. The Bengaluru-based Swiggy exists in six cities already and will be launching services in Chennai soon. Going
forward it will expand to four more cities including Jaipur, Ahmedabad and Chandigarh.

What Makes Swiggy different?

Swiggy applauds about its delivery system that marks to the top due to its high efficiency and wonderful
design. The most important thing that distinguishes the company from the other food delivery start-ups is that
it claims to be more honest and faster than its competitors like Zomato and Food panda. The average delivery
time is about 37 minutes and this makes it stand apart.

▪ The deliveries in Swiggy are done by their own group of delivery boys and not by the restaurant’s themselves.
Although the company has partners in the third-party like Shadow Fax for peak volumes. Like managing a
large number of orders on offer days or in festival seasons.

▪ The main component of Swiggy is the finest delivery services. They have no minimum orders but multiple
online payment options. This makes the experience of enjoying the delicious dishes without any tension.

▪ The company has added a superb feature of delivery personnel with smartphones by applications that makes
it easier for the customers to have timely deliveries of orders. This feature of Swiggy makes it different from
its competitors.

CURREENT SCENARIO
India’s online food ordering business grew at 150% in 2016 and has an overall GMV of $ 300 Million. This includes
several key players such as Food panda, Zomato, Runnr, Swiggy, UberEATS, Areo and others. The pie also includes
several start-ups such as iTiffin, Eazymeals, Zeppery, Zupermeal, TinyOwl, TastyKhana and more.

Amid this scenario, Swiggy has emerged as a strong player and recently raised a $ 80 million funding in Round E
taking its overall funding to $ 155.5 million. As per reports, the current round of funding has pegged Swiggy at a
valuation of $400 million.
Swiggy is a data-driven company, and as its engineering team, we’re always considering how we can deliver
data in a meaningful way to the rest of the company

To help the entire Swiggy team analyse information quickly and understand metrics better, it built
Swiggylytics — its very own customisable analytics SDK for real-time data.

Goals to create SWIGGYLYTICS

• To be able to remotely configure the SDK

• To mark or unmark certain events as real-time events and to drop certain events whenever needed

• Ability to drop/restore certain events from client

• To conserve device battery and memory and to avoid network latency


SOCIAL MEDIA MARKETING AND CONTENT STRATEGY:
Swiggy’s marketing strategy includes both online and offline marketing campaigns, with

the online mirroring all the offline campaigns. It promotes its campaigns via Facebook,

Twitter, YouTube, Pinterest and Instagram. The company builds its brand awareness and

connects with its audience through these channels.

Facebook

1. On Facebook: Swiggy

Their Facebook page is quite active with regular updates, averaging to two post a day. The posts are eye
catching, flavoured with humour and good quality creative.

It’s audience of Swiggy is of 890k fans. The posts garner active engagement, with week on week increase in
the number of likes. So, on Facebook they have two kinds of posts in terms of engagement:

➢ Organic Post: The post which is having original likes and engagement without the use of Facebook
promotions. Almost daily it posts a creative, which is relatable post.

➢ Promoted Post: These posts are using Facebook promotions by targeting the customers and audience
to make them more aware of a particular service.
Example Whenever swiggy opens its delivery option to a new state it uses Facebook promotion to
target the audience of a particular state and make them aware of it.
2. They also have another page by the name: Swiggy Delivery partners. With almost 50K likes on that. On
this page, they honour all the hard-working delivery partners by making them feel special and by addressing
their hard work.

Twitter: Swiggy_in

Twitter presence of Swiggy is pretty strong with 59k plus followers and 14k tweets by giving regular
updates. It also uses its Twitter handle to respond to customer appreciation or criticism. The company also
runs engaging contests like #SwiggyTuesdays with interesting giveaways like coupons and the munching
bag. But definitely it has lesser engagement rate as compared to other social media platforms.

Instagram: SwiggyIndia

1. When you land up on their Instagram page the first 3 things you see in their bio section is Lightning fast
deliveries, Live order tracking and no minimum order value with 81k followers and 1800+ posts. By making
the perfect use of the Instagram they regularly put up stories to attract audience and give them updates. Also,
they post food drooling pictures of different

2. They also re-post pictures posted by people and of different restaurants, basically sharing user generated
content.
3. Making the right use of Instagram stories they also ask Questions from their users and even the followers
reply. This helps them in more engagement.

Blog:

Swiggy has its own blog where it shares different articles about:

1. News and update: Contains updates about the new features on swiggy app and its collaboration with
different brands.

2. Life: Under this category it has views of different individuals and their experience on their app.

3. Snackable: It has information related to different food products.


Email Marketing:

• An email marketing strategy should be a part of every brand’s overall marketing strategy. Because it
helps the brand build relationships with the prospects and its current customers as well as acquire the
existing customers conveniently through their inbox.
• Swiggy can come up with different email marketing campaigns satisfying different objectives. The
emails could be about notifying the customers regarding the delivery of their order or announcing
latest offers and features.
• It will help foster their sales, increase engagement and drive traffic to their website or mobile app.

Influencer Marketing Strategy:

▪ Influencer marketing is another one great strategy that Swiggy can look up to. Influencers &
Influencer marketing is the newest trend these days. Brands have started approaching influencers to
market their product because of their power to create an impact in the minds of people.

▪ There are a lot of famous food bloggers across the country who are also great influencers. Some of
the popular names include Mumbai Foodie by Ronak Rajani, Food Talk India by Shuchir Suri &
Anjali Batra, My Food Story by Richa Gupta & Delhi Food Guide by Saadidilli. Swiggy can
leverage itself by collaborating with these influencers and promoting themselves to a wider audience.

▪ Recently they collaborated with And Then I Ate, a food blogger from Bengaluru which posted stories
on swiggy page for a day and took over to different stops of popular food. So in this way both the
influencer as well as swiggy is getting benefitted.

Google Ads:

▪ Every Digital Marketing strategy is incomplete without Paid Ads. Every brand practicing digital
marketing should invest in both Social Media Marketing Ads & Google Ads.
▪ Gaining traffic to your website/business page organically is a long-term process. But with paid ads,
the process becomes much faster.
▪ Swiggy should perform Search Ads targeting keywords such as ‘order food online’, ‘food delivery’,
‘home delivery’ etc. This will help the ad appear more often because of the accuracy and high
relevancy of the keyword with the brand and will help in getting more orders.
RECENT MARKETING TRENDS

Swiggy launches new pickup service; Drivezy raises equity funding of $20 million

Just a month after Zomato Pickup


started, Swiggy has launched its own
‘Swiggy Takeaway’. Tech review
platform My Smartprice was the first
to notice the new additions. But what
do these features entail? They let you
order food on the app and choose to
pick it up whenever you want.

Bengaluru-based vehicle sharing marketplace Drivezy has raised equity financing of $20 million for growth
and asset financing of $100 million to add new vehicles. The round was led by existing investor Das Capital
and included Yamaha Motor Co. Ltd., Axan Partners and IT-Farm.

Swiggy all set to launch local commerce services on December 15

The first step in Swiggy’s local commerce idea is to tie up with supermarket chains, pharmacies, meat shops,
pet stores, flower vendors and others.
This is Swiggy’s evolution from being a food-delivery company to a “deliver anything” unicorn.
Tentatively, the vendors will be asked to give Swiggy a commission of 2-3 per cent for increasing sales.
Apart from that, Swiggy will be slapping a delivery fee on every order.

There may be some cash backs and discounts in the beginning to attract customers but the company plans to
phase them out. This will be step one for Swiggy before it unveils its concierge service, which is internally
called Dash and the name is bound to change once the service is announced. Currently, even though Swiggy
draws the largest number of orders for a food tech company, there is a lull between meal times. And it says it
can use the lull to make other deliveries.

Swiggy expands services in 16 new cities

Food ordering and delivery platform Swiggy Thursday said it has expanded its presence in the country by
launching services in sixteen new cities across the country. The new cities include Thrissur, Tirupur,
Warangal, Aurangabad, Agra, Mangalore, Manipal, Jalandhar, Trichy, Udaipur, Amritsar, Varanasi,
Bhubaneshwar, Vellore, Thiruvananthapuram and Kota, Swiggy said in a statement. These cities join the 28
cities across India where Swiggy already has presence, it added.

One of the reasons for the expansion across the country is because of the strong consumer demand that we
have witnessed through thousands of Swiggy app downloads in cities where we were not even present."

CSR INITIATIVES OF SWIGGY


CSR INITIATIVES

Uber, Swiggy, BlaBlaCar and other start-ups step up efforts to help flood hit Chennai.

Internet start-ups including ride hailing app Uber, food delivery app Swiggy and long-distance ridesharing
provider BlaBlaCar were stepping up efforts to deliver food, medicine and blankets in rain-hit Chennai, even
as the downpour abated on Thursday.
"Everyone was doing a lot on social
media. But on the ground, it was
becoming a challenge to deliver these
things," said Nandan Reddy, the chief
executive officer of Swiggy. The company
set up a 40-member team which helped
stock medicines and food and partnered
with Uber to deliver supplies to those who
needed it.
• Swiggy rolls out ‘Safety First’ road safety programmer for its delivery partners.

Swiggy, India’s largest food ordering and delivery platform, on Wednesday announced its delivery partner
focused initiative, Safety First - a collaborative effort with Round TabIe India and CII Young Indians (Yi - is
part of Confederation Indian Industry) to conduct road safety programmes. Through this initiative, Swiggy
aims to make roads safer for both the delivery partners and citizens.

With over 70,000 delivery partners, Swiggy has the largest delivery fleet in the county. Post its launch in
Bengaluru, the company plans to roll out this mandatory training programme across the country. The
programmed currently entails aspects of road safety, including:

• Guidelines to ensure safer riding experience for Swiggy’s partners

• Emergency Situation Management

• Accident Response

• Safety for Self and Emergency victims

• Cardio-Pulmonary Resuscitation Techniques

HOW SWIGGY MANAGES THEIR LOYALTY PROGRAMMES?

❖ Work on ideating, developing and taking Swiggy's customer loyalty to the market
❖ Be involved in an iterative project, implementing learnings and in turn delivering a strong product for
the consumers
❖ Closely work with the product team to roll out the product and additional features / value adds on an
ongoing basis
❖ Scale and execute a country wide loyalty construct launch post the pilots
❖ Drive analytical modelling of pricing, long term benefits, monetary implications for Swiggy, etc.
❖ Making sense of data collected and synthesizing actionable insights to drive adoption and renewal of
the product
❖ Closely monitoring and analysing metrics which define success of the program; suggesting data driven
course corrections for the program
❖ Interface with customers to understand bottlenecks and pain points and synthesize feedback, along
with data to drive actionable next steps
❖ Interface with external entities / partners for driving business discussions and development of features
deemed necessary by the envisioned construct
❖ Co-instrument and help build dashboards & processes by interfacing with product and analytics
teams to ensure monitoring of the program is seamless

SWIGGY’S LOYALITY PROGRAMMES

1) Swiggy's new loyalty programme to offer free deliveries

Swiggy, India's largest food delivery service is the latest to jump on the subscription bandwagon with its
new 'Swiggy Super' membership programme. The service, available in both one-month and three-month
plans will unlock unlimited free deliveries across all restaurants on its platform.

Eyeing a larger share of the pie, Swiggy's new subscription service is seen as a move to battle against rivals
Zomato and UberEats, who are yet to offer a similar service. Swiggy Super rolls out this week, as per the
company and will cost customers Rs 99 for the one-month plan and Rs 149 for the three-month subscription.

While free deliveries are the headline offering, Swiggy is also giving customers a waiver off surge fees
during peak hours, as well as discounted orders and other benefits. The rollout has already begun in several
cities, to a select group of users, and will be available for around 200,000 Swiggy customers by the end of
the week, as per Anuj Rathi, vice-president of product management.

2.Swiggy pilots B2B offering under Swiggy Café at corporate cafeterias.

Food-delivery platform Swiggy is testing waters in the fast-growing corporate catering market as it seeks
avenues to improve its frequency of orders and strengthen customer stickiness

The Naspers-backed firm has begun piloting a business-to-business food-aggregation offering loosely called
Swiggy Café or Swiggy Food Court that digitizes corporate cafeterias, according to three people aware of
the development. The offering is being tested at two corporate parks in Bengaluru, Inc.
Swiggy Café/Food Court allows employees to use the Swiggy app to order lunch from select cafeterias in
corporate hubs where the pilots are on. Swiggy Café/Food Court works with vendors to map the flow of
incoming orders and intimates customers when their order is ready, thus cutting waiting queues and making
the order flow more manageable

“This is currently being run as an experiment for Swiggy, which is looking to use this offering mainly as a
customer acquisition channel for its larger (business-to-consumer) delivery business, and also to create
stickiness,” said one of the persons cited above.

3) Swiggy to roll out ‘Launchpad’ for students in varsity towns.

In what will help it tap into


India’s large student
population as a captive
customer base, food delivery
firm Swiggy is piloting a
programme to launch
operations in university
towns.

The programme titled Launchpad will bring on board students — typically those in the third year of a four-
year degree — as the campus Swiggy CEO on each campus where it would launch operations. Swiggy is
currently running pilots for the Launchpad in universities including Birla Institute of Technology and
Science (BITS) Hyderabad, Lovely Professional University in Punjab and Chitkara University, also in
Punjab.
4)If you're single and a foodie, you might find Swiggy's Valentine's Day campaign
delectable

Matching in the modern-day is all about choosing a partner (by face) and hoping it ‘clicks. This Valentine’s
Day, among all the roses and right-swipes, Swiggy and their digital agency partner, Dentsu Web chutney,
have come up with a novel approach to finding the perfect match.

Ashish Lingamneni, AVP – Marketing, Swiggy says, “Food is one thing that nearly every Indian love, in
their own different way. However, there are so many people out there who would have similarities in which
they order and enjoy their food. As India’s top food delivery service, we see these similarities on a daily
basis. So we thought, ‘What could we do with India’s greatest talking point – food?’”

It is with this intent that Swiggy created My ValenDine, an opt-in platform, which uses interested Swiggy
users’ order history, and matches them based on their favourite food and preferences. On Valentine’s Day,
users come back to the microsite to find who their Valentine’s matches are.
SALES AND DISTRIBUTION MANAGEMENT ON DISTRIBUTION OF
SWIGGY

Channel Participants and structure of Swiggy’s distribution network.

Swiggy follows a straight distribution network and has tied up with the restaurants followed up by the

delivery partners and customers.

Structure

Swiggy structured their distribution channel where the company is directly connected with their customers
and follows the “zero level of distribution”
Channels format of Swiggy

CHANNEL CONFLICTS AND RESOLVING:

Channel conflict is a situation in which channel partners have to compete against one another or the vendors
internal sales department. Channel conflict can cost a company and its partners money as partners try to
undercut one another. It can also lower morale within the channel and cause some partners to consider other
vendors since swiggy has restaurants and delivery partners in their system so manage them in following
manner.

• Swiggy avoids registering the franchises of same restaurants in less than 2 kms to avoid conflict.
However, in a case where such a restaurant is registered, it gives the customer the choice to select the
area of restaurant
• Swiggy allocates the orders to the delivery partners based on the Geo-Tracking to avoid conflicts
amongst them.

LOGISTICS NETWORK AND MODE OF TRANSPORTATION:

Motorcycle/two-wheeler is used for the transportation in swiggy. and the network is

managed with the GPS devices placed with very delivery partner.
CHANNEL MANAGEMENT OF SWIGGY

Channel management is a process by which a producer or supplier directs marketing activity by involving and
motivating parties comprising its channel of distribution, and swiggy does it in the following manner.

✓ Selection in Swiggy: Delivery partners are selected primarily on the basis of their knowledge of the
area they are expected to serve and delivery partner should have their own bike.
✓ Motivation: Creating a wider market for the restaurants and blocked incentive plans for the delivery
partners.
✓ Responsibilities of the delivery partners: The responsibilities of the partners is to collect and deliver
the order at the right time,

LOGISTICS AND SCM COST ANALYSIS:

Cost analysis is a systematic approach to estimating the strengths and weaknesses of alternatives that satisfy
transactions, activities or functional requirements for a business. It is a technique that is used to determine
options that provide the best approach for the adoption and practice in terms of benefits in labour, time and
cost savings etc.

Swiggy’s orders are delivered on two-wheelers by the delivery partners who are well aware of the locality
they are catering to. which is always the prerequisite of the company while partnering with the delivery
executives.

4DS OF DISTRIBUTION:

Discover: Swiggy tries to find out the average and the minimum ticket size and frequency of orders and based
on that they negotiate with restaurants

Design: As Swiggy registers various restaurants, it makes it a point to mention the address of the restaurant
and allows the customer to choose the restaurant in case two or more same restaurants are located at an equal
distance

Diagnose: Swiggy allows its customers to rate their experience and on the basis of which the delivery partners
are awarded incentives

Deliver: The customers are considered centric and Swiggy comes forward to provide the ultimate solution for
food delivery by catering to the smallest orders and providing solution to restaurants for delivery
CHALLENGES AHEAD
✓ Managing the Timeliness of delivery, and
delivering the food in the quickest possible time
✓ Packaging of the food is considered to be the most
time-consuming process for swiggy which they need
to manage.
✓ Food quality
✓ Huge cost involved in logistics but the margins on
orders are very low to operate which creates a
challenge for the company to manage their operating
profits.
✓ Order generation and increasing number of deliveries by each delivery partner.
✓ Routing algorithm
✓ Swiggy intends to increase their market reach with emerging competitors like RoadRunner, Zomato
and Food Panda
✓ Swiggy anticipates low retention and the need for higher incentives for delivery partners

CONCLUSION:
Swiggy being a start-up in the service sector is having a strong support from its investors and the idea which
swiggy has started up with is the USP of the company. The strategy and the intention with which swiggy is
doing their business will turn-up a huge tool in managing the conflicts among the partners and the participants
of the company and will help in achieving the target of managing the work force and deliver the product in
the quickest time possible.
REFERENCES
https://craft.co/swiggy

https://www.techehow.com/swiggy-trying-make-place-food-delivery-industry

https://prezi.com/p/o2844tr6tqal/swiggy-a-comprehensive-analysis-of-marketing-strategy

https://iide.co/digital-marketing-strategy-devesh-shah-swiggy

https://www.digitalvidya.com/blog/swiggys-social-media-story-phenomenal-growth

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