jintu final

A Study on the Market Potential of Integrated Delivery Service

NATIONAL SCHOOL OF BUSINESS

EXECUTIVE SUMMARY

This report is about my internship program with Opinio (Moonshots Internet Private Limited)

in South Bangalore Region. It's an organisation for last mile delivery service for food,

grocery, bakery, peer to peer and more. In this comprehensive report, I have discussed about

every major aspect of Market Potential of Opinio, which I observed and perceived during

my internship program during September 25th

, 2015 to November 25th

, 2015.

In the first part of the project report, the general information of the Industry and the

organization has been collected. Information is gathered through the primary and secondary

source as well. In the second part of the report, contains the specialized subject study. Along

with it, the processes, policies and procedures of the organization are also discussed in detail.

During my internship program, I mainly worked on Business Development and Sales of Last

Mile Delivery Services of Hyper-local Markets mainly in Bangalore and ensuring Customer

Satisfaction by providing post sales services.

As the main purpose of the internship is to learn by working in the practical environment and

apply the knowledge acquired during the studies in the real world scenario in order to tackle

the problems using the knowledge and skills learnt during the academic process, In this

report detailed analysis of organization is done and all the major aspects have been evaluated

to analyse the current position of the delivery systems.

This internship report covers many important aspects which are basically related with the

operations and technological aspects of the organization. My focus while working in the

organization was on how to reach the target customer and communicate them about the

services and its advantage and provide them with a long term value. After deciding the way

next step is to select the appropriate medium so as to reach to the maximum possible target

audience by utilizing minimum resources.

Today, people live in an environment that is increasingly moving towards services based

economy. The concepts of service quality and satisfaction in marketing activities during the

past decades have been the focus of attention, and last mile delivery service is like a new

cherry that everyone is running behind. There are so many new companies have come up

during the period of 18 months like Groffers, Road Runner, Shadowfax, Quickli, Townrush

and a lot more. But Sustaining in a market like Bangalore is not an easy job, this is the reason

that a lot of major players like Tiny Owl and Pickingo had to quit the market as they were

unable to sustain. This study is based on the strategies of Opinio of how they are still thriving

in the market, and also the limitations that needs to be rectified.



1. INTRODUCTION

An Analysis on the Market Potential of adopting & implementing ― Integrated Lastmile

Delivery Service‖ with special reference to OPINIO-HyperLocal Logistics

Company,Bangalore-68.

1.1 PROBLEM DEFINITION

Market Potential is the entire size of the market for a product at a specific time. It

represents the upper limits for the product in that market. Market Potential is usually

measured by either Sales Volume or Sales Value. For example the market potential

for ten speed bicycles may be worth USD 5,000,000 in sales each year. On the

otherhand, the market potential for motorcycles may be 5,00,000 units each year,

which is a measure of sales volume rather than sales value.

Analysis of Market Potential :- Determining the market potential of a product is a

part of successful marketing process & requires marketing research. We will need to

examine atleast 3 factors viz- Potential Customer base, Competitor Analysis &

analyzing the current Environmental Conditions.

Analyzing Customer Base- We need to determine the size & demographic

conditions of your potential customers, important information to obtain includes the

population size of your target market, their product preferences & their median

annual household income.

We can assess our product’s potential customer base by analyzing Secondary data

such as demographic data collected by Survey organizations on household

demographics of each state. We may also collect Primary data to analyze the market

potential of a product. Typical means of collecting Primary data include Telephone

Surveys using a Random sample of households drawn that we believe match our

target.

Analyzing Competition- It is important to assess the number of your

competitors, their respective shares of the current market share & how can our



product be different to them. This research can be undertaken using both Primary &

Secondary data research. Secondary data sources may include Industry survey,

membership directories of industry organizations, data collected by Local chamber of

commerce & state agencies. Primary data can be collected by simply shopping around

& examining your competition from the perspective of not only a competitor but as a

customer.

Analyzing Current Environment- Market Potential is not a static concept- it

changes with the general economic & political environment. For example- if interest

rate goes up, people may not be using credit to purchase bif-ticket items like cars.

This will lower the demand for those products & decrease the overall market potential

of the product. A change in tax rates may also suppress spending as less money is

available for discretionary purchases, thereby reducing the overall market potential of

a product.

MARKET POTENTIAL & MARKET SIZING ANALYSIS:-

Market analysis services from Mapping Analytics help us to know the economic

opportunity available to us in any geographic market, whether we sell to consumers

or business or both, market sizing provides intelligence we need to deploy Sales &

marketing resources effectively.

Benefits of Market Potential Analysis-

1. Understand market potential for a single store, network of stores or a single

market.

2. Deploy resources effectively by ranking markets in priority order.

3. Forecast total opportunity in terms of number of customers & revenue potential.

4. Estimate your market share.

Elements of a Market Potential Analysis:-

1. A Customer Profile to understand where to find more like them.

2. Market Penetration & Market Share reports showing performance in existing

marlets & expected performance in new markets.

3. Market Ranking reports allows to prioritize resource deployment into new markets.

4. A Geographic view of market opportunity on detailed maps.

Strategies for Sizing Market:- Market Potential can be expressed as a function of –

A. The number of Customers Purchasing

B. Amount Purchased



C. Frequency of Purchase

In other words, Market Potential = (How many*How much*How often)

BOTTOM UP or TOP DOWN MARKET ANALYSIS??

A Bottom up approach to market sizing starts with customers- How much & often do

they buy? What is their profile? How many potential customers do we have in the

market based on Customer profiles? How can we reach them?

A Top down approach starts with market & industry data. It takes a close look at a

geographic market area & profiles the Consumers and/or Businesses to let us know

their propensity to buy our products & services.

CLUSTER ANALYSIS for MARKET SIZING

We often use lifestyle clustering systems to size consumer markets. Clustering systems

operate under the premise that ― birds of same feather flocks together‖. That means people

with similar buying behavior & demographic profiles tend to live close together. This helps

you identify neighborhoods or markets where your potential is high.



1.2 COMPANY PROFILE

About the service:

We are an On-Demand Delivery service provider. Our services can take care of the entire

delivery aspect of your business.

Process: Simple and Efficient.

Get your order from whichever portal preferred (phone orders, online portals)

Our web page opens like any other website on Google Chrome, like Facebook or

Gmail and so on. Enter the details of the customer on our web page such as

Total order amount

Amount to be collected

Phone number and

Address



Then you can request for a delivery boy, known as Ground Pilots. Once you’ve

hit the button, you will notice a small window on the right that shows you the

details about our ground pilot

The Estimated Time of Arrival (ETA) information in the website gives you a

close estimate of the time it will take our Ground Pilot to reach your restaurant

once you’ve requested for one.

After you press the ―Request Ground Pilot‖ button, our Ground Pilot will arrive at

your restaurant/shop, he will check the amount, ensure that all the packages are

secured, to avoid any kind of spillage or other accidents; after which he will place the

package snugly into his thermal insulated bag that we provide to them, check the bill

amount and settle the amount with you on the spot (below Rs.1000). After which he

will go deliver the order to the customer’s address.

After our ground pilot has made the delivery, the window on the right hand side of

the place will deleted automatically on our page, indicating the fulfilment of the



delivery. You can see the completed delivery details with the ―History‖ button. Below

is a screenshot of the same:

We have Hub Managers to oversee the entire process, from a request being raised to it

being completed. Any delay in the process is tracked and remedied immediately by

them, thus eliminating any need for you or your team to track these orders.

Our GPs are well trained in every aspect of the process, right from using their ―Pilot

App‖, to interpreting addresses accurately, co-ordinating with all connected parties and

ensuring swift and precise service.



ESTEEMED CLIENTS:-

Recognition in Letsintern.com among “Top 5 startups to look out for”: Published on

January 4th

, 2016

1. Social Helpouts

2. Urban Ladder

3. Opinio

4. CaratLane

5. Murmur

Recognition in yourstory.com:

“How hyperlocal logistics startup Opinio is differentiating itself with an online delivery tracker

feature”. Published on September 16th, 2015

Within seven weeks of starting operations in July, 2015, Opinio raised a

seed fund of USD 1.3 Million from Accel Partners and Tracxn Labs.

In its Series A funding from logistics company Delhivery, Sands Capital,

and Accel Partners, the company raised USD 7 Million. The investments

was to be used for expansion in multiple cities while strengthening their

technology platform and their product portfolio.

FUNDINGS



COMPANY DESCRIPTION:-

Registered Name Moonshot Internet Private Limited

Founded May 2015

Key People Mayank Kumar (CEO)

Lokesh Jangid (CTO)

Industry HyperLocal Last-mile Delivery Service

Total Deliveries 1,50,000 (till Jan 16)

Website www.opinioapp.com

Funding Partners Accel Partners,Tracxn Labs, Sands Capital,

Delhivery

Business Partners Khan Saheb, Tinyowl, California Burrito,

Foodpanda, Zomato

Area of Operations 9 cities

1.3 INDUSTRY PROFILE

The HyperLocal Logistics Business encompasses around connecting the local

vendors to public through technology. It operates under different sub-heads based on

their mode of operation & the commodities they are dealing with. The genres under

them are:

A. Concierge- Anything to Anywhere

B. Horizontal- Integrating the Local vendors for delivering Groceries, Medicines,

Confectionaries & Food

C. Prepared Food- Collecting orders & Delivering food from local Restaurants.

D. Chefs- Collecting & Delivering food from Home-Made chefs.

E. Groceries- Delivering groceries from Local Stores,Wholesale Stores &

Supermarkets.

F. Business Facing- Provide Delivery Boys to businesses.

The trend of HyperLocal Logistics started in India from 2013(funded & un-funded) with an

opening of 25 startups,2014(55) & 2015(39). India’s retail market Gross Merchandise Value

is estimated to be $525bn of which Groceries alone accounts for 60% amounting to $ 350bn.

Indian Food Market is around INR 23Trillion of which Food Delivery is valued at $ 15bn.

http://www.opinioapp.com/



Online Food Delivery & Application market grew niche by 40% from 2014-15 whereas the

Smartphone penetration in India is predicted to be 200mn by the end of 2016.

Hyperlocal Start-up scene is hotting up in India, home grown solutions are solving local

problems in a very unique manner, leading to order books bloating. Some of the recent

ventures that have done noticeably well range fom grocery to food delivery to cashless

transaction. The hyperlocal market is being making revolution this time in Indian ecommerce

market. New rising ecommerce startups in this sector and increasing interest of investors in

this area has made delivery of entirely food stuffs to electronic gadgets to anything, from the

stock close to your home easily. The appeal in hyperlocal markethas made rising with users

and clients now more smart and familiar with the technology. Users and clients feel good by

getting anything and everything with a click. The hyperlocal market is growing strongly in

pharmacy, food, grocery and may other sectors.

HyperLocal Market:

Hyperlocal describes a very specific area, very close to home or your place of business.

Examples include the people in your office, local park, driving down main street, and

everyone else within walking or driving distance to a particular destination or that are united

somehow into identifiable community.In reference to Opinio, we considered hyperlocal to be

5-7 kilometres of distance from the merchants location to the customer’s door steps. These

merchants may be a restaurant, grocery store or a chemist.In other words, Hyperlocal =

Local Community.

Last Mile Delivery:

Last mile is a term used in supply chain management and transportation planning to describe

the movement of people and goods from a transportation hub (Merchant in this case) to a

final destination (Customer).Hence Last mile delivery in hyperlocal market in this case may

be described as Movement of goods from the merchant to the customer within 5-7 kilometre

radius from the merchant’s place of business to the customer’s door steps.



Some of the HyperLocal Logistics Startups of India are categorically mentioned below:-

A. GROCERIES= Zopnow, Peppertap, Jiffstore, Instafresh, Ninjacart

B. Food – Restaurants= Tinyowl,Swiggy,Justeat.in,Tap tap Meals

C. Food-Chefs= Holachef,Biteclub

D. Medicine= 1mg,Pluss App

E. Horizontal= Grofers,Delyver,Lazylad

F. Concierge= StreetJumper,Bhejjo

G. B2B= Roadrunnr,Grab,Shadowfax,Gray Routes,Opinio,LataHun,TownRush,Pickingo

H. Discovery/Deals= Wooplr,Niffler,Crownit,MadPiggy

I. Others= Zopper,StoreWalk

1.4 RECENT TRENDS IN HYPERLOCAL MARKETPLACES

A. Location-based data: With the use of real-time data by incorporating GPS &

customized Map-integrated softwares, the tracking of On-going Delivery &

recording of data has become very optimized & useful. With the extensive use of

technology(Hardware & Software) the traditional model of delivery &

marketplace has changed remarkably.

B. Direct Marketing News Post: With the increase of E-mail Marketing, the

discussion forums have opened up for the consumers as Vendors continuously

send information regarding delivery, offers, payment details etc. However the

communication medium has brought a significant change in shopping as to

building a greater relationship with the customers.

C. Marketing Intelligence: With the use of Data Mining tools,Feedback tools &

Extensive Communication with the customers, Companies are able to churn out

millions of data in a short time & henceforth building future strategies to tackle

the forthcoming situations.

D. Customer Acquisition to Retention: In today’s scenario, improving Customer

Lifetime Value is the next pivotal battleground for companies through Retention

rather than Acquisition by posting heavy discounts. Loyalty Marketing is the

engine for Retention which is taking over the traditional Deal-Based models that

dominate today.



1.4 COMPETITOR PROFILING of various HYPERLOCAL LOGISTICS:

Name Roadrunnr Pickingo Delyver Shadowfax

Founders Arpit Dave,

Mohit Kumar

Piyush

Sharma,

Rahul Gill

Afsal Salu,

Praful

Thachery

Abhishek Bansal,

Vaibhav Khandelwal

Launch Year 2015 2014 2010 2015

Operational

Cities

11 6 3 3

Products B2B

HyperLocal

Logistics

On-demand

Delivery

Logistics for

offline

retailers

On-demand logistics

Delivery

Time

40min 30min 60min 30min

Funding $11mn $1.3mn $1mn $8.5mn

Total

Delivery

Boys

400-500 300 100 250+

What is Business Development?

For Different people, this term has different meanings, such as:

“Business development is sales,” some will say, concisely.

“Business development is partnerships,” others will say, vaguely.

“Business development is hustling,” the start-up executives will say, evasively.

In the words of Mr. Scott Pollack, a contributor for the topic for Forbes Magazine,

“Business development is the creation of long-term value for an organization from

customers, markets, and relationships.”



In my own words, “Business Development is the combination of all the major aspects of

business i.e. Marketing, Sales, HRM, Finance, Admin and Operations where the long term

value for the organization and the customer is created by co-ordination of all these

functions of the business.

1.5 CHALLENGES FACED BY HYPERLOCAL LOGISTICS COMPANIES

A. Ensuring quality of service & product in new locations is one of the most commonly

faced issue for every HyperLocal company as it becomes operationally intensive.

B. Heavy expenditure in Infrastructure building & Software development, acquiring

Human Resources.

C. Many large E-commerce companies (Amazon & OlaStore) are building their own

Logistics wing so as to cut down the costs while outsourcing to other firms.

D. There is a possibility of consolidation over the next years as the number of start-ups

are booming in this sector & hence Survival of the Fittest will be the thumb rule for

every company.

E. In order to be successful the HyperLocal start-ups have to focus on Unit economies

& Per Order Profitability.



1.6 OBJECTIVES OF THE STUDY:

PRIMARY:

A. To study & analyze the overall HyperLocal Logistics business

B. To find the key drivers towards Operational Growth & Profitability

C. To find the success rate of customers

SECONDARY:

A. To find the challenges faced by HyperLocal Logistics companies

B. To form strategies for Future Development

1.7 NEED OF THE STUDY:

A. An Overall understanding of the Industry: As this project has been done so as

to encompass every side of the HyperLocal Logistics industry, hence a thorough

understanding can be derived out of it so as to form the base of any upcoming

start-ups.

B. Decision driven findings: As the questionnaire has been set so as to cover all the

basic point of operations & service, hence the study was done extensively keeping

in mind the real-time feedbacks of Merchants & those are incorporated in the

reports. So based on real-time feedback it will be easy for OPINIO to tackle the

problems & thereby generate solutions for them.

C. Tool to achieve Organisational Growth: Based on real-time information

OPINIO can build up their future strategies so as to minimize their faults &

improve the service. Hence it will further contribution towards Organizational

Growth, Stability & Profitability.



1.8 SCOPE OF THE STUDY:

This study was done with respect to OPINIO (HyperLocal Last-mile Delivery service)

in Karnataka, Bangalore city. So analysis was done keeping in mind its competitors strategy

& growth potential by which they are operating in Bangalore. Also the study was done so as

to find the Market Potential & Success of Integrated Delivery Service by OPINIO.

1.9 RESEARCH METHODOLOGY:

Research comprise defining and redefining problems, formulating hypothesis or

suggested solutions; collecting, organizing and evaluating data; making

deductions and reaching conclusions; and at last carefully testing the conclusions

to determine whether they fit the formulating Hypothesis. In short, the search for

Knowledge through Objective and Systematic method of finding solutions to a

problem is Research.

1.9.1 RESEARCH DESIGN TYPE OF RESEARCH:-

DESCRIPTIVE RESEARCH - Descriptive research includes Surveys and fact-finding

enquiries of different kinds. The main characteristic of this method is that the researcher has

no control over the variables; he can only report what has happened or what is happening.

DATA SOURCES - There are two types of data. Source of primary data for the present

study is collected through questionnaire and answered by consumers of sports product. The

secondary data is collected from journals, books and through Internet search.

Primary research

Interviews (coach, players, sports teacher, shops)

Questionnaire (open ended questions)

Secondary research

Past data

Research papers



PRIMARY DATA - The data that is collected first hand by someone specifically for the

purpose of facilitating the study is known as primary data. So in this research the data is

collected from respondents through questionnaire.

SECONDARY DATA - For the company information I had used secondary data like

brochures, web site of the company etc. The Method used by me is Survey Method as the

research done is Descriptive Research.

RESEARCH INSTRUMENTS - Selected instrument for Data Questionnaire. Collection for

Online survey is QUESTIONNAIRE DESIGN FORMULATION Under this method, list of

questions pertaining to the survey are prepared consumers of sports goods. Questionnaire has

structured type questions as well as unstructured type questions. Structured objective type

questions are prepared for the respondents with fixed response categories. Some of the

questions are of multiple-choice type. The questions have more than one alternative. TYPES

OF QUESTION INCLUDED: DICHOTOMOUS QUESTIONS which has only two answers

―Yes‖ or ―No‖? MULTIPLE CHOICE QUESTIONS where respondent is offered more than

two choices. IMPORTANCE SCALE A scale that rates the importance of some attribute.

RATING SCALE A scale that rates some attribute like from ―highly satisfied ‖ to ―highly

unsatisfied‖ or ―very inefficient‖ to ―very efficient.

SAMPLING UNIT- Who is to be surveyed? The marketing researcher must define the

target population that will be sampled. The sample Unit taken by me: 50 respondents of

different age group, different gender and different profession.

SAMPLE SIZE- Consumers of Restaurant Services =50



1.9.2 STEPS FOLLOWED IN COMPLETING THE STUDY

(i) Internet sites containing information on Opinio & competitors are browsed.

(ii) Sample survey was conducted.

(iii) Data was thoroughly checked for error.

1.9.3 DATA PROCESSING METHODOLOGY

(i) Once the primary data have been collected, they are edited – inspected,

corrected and modified.

(ii) Tabulation – bring similar data together and totaling them in meaningful

categories.

(iii) Questionnaires are edited. The responses are thoroughly checked in home for

incorrect, inconsequential or contradictions categories are developed only

often the replies has been reviewed. This review provided a feel for the pattern

of answers and thus determine what categories best represent the answers.

(iv) The collected data are placed into an order. Percentages of respondents

answered similarly are calculated and placed in a table. Then this is

interpreted. This involved drawing conclusion from the gathered data.

Interpretation changes the new information immerging from the analysis into

information that is pertinent or relevant to the study.

Conclusion was drawn based on the survey findings .



1.9.4 LIMITATIONS OF THE STUDY

1. Due to shortage of time, the merchants were unavailable to be questioned.

2. Also some of the responses were in common hence the interpretation was same in

return.

3. Some of the responses was biased due to absence of the person in concern to be

asked.

4. Some of the merchants denied to comment due to their secretive work culture.



Chapter- 1

Literature Review



An Analysis on the Market Potential of adopting & implementing “

Integrated Lastmile Delivery Service” with special reference to

OPINIO-HyperLocal Logistics Company.

Market Potential Definition:-

Market Potential is the valuation of Sales Revenue from all the supplying

channels in a market. Market Potential is the population that is interested in the

product/service that is being made or offer by an organization.

In other words, it is the potential money making capability of a firm if it

capitalizes all advantages and everything goes its way.

It is a subset of the total population, where market potential is the population, all

of whom can be potential consumers of the product or service. Market Potential is

the maximum population which would be interested in the product/service, and

gives a good insight on the growth possibility as well.

Approaches:-

On the basis of the following questions Market Potential for a product/service is

ascertained-

1) Is this product/service I have in my hand is going to satisfy a market need?

2) What competition is out there? Is it direct or indirect, local, national or

international?

3) How distinct is my product from what is being offered in the market of same

category?

4) Can the product stand the test of changing trends or take advantage of it

before it dies out?

5) Does the law of the land allows for such a business to be established?

6) At what prices are consumers prepared to buy the product and can I make any

profit out of it?



IMPORTANT TERMS:-

Sales Potential- This is the share of market potential allocated to a specific geographic area

for a particular product, or the share of the total market potential that a manufacturer can

reasonably expect to sell. The overall figure is always optimistic & must be pruned down by

other factors.

Sales Quota- Often this is the percentage of Sales Potential assigned to a particular territory.

Sales Projection- Using historical sales to project future sales.

Last Mile Logistics - a Disrupter's Market

―Service providers, couriers and retailers have been doing last mile for decades. But times are

different now. Consider: omnichannel, Amazon's game-changing free and same-day delivery,

and Sears creating an offering service for third parties. The last two years also saw disrupters

who were previously unknown enter the logistics market. But traditional transportation

technology firms are fighting back. 2016 will show dramatic changes in the market.‖ – Ann

Grackin, CEO ChainLink Research

Home delivery markets are not new. The practice is ancient. But these services were paid for.

Free is not cheap. The economics of transportation show that between 25 percent to 75

percent of the transportation costs occur for direct to consumer logistics. With so much

money entering into last mile, new regional carriers are expanding, and iconic newer

disrupters, funded by investors, have entered the market, offering on-demand approaches.

In 2016, retailers will struggle to find profit or at least be cost neutral. Retailers and service

providers need to apply some strategic thinking here. Tacking on some service and posting

standards rates won’t be enough any longer.

Home delivery requires scheduling a delivery that contributes to the firms. And it is also

about service, not easy in this always on 24/7 and mobile world. Many category retailers, de

facto, have to provide services due to the nature of their products—the need for assembly and

installation, for example. Specialty retailers know that an extended service relationship under

http://www.clresearch.com/research/detail.cfm?guid=0CDAF8FD-3048-79ED-9998-F7E3708F1E1E



their brand creates loyalty and long-term relationships. But customer service can have a

negative effect if not done well. Winning at home delivery takes skill and smart technology.

The technology for last mile can be seen in home-grown solutions in ecommerce, idea-

generating software from disrupter service providers, and logistics technology providers who

support these sectors.

So what will it take?

• Continuous Route Optimization—specific to the last mile challenge. In the service world,

unlike longer haul logistics, new requests keep popping up, so systems have to be responsive

and avoid the old-style cut-off points. In 2016, traditional TMS route optimizers will

scramble to revise their offerings to meet this challenge.

• Dynamic Incentivized Scheduling—the ability to develop economic models and dynamic

schedules to provide attractive choices to the customer and profitability to shipper. This is the

gold standard in technology that only a few providers offer.

• Mobile and Telematics for Last Mile—GPS and AVL for precise locating and directing

of vehicles. These technologies are blended into the solution to provide driver instructions,

monitor delivery status, and link to execution for real-time routing changes.

• Electronic Confirmation and Proof of Delivery—Not just mobile signatures. The system

confirms appointments while en route to the customer; validates presence (they came and

you were not home); electronic proof of delivery; and follow-up on customer satisfaction on

the process.

2016 will see more TMS+ providers try to understand the features and needs for last mile, as

more end-users seek better solutions. More acquisitions will emerge with omnichannel

pressures mounting.

http://www.chainlinkresearch.com/research/detail.cfm?guid=2CC8B10D-3048-79ED-9973-F8612B37924B

http://www.chainlinkresearch.com/research/index.cfm?topic=79



Last Mile: The New Frontier in the Retail Supply Chain

If your supply chain strategy includes last-mile delivery, your success will begin with a

review of how your inventory is deployed, postponed, configured and distributed across

various channels.

E-commerce sales have become ubiquitous. According to e-marketer, worldwide e-

commerce sales will increase 20% this year to reach $1.5 trillion. Fueling retail’s expansion

into untapped markets, the e-commerce fire is putting immense pressure on retailers to

seamlessly meet customers’ expectations across devices, platforms and locations on a global

scale.

Further fanning the flames is a driving need to offer expanded delivery capabilities, while

increasing convenience without passing along any visible price increases to the customer.

Whether consumers are researching, evaluating, or purchasing products online or in a store,

their expectations about product availability, delivery charges and flexibility, return policies,

and payment options are on the rise. To complicate matters, these preferences can vary by

region, demographics and a myriad of other factors that will continue to evolve over time.

Behind this e-commerce conundrum lies a mass of fulfillment, inventory deployment, supply

chain network design and omni-channel distribution challenges. Even gargantuan high-

profile e-tailers—while having succeeded in offering customers inexpensive and same-day

delivery options—are still struggling to maintain efficient last-mile solutions in a cost-

effective and profitable manner.

As retailers strive to offer a near-perfect shopping experience, leveraging the right data and

information across multiple channels becomes paramount as reliance on their network’s last-

mile capabilities and efficiencies is amplified. And since each retailer varies in the value and

range of SKUs offered online vs. in-store, there is no one-size-fits all solution to implement

across the industry to prepare for this new frontier.

Despite retailer-specific last-mile delivery nuances, there are steps all companies can take to

determine what supply chain strategies will make the most financial sense in the race for an

effective and efficient last-mile experience.

http://www.emarketer.com/Article/Global-B2C-Ecommerce-Sales-Hit-15-Trillion-This-Year-Driven-by-Growth-Emerging-Markets/1010575#sthash.m7oVK1Sj.dpuf



Six Elements to Consider Across Your Last-Mile Frontier

If your strategy includes last-mile delivery, your success will begin with an extensive review

of how your end-to-end supply chain network is designed and how your inventory is

deployed, postponed, configured and distributed across channels to meet 21st century

customers’ shopping and delivery preferences. The six considerations below are the tip of the

iceberg. But they can aid you in your strategic decision-making and provide insight into the

real cost impact of last-mile delivery so you can frame an efficient last-mile solution and get

your supply chain network headed in the right direction.

1. Never lose sight of what actually matters to the customer.

First and foremost, you need to start with a full understanding of your customers’

requirements and expectations and how these subsequently influence their buying behaviors.

According to comScore’s 2014 ―Pulse of the Online Shopper‖ survey (commissioned by

UPS), a whopping 93% of shoppers have taken some type of action while shopping online to

qualify for free shipping. But consumers change both their online and in-store shopping

patterns and preferences based on value-added benefits that range from low or no-cost

shipping to loyalty programs to generous returns policies.

Keeping your finger on the pulse of customers’ wants and delivery preferences and offering

them flexible and appealing shopping options—from specific delivery windows to certain zip

codes, to in-store pick-up or convenient nearby drop-off and pick-up locations where items

can be left securely—will prove beneficial. For example, return preferences vary

dramatically across geographies with European consumers (66%) preferring to ship return

items directly to the retailer compared to Brazilian consumers (71%), who prefer to return

items directly to the store. Tying customer behavior, marketing data and metrics back into

your supply chain network strategically can produce revenue-generating results.

2. Explore innovative approaches, like bundled product shipments.

Last-mile delivery introduces a whole new layer of complexity to a product’s sales margins

and exacerbates the ―shipment density dilemma‖ that has challenged shippers for decades.

Fifty eight percent of customers abandoned their online shopping carts because shipping

costs were more than expected, and half abandoned because they didn’t qualify for free

shipping. Traditionally, high-margin items like cell phones and laptops can justify traditional



small parcel courier costs; but low-margin SKUs cannot easily recover or absorb these costs

and still remain profitable.

The main issue is how to alter customer expectations to make last-mile deliveries profitable.

To compensate for customers’ free shipping preferences, retailers may want to consider

consumer incentives to bundle products—say a phone with household items or clothing—to

raise revenue per order and density per shipment. If possible, postponing orders until

multiple products can be shipped together to generate enough revenue and density to justify

free delivery is an option to offset last-mile transportation cost impacts. Until delivery

density can be maximized to ensure profitability, managing customer expectations is an

excellent interim measure to make last-mile deliveries profitable.

3. Explore non-traditional distribution capabilities.

Retailers who have grown through brick-and-mortar store sales have an imperative to ensure

these assets are leveraged to their fullest in the face of e-commerce. Consumers value brick-

and-mortar stores for the physical shopping experience, instant gratification and the ability to

see, touch and feel merchandise before making final buying decisions. However, there are

substantial real estate and labor costs associated with a store’s operation.

Your last-mile strategy can be designed to maximize your existing brick-and-mortar assets

and capitalize on in-store inventory. By incorporating stores into distribution nodes or

fulfilment points within your retail distribution network, you can make same-day fulfilment a

viable and cost-effective option offering potential savings in transportation costs.

Other options to explore include using a third-party logistics provider (3PL) for fulfillment or

last-mile capabilities and assessing minimal lease requirements to ensure your network can

remain flexible. And of course, you’ll want to innovate in the delivery options you offer over

time to adapt to consumers’ changing needs and maintain the highest possible margins.

4. Optimize transportation solutions to meet last-mile demands.

The most uncertainty and opportunity lies in the nuts and bolts of how a product/package’s

chain of custody is outsourced and moved throughout the last mile. This is truly where we

see total cost-to-deliver dynamics and innovative approaches make the most sense. New,

small experimental entrants like Uber, Instacart and Deliv are emerging at the forefront.

However, as we move away from traditional carrier delivery models there is a need to

provide more extensive tracking and beefed-up package security to meet customer

expectations, perception, consistency and quality. As a result, route auctions and technology



that offers increased visibility into network options will become extremely important over the

next few years.

For their part, small-parcel couriers like FedEx and UPS have traditionally optimized their

freight movements and density as freight travels from many origins to like zip code

destinations, but are now faced with the large hurdle of trying to efficiently optimize what is

known as many-to-one freight movements (picking up from a distribution center and

delivering to a single residential or other address). The burden of cost for these one-to-one

shipments is shifting to the shipper and, by default, to the customer, evidenced by the recent

dimensional weight pricing changes enacted by FedEx and UPS in 2014.

These unsustainable last-mile freight costs will eventually be shared among all supply chain

participants by some combination of having them pay directly for the costs, through package

optimization or order consolidation, or by creating demand density through time-definite

deliveries or sweep distribution. Until innovation on the product side happens and density

can be efficiently factored into the equation, though, having some type of customer

incentive will help to offset these transportation costs.

5. Consider inventory’s form, function and placement within your supply chain.

Visibility into forward-distribution based demand signals will become critical in this new

frontier, as retailers seek to literally think outside the box to manipulate and repurpose

inventory as close to the point of need as possible. To ensure the best inventory deployment,

configuration and strategy, advanced inventory planning and scheduling will present the

opportunity for more dynamic forecasting than we’ve ever seen, along with inventory

regulations, rules and structure that will accompany success.

Traditional inventory management helped to hedge supply and demand’s peaks and valleys,

using safety stock as a buffer. With today’s short shipping windows, social shopping, online

reviews and price matching, inventory placement will become a major cost driver if not done

right. Keeping inventory flexible and generic up until the actual point of need will become a

strategic advantage.

Eventually all inventory will need to become ―ubiquitous‖ as in-store inventory availability

and specific packaging requirements fall to the wayside to gain the necessary flexibility to



allow visibility and deployment across multiple distribution channels. Rethinking inventory

policies, repurposing traditional channels, harnessing unstructured data and connecting it into

global inventory systems in near-real-time with accurate points of inventory availability will

result in better inventory placement and deployment throughout the supply chain network.

By circumventing point–of–sale (POS) systems—and replacing them with systems that

provide inventory points of availability and/or points of presence—and tying that data back

to the points of distribution will help to create a truly omni-channel inventory planning

system. Maintaining ubiquitous inventory across every network ―node‖ will help you

determine the optimal location from which to source the order and ensure your last-mile

success.

6. Focus on returns management efficiency.

Most companies have focused on the forward distribution struggles this last-mile equation

provides, and rightfully so. Historically, resources spent on returns have been viewed as

unrecoverable losses. But returns management really need to be a core part of your last-mile

strategy, not only to provide your customers with a simple, no-hassle returns experience but

also so your inventory flows smoothly and efficiently back into your network.

At the end of the day, the only way to make the returns process efficient is to reduce the

number of touch points. Returns efficiency can be addressed by having drivers who are

located near customers pick up returns on their return routes or by encouraging customers to

return items back to storefronts or strategic drop-off points.

If all of this sounds overwhelming, that’s because it is. Some forward-thinking companies are

plowing ahead with supply chain strategies that include real-time visibility into inventory

across every channel or ―node,‖ accessing both in-store and online inventory assets for

fulfillment, as well as exploring alternative last-mile delivery methods.

Despite these advancements, most companies still have at least some unanswered questions

regarding their own last-mile frontier.

Few things are certain as we approach this new frontier. However, one thing is for sure—

last-mile networks will be in flux for the next three to five years. Those companies who want



to begin—or continue—to build out their last-mile capabilities will need to analyze and

model different distribution scenarios to better understand their true cost to serve and gain

core last-mile competencies, all of which will require ongoing supply chain network

modelling and inventory optimization to adequately define new distribution points.

There is a clear link between supply chain proficiency and confidence in revenue growth. It

all comes down to having inventory at the right place, in the right form, at the right time; an

innovative flexible network as close to the point of need as possible; and a transportation

solution that delivers to customers’ high expectations, with the most product and revenue in

each delivery as possible, along with a simple and accountable returns process and

methodology to keep them coming back for more.



Findings



As discussed in the earlier parts of the report, Business Development is a combination of all

the facets of the business working towards the common goal, that is providing a long term

value to the organization by the customer, markets and relationships. Hence I’ll guide you

through all the functions I got to work for or observed during the course of my Internship in

OPINIO.

Sales:

I was working as a sales executive for OPINIO in southern part of Bangalore, where I was

responsible for end to end sales of the OPINIOAPP in the market to the concerned

prospective clients. It followed the same personal selling steps of:

Prospecting and qualifying

Approach

Presentation

Overcoming Objections

Closing

Post Sales Services

Prospecting and qualifying:

During the course of my internship in OPINIO, we used to generate the leads through

zomato.com for a particular region, searching for the keyword of home delivery.

After collecting the list of the restaurants, we used to approach over there to qualify using the

questionnaire while talking to any of the representative present over there and used to update

a sheet like below for further processing.

After creating the chart, qualifying was done so as which merchant to approach for

onboarding and which not to.

The qualifying depended upon the category in which the merchant fell into. It was decided on

the basis of number of orders received by him for home delivery on daily basis.



Approach, Presentation and Objection Handling

After the qualifying was done and we were given a green flag from the operations side that

we can start services in the given area, we approached the merchants for final meeting and he

was given the final presentation.

After the presentation, if there were any ambiguity in the merchant’s mind regarding the app,

it was explained and then we arrived at the close.

Closing

After all this processes only, the client was closed on the deal and onboarded to the system

using the company dashboard as shown in the following snapshot. The details incorporated in

this form were the address, expected orders for home deliveries and contact details. After that

the services were immediately started.

After onboarding, the merchant was asked to sign a Service level agreement, and only after

that the services were started. This agreement consisted of all the data about the delivery

services.



SERVICE LEVEL AGREEMENT

Date: ____ ____ ________

Greetings,

This is to bring in your kind attention - after successful first level talks - we are pleased to on

board you for our services.

Restaurant/Merchant Details:

Registered Name – ___________________________

Registered Address – ___________________________ _________________________

______________

Owner Name – ___________________________

Phone Number – ___________________________

Email Address – ___________________________

(MERCHANT SIGNATURE)

For Opinio (Moonshots Internet Pvt. Ltd.)

On-Boarded by – ___________________________

Authorized by – ___________________________

Date of Agreement: ____ ____ ________

(AUTHORIZATION’ SIGNATURE)



ANNEXURE 1

Standard Pricing:

Delivery Distance in Kilometres Price in INR

0 – 4.5 20/25 *

4.5 and above 20/25 + an additional 05 for every extra

Kilometre

*20 for internet booking / 25 for miss call booking.

The distance mentioned stands for the distance travelled by the Ground Pilot from merchant

to delivery location.

Note:

For bulk deliveries, we have a maximum cap of 5* per Ground Pilot. For such bulk

deliveries, we charge for, Number of deliveries (bulk) -1 (minus 1), subjected to Min

2.

The service timings are 11.00 am to 11.45 pm (last order)

All cash payments up to Rs.1000 will be paid on the spot to the merchant. Any

payment more than Rs.1000 will be settled by EOD latest.

The Ground Pilots will be responsible for picking up and delivering the items in a

timely and safe manner. The packaging/billing/tallying shall be done by the merchant.

This pricing will be applicable for 60 days after the end of the trial period (7 days).

Trial period will start from the ―Date of Agreement.‖

Invoicing – An Invoice will be raised to the Merchant in the 1st week of every

calendar month against services rendered in the previous calendar month. Merchant

will have to clear invoice within 7 days of invoice date.

*Standard Logistic Delivery Constraints Applicable



Service Level Agreement

Distance from

merchant

Arrival at

merchant

Drop Completion

(Single Drop)

Drop Completion

(Multiple Drop)

Worst-

Case

Best-

Case

Worst-Case Best-Case Worst-Case

0-1 km 15 mins 5 mins 20 mins 5-10 mins 30 mins

1-4.5 km 15 mins 5 mins 30 mins 15-20

mins

45-60 mins

>4.5 km (up to 6

kms)

15 mins 5 mins 45 mins 25-30

mins

NA

These are our best-effort scenarios. These numbers can vary, depending on external factors.

1. The ―Arrival at merchant‖ time is calculated from the time the Ground Pilot accepts

the request.

2. The ―Drop Completion‖ time is calculated from the time the Ground Pilot leaves after

making the pick till they complete the delivery.

3. If the order has been picked up by the Ground Pilot and then is cancelled for reasons

other than the order reaching late, it will be chargeable to the merchant.

4. In case it is cancelled before the Ground Pilot makes the pickup, it is not chargeable.

5. ―Multiple Drop‖ will be defined as one Ground Pilot making a pickup from the same

merchant and delivering parcels to multiple addresses. These addresses can be in the

same society/business park/locality.



6. Multiple drops will be accepted only if they are in the same locality. The Ground

Pilot cannot accept drops located more than 1 km from each other. The Ground Pilot

can only accept up to a maximum of 5* drops in a Multiple Drop.

7. It is the merchant’s responsibility to ensure the order is correct in terms of packaging,

matching of items to bill and keeping the parcel ready for pickup. The Ground Pilot

will check the packing and match the item quantities with the bill and alert the

merchant if there is any issue with either of them.

8. In case the Ground Pilot does not complete the task during the worst-case time

mentioned, it will be noted the first time and an attempt to eliminate such an incident

will be made. If it happens again after this incident, Opinio shall not charge for that

particular delivery.

9. The Ground Pilot cannot accept any delivery that has been requested through

mechanisms other than the ones provided by Opinio. (Merchant App / Call Based).

The merchant is requested to adhere to this policy strictly.

10. The Hub Manager will be responsible for tracking the Ground Pilot from the time the

order is assigned to them till it is completed. For any query/issue resolution, the

merchant is requested to call the Hub Manager for their area, whose phone number

will be provided to them at the time of on-boarding.

11. The merchant is requested to request for the Ground Pilot through their merchant app

in such a way that they will not be required to wait at the premises for more than 10

minutes.

12. The business hours for Opinio Ground Pilots will be from 11 am till 11.45 pm i.e. the

Ground Pilots can take requests for deliveries till 11.45 pm only. The merchant is

requested to not make any requests post 11.45 pm

Contact Information for Operation related enquiries (Ground Pilot delivery)

Name: ___________________

Number: ____________________



Contact Information for Sales related enquiries

Name: ___________________

Number: ____________________

Post Sales Services:-

Post sales services involved:

Getting feedbacks from every client at a regular interval

Visiting the clients at a regular interval

Collaborating with the Operations department to check the availability of required

number of GP’s in a given location.

Preparing and delivering the monthly invoices to all the clients every month.

Grievance handling of the customer.

If there is any GP related problem or app related problem, consult to the respective

department of Operations or IT to solve the problem asap and get back to the client.

Keep track of weekly variation in customer’s demand.

Limitations:-

Lack of regular sales meeting

Lack of involvement of junior sale staff in decision making

Lack of proper structure in strategizing

Unavailability of invoicing software

No dedicated customer support staff



Operations Department:-

Operations department is basically responsible for all the ground pilot related activities, such

as:

Deployment of GP’s at a required location in the required number

Training of GP’s

Orientation meeting with all the GP’s in a particular hub

Keeping track of all the GP’s using GPS based location software

Solving customer grievances related to the GP’s as late delivery, non-connectivity

with the server to call the GP or any wrong behavior of the GP towards the client or

the customer.

Operations executives work on the basis of virtual hubs created for a particular geographic

location to serve particular customers. Every executive is responsible for their particular hub

for the availability of GP and all other GP related activity.

All the sales executives also had to consult the operations executives every time before

onboarding any new client in that particular hub, because before starting the service for that

particular merchant, the GP’s need to be recruited by the HR department and trained by

operations just to make sure that the services run smoothly

For grievance handling also, the client only called the sales point of contact and the sales

executive now needed to collaborate with the operations executive to solve the problem.

For example, I was working in the South Bangalore region under Banashankari Hub. Now if

any client, suppose Olive Era had any Gp related problem as the person can’t be approached,

their manager called me, stating all the problems and now I needed to talk to Vikram, the

operations executive at Banashankari hub, he made sure that the GP reaches the restaurant

within 5 minutes and then informed me. Then I informed the merchant that the GP will be

there within 5 minutes.

Hence all the activities carried out by Sales and Operations team was purely collaborative

and none can be done properly without mutual support. They were two complementary

functions.



Limitations:

Network loss in GP’s Phones

Lack of proper territory training in certain cases

GP negligence

Lack of proper morning orientation

Late reporting of GP’s

HR Department:

HR Department in Opinio has two separate divisions,

One for the white collar employees

The other just for Ground Pilots

The team working for the white collar employees was headed by Ms Swati Singh in the

Bangalore office which took care of all the aspects of HRM for the executives in the office.

The digital footprints of the company whether for new job opportunities or wishing Birthdays

or other occasions were also made very regularly and in a very attractive manner on all the

major social networking sites and emails. Some of such examples are shown below:-



The team working for ground pilots was headed by Mr. Mercy Bhattacharya in Bangalore

office, where his services were dedicated to new GP recruitment and their grievance

handling.

A lot of attractive schemes were available for GP’s, such as:

Highest salaries among other competitors

Attractive incentive structures

Company provided power source for mobile charging and mobile bill payment

Part time work option available



Limitations:

High employee turnover

Unavailability of literate GP’s

High training cost

Conflicts among GP’

Marketing Department:-

Marketing department always kept contact with the whole of the staff through emails and

kept sharing all the new developments in the organization through emails and social media,

such as:

OPINSPIRATION



Sharing new updated

Strategic Tie-Ups:-

Opinio has a lot of strategic tie-ups with different organizations in all the cities they are

active. But talking about Delhi/NCR region, the following are the main strategic tie-ups:

Delhivery: Delhivery is a very well known logistics brand all across the country and Opinio has a tie-up

with them in a number of cities such as Delhi, Hyderabad, Pune and Chennai. They have a

huge network of clients available and through this tie up, Opinio got a chance to share the

clients with them and they got to use the technology that Opinio had in their app.

Talking about Delhi, Delhivery used to do all the deliveries for Opinio’s clients and all there

clients were also given Opinio’s app to call the ground pilots.

This tie-up took place when they played a major role in the arrangement of Series A funding

for Opinio for USD 7 Million.

Zomato:

Second major tie up was with Zomato, where we got to have all the delivery orders from

Zomato. And as it is the most well known website for food aggregation in India, this tie up

gave a tremendous brand recognition for Opinio as well.



Yum Foods:

Yum food is a company which owns all the Pizza Hut outlets in Delhi/NCR Region, and this

tie up was done right by the time my tenure with Opinio was finishing, but this must have

given a huge boost to the number of orders they were getting before as an average Pizza Hut

dispatches 80-100 home delivery orders on a daily basis.



Chapter- 2

FINDINGS = GRAPHICAL

PRESENTATION OF DATA

1. How old is your restaurant?

A. 0-3 B. 3-5 C. 5-7 D. More than 8



A. 0-3 25

B. 3-5 10

C. 5-7 9

D. More than 7 6

As represented in the graph, most of the restaurants in South Delhi Region are relatively new

because of the fierce competition in the market and the survival rate of restaurants is not

much as they are not ready to change as fast as the consumers’ taste and preferences.

Some of the restaurants who keep themselves up to date as the consumers’ tastes and

preferences, they are thriving for a much longer time.

The reason for us to keep this question in the questionnaire was just to assess the stability in

the market and only after making sure that the restaurant will sustain, we used to associate

our brand with them.

25

10

9

4.5

Series 1

0-3

3-5

5-7

More than 8



2. Do you provide Home Delivery service? A. Yes B. No

Yes 44

No 6

The food market of Bangalore now is mainly dependent upon the home delivery services

because of the busy life people lead in this region. Even on the weekends also they prefer to

order food home and have in their own place just because they don’t want to waste even a

second of rest they can take out of their busy schedule.

6

44

Sales

No

Yes



3. If Yes do you have your own Delivery Service?

A. Yes B. No

Yes 5

No 45

As constituting a Delivery force in a restaurant of own costs a lot to the owner

regarding payment of Salaries, Technological Assistance, Infrastructure costs,

Supervision etc. Hence outsourcing the activity to 3rd

party Logistics company

has a become a common phenomenon in HyperLocal Market. So these startups

are getting huge responses from the merchants due to their innovation

4. If Yes ,up to what distance & orders u handle?

5

45

0

5

10

15

20

25

30

35

40

45

50

Yes No

Response

Response



A. 1-2 A. 0-5

B. 2-3 B. 5-10

C. 3-4 C. 10-15

D. 4-5 or more D. 15-20 or more

1-2km 40nos

2-3km 20nos

3-4km 15nos

4-5km or more 10nos

Hence we can observe that for short durations merchants don’t hesitate to

deliver orders mostly through their own Delivery boys but for long

distances they generally don’t accept orders considering a minimum

order value of Rs. 500 or more. Hence there is a huge opportunity to

untapped the market potential of HyperLocal Deliveries.

5. If No , are you interested at Integrated Delivery Service?

40

20

15

10

Orders

1 to 2km

2 to 3km

3 to 4km

4 to 5km

Distance(kms) Orders (qty)



A. Yes B. No

Yes 47

No 3

Due to improved & innovative Technological Upgradation & efficient

Manpower Planning, hence many of the merchants agreed to adopt

Integrated Delivery Service so as to cut down costs & have greater

Market Share than competitors.

0

5

10

15

20

25

30

35

40

45

50

Yes No

Responses

Responses



6. Do you have any past experience with Last Mile delivery service?

A. Yes B. No

Yes 6

No 44

The above statistics reveal the past experience of merchants with some of them

tried with startups like Townrush, Roadrunnr,etc due to service failure in most

of the cases & high price margin forged them to withdraw their association with

the delivery partners. Further the high cost margin restricts the spreadout of the

network only to few selected merchants.

0 10 20 30 40 50

Yes

No

6

44

Responses

Responses



7. Are you interested with Opinio Hyper-local Logistics Service?

A. Yes B. No

Yes 42

No 8

As some of the merchants were previously unhappy with their delivery partners,

hence knowing about the Business Model, Price margin, dedicated Hubs at

prominent locations & huge Manpower availability finally convinced most of

the merchants to adopt & experience the service of Opinio.

42

8

Sales

Yes

No



8. How will u rate our Business Model?

A. 5- Highly Innovative

B. 4- Innovative

C. 3- Average

D. 2- Need Improvement

E. 1- Not Efficient

Massive Funding, Huge Manpower, Best-in class technology & infrastructure

enabled Opinio to get huge positive responses from the merchants. Also the

Price factor compelled the merchants to get tie-up with Opinio so as to expand

their market & profit through Home Deliveries.

0

2

4

6

8

10

12

14

16

18

20

5 4 3 2 1

10

20

12

5

3

Rankings

Rankings



9. What mode of operation you want to follow? A. Online B. Offline

Online 20

Offline 30

Due to non-availability of Technological Infrastructure some of the merchants

wish to do the offline service by giving specialized mode of Delivery option to

them whilst most of prominent merchants wants the fundamental way of

delivering as what Opinio used to do in general so as to ensure Real-time

tracking of delivery.

10. What is your expectation level from Opinio?

20

30

Mode of Operation

Online

Offline



A. 5- Very high

B. 4- High

C. 3- Average

D. 2- Low

E. 1- Very Low

Very High 5

High 4

Average 3

Low 2

Very Low 1

With new technology up gradation & huge manpower most of the merchants

have higher expectations from Opinio whereas due to failure of other

HyperLocal Logistics company, some has expressed dissatisfaction regarding

this Business model.

Responses

0

5

10

15

20

25

Very HighHigh

AverageLow

Very Low

25

10

7 6

Axi

s Ti

tle

Responses



11. What additions you want from Opinio? A. Android App B. Tablet C. Smart phone

D. Permanent Ground Pilot E. Faster Delivery

Android App 15

Tablet 10

Smartphone 8

Permanent GP 26

Faster Delivery 40

With the number of increasing Home Delivery orders & immense competition

to retain customers, Merchants expect Faster Delivery to be happened first,

whereas those who get regular orders want Permanent GP in their outlets to

avoid the rush of late delivery. The techies want devices with custom Opinio

app built-in to ensure timely deliveries.

15

10

8

26

40

Sales

Android App

Tablet

Smartphone

Permanent GP

Faster Delivery



Chapter- 3

Summary of Findings



Now to summarize the findings I got during my course of work in Opinio, I

would like to list it out as:

Any organization, especially a startup cannot really develop the business

until there is collaboration and coordination between all the departments.

During my course of work there I also had a realization about Blue

Ocean and Red Ocean theory, that blue ocean is not necessarily

beneficial in every cases, like in this case, we were among the last to

enter the South Bangalore Market, but our business model and services

were rather more acceptable in the market than the other competitors.

We had an upper hand because we could customize better according to

the customers’ need. The missed call option is the biggest example for

the same.

I got to learn that business development is not only sale but actually

understanding the need in the market and efficiently delivering. An

example for this would be the option for Single Pickup and multiple

drop, or the new option of POS also where the customer can easily make

card payments directly to the ground pilot.

The face of the food industry is completely different now since the

advent of these last mile delivery services, as the merchants now don’t

even recruit their staff for deliveries because they are getting better

services for much lower prices.

Merchants today are not afraid of trying new opportunities as long as

they see long term benefit in that.



Chapter- 4

CONCLUSION

&

RECOMMENDATION

Conclusion



I would like to conclude the report by just summarizing what I have been

talking about through all the report, that:

The only way to develop in such a competitive market like Delhi/NCR is

to collaborate and coordinate within all the departments. Inter department

rivalry will just give rise to conflict, no good can ever come out of it.

The atmosphere the top management has created of flat organizational

structure where everyone is considered the same and the company has

given rise to the first name culture is definitely a very bold step, but will

definitely garnish an atmosphere of friendship among the employees

which will definitely end up being profitable to the organization.

I would like to conclude by just saying that the emergence of services

like hyper local last mile delivery will definitely change the face of the

retail sector in this country if it has not already.

Recommendations



Following are some of the few points I would recommend to the company:

Every alternate day meeting of sales team

Once in a week common meeting of all the departments

Regular training and development sessions at least every fortnight

A well-structured sales pitch

Revision of delivery rates after a certain period of time

Provision of a structured invoicing software that can create an automatic

invoice every month and redirect to the respective merchant

Strict rule about the dress code, at least for the sales team

Better incentives for the sales team

Starting of operations in the breakfast hours also so as to serve more

customers

Provision of shift job for operations executives

Recruitment of non-local ground pilots to avoid conflict and for

betterment of training programs

Strict rules for ground pilots to be on time and avoid negligence



ANNEXURE- 1

QUESTIONNAIRE



(H.O- Concept Business Tech Park, B-Block, Bomanahalli, Bengaluru,

Karnataka)

Personal Details:

Name:

Address:

Business Type:

Contact No:

1. How old is your restaurant? A. 0-3 B. 3-5 C. 5-7 D. More than 8

2. Do you provide Home Delivery service? B. Yes B. No

3. If Yes do you have your own Delivery Service? A. Yes B. No



4. If Yes ,up to what distance & orders u handle?

A. 1-2 A. 0-5

B. 2-3 B. 5-10

C. 3-4 C. 10-15

D. 4-5 or more D. 15-20 or more

5. If No ,are you interested at Integrated Delivery Service? A. Yes B. No

6. Do you have any past experience with Last Mile delivery service? A. Yes B. No

7. Are you interested with Opinio Hyper-local Logistics Service?

A. Yes B. No

8. How will u rate our Business Model?

A. 5- Highly Innovative

B. 4- Innovative

C. 3- Average

D. 2- Need Improvement

E. 1- Not Efficient

Distance(kms) Orders (qty)



9. What mode of operation you want to follow? A. Online B. Offline

10. What is your expectation level from Opinio? A. 5- Very high

B. 4- High

C. 3- Average

D. 2- Low

E. 1- Very Low

11. What additions you want from Opinio? A. Android App B. Tablet C. Smart phone

D. Permanent Ground Pilot E. Faster Delivery



ANNEXURE II

SERVICE LEVEL

AGREEMENT



Date: ____ ____ ________

Greetings,

This is to bring in your kind attention - after successful first level talks - we are

pleased to on board you for our services.

Restaurant/Merchant Details:

Registered Name – ___________________________

Registered Address – ___________________________

_________________________ ______________

Owner Name – ___________________________

Phone Number – ___________________________

Email Address – ___________________________



(MERCHANT SIGNATURE)

For Opinio (Moonshots Internet Pvt. Ltd.)

On-Boarded by – ___________________________

Authorized by – ___________________________

Date of Agreement: ____ ____ ________

(AUTHORIZATION’ SIGNATURE)



ANNEXURE I

Standard Pricing:

Delivery Distance in Kilometres Price in INR

0 – 4.5 20/25 *

4.5 and above 20/25 + an additional 05 for every

extra Kilometre

*20 for internet booking / 25 for miss call booking.

The distance mentioned stands for the distance travelled by the Ground Pilot

from merchant to delivery location.

Note:

For bulk deliveries, we have a maximum cap of 5* per Ground Pilot. For

such bulk deliveries, we charge for, Number of deliveries (bulk) -1

(minus 1) , subjected to Min 2.

The service timings are 11.00 am to 11.45 pm (last order)



All cash payments up to Rs.1000 will be paid on the spot to the merchant.

Any payment more than Rs.1000 will be settled by EOD latest.

The Ground Pilots will be responsible for picking up and delivering the

items in a timely and safe manner. The packaging/billing/tallying shall be

done by the merchant.

This pricing will be applicable for 60 days after the end of the trial period

(7 days). Trial period will start from the ―Date of Agreement.‖

Invoicing – An Invoice will be raised to the Merchant in the 1st week of

every calendar month against services rendered in the previous calendar

month. Merchant will have to clear invoice within 7 days of invoice date.

*Standard Logistic Delivery Constraints Applicable



Service Level Agreement

Distance from

merchant

Arrival at

merchant

Drop Completion

(Single Drop)

Drop Completion

(Multiple Drop)

Worst-

Case

Best-

Case

Worst-

Case

Best-

Case

Worst-Case

0-1 km 15 mins 5 mins 20 mins 5-10

mins

30 mins

1-4.5 km 15 mins 5 mins 30 mins 15-20

mins

45-60 mins

>4.5 km (up to

6 kms)

15 mins 5 mins 45 mins 25-30

mins

NA

These are our best-effort scenarios. These numbers can vary, depending on

external factors.

13. The ―Arrival at merchant‖ time is calculated from the time the Ground

Pilot accepts the request.



14. The ―Drop Completion‖ time is calculated from the time the Ground

Pilot leaves after making the pick till they complete the delivery.

15. If the order has been picked up by the Ground Pilot and then is cancelled

for reasons other than the order reaching late, it will be chargeable to the

merchant.

16. In case it is cancelled before the Ground Pilot makes the pickup, it is not

chargeable.

17. ―Multiple Drop‖ will be defined as one Ground Pilot making a pickup

from the same merchant and delivering parcels to multiple addresses.

These addresses can be in the same society/business park/locality.

18. Multiple drops will be accepted only if they are in the same locality. The

Ground Pilot cannot accept drops located more than 1 km from each

other. The Ground Pilot can only accept up to a maximum of 5* drops in

a Multiple Drop.

19. It is the merchant’s responsibility to ensure the order is correct in terms

of packaging, matching of items to bill and keeping the parcel ready for

pickup. The Ground Pilot will check the packing and match the item

quantities with the bill and alert the merchant if there is any issue with

either of them.

20. In case the Ground Pilot does not complete the task during the worst-case

time mentioned, it will be noted the first time and an attempt to eliminate

such an incident will be made. If it happens again after this incident,

Opinio shall not charge for that particular delivery.

21. The Ground Pilot cannot accept any delivery that has been requested

through mechanisms other than the ones provided by Opinio. (Merchant

App / Call Based). The merchant is requested to adhere to this policy

strictly.



22. The Hub Manager will be responsible for tracking the Ground Pilot from

the time the order is assigned to them till it is completed. For any

query/issue resolution, the merchant is requested to call the Hub Manager

for their area, whose phone number will be provided to them at the time

of on-boarding.

23. The merchant is requested to request for the Ground Pilot through their

merchant app in such a way that they will not be required to wait at the

premises for more than 10 minutes.

24. The business hours for Opinio Ground Pilots will be from 11 am till

11.45 pm i.e. the Ground Pilots can take requests for deliveries till 11.45

pm only. The merchant is requested to not make any requests post 11.45

pm

Contact Information for Operation related enquiries (Ground Pilot delivery)

Name: ___________________

Number: ____________________

Contact Information for Sales related enquiries

Name: ___________________

Number: ____________________



Thank You…

Bibliography

Books:

Business Statistics – G.C. Berry

Marketing Management – Philip Kotler

Websites and Journals:

Deliver.opinioapp.com

Opinioapp.com

Iamwire.com

Yourstory.com

Andrewdumont.com

Industryweek.com



Talkinglogistics.com

Livemint.com

jintu final

Documents