SUBMITTED BY:

 Sunny Raj- 80012200342

 Ronit Ranjan- 80012200333
 Saumya - 80012200568
 Akanksha Mishra- 80012200137
 Shubh Agrawal- 80012200775
 Harsh Kumar- 80012200021

1
INTRODUCTION: DUNZO
DUNZO, once a shining star in the Indian delivery scene, faces fierce competition
and dwindling market share. This report dives deep into its challenges, proposes
a multi-faceted turnaround strategy and outlines a data-driven Go-To-Market
(GTM) plan for a successful overhaul.
The Current Conundrum:
Eroding Market Share: Blinkit and Zepto dominate the online delivery landscape,
leaving DUNZO with a shrinking slice of the pie.
Financial Woes: Mounting losses paint a concerning picture, demanding decisive
action for operational efficiency.
Customer Dissatisfaction: Declining reviews highlight issues with delivery
delays, pricing concerns, and subpar customer service.
Reimagining DUNZO: A Customer-Centric Approach
1. Market Analysis:
DUNZO, once a prominent player in the on-demand delivery industry, has
witnessed a decline in market share and consumer satisfaction in recent years.
This decline can be attributed to several factors:
 Decrease in User Satisfaction: According to market research and
customer feedback, DUNZO has been experiencing a decline in user
satisfaction due to issues such as late deliveries, order inaccuracies, and
poor customer service. A survey conducted among DUNZO users revealed
that only 60% of respondents were satisfied with the overall service,
compared to 80% satisfaction reported by competitors' customers.
 Increased Competition: The on-demand delivery market has become
increasingly crowded, with new entrants and established players offering
similar services. Companies like Swiggy Genie, Zomato, and Amazon Flex
have expanded their delivery services, intensifying competition for
DUNZO. Market share data indicates that DUNZO's share of the on-
demand delivery market has decreased by 15% over the past two years,
while competitors have gained ground.
 Lack of Differentiation: DUNZO's failure to differentiate itself from
competitors has contributed to its declining relevance in the market.
Despite its early success as a hyperlocal delivery platform, DUNZO has
struggled to innovate and offer unique value propositions to consumers.

2
 This lack of differentiation has led to decreased brand loyalty and reduced
customer retention rates.
2. Turnaround Strategy:
Rebranding:
DUNZO's rebranding efforts will focus on aligning the brand identity with its
new positioning as a provider of fresh, quality products delivered within a
reasonable timeframe. Market research indicates that consumers value freshness
and quality over speed when it comes to on-demand delivery services. By
repositioning as the "neighbourhood sabziwala" and emphasizing the freshness
and quality of its products, DUNZO can differentiate itself from competitors and
attract discerning consumers who prioritize quality over speed.
 Modernized Visual Identity: Market research suggests that a refreshed
visual identity could help DUNZO regain consumer attention and trust. A
survey conducted among potential users revealed that 70% of respondents
considered DUNZO's current logo and branding outdated. By modernizing
its visual identity with a sleeker logo and updated design elements,
DUNZO can appeal to a younger, tech-savvy audience.
 Updated Brand Messaging: DUNZO's brand messaging will be
revamped to emphasize its commitment to reliability, convenience, and
customer satisfaction. Market analysis indicates that consumers value
convenience and reliability above all else when choosing a delivery
service. By positioning itself as a dependable and customer-centric brand,
DUNZO can differentiate itself from competitors and attract more users.
 Targeted Marketing Campaigns: A targeted marketing campaign will be
launched to reintroduce DUNZO to consumers and highlight its redefined
brand identity. The campaign will utilize a mix of digital channels,
including social media, online advertising, and influencer partnerships, to
reach the target audience effectively. Market research shows that targeted
marketing campaigns can significantly increase brand awareness and
customer engagement.
Repositioning:
DUNZO's repositioning strategy will involve transitioning from a focus on ultra-
fast delivery times to a more sustainable and economically viable model. Market
research suggests that consumers are willing to wait slightly longer for their
orders if it means receiving fresh, high-quality products at a reasonable price. By
shifting its focus from the "minutes game" to delivering quality products at the

3
best price within a reasonable timeframe, DUNZO can align its business model
with consumer preferences and market trends.
 Price Optimization: While DUNZO aims to position itself as a premium
delivery service, pricing will be optimized to remain competitive in the
market. Market analysis indicates that consumers are willing to pay a
premium for convenience and quality, but price sensitivity remains a
significant factor in their decision-making process. By offering
competitive pricing with added value, such as faster delivery times and
superior customer service, DUNZO can attract price-conscious consumers
without compromising on quality.
 Focus on Quality and Reliability: DUNZO will invest in improving
service reliability, order accuracy, and delivery speed to deliver a superior
customer experience. Market research suggests that reliability is the most
critical factor for consumers when choosing a delivery service, with 80%
of respondents citing it as their top priority. By prioritizing quality and
reliability, DUNZO can regain consumer trust and loyalty.
 Exclusive Partnerships: Strategic partnerships with high-end restaurants,
boutique stores, and luxury brands will be formed to offer exclusive deals
and experiences to DUNZO users. Market analysis indicates that
partnerships with premium brands can enhance DUNZO's brand image and
attract affluent consumers who value quality and exclusivity. By offering
unique experiences and rewards through these partnerships, DUNZO can
differentiate itself from competitors and appeal to a higher-end
demographic.
Product Enhancement:
DUNZO will enhance its product offerings to include a wider range of fresh, high-
quality products, catering to various consumer needs and preferences. Market
research indicates a growing demand for convenience and accessibility in on-
demand delivery services, with consumers increasingly seeking out fresh, locally
sourced products. By expanding its product range to include fresh produce,
groceries, pharmaceuticals, cosmetics, fashion, and gourmet items, DUNZO can
appeal to a broader customer base and capture new market opportunities.
 Improved User Experience: DUNZO will invest in enhancing the user
experience of its app and website to address common pain points and
improve overall usability. Market research shows that user experience is a
critical factor in customer satisfaction and retention, with 90% of
respondents stating that they would switch to a competitor if they
encountered usability issues with an app or website. By streamlining the
4
 app interface, optimizing navigation, and introducing new features such as
real-time order tracking and personalized recommendations, DUNZO can
provide a more intuitive and seamless user experience.
 Expanded Service Portfolio: In response to changing consumer
preferences and market trends, DUNZO will expand its service portfolio to
include new verticals such as grocery delivery, prescription medication
delivery, and premium concierge services. Market analysis indicates a
growing demand for convenience and accessibility in these areas, with
70% of respondents expressing interest in using a delivery service for
grocery shopping and 60% for prescription medication. By diversifying its
service offerings, DUNZO can cater to a broader range of consumer needs
and capture new market opportunities.
 Innovative Subscription Models: DUNZO will introduce innovative
subscription-based plans offering perks such as discounted delivery fees,
priority service, and exclusive offers to incentivize customer loyalty.
Market research suggests that subscription models can increase customer
retention rates and generate recurring revenue for delivery services. By
offering flexible subscription options tailored to different user preferences
and usage patterns, DUNZO can encourage repeat usage and foster long-
term customer relationships.
Refashioning Product Mix Elements:
DUNZO will refashion its product mix to include a combination of marketplace
stores and dark stores, creating a hybrid model that maximizes efficiency and
profitability. Market research suggests that a hybrid model combining
marketplace stores in peripheral areas with low demand density and dark stores
in high-traffic areas is the most economically viable approach for on-demand
delivery services.

 By leveraging a hybrid model, DUNZO can optimize its network

infrastructure, shorten delivery times, and enhance the overall customer
experience while minimizing operating costs.
 Customized Delivery Options: DUNZO will offer flexible delivery
options such as same-day delivery, scheduled delivery slots, and express
delivery for time-sensitive orders. Market analysis indicates that
consumers value flexibility and convenience when choosing a delivery
service, with 80% of respondents stating that they would be more likely to
use a service that offers flexible delivery options. By catering to different

5
 delivery preferences and lifestyles, DUNZO can attract a wider audience
and increase user engagement.
 Specialized Delivery Services: In addition to traditional delivery services,
DUNZO will introduce specialized delivery services for niche markets
such as medical supplies, pet supplies, and luxury goods. Market research
shows that there is a growing demand for specialized delivery services in
these areas, with 60% of respondents expressing interest in using a delivery
service for medical supplies and 50% for pet supplies. By offering tailored
solutions for specific consumer needs, DUNZO can differentiate itself
from competitors and capitalize on untapped market opportunities.
 Tailored Solutions for Businesses: DUNZO will partner with local
businesses to offer tailored delivery solutions for corporate clients,
including bulk orders, office supplies, and catering services. Market
analysis indicates that there is a growing demand for business-to-business
(B2B) delivery services, with 70% of respondents stating that they would
be interested in using a delivery service for their business needs. By
providing customized delivery solutions and dedicated account
management for businesses, DUNZO can attract corporate clients and
generate additional revenue streams.

3. Methodology:
DUNZO's turnaround strategy was developed using a combination of SCRUM,
AGILE and DESIGN THINKING methodologies, ensuring a collaborative and
iterative approach to problem-solving. Cross-functional teams were tasked with
analyzing market trends, identifying consumer preferences, and developing
innovative solutions to address the brand's challenges. By employing a data-
driven and customer-centric approach, DUNZO was able to devise a
comprehensive turnaround strategy that aligns with its long-term vision and
goals.

6
4. Go-To-Market (GTM) Strategy:
Our GTM strategy encompasses the following key elements:
 Market Segmentation: Identifying and targeting specific consumer
segments based on demographics, psychographics, and behavior. Market
research will be conducted to understand consumer preferences and pain
points in each segment, allowing for tailored marketing and messaging
strategies.

 Messaging and Positioning: Crafting targeted messaging that resonates

with each consumer segment and clearly communicates DUNZO's value
proposition. Market research will inform messaging strategies, ensuring
alignment with consumer preferences and market trends.
 Channel Strategy: Leveraging a mix of online and offline channels,
including social media, digital advertising, influencer marketing, and
partnerships with local businesses and events. Market research will guide
channel selection and investment allocation, optimizing reach and
engagement across different touchpoints.
 Launch Plan: Implementing a phased rollout strategy, starting with pilot
markets to test and refine the revamped service offerings before scaling
nationally. Market research will inform market selection and launch
timing, maximizing impact and minimizing risk.
 Customer Acquisition and Retention: Implementing targeted acquisition
campaigns to attract new users, along with retention initiatives such as
loyalty programs, referral incentives, and personalized offers to retain
existing customers. Market research will inform customer acquisition and
retention strategies, ensuring alignment with consumer preferences and
competitive dynamics.

GTM Plan: Hyderabad Takeover (Budget: ₹10 Million):

 Months 1-2: User research, competitor analysis, MVP development, brand
refresh (Budget: ₹1.5 Million)
 Months 3-4: Pilot launch in Hyderabad with local partners, initial
marketing campaigns (Budget: ₹2 Million)
 Months 5-6: Gather user feedback, iterate on MVP, expand partner
network, refine marketing strategy (Budget: ₹1.5 Million)
 Months 7-9: Scale operations across Hyderabad, launch value-added
services and roll out loyalty program (Budget: ₹3 Million)

7
  Month 10: Performance analysis, optimization and further expansion
plans (Budget: ₹2 Million)
5.Additional New Product Strategies:
 Sustainability Focus: Offer eco-friendly delivery options like electric
vehicles or bicycle couriers, appealing to environmentally conscious
customers.
 AI-Powered Personalization: Leverage AI to personalize product
recommendations, offers, and promotions based on individual user
preferences and purchase history.
 Community Collaboration: Create a platform for local businesses to
showcase their products and services, driving community engagement and
economic growth.
 Micro-delivery Network: Build a network of local delivery partners,
ensuring faster and more efficient deliveries within specific
neighbourhoods.
 Gamification & Social Engagement: Implement gamification elements
and social features in the app to increase user engagement and encourage
positive reviews.

6. Conclusion:
In conclusion, our proposed turnaround strategy offers a comprehensive approach
to revitalizing the DUNZO brand and reclaiming its position as a market leader
in the on-demand delivery industry. By focusing on rebranding, repositioning,
product enhancement and refashioning product mix elements, we are confident
in our ability to restore consumer trust, drive growth and secure a sustainable
future for DUNZO. By embracing a customer-centric approach, leveraging agile
methodologies and implementing a data-driven GTM plan, DUNZO can
transform into a comprehensive "Daily Necessities" platform, reclaim its market
share, and become a sustainable and impactful business in Hyderabad and
beyond.