G7-SM Report
G7-SM Report
G7-SM Report
Section B, Group- 7
G. Venkata Vamsi – 191143
Ramisetti Jagadeesh Babu – 191221
Sunappa Uma shankar - 191181
Cheathi Vivek – 191371
Kodali Rishitha – 191159
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Table of Contents:
XS. No Topics Covered Page No
1 Introduction 3
6 Customer Satisfaction 9
10 Servicescape 16
12 SERVQUAL Analysis 19
14 References 24
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I. Introduction
Online food-delivery platforms are expanding choice and convenience, allowing
customers to order from a wide array of restaurants with a single tap of their mobile
phone.The business of delivering restaurant meals to the home is undergoing rapid
change as new online platforms race to capture markets and customers across the
Americas, Asia, Europe, and the Middle East. Although these new Internet platforms are
attracting considerable investment and high valuations—already, five are valued at more
than $1 billion—little real knowledge about market dynamics, growth potential, or
customer behaviour exists.The online food-delivery market in India is pegged at around
Rs 51,000 crore. Bengaluru-based Swiggy, which is India’s fastest start up to become a
unicorn (start ups with valuation exceeding $1 billion), delivered about 33 million orders
in March. Its main rival, Gurugram-based Zomato, delivered around 38 million orders in
the month. Both companies are now focusing on geographic expansion.
About Swiggy
Swiggy is an online food ordering platform. It connects people with restaurants. People can
use Swiggy app or website to look for eateries around their area and order food from them.
Swiggy has a team of delivery executives who pick up the order from the restaurants and
deliver it to the address provided by the customer. It is Started in 2014 and secured $2 million
funding within 8 months of its launch. Using this, it expanded exponentially, and it now has
over 40,000 restaurant partners spread over more than 44 cities in the country.
Changes in industry post Covid19
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On the account of the novel corona virus Indian government has declared lockdown in
India under Prime Minister Narendra Modi ordered a nationwide lockdown for 21
days, limiting movement of the entire 1.3 billion population of India as a preventive
measure against the Virus. Due to which the all the business outlets across the India
were closed. Therefore, the food aggregators were out of business. Nevertheless, with
the possession of outstanding supply chain they started delivering the Essentials,
alcoholics beverages.
Currently, unlock 1.0 the restaurants are working and food aggregators are working
and the demand for the food aggregators in been expected to be increased as the dine
in service is being restricted abundantly.
Psychological changes
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Consumers prefer to order the food online instead of dine in. The chances of it
becoming habit increases due to the increasing number of cases and fear of dine in
may attract to the diocese. Consumers are forced to adopt to choose the Food delivery
services.
Behavioural changes:
There will be brand new habits acquired such as awareness for personnel and public
hygiene, regular handwashing with the soap, social distancing, people are getting used
to wear masks for grocery shopping. After the covid-19 these will be adopted by the
public.
Staff Management- Advisory For Staff: Staff should wash hands with soap every
hour. Temperature checks for staff entering the restaurant premises must be a
mandate.
Staff Health & Safety: Let Your Unwell Staff Rest - As per Govt guidelines, staff
members who are sick should be given paid leave and advised to stay at home.
In-Restaurant Operation: Modified Seating Plan - Space management and overall
interiors must be ‘Social distancing’ themed. Maintain at least a two-meter gap
between tables.
Kitchen Operations: No entry for un-sanitised material and staff - Make sure every
staff and material is sanitised before entering the kitchen area.
Delivery and pick-up orders- Enable 'No Touch' Deliveries - Encourage diners to opt
for the ‘contactless delivery’ option. Notify diners via text message or phone call
when their order is about to arrive.
Contactless Dining- Many restaurateurs are looking at contactless dining to remove
nonessential human interaction and continue to safeguard both diners and staff
interest. There are a multitude of touchpoints with a diner that restaurateurs are
looking to modify and facilitate with the introduction of technology. These can be
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simple actions like booking a table, pre-ordering meals, takeaway, digital ordering,
digital payment, etc. Priority for diners will shift and restaurants are planning
accordingly.
Restaurants which adhere to all of these guidelines are promoted as having ‘Best
Safety Standards’ on the app.
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Sensitizing the delivery partners is especially important as they usually come in close
physical proximity with different individuals, including customers, restaurants and
other delivery partners
A Deep-learning-based algorithm was built to ensure that the delivery partners wear
masks on a regular basis. Every delivery partner is required to click a selfie and post it
on their app when they log-in to the system and start receiving orders. The algorithm
checks if the delivery partner is wearing a mask and does not allow partners without
masks to log-in. This tool helps us ensure that our delivery partners follow the required
mask-safety guideline.
Contactless Deliveries are geared towards maximizing the distance between the
delivery partner and the customer. The delivery partner delivers food outside the
customer’s doorstep and then leaves. The customer gets a notification on the app
saying that their food has been delivered. Fewer the number of customers a delivery
partner interacted with, smaller the chance of him contracting an infection, and smaller
still the chance of him transmitting it to any other customer or restaurant executive.
warehousing, and picking and packing. These services are based on a no-human
interaction model. There will also be a lot more automation, to stuff a truck if we do a
head-load of 30-40 kg, for stuffing a 20-tonne truck you require about 400 trips. Now
compare that with a palette which is much faster and has got less human touch. So, you
will find more automation coming into the entire logistics for handling of goods in a
multimodal network. you will also see a lot of automation into warehouses with less staff
and more of machines doing the job.
CUSTOMER SERVICE: They increased the AI enabled personal assistance in
order to support covid 19 requests and the contact centres running at work from
home and with the email complaints. Here they didn’t develop, communicate and
train at romote working places and with limited staff here they have the
performance gap in which they are not delivering the customer service standards.
In the post covid situation they movitating the employee who are struggling to
adjust . as they keeping the staff happy by giving more incentives and motivated
during this time ,this will create a positive work environment and ensuring that
they feel valued. These helps to delivery high customer service standards
HUMAN RESOURCE: Impact on hiring practices: There has been a demonstrable
impact on the hiring process. Effective use of applicant tracking systems through online
application process and virtual interviews have been some recent changes in the hiring
process adopted by organisations. Increase in remote working As organizations shift to
more remote work operations. And they expand the employee data collection to monitor
their employees through methods such as virtual clocking in and out, tracking work
computer usage, and monitoring employee emails or internal communications/chat. While
some companies track productivity, others monitor employee engagement and well-being
to better understand employee experience.
MARKETING :The covid 19 impacted on the consumer behaviour as many companies
reduced their advertisements. they revamp their marketing strategies to stay competitive in
post covid. They are mostly focusing on the digital marketing strategies.
Prioritising hygiene, health, and safety: In the current scenario with the highly
transmissible nature of the virus, it is imperative for business to implement top-
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notch hygiene and precautionary measures to make sure that both the customers
and the delivery executives are safe. Companies are also installing a digital
infrared thermometer which displays the real-time body temperature of the
delivery executives in mobile apps for ensuring better safety and customer trust.
Zero Contact pickup and delivery service : Now customers can now collect parcels
without coming in contact with delivery personnel, in this case the delivery executive
would leave the order on a clean surface outside the customer’s door. The customer
would then be notified with a phone call, ringing the doorbell and even sharing an image
of the delivery before marking the order as ‘delivered ‘and while pickup of the parcel
from the customer location here the delivery personnel call the customer and
communicate them to place at outside the house to ensure contactless pickup. These
eliminate the need for human contact, thereby, minimizing the possibility of transfer and
spread of infections. Contactless pick-up, delivery, and payment options by QR code
scanning or clicking an image and then digitally signing the image are following by the
logistics companies for the safety of delivery partners and customers.
Adopting New Technology in Logistics: New technologies include smart ware housing,
robots, and Artificial Intelligence in logistics industry. So many leading companies
adopting new Technologies To help further elevate a logistical organization’s operational
efficiency in distribution, warehousing, and picking and packing. These services are
based on a no-human interaction model
Build / re-build transport capacity: As transport capacities have been disrupted by
stranded trucks, drivers going home etc. across the country, there is likely to be a need for
thousands of trained drivers/trucks to move essential supplies. A quick way to build last-
mile transport capacity would be to partner with e-commerce companies and online
pharmacies/other online delivery players which have built distribution capacity and focus
this entire capacity on the distribution of essentials with permits/curfew passes etc.
enabled by mobile technology and an orchestrator to centrally manage and coordinate this
capacity.
Improved the Customer Support: increased AI powered bots in customer service these
bots helps to handle a big part of customer queries and personal assistance as there is lot
of complaints as the demand is increasing in order to not to cause any disruption to the
customers while contacting the customer care it helps to retain their customers and
maintain better service quality.
IV. Customer satisfaction:
Customer satisfaction is more important, even in the logistics industry – in fact,
especially in the logistics industry. Why the whole process might seem as simple as
picking up a customer’s delivery and delivering it to its destination, customer satisfaction
ultimately comes down to what your business can offer them outside of that simple
process. Online services to track their shipments can work wonders, but human
interaction is just as effective. Keep your customers up to date on their shipments if you
can, or explain to them from the outset what will happen with their deliveries. Keeping a
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customer satisfied will keep them a customer. Having good customer service in the
logistics industry will ultimately improve your customer satisfaction levels.
Customer satisfaction measures how well the expectations of a customer concerning a
product or service provided by a company have been met. Customer satisfaction involves
factors such as the quality of the product, the quality of the service provided, the atmosphere
of the location where the product or service is purchased, and the price of the product or
service. Businesses often use customer satisfaction surveys to gauge customer satisfaction.
These surveys are used to gather information about customer satisfaction. Typical areas
addressed in the surveys include:
Quality of product
Value of product relative to price - a function of quality and price
Time issues, such as product availability, availability of sales assistance, time waiting
at checkout, and delivery time
Atmosphere of store, such as cleanliness, organization, and enjoyable shopping
environment.
Good customer service comes down to showing respect for your customers and their wants
and needs. Greet your customers by name for a more personalized experience, and show that
you are willing to adapt as far as you can to meet the needs of a customer. Respecting them
and their time and schedules shows that you care more about them and your business as a
whole than simply bringing in cash. Customers want convenience, especially in the fast-
paced world we live in, and customer service is one of the best ways to show that you are
catering to this want as much as you can.
Customer satisfaction provides an important indicator of consumer purchase intention and
loyalty, among the mostly collected indicator, their principal use is twofold:
1- Within the organization, analysis of the collected data sends a message about the
importance of tending to customers and ensuring that they have a positive feedback and
experience with the company goods and services.
2- Throughout market share, it can indicate how well a firm is performing, customer
satisfaction is the best indicator of how likely it is that the firm’s customers will make further
purchases in the future.
Most of researchers described the customer satisfaction as the most important indicator of
company existence and product life.
5. A proactive approach
Service providers should also proactively inform the customer on the progress of their
order. This approach often makes shoppers feel as though they are being personally
cared for by a brand and can thereby drive customer loyalty. Even elite online
retailers experience delivery issues from time to time but the ability to identify
delayed or partially shipped orders helps to alert their customers more quickly, thus
reducing the number of complaints and customer enquiries.
8. Managing expectations
Setting realistic expectations for your customers can limit frustrations. Avoid
promising more than you can realistically deliver as this can affect customers’
confidence in making future online purchases and make them feel valued.
Keeping customers informed at all times and proactively managing their expectations
during the delivery process is a defining factor for the success of ecommerce
companies who retain their clientele. This is especially true for pure players as the
delivery experience is one of the most important customer touchpoints and one of the
few ways they can differentiate themselves from their competition.
Logistics companies can improve their performance and meet the customer satisfaction
by:
Minimizing wait time to deliver the package to the customers
Making tracking easy and user friendly
Updating tracking details through messages or emails frequently.
Responding to customer queries in efficient way.
1. Fast Processing : Customers expect fast processing when they order their food or any
product. In order to meet the time lines, an online food ordering app that loads at a
fast pace connects at the backend system and offers information that the user wants is
preferred. The kitchen staff and the delivery boy has to do a lot of work and that too at
a good speed only then you will gain more potential customers. Identify the obstacles
you are facing, combat them, and they stay future ready.
2. Tracking the Delivery Status : A restaurant or a delivery service should realize that
customers are hungry, A tracking service must be provided . The app should be bug-
free and should never make mistakes or delay in giving real-time information. Tell
them the exact time, how long will it take to deliver food.
3. Listen to Customers : Unsatisfied customers can be a great source of learning for the
delivery services They shouldn’t ignore the reviews and feedback they give on the
portal. Take criticism sportingly. This will enhance the customer user experience to a
huge extent. A customer deliberately needs a service to listen to their issues and solve
them. They expect services to provide best ever pssible whenever needed.
According to the model's developer, the servicescape acts like a "product's package" -
by communicating a total image to customers and providing information about how to
use the service.
Services marketing typically refers to both business to consumer (B2C) and business-
to-business (B2B) services, and includes marketing of services such as
telecommunications services, financial services, all types of hospitality, tourism
leisure and entertainment services, car rental services, health care services and
professional services and trade services.
X. GAPS Model:
Today’s consumer has become increasingly demanding. They not only want high
quality products but they also expect high quality customer service. Even
manufactured products such as cars, mobile phones and computers cannot gain a
strategic competitive advantage through the physical products alone. From a
consumer’s point of view, customer service is considered very much part of the
product.
Introduce a framework,call the gaps model of service quality.
Demonstrate that the most critical service quality gap to close is the customer gap,the
difference between customer expectations and perceptions.
Show that four gaps that occur in companies,which we call provider gaps,are
responsible for the customer gap.
Identify the four factors responsible for each of the four provider gaps.
CUSTOMER GAP:
Customer gap is difference between customer expectations and Perceptions they are
Lack of upward communication,Insufficient relationship focus,Inadequate service
quality.
In food aggregates like Zomato Customer expectations are listen to customers, Do
things that customers interested,Fast delivery,Tracking and delivery status.
GAP1(THE LISTENING GAP):
Poor service design. Food Panda had failed to connect service design to service
positioning.
Absence of customer-driven standards.Food Panda had absence of formal process for
setting service quality goals.
Inappropriate physical evidence and servicescape.
So due to the design gap Food panda had not able to design their plan properly to
provide delivery services to customers ,
So they are not present in the market like Zomato and SWIGGY.
Responsiveness
Gap
Expectations (E) Perceptions (P) Score
Employees of food aggregators will
tell customers exactly when services SWIGGY will tell exactly when
will be performed 4.70 services will be provided to customers 5.04 0.33
Employees of food aggregators will
give promotional discounts to SWIGGY will give promotional offers
customers 4.78 to the customers 4.96 0.19
Employees of food aggregators will SWIGGY will always provide the
always be willing to help customers 4.81 customer service 5.04 0.22
Employees of food aggregators will
never be too busy to respond to SWIGGY services are never too busy
customers’ requests. 4.63 to respond to your request 4.89 0.26
Average Responsiveness
SERQUAL Score: 0.25
Assurance
Gap
Expectations (E) Perceptions (P) Score
The behaviour of employees in Food The behavior of employees in
aggregators instils confidence in you 5.04 SWIGGY will instill confidence in 4.88 -0.15
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customers
You feel safe in your transactions with Customers of SWIGGY will feel safe
Food aggregators 5.41 in transactions 5.04 -0.37
Employees of SWIGGY will be
Employees in Food aggregators area consistently courteous with
consistently courteous with you 5.33 customers 5.00 -0.33
Employees can answer questions Employees of SWIGGY have the
completely 5.04 knowledge to answer your questions 5.07 0.04
Average Assurance
SERQUAL Score: -0.20
Reliability
Gap
Expectations (E) Perceptions (P) Score
When the Food aggregators promise When SWIGGY promises to do
to do something by a certain time, something by a certain time, it does
they so. 4.81 so 4.96 0.15
When customers have problems,
Food aggregators should be When you have problems, SWIGGY
sympathetic and reassuring 5.22 is sympathetic and reassuring 4.85 -0.37
Food aggregators performs the SWIGYY performs the services right
services right the first time 5.00 the first time 4.67 -0.33
Food aggregators should provide
their services at time they promise to SWIGGY provides its services at the
do so 5.30 time it promises to do so 4.67 -0.63
Food aggregators will insist on error
free records 5.11 SWIGGY keeps its records accurately 5.15 0.04
Average Reliability
SERQUAL Score: -0.32
Empathy
Gap
Expectations (E) Perceptions (P) Score
Food aggregator services will give SWIGGY gives you individual
customers individual attention 4.96 attention 5.04 0.07
Food aggregators will have operating
hours convenient to all their SWIGGY has operating hours
customers 5.26 convenient to all its customers 5.11 -0.15
Food aggregators will have
employees who give customer SWIGGY has employees who give
personal attention 5.00 customers personal attention 4.93 -0.07
Food aggregators will have their SWIGGY has the best interest to
customers best interest at heart 5.00 serve customers at heart 5.08 0.08
The Food aggregator employees will
understand the specific needs of their The employees of the SWIGGY
customer 4.56 understand your specific needs 5.11 0.56
Average Empathy
SERQUAL Score: 0.10
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Tangibles
Gap
Expectations (E) Perceptions (P) Score
Food aggregator have modern SWIGGY has modern baggage, outfit
baggage, outfit and devices for the and devices for the delivery
delivery executives 5.41 executives 5.19 -0.22
Food aggregator APP UI design, SWIGGY APP UI design, graphics
graphics and the pictures of the Food and the pictures of the Food products
products will be Clear, Attractive and are Clear, Attractive and well
well explained? 5.41 explained 5.11 -0.30
Do you think the delivery executives
and restaurants which Food Delivery executives and restaurants
aggregator they offer Foods the which SWIGGY offer follows the
highest hygiene standards and good highest hygiene standards and good
packaging? 5.07 packaging 5.22 0.15
The product that you have ordered The product that you have ordered
from the Food aggregator is shown as from the SWIGGY is shown as per
per the image meets your the image meets your expectations
expectations during the tasting 4.96 during the tasting 4.93 -0.04
Average Tangibles
SERQUAL Score: -0.10
Analysis
It is evident from the above calculation that Average assurance, reliability, tangibles
came to be negatives balances. It implies that the customers expectation exceeds the
customer perceptions. It suggests that Swiggy needs to concentrate on the Assurance,
reliability, and tangibles at the present scenario to provide the superior qualitative
services. Coming to the other dimensions i.e., Empathy, Responsiveness the average
results are positive. The result will be positive when customer perceptions exceeding
their expectations. This implies that Swiggy has satisfied their customer by being
empathetic and highly responsive at the same time.
The Reliability plays crucial role in the Food aggregator business. Here the Average
reliability tends to -0.32, i.e., far away from the customer expectations. Swiggy need
to concentrate on fulfilling their promises by being sympathetic, reassuring and error
free deliveries on the timely basis to the customers.
Conclusion
https://www.mckinsey.com/industries/technology-media-and-telecommunications/our-
insights/the-changing-market-for-food-delivery#:~:text=Aggregators,through%20a%20single
%20online%20portal.&text=The%20aggregators%20collect%20a%20fixed,restaurant%20handles
%20the%20actual%20delivery.https://www.mckinsey.com/industries/technology-media-and-
telecommunications/our-insights/the-changing-market-for-food-
delivery#:~:text=Aggregators,through%20a%20single%20online%20portal.&text=The
%20aggregators%20collect%20a%20fixed,restaurant%20handles%20the%20actual%20delivery.
https://www.livemint.com/news/india/food-aggregators-restaurants-focus-on-cloud-kitchens-as-
business-uncertainty-reigns-11591705342947.html
https://brandequity.economictimes.indiatimes.com/news/marketing/ministry-of-tourism-releases-
dineouts-white-paper-on-guidelines-for-restaurants-post-covid/75552170
https://www.icoderzsolutions.com/blog/do-you-know-the-cost-features-and-benefits-of-food-delivery-
app-development-models/
https://www.theweek.in/theweek/business/2019/04/26/how-food-aggregator-apps-like-swiggy-
zomato-are-trying-innovative-business-methods.html
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