A new business model for On-demand delivery of food in Bangalore

Abstract

This project has been conducted in order to devise an On-demand food delivery model for Bangalore. We have looked at the same specifically from the perspective of Maiyas Restaurant (from the house of MTR). In order to achieve the required model, we have studied the food industry in Bangalore from the angles of demographics, economy, target segment and market potential. In order to identify the attractiveness and feasibility of Ondemand delivery model, we have done SWOT analysis, Porter’s five force analysis and competitive analysis. Based on the same, we found moderate-to-high attractiveness of this opportunity. In order to develop the required model, we have conducted thorough literature study and have tried to apply the relevant theory concepts to the problem at hand. Under literature study we have studied SCM and other aspects like various ways of transportation and graph theory. Under graph theory we looked at Hamilton’s path, Travelling salesman problem, Minimum spanning tree (Kruskal’s and Prims) and various others. Based on the study, we have generated example simulation for Bangalore. Also, in order to achieve the required result we have studied the Mumbai dabbawallah model in detail. Under Mumbai dabbawallah, we have tried to gauge their success factors and have tested its replicability in Bangalore. We have applied the learning from their model in Bangalore with various customizations, for example, we have suggested the coding scheme for On-demand food delivery using the same. In order to achieve the customer perspective & preferences on various related issues, we have prepared a survey questionnaire keeping Maiyas in mind all the way. This survey, when conducted, could give us valuable data which can be of great help in further refining the suggested model. Also, we have looked in to the aspect of logistics and constraints under this opportunity, for example, time window, cost and storage. We have looked upon them in detail. We have also suggested the revenue model with focus on its operational aspect. Under the same, we suggest the subscription fee based model to be used initially (known customer demand). Lastly, we have studied various possible delivery model and have chosen the best possible model keeping in mind all the constraints and requirements as per Bangalore city. Overall, we have suggested a business model for this opportunity covering all the relevant aspects of infrastructure, finance, operations and value proposition.