Team : Four Musketeers PROBLEM STATEMENT Dunzo is looking to come up with ways to reduce their carbon footprint as a company as well as that of their users. For this problem, assume that Dunzo is taking all measures on the sourcing, warehousing, packaging front and the focus needs to be exclusively on consumer-facing solutions. ● ● Devise some product strategies/features or campaigns that will help Dunzo and its users reduce carbon footprint and move towards a sustainable future. Research User Behaviour to ensure their experience isn't compromised in the process ● Objectives ● Problem ● Approach & fINDINGS CONTENTS ● Your solution OBJECTIVES ● ● ● Analyze the present Dunzo offerings (products, features, and marketing) to determine their ecological footprint. Research and assess the sustainable practices and technologies employed by competing or similar businesses. Develop tools and features that enable consumers to make more sustainable decisions. ● wHY PROBLEM IS IMPORTANT AND pROBLEM UNDERSTANDING PROBLEMS WHY IS THE PROBLEM IMPORTANT? ● ● ● ● ● ● Approximately 20% to 30% of a city’s carbon dioxide emissions are sourced to last-mile deliveries By 2030, e-commerce growth will lead to a 33% increase in delivery related carbon emission, or 3.1B tonnes of CO2 30% of all transport-related CO2 emissions come from fuel combustion The transport vector as a whole is responsible for 7% of global CO2 emissions The freight industry as a whole was responsible for 2108 million tonnes of emissions in 2010 – and by 2050, that number is projected to rise to 8132 million tonnes Road freight represented 53% of total international trade-related emissions in 2010. That number is expected to grow to 56% by 2050. ● ● ● CLIMATE CHANGE - Carbon emissions from human activities are a major contributor to climate change, which is causing a variety of detrimental effects on the globe, such as rising sea levels, more frequent and severe weather events, and the extinction of species. Dunzo and its users can assist in the resolution of this climate disaster by lowering their carbon footprint. Reducing carbon emissions can improve the planet's overall sustainability. ENVIRONMENTAL SUSTAINABILITY- A growing number of customers are looking for businesses that share their concern for the planet and are actively working to reduce their environmental effect. Dunzo can show it is socially responsible by working to solve the problem statement, which may lead to increased sales from customers who prioritise environmental consciousness. BUSINESS BENEFITS- In addition to the social and environmental benefits, there may also be business benefits to reducing carbon emissions and moving towards sustainability. This can include cost savings from more efficient operations, increased brand loyalty and customer satisfaction, and improved risk management. ● aPPROACH ● bUSINESS MODEL ● tECHNOLOGIES APPROACH USER RESEARCH ● ● ● Around 70 percent of the families that bulk shop for food twice a month or once a month likely to do it in local stores rather than on any e-commerce site. Reasons for not bulk shopping on online platforms include a lack of all essential products, greater pricing compared to local stores, and the inability to compare multiple versions of the same food. Around 75 percent chose to accumulate small 2-3 orders or to get it the next day morning to avoid delivery charges, explaining that they frequently forget some items and end up ordering again, and would add some frequently used items or stock up in advance for the upcoming month to avoid delivery charges. APPROACH ● ● ● We had a crystal clear understanding of the problem, as well as the aims and specific issues and difficulties that the problem statement was attempting to solve. We gathered all the pertinent facts and information about the issue at hand as well as the prospective remedies. This included the requirements and preferences of the consumers, as well as the effects on the environment of the various products and procedures. We thought about a variety of approaches and potential answers and because of this, we were able to determine the options that were the most efficient and doable. Business Model ● ● ● ● Minimum delivery fee of Rs.10 is payable to the consumer. Delivery fees change depending on the location and service selected. Dunzo charges its retail partners a commission of 10% to 12% of the total delivery costs. There are no up-front costs for using Dunzo for business, however the service does charge for delivery. Surge pricing: increased fares due to unusually high demand. When demand is high, prices go up, and Dunzo profits. The Provided Services: Delivery services, including but not limited to Bike taxi, laundry, local courier, repairs, electronic products, and duplicate key are subject to a fee. Technologies ● ● ● ● ● ● The app's navigation features include GPS tracking and integration with Google Maps. Dunzo accepts payments via Cash on Delivery, Dunzo cash, debit/credit card, PayPal/Simpl/Net Banking/Google Pay/Paytm/Lazypay, and more. E-commerce is enabled through a website, as well as mobile apps for both customers and delivery partners. Artificial intelligence (AI), chatbots, a data-driven strategy, help desks, and two-way chat with the service provider are all part of Dunzo's effort to streamline the customer service process. Dunzo does an excellent job with all facets of supply chain management, CRM, and SRM. Shipping and logistics play a crucial role in Dunzo's business plan. ● Solutions OUR SOLUTION SOLUTION ● ● ● A reward-based system can be introduced in the app. Sustainability points can be earned over time, and when a customer reaches a certain level, like the first level, the delivery fees for their next 10 orders will be cut in half. Multiple levels of the reward system can be introduced. The points can be earned based on the sustainable choices that consumers make. As groceries are essentials, and according to the research, on average, consumers tend to buy groceries once a week, they would get a notification to order all the essentials. The more they do this, they earn more reward points. They may choose to consolidate multiple orders into a single delivery, or get it delivered the next morning with other orders in the area. This will result in increase of customer retention due to reward points and indirectly increase the profits and also lead to considerably less carbon footprint due to reduction in delivery costs. SOLUTION ● ● ● Providing more ecologically friendly delivery options: This could include employing electric vehicles or bikes for deliveries, as well as collaborating with companies that use low-carbon transportation techniques. Promoting the usage of reusable or sustainable packaging: Dunzo might provide users with the choice of selecting reusable or biodegradable packaging for their orders, or provide incentives for doing so. A successful last mile delivery management system includes route optimization. Ensuring efficiency in route planning can be an excellent method for lowering fuel costs and becoming more environmentally friendly. More efficient routes result in fewer miles driven and less time spent on the road. Advanced route optimization software employs advanced algorithms for route planning, reducing wasteful fuel consumption. Efficient route planning on multi-stop delivery journeys ensures that less time is lost on the road, that the equipment performs. Fuel emissions and expenses are greatly reduced, and that road congestion is reduced - all of this results in significant monetary savings.
