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MPR Project - Swiggy and Zomato

The document provides an introduction to the food delivery industry and companies Zomato and Swiggy. It discusses the rise of food delivery apps and the market landscape. It also introduces the companies, their business models and marketing strategies including branding, digital marketing, partnerships and innovation.

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bmalhotra887
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0% found this document useful (0 votes)
298 views65 pages

MPR Project - Swiggy and Zomato

The document provides an introduction to the food delivery industry and companies Zomato and Swiggy. It discusses the rise of food delivery apps and the market landscape. It also introduces the companies, their business models and marketing strategies including branding, digital marketing, partnerships and innovation.

Uploaded by

bmalhotra887
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 65

PROJECT REPORT

ON

A COMPARATIVE STUDY OF MARKETING STRATEGIES OF ZOMATO AND


SWIGGY

Submitted in Partial Fulfilment for the Award of the

Degree of

BACHELOR OF BUSINESS ADMINISTRATION

2023-2026

BACHELOR OF BUSINESS ADMINISTRATION

2023-2026

UNDER THE GUIDANCE OF

Ms. NIKITA AGRAWAL

ASSISTANT PROFESSOR, VIPS


SUBMITTED BY:
ARCHITA VERMA
Enrolment No. –70229801723
BBA 2F

Vivekananda Institute of Professional Studies


AU- Block (Outer Ring Road), Pitampura, Delhi - 110034
1

TABLE OF CONTENTS

Chapter 1- INTRODUCTION
1.1 INTRODUCTION OF INDUSTRY 5
1.2 INTRODUCTION OF COMPANIES 9
1.3 OBJECTIVE OF THE STUDY 13
1.4 SCOPE OF STUDY 26
1.5 LIMITATIONS OF THE STUDY 29

Chapter 2-
REVIEW OF LITERATURE 31
Chapter 3-
RESEARCH METHODOLOGY 35
Chapter 4
DATA COLLECTION 38
Chapter 5-
DATA ANALYSIS 40
Chapter 6-
FINDINGS AND SUGGESTIONS 47
Chapter 7-
CONCLUSION 51
Chapter 8-
REFERENCES 58
Chapter 9-
APPENDIX 60
2

CERTIFICATE
This is to certify that the project titled “"A Comparative
Study of Zomato and Swiggy with Special Reference to
Their Marketing Strategies"” is an academic work done by
“ARCHITA VERMA” submitted in the partial fulfilment of
the requirement for the award of the degree of Bachelor of
Business Administration from Vivekananda Institute of
Professional Studies, Vivekananda School of Business
Studies, New Delhi, under my guidance and direction. To the
best of my knowledge and belief the data and information
presented by him in the project has not been submitted
earlier.

DR. NIKITA AGARWAL

SIGNATURE OF
FACULTY GUIDE
3

ACKNOWLEDGEMENT

I express my sincere gratitude and thanks to Dr. NIKITA


AGRAWAL for giving me an opportunity to enhance my skill in
my project. I am thankful for her guidance, patience, and
consummate support. I extend my heartiest thanks to her for
enlightening my path. Without her sincere advice, this project
has been impossible. Moreover, I would also like to thank the
various people who were involved with this project and gave me
invaluable guidance in this regard. Without their help, this
project would not have been as comprehensive and detailed as
it is. I also feel grateful and elated in expressing my
indebtedness to all those who have directly or indirectly helped
me in accomplishing this research.
4

CHAPTER 1

INTRODUCTION
5

1. INTRODUCTION
In the rapidly evolving landscape of the food delivery industry, two
prominent players stand out: Swiggy and Zomato. As pioneers of
modern food delivery services in India, both companies have
reshaped the way consumers dine, offering convenience, choice,
and efficiency at their fingertips. However, behind their success
lies a complex web of marketing strategies, each tailored to
capture the attention and loyalty of their target audience.

This comparative study aims to delve deep into the marketing


strategies employed by Swiggy and Zomato, examining their
similarities, differences, effectiveness, and impact on consumer
behaviour. By analysing various aspects such as branding, digital
marketing, partnerships, customer engagement, and innovation,
this research seeks to provide valuable insights into the
competitive dynamics of the food delivery market.

The background of the food delivery industry provides crucial


context for understanding the emergence and growth of
companies like Swiggy and Zomato. A brief history outlines the rise
of food delivery apps, while a market overview sheds light on the
size, growth, and key players in the industry. Moreover,
technological advancements have played a significant role in
shaping the landscape, facilitating the widespread adoption of
digital platforms for food ordering and delivery.
6

An introduction to Swiggy and Zomato offers insights into the


companies' origins, founders, mission, and business models.
Understanding their commission structures, delivery networks,
revenue streams, and geographic reach provides a foundation for
evaluating their marketing strategies and competitive positioning.

Branding and positioning are critical components of Swiggy and


Zomato marketing efforts. Their brand identities, including logos,
slogans, and visual aesthetics, contribute to their perceived value
propositions. Differentiating themselves in a crowded market,
both companies target specific audience segments based on
demographics, preferences, and lifestyles.

Digital marketing strategies play a pivotal role in reaching and


engaging consumers in today's digital age. Swiggy and Zomato
invest heavily in social media presence, SEO, and paid advertising
to increase visibility, drive user acquisition, and promote brand
loyalty. Analysing their approaches to content strategy,
engagement metrics, and platform utilisation provides insights
into their digital marketing effectiveness.

Partnerships and collaborations with restaurants, e-commerce


platforms, travel companies, and influencers are integral to Swiggy
and Zomato's growth strategies. Exclusive deals, promotions, and
incentives drive customer acquisition and retention, while
integration with other platforms expands their reach and
enhances user experience.
7

Customer engagement and loyalty programs are central to


building lasting relationships with users. Loyalty rewards,
personalised recommendations, and responsive feedback
mechanisms enhance user satisfaction and foster brand loyalty. By
continuously innovating and improving their services, Swiggy and
Zomato stay ahead of evolving consumer expectations and market
trends.

Innovation and product development are key drivers of


differentiation and competitive advantage in the food delivery
industry. Introducing new features, leveraging technology, and
implementing sustainability initiatives demonstrate Swiggy and
Zomato commitment to meeting customer needs while addressing
broader societal concerns.

The impact of Swiggy and Zomato marketing strategies on


consumer behaviour is multifaceted. Consumer preferences,
brand perception, and market share dynamics are influenced by
various factors, including service quality, brand reputation, and
user experience. Understanding these dynamics is crucial for
stakeholders to navigate the competitive landscape and drive
sustainable growth.

Looking ahead, emerging trends, potential challenges, and


strategic considerations shape the future outlook for Swiggy,
Zomato, and the food delivery industry as a whole. By identifying
8

opportunities for growth, mitigating risks, and adapting to


changing market conditions, companies can position themselves
for long-term success in this dynamic and competitive market.

In conclusion, this comparative study offers valuable insights into


the marketing strategies of Swiggy and Zomato, illuminating their
competitive dynamics and the evolving landscape of the food
delivery industry. By identifying their strengths, weaknesses,
opportunities, and threats, stakeholders can make informed
decisions to drive sustainable growth and innovation in this rapidly
changing market.
9

1.1 INTRODUCTION OF INDUSTRY


Food delivery has revolutionised the way people dine, transforming it
from a traditional sit-down experience to a convenient, on-demand
service that caters to the fast-paced lifestyle of urban dwellers. This
industry has seen exponential growth, driven by technological
advancements, changing consumer preferences, and the recent shift
towards contactless transactions spurred by the COVID-19 pandemic.

In recent years, the food delivery landscape has evolved significantly,


with various models emerging to meet the diverse needs of
consumers and businesses alike. One of the most prevalent models is
the platform-to-customer model, facilitated by third-party applications
such as Zomato and Swiggy. These platforms act as intermediaries,
connecting customers with a wide range of restaurants and eateries in
their vicinity. By leveraging these apps, consumers gain access to an
extensive selection of cuisines and dining options, all conveniently
available at their fingertips.

Moreover, the platform-to-customer model has not only streamlined


the ordering process but has also facilitated seamless delivery, often
within a remarkably short timeframe. This efficiency is made possible
through the integration of advanced logistics solutions and real-time
tracking features, ensuring that orders reach customers promptly and
in optimal condition.
10

Additionally, food delivery aggregators have emerged as key players


in the industry, offering a centralised platform where customers can
browse menus, place orders, and track deliveries from multiple
restaurants. Companies like JustEat, Delivery Hero, and GrubHub
operate on this model, providing consumers with a curated selection
of dining options while offering restaurants access to a broader
customer base.

Furthermore, the full-stack model represents a comprehensive


approach to food delivery, wherein a single entity oversees every
aspect of the process, from order placement to meal preparation and
delivery. Companies employing this model invest heavily in
infrastructure, including the development of proprietary apps,
establishment of cloud kitchens, and recruitment of dedicated delivery
personnel. By exerting full control over the supply chain, these
businesses can optimise efficiency, maintain quality standards, and
enhance the overall customer experience.

Cloud kitchens, a key component of the full-stack model, have gained


prominence in recent years, offering a cost-effective solution for food
preparation without the need for traditional brick-and-mortar
restaurants. These facilities enable businesses to focus solely on the
culinary aspect of their operations, eliminating overhead costs
associated with dining spaces and enabling greater flexibility in menu
offerings.
11

Moreover, the COVID-19 pandemic has accelerated the adoption of


contactless delivery methods, prompting food delivery services to
prioritise safety measures such as no-contact drop-offs and enhanced
sanitation protocols. These initiatives have not only reassured
consumers but have also underscored the industry's commitment to
public health and well-being.

In conclusion, the food delivery industry continues to evolve rapidly,


driven by innovation, technological advancements, and shifting
consumer behaviours. Whether through platform-to-customer apps,
aggregator services, or full-stack models, businesses are constantly
seeking new ways to enhance convenience, efficiency, and customer
satisfaction. As urbanisation and digitalization continue to reshape the
culinary landscape, food delivery is poised to remain an integral
aspect of modern urban living.

1) Platform to customer model


One popular food delivery model is the third-party app model,
which involves using applications provided by third-party
companies to display a list of nearby restaurants to customers.
The customers can then choose a restaurant from the list, and
the food is delivered to them by either the restaurant or the
third-party platform's delivery service. This model is utilized by
companies such as Zomato and Swiggy. The goal of this model
is to provide customers with a variety of restaurant options and
fast delivery of fresh food.
2) Aggregators
12

In the food delivery aggregator model, a delivery service serves


as a mediator between the customer and various local
restaurants. These delivery services also provide customer
support on behalf of the restaurants in case of any issues with
delivery or orders. Some of the major players currently using this
model include JustEat, Delivery Hero, and GrubHub.
3) Full-Stack Model
The full-stack food delivery model encompasses a company that
takes care of every aspect of the food delivery service, from
developing its own application to hiring delivery staff and cooking
the food in its own facilities. Cloud kitchens, which do not have a
physical dining area, are commonly used for food preparation.
However, launching this model requires a significant investment
in the platform.
4) The restaurant-to-consumer model
The restaurant-to-consumer delivery model is adopted by
well-established companies such as McDonald's, Burger King,
and Domino's. These companies provide food delivery services
directly to their customers through their website or mobile app,
but only in certain regions. In areas where they do not offer direct
delivery, they partner with third-party delivery companies like
DoorDash and Zomato to ensure that their customers receive
their orders in a timely and efficient manner.
13

1.2 INTRODUCTION OF COMPANIES

A. ZOMATO

Zomato, a trailblazing food delivery and restaurant aggregator startup,


has left an indelible mark on the global culinary scene since its
inception in 2008. Headquartered in the bustling city of Gurgaon,
India, Zomato has rapidly expanded its footprint to encompass 24
countries, including prominent markets like Australia and the United
States.

The cornerstone of Zomato's success lies in its multifaceted approach


to catering to the diverse needs of both consumers and restaurants. At
its core, Zomato serves as a comprehensive platform, offering users a
plethora of services ranging from restaurant information and menus to
online ordering and table reservations. By collating and curating vital
data from each partner restaurant, Zomato ensures that its users have
access to accurate, up-to-date information, empowering them to make
informed dining decisions.

Moreover, Zomato's vibrant community of food enthusiasts and


bloggers plays a pivotal role in enhancing the platform's appeal.
Through their candid reviews, insightful recommendations, and
mouthwatering photos, these contributors enrich the Zomato
experience, providing invaluable insights and inspiration to fellow food
lovers.
14

One of Zomato's key strategies for driving growth is its relentless


focus on user convenience and satisfaction. With a user-friendly
application that simplifies the ordering process, Zomato endeavours to
cater to the needs of hungry customers, enticing them with enticing
promotions and deals. This customer-centric approach, coupled with
Zomato's expansive reach and robust infrastructure, has propelled the
company to the forefront of the food delivery and restaurant discovery
industry.

Behind Zomato's meteoric rise are its visionary founders, Deepinder


Goyal and Pankaj Chadha, whose unwavering commitment to
innovation and excellence has fueled the company's ascent to
prominence. By harnessing the power of technology and leveraging
data-driven insights, Zomato has revolutionised the way people
explore, order, and experience food, creating a seamless ecosystem
that benefits consumers and restaurants alike.

In essence, Zomato's journey from a humble startup to a global


powerhouse exemplifies the transformative potential of the food
delivery industry. With its expansive network of over 1 million
restaurants worldwide, Zomato continues to redefine the culinary
landscape, connecting food enthusiasts with an unparalleled array of
dining options and experiences. As the company continues to
innovate and expand its reach, Zomato remains steadfast in its
mission to enrich lives through the joy of food.
15

MARKETING STRATEGIES ADOPTED BY ZOMATO

Zomato, a leading player in the online food delivery industry, has


crafted a dynamic and innovative marketing strategy that sets it apart
from its competitors. Centred on principles of innovation, agility, and
efficient communication, Zomato's marketing initiatives aim to engage
with its audience in novel and impactful ways. Here's an in-depth
exploration of some of Zomato's key marketing strategies:

Zomato’s Twitter Game


Zomato's presence on Twitter epitomises its innovative approach to
marketing. The company leverages a unique tone of voice that is
characterised by wit, humour, and sometimes, counter-intuitive
messaging. For instance, Zomato launched a Twitter campaign
prompting users to share the most creative restaurant they have
encountered, sparking significant engagement. Additionally, the
company posted tweets advocating for home-cooked meals, contrary
to its role as a food delivery platform. This unconventional strategy
resonated with audiences, showcasing Zomato's ability to connect
authentically with its community.

Networking Strategy
In response to the economic challenges faced by daily wage earners
during the pandemic, Zomato initiated the "Feed the Daily Wager"
fund. This initiative aimed to provide support to vulnerable families by
16

distributing meal kits capable of sustaining up to five individuals for a


week. Through strategic partnerships with NGOs and organisations,
Zomato ensured the efficient distribution of resources to those in
need, demonstrating its commitment to corporate social responsibility
and community engagement.

SEO Strategy
Zomato's dominance in online traffic generation is attributed
significantly to its robust SEO strategy, which drives approximately
66% of its website traffic. By optimising target keywords, URL linking,
website pages, and internal linking, Zomato has secured high rankings
in search engine results for an extensive array of keywords. Moreover,
the platform empowers registered restaurants to manage their pages,
resulting in a vast repository of over 54 million pages. Backed by
high-quality backlinks from diverse domains, including .gov and .edu,
Zomato's SEO prowess solidifies its position as a market leader.

Google Ads
Zomato capitalises on Google Ads to effectively engage its target
audience using both branded and non-branded keywords. Leveraging
the dual visibility of organic search results and paid advertisements,
Zomato strategically positions itself to attract potential customers
actively seeking food delivery services. This Google Ads strategy
contributes significantly to Zomato's overall web traffic, driving
approximately 0.56% of the company's total traffic volume.

Email Marketing Strategy


17

Zomato's email marketing endeavours mirror the company's playful


and engaging brand persona. With attention-grabbing subject lines
and compelling calls to action, Zomato nurtures brand loyalty among
its subscribers. By delivering personalised and impactful content,
Zomato maximises the effectiveness of its email campaigns, driving
customer engagement and conversion.

Push Notifications
Zomato employs push notifications as a strategic tool to enhance user
engagement and retention. Through personalised and enticing
messages, Zomato motivates users to complete food orders,
effectively leveraging the fear of missing out (FOMO) to drive
conversions. By delivering timely and relevant notifications, Zomato
strengthens its relationship with users, fostering long-term brand
loyalty and customer satisfaction.

In essence, Zomato's multifaceted marketing strategy underscores its


commitment to innovation, community engagement, and
customer-centricity. Through a blend of unconventional messaging,
strategic partnerships, and digital marketing prowess, Zomato
continues to redefine the standards of excellence in the online food
delivery landscape.
18

B. SWIGGY

Founded in 2014 by Sriharsha Majety, Nandan Reddy, and Rahul


Jaimini, Swiggy emerged as a transformative force in the food delivery
landscape, revolutionising the way people experience dining in India.
Headquartered in Bengaluru, the heart of India's tech hub, Swiggy
identified a pressing need for a more efficient and reliable food
delivery service, thus setting the stage for its meteoric rise to
prominence.

At the core of Swiggy's success lies its unwavering commitment to


leveraging technology to enhance the customer experience. Through
its proprietary platform, Swiggy seamlessly connects users with a
diverse array of local restaurants, offering a hassle-free ordering and
delivery process. This commitment to efficiency is further exemplified
by Swiggy Super, a subscription-based loyalty program that provides
customers with free deliveries and other exclusive benefits, fostering
loyalty and engagement.

Central to Swiggy's operational prowess is its robust delivery fleet,


meticulously crafted to ensure swift and reliable delivery of food
across India's sprawling urban landscape. By establishing its own
delivery network, complete with dedicated delivery executives, Swiggy
maintains full control over the delivery process, from food preparation
19

to doorstep delivery. Leveraging cutting-edge technology, such as


real-time tracking and dynamic routing, Swiggy optimises its delivery
operations, ensuring timely and efficient service that has endeared it
to millions of customers nationwide.

Beyond its core food delivery service, Swiggy has demonstrated a


penchant for innovation, introducing groundbreaking technologies like
Swiggy Go and Swiggy Genie to further expand its offerings and cater
to evolving consumer needs. Swiggy Go facilitates the rapid pickup
and drop-off of a wide range of items, including laundry, documents,
parcels, and even forgotten items, providing unparalleled convenience
to users. Meanwhile, Swiggy Genie offers hyperlocal delivery services,
enabling customers to send and receive packages within minutes,
cementing Swiggy's position as a versatile provider of on-demand
services.

In conclusion, Swiggy's ascent from a fledgling startup to a trailblazing


industry leader underscores the transformative power of innovation
and efficiency in the food delivery space. With its relentless focus on
customer satisfaction, coupled with a penchant for technological
innovation, Swiggy continues to redefine the boundaries of
convenience and accessibility, enriching the lives of millions of users
across India and beyond. As Swiggy continues to innovate and
expand its offerings, it remains poised to shape the future of food
delivery and on-demand services worldwide.
20

MARKETING STRATEGIES ADOPTED BY SWIGGY

Swiggy, a prominent player in the online food delivery industry, has


devised a comprehensive marketing strategy encompassing various
digital channels to drive brand awareness, engagement, and customer
loyalty. Here's a detailed exploration of Swiggy's key marketing
strategies:

SEO Strategy
Swiggy has invested significant resources in optimising its website for
search engines, employing tactics such as meta tag optimization,
backlink management, and website structuring. The homepage is
strategically crafted with meta titles containing relevant keywords like
"food", "online", "food delivery", and "restaurants near you".
Furthermore, Swiggy maintains a robust backlink profile, ensuring a
mix of inbound and outbound links while prioritising broken link
remediation and domain redirection. The advanced sitemap enhances
search engine crawlers' understanding of the website's architecture,
contributing to improved search engine rankings and visibility.

Social Media Marketing


Swiggy's social media presence is characterised by witty and
engaging campaigns designed to resonate with its target audience.
Successful campaigns like #eatyourveggies and #earnyourcheatmeal
employ clever wordplay to promote healthy eating habits in a
21

lighthearted manner. On platforms like Instagram, Swiggy curates


visually appealing food images to evoke cravings and prompt users to
order from the platform. Leveraging Instagram's grid feature creatively,
Swiggy maximises user engagement. Additionally, short videos on
YouTube showcase Swiggy's utility in various scenarios, further
enhancing brand awareness and user connection.

Email Marketing
Swiggy's email marketing strategy focuses on personalization and
value delivery to users through tailored discounts and promotions.
Click-worthy subject lines and captivating visuals enhance open rates
and engagement, while leveraging current events and trends ensures
email relevance and relatability. By aligning email content with user
preferences and behaviours, Swiggy effectively drives sales and
fosters customer loyalty through targeted communication.

Paid Advertising
While specific details regarding Swiggy's paid advertising efforts are
not disclosed, it is common practice for companies in the online food
delivery space to leverage platforms like Google Ads to target
potential customers effectively. Text and display ads can be tailored to
specific audience segments based on location, demographics,
interests, and search history, maximising the likelihood of conversion.

In conclusion, Swiggy's multifaceted marketing strategy encompasses


search engine optimization, social media engagement, email
marketing, and potentially paid advertising to drive brand visibility,
22

user engagement, and ultimately, business growth in the competitive


online food delivery landscape. Through innovative campaigns,
personalised communication, and strategic digital initiatives, Swiggy
continues to solidify its position as a market leader and customer
favourite in the food delivery industry.
23

1.3 OBJECTIVE OF THE STUDY

To conduct- a comprehensive analysis of the marketing


strategies employed by Zomato and Swiggy, the following
objectives will be pursued:

To study- the perception created in the minds of customers by


the marketing strategies of Zomato and Swiggy, qualitative and
quantitative research methods will be utilised. This will involve
examining factors such as brand image, value proposition, and
messaging to understand the perceived strengths and
weaknesses of each platform.

To empirically find out- how often Zomato and Swiggy are able
to reach their target customers, data on the reach and frequency
of their marketing campaigns across different channels will be
collected and analysed. Metrics such as impressions,
engagement rates, and conversion rates will be evaluated to
gauge the effectiveness of their reach strategies.

To identify the different marketing strategies adopted by


Zomato and Swiggy-, a comparative analysis will be conducted.
This will involve examining various aspects such as branding,
digital marketing, partnerships, and customer engagement tactics.
Key differences and similarities in their strategies will be
24

highlighted, and their respective strengths and weaknesses will


be assessed.

To collect primary data- from students to analyse and interpret


their views and perceptions towards Zomato and Swiggy
marketing strategies, surveys or interviews targeting students will
be designed and implemented. Both qualitative and quantitative
analysis techniques will be utilised to interpret the data and
extract insights into student preferences and attitudes towards the
two platforms.

To analyse- the age and gender distribution of the respondents,


survey responses will be segmented based on age and gender
demographics. Statistical analysis will then be conducted to
identify any significant correlations or trends related to age and
gender.

To determine- the usage of online food delivery platforms among


the respondents, the frequency and extent of online food delivery
platform usage will be assessed. Factors influencing usage
patterns will be examined, and trends in usage behaviour,
preferences, and satisfaction levels will be analysed.

To identify- the preferred app between Zomato and Swiggy for


online food delivery services, survey responses will be evaluated
25

to determine the preferred platform among Zomato and Swiggy.


Reasons behind preferences will be explored, and factors driving
platform choice will be assessed.

To provide suggestions for Swiggy to compete with Zomato and


improve their marketing strategy, actionable recommendations will
be formulated based on research findings. Strategies to address
identified weaknesses and capitalise on opportunities in the
market will be proposed.

To explore- further aspects that may affect customer preferences,


such as timely delivery, user-friendly interface, and delivery boy's
behaviour, additional analysis will be conducted. The role of
operational factors, such as delivery speed, app usability, and
customer service, in shaping customer perceptions and loyalty will
be investigated.

To provide references for further reading on the marketing


strategies of Swiggy and Zomato, a compilation of relevant
academic studies, industry reports, and articles will be created.
Citations and summaries of key findings will be included to serve
as a resource for readers interested in exploring the topic further.
26

1.4 SCOPE OF STUDY

The scope of this study is valid for several reasons:

Firstly, the study aims to determine the perception created in the


minds of customers by the marketing strategies of Zomato and
Swiggy. This objective is crucial for understanding how
consumers perceive and interact with these platforms in the highly
competitive food delivery market.

Secondly, the study seeks to understand how often Zomato and


Swiggy are able to reach their target customers. This aspect
provides valuable insights into the effectiveness of their marketing
efforts and their ability to connect with their intended audience.

Furthermore, the study aims to identify the different marketing


strategies adopted by Zomato and Swiggy. By analysing and
comparing these strategies, the study offers a comprehensive
understanding of the approaches taken by each platform to attract
and retain customers.

The research methodology used in the study is logical and


systematic, based on a descriptive research design. This ensures
27

that the data collection and analysis processes are rigorous and
reliable, enhancing the validity of the study's findings.

Moreover, the study collected primary data through


questionnaires and surveys, as well as secondary data from
websites and journals. This multi-method approach allows for a
thorough examination of consumer perceptions and behaviours
related to Zomato and Swiggy.

The sample size for the study was 100 students from
Vivekananda Institute of Professional Studies, providing a
representative sample for analysis. Additionally, data analysis was
conducted using tables and graphical methods, enabling clear
visualisation and interpretation of the results.

The study found that 87% of the respondents were between the
ages of 18-25, and there was no major difference between male
and female respondents. This demographic information provides
context for understanding the perspectives of the study
participants.

Furthermore, more than 90% of the respondents had used either


Zomato or Swiggy for online food delivery, with 73% preferring
Zomato over Swiggy. These findings highlight the popularity of
28

Zomato among the study participants and offer insights into


consumer preferences in the online food delivery market.

Overall, the study provides valuable insights into consumer views


and perceptions of Zomato, Swiggy, and their marketing
strategies in the online food delivery industry. The systematic
approach, robust methodology, and comprehensive analysis
make the study a valid and reliable source of information for
stakeholders in the food delivery market.
29

1.5 LIMITATIONS OF THE STUDY

While the study offers valuable insights into the marketing


strategies of Zomato and Swiggy, it is important to acknowledge
its limitations.

Firstly, the study focused solely on the marketing strategies of


Zomato and Swiggy, neglecting other factors that may influence
customer preferences, such as timely delivery, user-friendly
interface, and delivery boy's behaviour. These factors could
significantly impact consumer satisfaction and ultimately their
choice between the two platforms.

Additionally, the study did not delve into the reasons behind the
preference for Zomato over Swiggy, beyond the attracting offers.
Understanding these underlying factors could provide deeper
insights into consumer decision-making processes.

Furthermore, the sample size for the study was limited to 100
students from Vivekananda Institute of Professional Studies,
which may not be representative of the entire population. This
raises concerns about the generalizability of the findings to
broader demographics and geographical regions.
30

Moreover, the data collection method relied on a questionnaire


circulated through a WhatsApp group, which may introduce bias
and limit the generalizability of the findings. Respondents
recruited through this method may not accurately reflect the
diversity of perspectives within the target population.

While the study utilised both primary and secondary data, the
extent to which each type of data was used is not specified. This
lack of clarity undermines the transparency and rigour of the
research process.

The research design employed a descriptive methodology, which


may limit the depth of analysis and insights that can be obtained.
A more robust research design incorporating quantitative and
qualitative methods could have provided richer insights into
consumer perceptions and behaviours.

Additionally, while the study utilised tables and graphical methods


for data analysis, the specific techniques or tools used are not
mentioned. This lack of detail makes it difficult to evaluate the
rigour and validity of the analytical approach.
31

CHAPTER 2
REVIEW OF
LITERATURE
32

1. Dr. Mayuri Chaturvedi and Tatikonda Karthik (2019)


highlighted the significance of customer support channels in the
online food delivery industry. They noted that while connectivity
issues with company executives can be a concern for some
customers, many food delivery companies have implemented
various support channels such as chatbots, email support, and
call centers to enhance customer service. Additionally, they
discussed the common strategy of offering discounts by food
delivery companies to attract and retain customers, while also
acknowledging the potential for financial losses associated with
this practice.

2. Prof. (Dr.) Sagar H. Mohite and Dr. Ambar Beharay (2020)


emphasised the multifaceted nature of factors contributing to the
success of online food delivery companies like Swiggy and
Zomato. While acknowledging the importance of social media
presence, they underscored that it is just one aspect among many
influencing a company's revenue. They highlighted that both
Swiggy and Zomato have their unique strengths and weaknesses,
suggesting that factors such as delivery times and restaurant
selection could also impact their market competitiveness.

3. Anubhav Kumar Pathak and Muskaan Saraf (2020)


discussed the challenge of pricing and profitability in the online
food delivery industry. They noted that while discounts and deals
are common strategies to attract and retain customers, they also
33

pose challenges in maintaining profitability. Moreover, they


highlighted the importance of expanding service availability to
new areas to stimulate market growth and reach untapped
customer segments.

4. J Das (2018) conducted a study comparing top food delivery


apps, emphasising Zomato's popularity among consumers due to
its attractive discounts, wide restaurant selection, and reputation
for timely delivery and good customer service. Conversely,
UberEATS was perceived as the least preferred option by
customers in terms of discounts, restaurant selection, and service
quality.

5. Sethu and Bhavya Saini emphasised the role of


word-of-mouth and online forums in influencing consumer
decisions in the online food ordering sector. They highlighted the
importance of providing excellent customer service and ensuring
a positive customer experience to garner positive reviews and
recommendations, thereby attracting and retaining customers.

6. Shweta Bansal and Soma Pramanik (2021) conducted a


study examining the impact of COVID-19 on the online food
delivery industry. They found that the pandemic led to a surge in
demand for online food delivery services due to lockdown
restrictions and safety concerns, highlighting the importance of
34

agility and adaptability for companies like Zomato and Swiggy to


meet evolving consumer needs.

7. Preeti Verma and Dr. Rama Choudhary (2021) explored the


role of technology in enhancing the efficiency and customer
experience of online food delivery platforms. They discussed the
adoption of AI-driven solutions, such as predictive analytics for
demand forecasting and route optimization for delivery logistics,
to improve service quality and streamline operations.

8. Akshay Kumar and Dr. Rupali Soni (2020) conducted a study


investigating consumer preferences and satisfaction levels with
regard to various aspects of online food delivery services,
including food quality, delivery speed, and customer support.
Their findings underscored the importance of these factors in
shaping customer perceptions and loyalty towards platforms like
Zomato and Swiggy.

9. Aayushi Jain and Dr. Poonam Sharma (2020) examined the


impact of marketing communication strategies on consumer
behaviour in the online food delivery industry. They found that
personalised promotions and targeted advertising significantly
influenced consumer preferences and purchase decisions,
highlighting the importance of tailored marketing strategies for
companies like Zomato and Swiggy to effectively engage with
their target audience.
35

10. Nishant Gupta and Dr. Ruchi Tewari (2021) conducted a


study on consumer satisfaction and loyalty in the online food
delivery sector. Their research revealed that factors such as order
accuracy, delivery speed, and responsiveness of customer
support significantly influenced customer satisfaction and repeat
purchase intentions, emphasising the importance of operational
excellence for companies like Zomato and Swiggy to retain
customers and foster long-term loyalty.
36

CHAPTER 3
RESEARCH
METHODOLOGY
37

Research methodology is the systematic framework used to


conduct research, comprising various methods, approaches, and
techniques to gather, analyze, and interpret data. For this study, a
descriptive research methodology was employed, aiming to
understand customers' perceptions of Zomato and Swiggy's
marketing strategies. Here's an overview of the relevant types of
research and the major plan for the study:

Types of Research Relevant to the Project:


1. Descriptive Research:
Used to describe the characteristics of a phenomenon, in this
case, customers' perceptions of Zomato and Swiggy's marketing
strategies.
2. Qualitative Research:
Focuses on understanding underlying motivations, attitudes, and
behaviors through methods like interviews or focus groups.
3. Quantitative Research:
Utilizes numerical data and statistical analysis to quantify
relationships and patterns, typically collected through surveys or
questionnaires.

Major Plan for the Study:


38

1. Research Design:
- The study involved two stages: a theoretical/detailed study
followed by an examination of customers' perceptions of Zomato
and Swiggy's marketing strategies.
2. Sampling:
- Non-probability sampling was used, employing purposive
sampling techniques to select participants.
- The sample unit consisted of students, with a sample size of
approximately 100 from Vivekananda Institute of Professional
Studies.
3. Data Collection Method:
- Primary Data: Collected through questionnaires and surveys
circulated among students of Vivekananda Institute of
Professional Studies.
- Secondary Data: Gathered from various sources such as
websites and journals to supplement primary data.
4. Data Analysis Method:
- Data analysis was conducted using tables and graphical
methods to organize and visualize the collected data.
5. Primary Data Collection:
- A questionnaire in the form of a Google form was prepared
and distributed among the selected sample of students.
- The questionnaire aimed to gather insights into participants'
perceptions of Zomato and Swiggy's marketing strategies.
39

6. Analysis and Interpretation:


- Data analysis focused on key variables such as age
distribution, gender distribution, and respondents' views on the
marketing strategies of Zomato and Swiggy.
- Findings were interpreted to draw conclusions and insights
regarding customers' perceptions and preferences.

This research methodology ensured a structured approach to


gather and analyze data, providing valuable insights into
customers' perceptions of Zomato and Swiggy's marketing
strategies.
40

CHAPTER 4
DATA
COLLECTION
41

The research study utilized both primary and secondary data for
data collection purposes. Primary data was gathered through a
questionnaire distributed in the form of a Google form, which was
circulated among students of Vivekananda Institute Of
Professional Studies. The sample size comprised approximately
100 respondents. Secondary data, on the other hand, was
sourced from various existing sources such as websites and
journals.

Data analysis and interpretation were conducted using tables and


graphical methods to organize and visualize the collected data.
The analysis revealed several key insights:

1. Age Distribution (Figure 1): Approximately 87% of the


respondents fell within the age range of 18-25 years.
2. Gender Distribution (Figure 2): The gender distribution among
respondents was 58% male and 43% female.
3. Usage of Online Food Delivery Platforms (Figure 3): More than
90% of the respondents reported having used either Zomato or
Swiggy at least once.
4. Preference for Zomato and Swiggy (Figure 4): 73% of the
respondents expressed a preference for Zomato, while 27%
preferred Swiggy.
42

5. Source of Information about Zomato and Swiggy (Figure 5):


Over 50% of respondents cited social media as their primary
source of information about Zomato and Swiggy.
6. Perception among People (Figure 6): The majority of
respondents reported a positive perception of both Zomato and
Swiggy.
7. Frequency of Advertisement (Figure 7): While data on the
frequency of advertisement was provided, interpretation of this
aspect was not available in the search results.

SAMPLING TABLE

Sampling design Non-probability sampling


Sampling technique Purposive sampling
Sample unit Students
Sample size 100
Area of study Vivekananda Institute of
Professional Studies
Data analysis method Tables and graphical method
43

CHAPTER 5
DATA
ANALYSIS
44

Figure 1- age

Data Interpretation- The figure indicates that approximately


87% of the respondents fall within the age range of 18 to 25
years old. This age group constitutes a significant portion of
our sample area and suggests a strong representation of
young adults. The fact that such a high percentage of
respondents come from this age bracket could indicate
various trends or characteristics within this demographic.
45

Figure 2- Gender

Data Interpretation- Figure 2 indicates that 58% of the


respondents identify as male candidates, while 43% identify as
female candidates. This suggests a gender disparity among the
respondents, with a higher representation of male participants
compared to female participants.
46

Figure 3- Usage of Platforms

It's noteworthy that approximately 9% of the respondents


have never utilized these apps for online food delivery. While
this percentage may seem relatively small compared to the
overwhelming majority who have used such services, it's
essential to acknowledge and consider this minority group in
the context of further analysis and interpretation.
47

Figure 4 – Preferable app between Zomato and Swiggy

Data Interpretation- Majority of the people preferred Zomato app


for online food delivery services. Figure no.4 shows that 73% of
respondents prefer Zomato over Swiggy. Only 27% prefer Swiggy
over Zomato. So, we can say that Zomato marketing strategies
are more successful than Swiggy.
48

Figure 5 – Source of information of Zomato at 1st time

Data interpretation: - The above chart shows that more than


50% people get to know about Zomato from social media and the
rest from other platforms. After Social media word of mouth
publicity has greater share.
49

Figure 6 – Source of information of Swiggy at 1st time

Data interpretation: - The above chart shows that more than


50% people get to know about Swiggy from social media and the
rest from other platforms. After Social media word of mouth
publicity has greater share.
50

Figure 7 – Perception among people

Data Interpretation: - Above diagram shows that the majority of


the people feel positive about these platforms. Very few people
are more focused on the negative side of these platforms. It
means they successfully change the mind of customers to switch
from traditional buying behaviour to order food from these
platforms.

Figure 8 and 9 - Frequency of Advertisement

Data Interpretation: - Figure no. 7 shows that both the platforms


are able to reach their target customer frequently. Only a few
people said that they have rarely seen the advertisements of both
the platforms.
51

Figure 10 and 11- Different channels of advertisement of Zomato and


Swiggy

Data Interpretation: - In both the above charts, we can see that


more than 70% students see advertisements of Zomato and
Swiggy on youtube and After Youtube Instagram and Television.
Overall, we can say that advertisement on social media is more
reachable than the other mode of advertisement.
52

CHAPTER 6
FINDINGS AND
SUGGESTIONS
53

Findings:

The research study delved into the marketing strategies of two


prominent online food delivery platforms, Zomato and Swiggy,
garnering insights from primary and secondary data sources. With
a focus on students from Vivekananda Institute of Professional
Studies, the primary data collection involved a questionnaire
circulated among approximately 100 respondents. Analysis of the
collected data unveiled several key findings:

Firstly, the demographic distribution revealed a predominant


presence of respondents aged between 18 to 25 years, indicating
a youthful user base engaging with these platforms. Additionally,
gender analysis showcased a balanced preference for Zomato
and Swiggy across male and female respondents, suggesting that
marketing strategies may resonate equally with both genders.

Moreover, an overwhelming majority of respondents, exceeding


90%, acknowledged utilizing either Zomato or Swiggy for online
food delivery services, underscoring the widespread adoption and
reliance on these platforms within the target demographic.
Notably, the study unveiled a clear preference for Zomato among
respondents, highlighting the effectiveness of Zomato's marketing
54

strategies in capturing consumer loyalty and preference over its


competitors.
Suggestions:

Building upon the findings, several suggestions emerge to


enhance marketing effectiveness and address potential areas for
improvement:

1. Enhanced Marketing Strategies: Given the evident


preference for Zomato, Swiggy can benefit from reassessing and
refining its marketing strategies to resonate more effectively with
its target audience. Strategies focused on brand differentiation,
value proposition, and customer engagement could help Swiggy
bolster its competitive positioning.

2. Holistic Analysis of Customer Preferences: While the study


focused primarily on marketing strategies, future research
endeavors should incorporate a comprehensive analysis of
factors influencing customer preferences beyond promotional
offers. Factors such as service quality, delivery efficiency, and
user experience play pivotal roles in shaping consumer
perceptions and loyalty in the online food delivery landscape.

3. In-depth Understanding of Consumer Behavior: Further


exploration into the underlying motivations and drivers influencing
55

consumer preferences can provide valuable insights for both


Zomato and Swiggy. Qualitative research methodologies, such as
focus groups or in-depth interviews, can elucidate nuanced
consumer behaviors and preferences, informing strategic
decision-making and marketing initiatives.
56

CHAPTER 7
CONCLUSION
57

The research study undertook a comprehensive analysis of the


marketing strategies employed by prominent online food delivery
platforms like Swiggy and Zomato, utilising a combination of
primary and secondary data sources. Primary data collection
involved circulating a questionnaire among students of
Vivekananda Institute of Professional Studies, yielding a sample
size of approximately 100 respondents. The analysis revealed a
notable demographic trend, with approximately 87% of
respondents falling within the 18-25 age bracket, indicating a
predominant presence of young adults within the sample area.
However, specific details regarding the gender distribution of
respondents were not provided in the search results, suggesting a
potential gap in the findings.

Zomato's success in generating online traffic was attributed to its


robust SEO strategy, driving an estimated 66% of website traffic
and securing high search engine rankings across a vast array of
keywords, signaling the efficacy of its digital marketing initiatives.
In contrast, Swiggy emerged as a frontrunner in terms of social
media presence, with a higher percentage of respondents citing
social media as the primary channel through which they became
acquainted with the platform.
58

The study underscored a predominantly positive perception


among respondents towards both Swiggy and Zomato, with only a
small fraction expressing negative views. While specific details
regarding the frequency of advertisement for both platforms were
not disclosed, the study highlighted the significant role of word of
mouth and online forums in shaping consumer preferences,
emphasizing the importance of good customer service and
positive customer experiences in driving customer acquisition and
retention.

The objectives of the study centred on comparing the success of


marketing strategies, identifying the most effective customer
acquisition channels, and analysing customer preferences for
different platforms. Zomato's success on social media was
attributed to its adeptness in community engagement and
differentiation through innovative communication strategies.

Furthermore, Zomato's philanthropic initiative, "Feed the Daily


Wager," aimed at providing support to families during the
pandemic, garnered commendable attention. The initiative,
backed by significant funds and strategic partnerships with NGOs
and organisations, exemplified Zomato's commitment to corporate
social responsibility and community welfare.

However, the conclusion of the study was not explicitly outlined in


the search results, leaving room for speculation regarding the
59

overarching implications and key takeaways gleaned from the


research findings.

CHAPTER 8
REFERENCES
60

1.Marketing strategies of Swiggy -


https://iide.co/presentations/swiggy-digital-marketing-strategy/#
2.Introduction of the Industry
-https://www.getfareye.com/insights/blog/food-delivery
3.Introduction of Zomato
-https://startuptalky.com/zomato-success-story/#Zomato-Growtha
ndRevenue
4.Introduction of Swiggy
-https://startuptalky.com/swiggy-food-delivery-services/
61

CHAPTER 9
APPENDIX
62

QUESTIONNAIRE

Q1. Age
a) Less than 18
b) 18-25
c) 25-30
d) 30-35
e) More than 35
Q2. Gender
a) Male
b) Female
c) Other
d) Prefer not to say
Q3. Have you ever used food delivery apps like Swiggy or
Zomatao?
a) Yes
b) No
Q4. Which app do you prefer for food delivery?
a) Zomato
b) Swiggy
Q5. How did you get to know about Zomato?
a) Through friends and relatives
63

b) Through social media


c) Through television ad
d) Through newspaper
Q6. How did you get to know about Swiggy?
a) Through friends and relatives
b) Through social media
c) Through television ad
d) Through newspaper
Q7. What are your perceptions about these apps?
a) It gives you comfort
b) It makes you lazy
c) It increases your expenses
d) It is your need
e) It reduces your workload
f) It explores new restaurants
Q8. How frequently have you seen advertisements of Zomato?
a) Very frequently
b) Frequently
c) Sometimes
d) Rarely
e) Never
Q9. How frequently have you seen advertisements of Swiggy?
a)Very frequently
b)frequently
c) Sometimes
64

d) Rarely
e) Never
Q10. On which channel have you seen the advertisement of
Zomato the most?
a) Youtube
b) Instagram
c) Facebook
d) Twitter
e) Television
f) Hoardings
Q11. On which channel have you seen the advertisement of
Swiggy the most?
a) Youtube
b) Instagram
c) Facebook
d) Twitter
e) Television
f) Hoardings

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