Engagement & Retention project

Swiggy Engagement & Retention

What is the core value proposition of Swiggy?

Swiggy initially started as an online food delivery platform. Currently, Swiggy delivers groceries, vegetables, and daily essentials through Swiggy Instamart, offers table reservations at restaurants with Dine-out, and facilitates sending/receiving packages via Swiggy Genie. Swiggy provides a convenient, hassle-free experience, ensuring that everything from basic home needs to food is available within minutes at affordable prices.

How do users experience the Core Value proposition currently ?

Core Value Proposition	How Users Experience Core Value Proposition
Faster Food Delivery	- Users receive timely deliveries with approximately 90% on-time rate. - Real-time tracking of orders with estimated arrival times. - Reliable service reinforced with each order.
Convenience	- Users can manage all their needs in one app, from food delivery to grocery shopping. - After placing a food order, easily navigate to Instamart for groceries, or use Swiggy Genie for quick tasks. - Integrated payment options like UPI, bank cards, and offers.
Unified Experience	- Consistent design language and intuitive navigation across the app. - Seamlessly switch between ordering food, groceries, and reserving tables. - Access multiple services without needing to switch apps.
Ordering Groceries	- Users can order food and groceries from a single platform. - Conveniently browse and add groceries after placing a food order. - Utilize Swiggy's unified interface for a cohesive shopping experience.
Reserving Tables	- Explore top restaurants and dishes based on curated recommendations. - Reserve tables in advance and get extra discounts. - Pay bills via Swiggy Dineout feature and get discounts at walk-in restaurants.
Personalized Recommendations	- Users receive personalized restaurant and cuisine recommendations based on past orders and preferences. - Dynamic and tailored suggestions keep the dining options fresh and engaging. - Regular updates on deals and discounts tailored to user preferences.

Actions that makes an user an active user?

A user is considered active if they order food or groceries at least twice within a 10-day period.

Natural frequency of an active user?

User Type	Swiggy Food	Instamart	Dine-out	Genie	Reason
Causal	2/month	1/month	Rare	On-demand	- Recently discovered Swiggy and uses both Swiggy and Zomato, switching based on price.

Resides in a campus, new to PG accommodations, or has easy access to nearby food stalls/supermarkets.
Recently started earning / gets pocket money | | Core | 6/month | 2/month | Occasionally | On-demand | - Prefers Swiggy's service quality.
Exposed to Swiggy's branding frequently.
Consistent offers available.
Appreciates Swiggy's delivery availability, even during peak times.
Relies on Swiggy when the cook is unavailable, especially on weekends.
Favorite restaurants are listed on Swiggy. | | Power | 15+/month | 6+/month | 2/month | On-demand | - Habitually uses Swiggy.
Has a higher income.
Works in a startup with avg caffeteria
Lives in an bachelor apartment
Has a busy lifestyle and prefers home delivery for groceries.
Frequently dines out with friends/family.
Proximity to an Instamart outlet. |

Segmentation ( ICP Based- Table 1 ) and user frequency based (Table 2)

Swiggy ICP Analysis
ICP name	ICP 1: Bachelor Living with Friends (Core User)	ICP 2: Startup enthu (Power User)	ICP 3: Student Sid (Casual User)
Type of ICP	Core User	Power User	Casual User
Gender	Male/Female	Male/Female	Male/Female
Age	23-30	25-45	18-24
Native City	Tier-1 & Tier-2	Tier-1 & Tier-2	Tier-1 & Tier-2
Current City	Tier-1 & Tier-2	Tier-1 & Tier-2	Tier-1 & Tier-2
Occupation	Job/Internship	Job/Business	Student
Source of Money	Salary	Salary/Profits	Parents
Salary	5-15 LPA	15-30 LPA	Pocket money (10-20k per month)
Marital Status	Single/Relationship	Single / Married	Single/Relationship
Kids	No	Yes	No
Lives With	Flatmates/Friends	Family	Friends/Roommates
Household Members	3-4 members	4-6 members	3-5 members
Most Used Apps	Instagram, YouTube, Netflix, Amazon, Myntra, Swiggy, Zomato	WhatsApp, Facebook, Amazon, Swiggy, Zomato, YouTube, Netflix	Instagram, Snapchat, YouTube, WhatsApp, Swiggy, Zomato
Content Consumed	Movies, Series, Reels, Memes, Sports	News, Movies, Series, Educational content	Reels, Memes, Movies, Series, Games
Money Spent	Rent, Food, Travel, Shopping, Entertainment	Household expenses, Kids' education, Food, Travel	Food, Entertainment, Shopping
Time Spent	- Most of the time spent at work on weekdays- Watch Movies/TV Shows on OTT - Go out with Friends to try new places to eat - Enjoy clubbing - Attend musicals/stand-up events	- Most of the time spent at work - Watch OTT - Listen to Podcasts - Read - Go out on weekends to eat and shop - Spend time with kids - Running household chores: Doctor check ups, PTM in school etc	- Practice Yoga - Most of the time spent at work - Watch Movies - Play PlayStation - Go out with Partner/Friends on weekends to eat or explore places
Cooking Options	Home and Stalls around	Home	Campus Mess and Tapris
Order Situations	Late-night cravings, Cook unavailable, Friends over	After a long workday, Cook unavailable, Family gatherings	Late-night cravings, Group study sessions, Social gatherings
Dining Out Situations	Weekends with friends, Weekdays when cook is unavailable	Weekends with family, Special occasions	Weekends with friends, Special treats
Price Sensitiveness	High	Low	High
Time vs Money	Money	Time	Money
Home cooking options?	Cook	Partner and Grandma cooks at home, Swiggy's lunch in office using Pluzee credit given by employer	Campus Mess
How many times do you order food online in a week	4	2-3	1-2
Which meal you order mostly - Lunch or Dinner	Lunch, Dinner	Lunch	Dinner
How many times you order breakfast	Once occasionally	None	None
Which situation do you order food online?	Late-night cravings, Cook unavailable, Friends over	Cook unavailable, Friends coming over, On weekends for convenience, On weekdays if not possible to cook	Late-night cravings, Group study sessions, Social gatherings
What cuisines do you order?	Sandwiches, Rolls, Italian	Italian, Rolls, Biryani, North Indian, Desserts	Fast food, Snacks, Desserts
How many times do you dine outside?	2-3	1-2	Once
What's your deciding factor while selecting a place for dining/Ordering?	Check reviews especially for new restaurants, Photos & Ambience, Menu	Check rating, Distance, Reviews	Ratings, Reviews, Photo
JBTD	Primary - Get good food easily delivered anytime with many options , Secondary - Get good discounts on food either ordering or dining	Primary - Get good food options for dining/order with maintained quality & taste Secondary - Get things delivered at convenience frequently with small basket size too	Primary - Get food delivered at cost effective prices Secondary - Book tables when dining out
Characteristics	Typically use Swiggy for regular meals and groceries, prefer convenience and quick delivery, often order during late-night cravings or after long workdays.	Heavily reliant on Swiggy for family meals and groceries, values variety and convenience, prefers reliable delivery services.	Uses Swiggy primarily for cravings and discounts, often influenced by peer suggestions and offers.
Likes	Free delivery with Swiggy One, Cleaner Interface	Umbrella app for multiple usecases	Easy UI/UX to navigate, usually cheaper food than competitor, great offers on Dineout
Dislikes	Limited Restaurants	Limited options on Instamart, No strong discounts for power users	Limited collection on Instamart and high delivery timeline. Prefers Zepto, Blinkit for cheaper alternative too.
Swiggy Food Usage	6-8 times/month	15+ times/month	2-3 times/month
Instamart Usage	2-3 times/month	6+ times/month	Rarely, 1-2 times in a Quarter
Swiggy Dineout Usage	Occasionally	1-2 times/month	Rarely
Swiggy Genie Usage	Occasionally/On-demand	Frequently/On-demand	Never/On-demand
Average Order Value (Swiggy Food)	INR 500	INR 400	INR 180
Average Order Value (Instamart)	INR 300	INR 600	Rarely used
Average Order Value (Dineout)	INR 2000	INR 800-1000	INR 800-1000 (Group order)
Swiggy One Membership	Yes, shared across accounts	Yes	No

Metric	At Risk	Dormant	Needs Focus	Emerging Loyalists	Established Loyalists
Time on Platform	8+ Months	2 Months	4 Months	6 Months	2 Years
Recency	45 Days	15 Days	9 Days	3 Days	2 Days
Normal Frequency	Once every 10 Days	Once Every Week	Twice a week	2-4 Times a week	3-5 Times a week
User Type	Casual	Casual	Core	Power	Core/Power
Swiggy One Member	No	No	Yes	Yes	Yes
Breadth of Engagement (Features Used)	Delivery	Delivery, Grocery	Delivery, Dining, Grocery	Delivery, Dining, Grocery	Delivery, Dining, Grocery, E-Commerce
Depth of Engagement (Frequency * AOV)	Low	Low	Medium	Medium	High

Segment Descriptions

At Risk: Users on the platform for over 8 months, engaging casually. They primarily use basic delivery services and are at risk of losing interest. Swiggy should rekindle their interest through personalized promotions or feature recommendations.
Dormant: Users with 2 months on the platform, engaging once every 15 days. They show casual usage but are at risk of disinterest. Engagement campaigns with incentives or exclusive deals could retain their interest.
Needs Focus: Core users on the platform for 4 months, engaging twice a week with a variety of services. Swiggy should enhance their experience with targeted promotions and exclusive perks to solidify loyalty.
Emerging Loyalists: Core and power users on the platform for 6 months, engaging 2-4 times a week. Swiggy should offer personalized experiences and premium membership benefits to cultivate loyalty and drive sustained usage.
Established Loyalists: Long-term users on the platform for 2 years, engaging 3-5 times a week, utilizing a variety of services. Swiggy should provide exclusive benefits, early access to promotions, and personalized rewards to maintain loyalty and increase order value.

Selection of Engagement Framework

Framework	Selection	Reason
Frequency	Primary	Swiggy's objective is to create a habit-forming product, ensuring customers consistently choose it for their daily food orders by offering substantial value. Increased order frequency indicates that a habit is forming around the product, allowing Swiggy to better understand customer preferences and interests in food, enabling more personalized recommendations. Amidst stiff competition, with many customers switching between platforms, frequent orders can foster loyalty, which is crucial for Swiggy at this juncture.

| | Breadth | Secondary | Swiggy can serve a diverse range of customers, from those who order ready-to-eat meals to those who need groceries or essentials for home-cooked dishes. Instamart can cater to these grocery needs. Additionally, Swiggy can accommodate those who prefer dining out by offering the convenience of table reservations from home and providing special offers or discounts at restaurants through Swiggy Dineout.

| | Depth ( Time or Money ) | No | Increasing the order value or the time spent on Swiggy does not inherently improve the customer's experience. Additionally, there is a limit to how much the order value can be increased. Exceeding this limit is not advantageous, making this metric less relevant for engagement.

Engagement Campaigns

Campaign 01	Swiggy Plus Trial
Strategy Title	Dive into the Swiggy Plus Experience
Goal	Introduce users to Swiggy Plus benefits; encourage trial at minimal cost (Core to Power).
Focused ICPs	All ICPs
User Behavior	Doesn't have Swiggy Plus; Compares food prices across multiple restaurants; Searches for top-rated food but abandons cart if delivery fee is high; Uses Instamart for groceries/drinks/home essentials; Checks food during surge periods/rainy conditions but abandons cart if delivery availability is low; AOV is more than INR 180; Expects faster delivery; Orders more from specific restaurants.
Pitch/Content	Unlock a world of exclusive benefits with Swiggy Plus! Try for 15 days at just INR 49. Experience the best of Swiggy.
Offer	15-day trial for INR 49; All current Swiggy Plus benefits.
Channel	In-app, Email, Social Media (Instagram, Facebook, YouTube), Influencer Collaborations, Push notifications.
Frequency & Timing	At the checkout page (showing the benefits); Notifications during surge periods & rainy conditions; In-app banners (when opening the app); Push notifications; Ads.
Success Metrics	Sign-ups for trial; Conversion to full-time subscribers; Order frequency increase; Engagement with offers.
Ramp-up Milestones	10,000 sign-ups in 48 hours; 50,000 sign-ups in a week; 20% conversion post-trial.
Reasons Why It Will Work	Low entry cost; High value proposition; Premium

Campaign 02	Swiggy Spin & Win
Strategy Title	Swiggy Spin & Win
Goal	Engage users with a chance to win variable rewards with every order (Casual to Core).
Focused ICPs	College Companion, Urban Foodie
User Behavior	Uses Swiggy initially for first-order discounts; Switches between food apps for better deals; Compares prices across multiple restaurants; Searches for coupons; Orders from nearby restaurants to save on delivery fees; Spends significant time browsing for cheaper options; Uses filters for higher discounts; Adds extra items if delivery fee is reduced for large value carts; Refers friends for discounts.
Pitch/Content	Every meal comes with a thrill! Spin the wheel with every order and win big!
Offer	A digital spin wheel offering various rewards like discounts, free items, or loyalty points.
Channel	In-app notifications, Push notifications
Frequency & Timing	With every order placed at checkout page.
Success Metrics	Engagement rate with the spin wheel, repeat orders.
Ramp-up Milestones	10 spins, 50 spins, 100 spins.
Reasons Why It Will Work	The unpredictability of rewards and offers will keep users coming back. People value offers and cashback, this will give them incentives for every order they place.
Proposed Flow	Order confirmation -> Spin wheel access -> Cla

Campaign 03	Swiggy Flavor Quest
Strategy Title	Swiggy Flavor Quest
Goal	Encourage users to try new dishes from different cuisines (Core to Power).
Focused ICPs	Urban Foodie, College Companion
User Behavior	Uses the WhatToEat feature; Spends a lot of time scrolling for food items; Opens multiple food categories and restaurants; Uses filters; Scrolls through offers; Craves food but is unsure what to eat.
Pitch/Content	Don't know what to eat? Let Swiggy pick a dish for you!
Offer	Users pay a fixed amount, and Swiggy shows options/delivers a random dish from a top-rated restaurant.
Channel	In-app notifications/banners, Push notifications
Frequency & Timing	In-app popup when checking multiple food items; In-app popup when spending more time on scrolling; Bi-weekly promotions (Push notifications).
Success Metrics	Participation rate, feedback on dishes received.
Ramp-up Milestones	5 roulette orders, 10 roulette orders.
Reasons Why It Will Work	The surprise element and the chance to discover a new favorite dish.
Proposed Flow	Opting for Flavor Quest -> Payment -> Surprise dish

Campaign 04	Swiggy Flash Sales
Goal	Drive impulse purchases through limited-time offers ( Causal to Core to Power )
Focused ICPs	All ICPs
User Behavior	- Orders more from specific restaurant- Likes to try new items but stops because of Price and Quality concerns- Checks premium restaurant foods but doesn’t add to cart- Uses coupons more- Rarely orders from premium restaurants ( price concern )
Pitch/Content	Blink and you'll miss it! Exclusive deals for the next hour only on Swiggy.
Offer	Heavily discounted items available for a short period.
Channel	In-app notifications, Push notifications
Frequency & Timing	Mid week, Weekends and Customers higher order frequency period. ( Bi-monthly only )
Success metrics to track	Engagement rate during flash sales, items sold.
Ramp-up milestones	3 flash sales, 5 flash sales.
Reasons why it will work	The fear of missing out (FOMO) will drive quick purchases.
Proposed flow	Flash sale notification -> Browsing discounted items -> Quick order placement.

Retention

What is current retention rate in terms of users?

Reasons could be :

Swiggy's retention rate is high possibly because its customer support is top notch, more options then competition Zomato and has a whole ecosystem in one app
Swiggy's retention curve flattens after the first day of usage primarily because it offers significant discounts to first-time users. Once this initial incentive is used, there is little motivation for users to continue using the service.

Which ICPs drive the best retention?

ICP2 > ICP1 > ICP3

ICP 2 (Statrup enthu): These individuals, living in flats or PGs, often rely on cooks or PG meals due to busy work schedules. If their cook isn't satisfactory, they use Swiggy for meals, and on weekdays, they order groceries. On weekends and occasional dining out, they prefer ordering in and using Swiggy Dineout.

Which Channels Drive the Best Retention

Channel	Retention Factor
Swiggy Instamart 🛍️	Instamart's fast and convenient grocery delivery service improves retention by offering users a one-stop-shop for their daily necessities. Its seamless integration with food delivery encourages frequent use, leading to consistent user engagement.
Swiggy Genie 📦	Genie's local parcel delivery service enhances retention by providing a flexible solution for quick and easy item transport. Its dependability and ease of use encourage regular usage, strengthening user loyalty.
Swiggy Dineout 🍽️	Dineout, which enables restaurant reservations and payments, boosts retention by offering a smooth dining experience. Regular users of this feature tend to remain engaged, particularly with access to exclusive deals and loyalty rewards.
Swiggy One Membership 🎉	The Swiggy One membership program, offering free deliveries and exclusive benefits, enhances retention by adding value and convenience. Members are motivated to keep using the platform to take full advantage of their perks.
In-App Notifications 📱	In-app notifications are vital for retention, providing users with personalized, timely updates on offers, promotions, and new features. Awareness of relevant incentives within the app helps maintain user engagement.
WhatsApp Campaigns 📲	WhatsApp campaigns provide a direct, personalized communication channel, allowing Swiggy to send targeted promotions, order updates, and exclusive discounts. This real-time interaction builds a stronger connection with users, encouraging them to return to the platform.

Churn Reasons

Reason	Type	Explanation	Negative Actions
Higher Prices	Voluntary	Customers switch to competitors for better deals.	More time spent on menu without ordering, high cart abandonment, fewer repeat orders, fewer orders from favorite restaurants.
Delivery Delays	Voluntary	Customers expect fast deliveries, and delays lead to dissatisfaction.	Increased checking of delivery status, more calls to delivery person, more complaints about late delivery, lower ratings.
Poor Food Quality	Voluntary	Low food quality discourages repeat orders.	More complaints about food quality, lower ratings for food, delayed customer support response.
Missing Favorite Restaurants	Voluntary	Lack of favorite or popular restaurants makes customers leave.	More searches yielding no results, higher exit rate from the search results page.
Instamart Delivery Delays	Voluntary	Customers expect quick delivery from Instamart, and delays are frustrating.	Increased app exits after viewing delivery times.
Complicated User Experience	Voluntary	A confusing or complex app interface drives users away.	More time spent navigating without ordering, high cart abandonment rates.
Moved to Non-Serviceable Area	Involuntary	Customers relocate to places where Swiggy doesn’t operate.	Extended periods of app inactivity, more "not delivering to this location" notifications, resumed usage after a gap.
Lifestyle Changes	Involuntary	Changes in lifestyle or health focus reduce need for Swiggy.	Significant drop in app usage, fewer orders, increased searches for healthy options with low conversion.
Financial Constraints	Involuntary	Loss of income or job impacts ability to order.	Significant drop in app usage.
Proximity to Markets/Restaurants	Involuntary	Living near supermarkets or restaurants reduces the need for delivery apps.	Significant drop in Instamart and food ordering, increased orders during specific conditions like rainy weather.

Retention Campaigns

On time or on us
Strategy Title	On-Time or On Us
Goal	Address delivery delay concerns.
Focused ICPs	Users who experienced delivery delays.
Pitch/Content	"Your order delivered on time, or get 40-50% off!"
Offer	If delivery is late, the user gets a 40-50% discount on the order.
Channel to Promote	Retargeting ads, Push notifications.
Frequency & Timing	Peak order times.
Success Metrics	Reduction in delivery-related complaints, re-engagement rate, increase in Net Promoter Score (NPS).
Ramp-up Milestones	Eliminating delivery-related complaints and increasing NPS.
Reasons it Will Work	Directly addresses the pain of waiting and builds trust.
Proposed Flow	User orders -> Tracks delivery -> Receives on time or gets 40-50% off.

Strategy Proposal: Near and Fast
Element	Description
Strategy Title	Near and Fast
Goal	Improve delivery times by prioritizing nearby restaurants.
Focused ICPs	Users who prefer faster delivery.
Pitch/Content	"Get your order faster from nearby restaurants!"
Offer	Highlight and prioritize nearby restaurants for quicker delivery.
Channel to Promote	In-app notifications, Push notifications, Email campaigns.
Frequency & Timing	During peak order times and meal times (lunch, dinner).
Success Metrics	Reduction in delivery times, increase in orders from nearby restaurants, improved customer satisfaction.
Ramp-up Milestones	10% reduction in average delivery times in two months, increased repeat orders from highlighted restaurants.
Reasons it Will Work	Leverages proximity to enhance delivery speed and customer satisfaction.
Proposed Flow	User orders -> App suggests nearby restaurants -> Faster delivery times -> Improved user experience.

Strategy Title	Instamart 10-Minute Dash
Goal	Address concerns about Instamart delivery times.
Focused ICPs	Users who left due to long delivery times on Instamart.
Pitch/Content	"Get your essentials in a dash! Guaranteed 10-minute delivery or FREE"
Offer	FREE order if delivery takes more than 10 minutes.
Channel to promote	In-app, push notifications,
Frequency & Timing	Peak grocery shopping hours.
Success metrics	Increase in Instamart orders, reduction in delivery time complaints.
Ramp-up milestones	15% increase in Instamart orders in the first month.
Reasons it will work	Directly addresses the need for quick deliveries with a compelling offer.
Proposed flow	User orders -> Receives within 10 minutes or gets a discount.

Strategy Proposal: Top Quality Picks
Element	Description
Strategy Title	Top Quality Picks
Goal	Reinforce trust in the food quality delivered by Swiggy.
Focused ICPs	Power users who prioritize food quality.
Pitch/Content	"Enjoy top-rated meals! Look for our Top Quality Picks Badge."
Offer	Restaurants with consistent high ratings and fewer complaints get a Top Quality Picks Badge.
Channel to Promote	In-app, push notifications.
Frequency & Timing	Weekly once.
Success Metrics	Increase in orders from restaurants with the Top Quality Picks Badge.
Ramp-up Milestones	30% of power users ordering from Top Quality Picks Badge restaurants in the first three months.
Reasons Why It Will Work	Addresses concerns about food quality.
Proposed Flow	Users filter and order from restaurants with the Top Quality Picks Badge.