Acquisition project | Adani Digital Labs
Adanione Online DutyFree :
- Meet Prashant who is an International consultant travels to international destinations for work.
- After long meetings with clients gets tired and heads back to India.
- As soon as he lands, He has to clear long queues of immigration first s. Then he has to collet the baggage look for cab and is in hurry. While going from Immigration queue to collect baggage, he looks at Duty Free shops and wants to take a great bottle of 12 year old whiskey. But he looks at the queue and he gets reminded of the tasks he has to finish. with a tried feeling he just goes past the duty free shop and reaches the baggage counter.
Problem Statement
International travel is hassle with lot of to do things starting from checking iternaries, airline checkin , luggage checks, security checks, immigrations and boarding pass. we are in anxiety mode which does not let us go shop freely and make a purchase decision in dutyfree stores
Solution
"Pre Book the Authentic Duty Free products at great price and collect them with convenience at your Airport "
- International Travelers: Individuals traveling abroad for business or leisure.
- Frequent Flyers: Customers who travel frequently and seek convenience in shopping.
- Luxury Shoppers: Consumers looking for high-end, duty-free products at competitive prices.
Ideal Customer Profiles
| Ideal Customer profile | ICP 1 | ICP 2 |
|---|---|---|
| ICP Name | Sundar | Pavan |
| Age | 30-60 | 25-45 |
| Shopping Goals | Get authentic products | Maximise shopping within given budget |
| Gender | Male | Male |
| Location | Mumbai, Ahmedabad, Lucknow, Jaipur,Trivendrum, Mangalore | Mumbai, Ahmedabad, Lucknow, Jaipur,Trivendrum, Mangalore |
| Companies | Own business, Senior management positions in conusluting industries, International sales roles, academic conference attendees | Newly married couple in mid level corporates, Retired personnel from top positions in PSU companies |
| Marital Status | Both married and unmarried | Married |
| How do they spend their weekdays | Business meetings/ whatsapp | Office meetings and youtube/Netflix |
| How do they spend their weekends | 1. Spend time with family at home 2. Social/community gathering 3. Going to the mall | 1. Hanging out with friends/chilling 2. At home watching OTT/social media 3. Shopping with friends |
| Apps they spends most of their time on | 1. YT, LinkedIn 2. Messaging apps- whatsapp | 1. Social Media- youtube , facebook 2. Messaging whatsapp 3. Netflix |
| What do they spend most on | Shopping | Shopping |
| Most used features on the app | Search, browse, exclusives catologue | Offers and Discounts |
| Frequency of feature usage | 4-5 times in a year | 1-2 times a year |
| Willingness to pay | High | Moderate |
| Problem Statement | I want authetnic products and does not want to wait in long queues | I want luxury products at great price |
Product Market Fit achieved
The product has achieved product market fit with a scale of 1million download and close to 1 lakh transactions in 1 year. The product is in early scaling stage
TAM - All the International travelers through these airports which is 21 million travellers in an year.
SAM - The serviceable addressable market would be the offline duty free transactions which is 2 million customers.
SOM - The Serviceable obtainable market are those customers who tend to reach late to airport and require more convenience for shopping. this is around 20% of the 2 million which is 0.4 million customers. The current business is around 0.09 million customers. so there is enough room for the growth
Acquisition Channels
The current traffic of Adanione has the following split between the channels
we will focus on increasing paid search and Organic traffic
Channel Selection Framework
CHANNEL NAME | COST | FLEXIBILITY | EFFORT | LEAD TIME | SCALE |
|---|---|---|---|---|---|
ORGANIC | Low | Medium | High | High | Medium - High |
REFERRAL | High | Medium | High | Low - Medium | Medium |
PAID | High | Medium | Medium | Medium | High |
PRODUCT INTEGRATION | High | High | High | Low | High |
We will go ahead with paid marketing, referral and product integrations to scale up the business.
Paid Search
Based on the research of keywords on google and youtube following is the CAC
CAC calculation is around 1000 based on the travel commerce industry benchmark
LTV of the customer
AOV - 10,000
Frequency of ordering - 3 times per year
Margin - 15%
Retention - 2 years
LTV = AOV * Margin * Frequency * Retention
LTV = 9000
CAC is 1000
CAC to LTV = 9
Channel selection framework
Channel name | Cost | Fexibility | Effort | Speed | Scale |
Google search | Medium | Low | Low | Slow | High |
Google app campaigns | High | Medium | High | Medium | High |
Google Youtube | Low | High | Low | High | High |
Low | High | Medium | Medium | Low | |
Low | High | Medium | Medium |
Based on cost and scalability and the majority of the time spent by our ICP , we will chose Google search and ICP
Youtube -
Target Audience
We will show the ads to bucket who are looking for international flights in and around Mumbai.
The audience would also be a frequent flier, shops luxury products and gos for pubs frequently
Google Search
As of now for brands , we are ranking 5th on search results page
We can add sponsored ads on Chivas regal prices
We can do this for brands like Johnnie walker , Glenfiddich to get more traction from these brand s
Following is the anlalysis of Paid search for the keywords
Keyword | Search volume (avg monthly) | Avg cost per click | Projected Click through rate | Cost per website/app land | Website land to conversion rate | |
Use case | ||||||
Chival regal price list | 500000 | 11 | 9% | 4,95,000 | 3% | |
Johnnie Wlaker Price list | 400000 | 12 | 9% | 4,32,000 | 3% | |
Glenfiddich Duty free price lsit | 380000 | 10 | 9% | 3,42,000 | 3% |
Referral program
Question | Answer |
|---|---|
Define the brag-worthy thing for your product? |
|
Platform currency? |
|
Who and when do you ask for a referral? | Users who have made at least two bookings without cancellation |
How will the user discover the referral program? |
|
How will referees share the referral code/link? | Referral code/link can be shared via WhatsApp |
What will the invite look like to a non-user? | Video with benefits of joining, and stats about other users |
How do you increase the average referrals per customer? | The more number of referals the users makes the number of rewards points increase proportionately |
Customers can see what benefits they will get and the customer who use the referral will get
Customers can share it to all their contacts
The customer who referred can track which customer used their referral code and when will the transaction points will be credited and who are yet to transact
- Product Partnerships:
- Our ICP uses the following products frequently
- Airline website for making international bookings and web checkin
- Visa Information websites
- Makemytrip
Value add to the airline -
Special promotional offers to the customer incereasing the vlaue benfit for booking with Adani one
Additional revenue for airline
Better user experience with additional benefits for booking on Adanione on the airline platform
Value add to Adanione
Incremental customers from airline
| Airline website | Visa Information | Makemytrip |
|---|---|---|---|
Importance of interaction | High | High | High |
Value addition | yes | no | medium |
upside of acquiring the customers | high | low | high |
On clicking Shop now, user will be redirected to the below page
Once the customer adds to the cart , the promo code will be pre applied based on the referred link
Thank you
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