case study on consumer behaviour with solution pdf

Burberry Case Study about Consumer Behavior

15 Pages Posted: 10 Feb 2020

Chenoy Ceil

Independent

Date Written: May 12, 2018

Consumer behavior is an essential part of the marketing for brands that are trying to influence the purchasing behavior of consumers. Burberry as a brand has been able to influence the purchase decisions of consumers by utilizing motivational, perception, personality and lifestyle strategies. This paper looks at the various factors that are utilized by Burberry that act as marketing stimulus for influencing the purchasing decision of their consumers. Some recommendations dealing with the brand perception of Burberry are also provided to help Burberry improve their sales and create a unique fashion brand for itself. Motivation, personality and emotion are important factors that affect consumer decision making, especially in the case of high fashion products. Looking at all these various factors in detail, this paper concludes that motivation, perception, personality and lifestyle have been carefully utilized by Burberry to reposition its brand for the modern age.

Keywords: chenoy ceil, consult corportes, consumer behaviour, purchasing decision, fasion brand

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Chapter 13 – Swiggy: A Consumer Behavior Case Study

We have already studied the theory of consumer behavior. You can find the full list of chapters here. It is now time to conclude with a bang!  This is a…

We have already studied the theory of consumer behavior. You can find the full list of chapters here . It is now time to conclude with a bang!  This is a bonus chapter to discuss a consumer behavior case study.

When you ask someone if they want to order food at home, the most common response is, “Chal Swiggy karte hain.” Founded in 2014 as an online food delivery service, Swiggy has become one of the most popular apps in India today. 

No business can succeed without pleasing its customers. What better way to satisfy consumers than by studying consumer behavior? 

It is common to see Swiggy sway us toward ordering food instead of eating at home with its eye-catching notifications about delicious food. But how does Swiggy know exactly what you’re craving each and every time?

This consumer behavior case study will try to demystify Swiggy’s success in India, how it has managed to defeat the competition, and how it deploys consumer behavior analytics to its advantage.

Let us begin with a quick history lesson.

Swiggy’s history

There is no better way of starting a case study than understanding how the organization started and how it has grown. In this consumer behavior case study, we will use the same method.

Swiggy was founded in 2014 by two BITS Pilani graduates, Sriharsha Majety and Nandan Reddy. It first tied up with some eateries in Bangalore and started delivering food to customers in under forty minutes in spite of the Bangalore traffic! 

At that time, there was no established business that was catering to this particular sector. Swiggy’s competitors were struggling, and at the beginning, so was Swiggy. 

It was difficult to get restaurants to partner with it. So, Swiggy made its logistics network faster, easier, and streamlined with a widespread and strong network of local delivery boys to make it stand apart in the online food delivery scenario. Soon, restaurants saw the perks of joining Swiggy (increased sales) and joined forces with it.

Swiggy raised $80 million in funding by 2015. After investors began to invest in the startup, the platform began to experience great heights. The food platform had partnered with over 100 restaurants by the end of 2015, and it was delivering over 70,000 orders each month.

Swiggy experienced losses 65 times in March 2016. Swiggy made the decision to focus on cost-cutting and bolstering the logistics network in April 2016. In order to better understand its customers' needs and improve its operations, Swiggy made investments in core engineering, automation, data sciences, machine learning, and personalization in 2017.

By the end of December 2017, Swiggy had expanded to more than ten cities, had partnerships with more than 20,000 restaurants, and was recording a staggering 4+ million transactions per month on their balance sheet. Swiggy acquired Scootsy in 2018 to expand its operations in industries like groceries, fashion, stationery, and other necessities, as well as to better serve its customers' needs and to improve its operations in 2017.

By 2019, Swiggy had a daily order volume of about 1.4 million, a delivery team of 45,000 agents, 1,30,000+ restaurant partners, and a presence in more than 325 Indian cities.

In 2020, when the pandemic hit, we all had massive cravings for restaurant food. The few of us who were still not using online food delivery platforms downloaded our only savior - Swiggy. The relief when the shahi paneer and butter naan got delivered…

The next step in studying the consumer behavior case study of Swiggy is understanding its consumer behavior strategies. Let’s take a look at them.

Swiggy’s strategy for customer retention

If you compare the notifications/ads that you and your friend get from the Swiggy app about four to five times a day, you will find some similarities. However, if you and your friend like completely different cuisines, you will notice the differences too.

For example, when I get a notification from Swiggy, it usually advertises burgers or fries. If you are an avid consumer of Indian food, you might get ads for samosas or chhole bhature, if you like Chinese food, you might get ads for manchurian and noodles, and so on.

In this way, Swiggy uses a hyperlocal marketing strategy . One definition of hyperlocal marketing is “a strategy that targets potential customers who are close to your business location and looking for products and services like yours.” ( PlotProjects ) 

This location is very specific. Swiggy tracks your location and suggests restaurants within a few kilometers radius. For example, if you live in North Delhi, you would rarely be suggested a restaurant in South Delhi. If so, you will be informed in advance that delivery fees would be higher than normal due to increased distance.

Swiggy uses machine learning to track users’ past purchases, search history, and even where they usually order from to make super-personalized ads. The ads are usually followed by a coupon if the consumer taps on the ad and visits the suggested restaurant’s page.

Using machine learning and these super-personalized ads, Swiggy was able to significantly reduce its customer acquisition cost.

Swiggy’s promotional strategies

Let’s talk about those push notifications again. Swiggy uses these notifications to retain your interest in its services and to increase your time spent on the app.

But what about Swiggy’s promotional campaigns? We won’t just discuss what Swiggy does to retain old customers in this consumer behavior case study. In this section, we will discuss how Swiggy promotes its services.

Swiggy’s promotional campaigns are both engaging and participatory . The posts are humorous, appealing, of outstanding quality, and lighthearted. Ingenious puns and one-liners were used in campaigns like #EatYourVeggies, #SuperSwiggy, and #EarnYourCheatMeal to promote healthy eating.

Apart from these campaigns, Swiggy also gets its services promoted by influencers . Across the board, Swiggy is active on social media. They also publish humorous blogs that make fun of current events in order to promote the company's goals and services.

Daily emails are sent by Swiggy to its clients. They use eye-catching images, smart slogans, and mind-blowing deals to grab customers' attention. Customers like us then increase Swiggy’s CTR by clicking on the links and notifications to enter the sweet sweet world of tasty food.

How Swiggy reads customer experience

When you log on to Swiggy from a different location, you first choose a delivery address, decide the cuisine you would like to have, scroll through the endless list of available restaurants, and finally scroll through the menus of these restaurants. 

You do all this while keeping in mind your budget for both time and money. As a result, you end up spending too much time deciding what to eat and ultimately settling for something that can reach you within less than half an hour. Wouldn’t you love it if Swiggy just offered you some pre-customized carts that you can order in a jiffy?

Well, this is not only true in this consumer behavior case study. Swiggy is actually planning to offer these pre-customized carts with two items each ! It is planning to incorporate these changes in upcoming versions of the mobile application.

With the machine learning tools already in place to create echo chambers of recommended restaurants with your favorite cuisines, Swiggy will use Food Intelligence (FI) technology to make consistent combinations of two dishes each. Consumers will be able to order these directly without having to give too much thought to what to eat.

For example, if Swiggy has the data to show that you like Chinese food, it might show you a pre-made cart with noodles and manchurian. If you like North Indian food, it might offer you a cart with shahi paneer and butter naan.

How Swiggy facilitates online consumer behavior

SInce the pandemic in 2020, we have all started craving good experiences. As an Indian, I feel like no experience is superior to having good food and good company. Swiggy solves one of these pressing issues - providing good food at your convenience.

However, we also love the comfort of knowing that we have a single trustworthy medium to fulfill at least a few of our basic needs. Apart from delivering food, Swiggy ventured into grocery delivery, in-city courier services, and even delivering items from small businesses .

The pandemic made us realize how fickle the physical environment is. It didn’t take us long to try new grocery delivery apps like Big Basket and Grofers. However, we wanted a guarantee from the application, and we also wanted free space in our phones. 

When Swiggy ventured into the grocery division, it was a huge respite for some. Swiggy had already established its network and customer base. All it needed to do was partner with supermarkets and our favorite kiranas.

With the guarantee to deliver groceries to the comfort of our homes in less than half an hour, Swiggy quickly became one of our favorite apps for ordering groceries. Since we could get rid of apps that solely delivered groceries, we didn’t mind the free space on our phones either!

The second division Swiggy got into was the intra-city courier service, which Swiggy named Swiggy Genie. You can order food from a restaurant, get your groceries, and even send items to someone you’re too busy to meet in the same city.

This service was especially helpful for people who worked late hours and missed their mom’s rajma chawal. Their moms could easily send lunch to them without having to travel.

Swiggy has another division now called Swiggy Minis. It supports small businesses in major cities in India by facilitating delivery to customers, giving them an online store feel with its own mobile application interface, and making it easier for customers to discover them.

Since it’s a consumer behavior case study, we will now conclude by analyzing what a huge role consumer behavior plays in Swiggy’s strategies. 

Analyzing the role of consumer behavior

In a nutshell, Swiggy observed online consumer behavior and converted its application into a one-stop shop for almost all the daily needs of Indian consumers. It understood the need for trust and credibility for consumers in India while also understanding the need for comfort even when shopping online.

Slowly, step by step, Swiggy created a platform for consumers to order food, groceries, and meat, send and receive intra-city couriers, and order items from their favorite small businesses. It shaped its promotional strategies to suit the needs of the young Indian consumer. Its promotions are flashy and engaging, and its offers are irresistible.

It is great at retaining customers, not only because of the variety and convenience it offers but also because of its quick and satisfactory customer service. With the pre-customized carts, it will ensure that even more customers are retained.

In all, Swiggy is one of the biggest food delivery giants in the country because of its exceptional use of consumer behavior data it collects and consumer trends prevalent in the market.

Conclusion and key takeaways

In this chapter, we discussed the consumer behavior case study of one of the biggest food delivery giants in the country - Swiggy. To recap, we looked at how Swiggy uses consumer behavior in its following strategies:

• Customer retention strategy
• Promotional strategy
• Reading customer experience
• Facilitating online consumer behavior.

BUS 5656 Consumer Behavior

• Week 1 Introduction to Consumer Behavior (Ch. 1)
• Week 2 External Influences: Cultural and Social (Ch.2-4)
• Week 3 External Influences: Subcultures, Households and Reference Groups (Ch.5-7)
• Week 4 Internal Influences: Perception, Learning and Memory (Ch.8-10)
• Week 5 Internal Influences: Attitudes and self-concept (Ch11-12)
• Week 6 Decision Process: Situational influences, Problem Recognition, Information Search (Ch.13-15)
• Week 7 Decision Process: Alternative Evaluations, Outlet Selection and Purchase, (Ch.16-18)
• Week 8 Organizations as consumers, Consumers behavior and regulation (Ch.19-20)

Case Study Assignment

Academic writer - your starting point for all things apa citation style.

• Academic Writer This link opens in a new window A digital platform for writing research papers and managing references in APA Style through full integration of the Publication Manual of the American Psychological Association . Individual user accounts are required to write papers and save references. Training materials are available from the APA website.

Select one of the supplied case studies to analyze.  Read the article first, before you prepare to respond to the questions.  Your analysis of the case should be 3-4 pages, double-spaced and include 3-5 peer-reviewed references (in addition to the text) to support your analysis. Use APA format for references and format of the paper.

Supplied cases: These case studies can be found in the library collection. See the "How to access articles in the Evans Library" box below to learn how to find these cases and more!

•  Tian, K. and Tian, R. G. (2011). Food consumption and cultural awareness: An anthropological case study of consumer behavior at a Chinese restaurant. Journal of Marketing Development & Competitiveness, 5(4), 51-69.
• Moran, M. B., PhD., Walker, M. W., DrP.H., Alexander, T. N., PhD., Jordan, J. W., M.A., & Wagner, D. E., Ph.D. (2017). Why peer crowds matter: Incorporating youth subcultures and values in health education campaigns . American Journal of Public Health , 107(3), 389-395.  
• Warner, L. A., Lamm, A. J., Rumble, J. N., Martin, E. T., & Cantrell, R. (2016). Classifying residents who use landscape irrigation: Implications for encouraging water conservation behavior . Environmental Management , 58(2), 238-253. 

Organize your paper in the following sections:

• Identify the key problems and issues in the case study.
• Formulate and include a thesis statement, summarizing the outcome of your analysis in 1–2 sentences.
• Set the scene: background information, relevant facts, and the most important issues.
• Use addition research to define the problems in this case study.
• Explain in detail the external factors that are influencing consumer behavior in the case.
• Explain how the external factors are addressed in the campaign or situation. 
• Also, explain what external factors were not addressed in the campaign or situation.
• Describe the solution that was used in the case to address the targeted external factors.
• Explain why this solution was chosen
• Also explain alternative external factors that could have been addressed.
• Use concepts from class (text readings, discussions, lectures), outside research and possibly personal experience (anecdotes)
• Based on the solutions that were used in the case and the additional external factors your identified, make recommendations for how the campaign should have been developed or what should be done in the future. 
• << Previous: Week 8 Organizations as consumers, Consumers behavior and regulation (Ch.19-20)
• Last Updated: Sep 3, 2024 1:37 PM
• URL: https://libguides.lib.fit.edu/BUS5656ConsumerBehavior

• General & Introductory Business & Management
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Cases in Consumer Behaviour

ISBN: 978-0-471-98781-9

Gerrit Antonides , W. Fred van Raaij

• The authors of these cases are drawn from nine different European countries: United Kingdom, Ireland, Sweden, Germany, Austria, The Netherlands, France, Greece and Hungary
• The cases reflect the consumer perspective on marketing problems
• Each case presents a practical problem in the consumer area and poses questions for the reader.
• An Instructor’s Manual is available from the publisher for lecturers using the casebook.

• Case Reports

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5 mini case studies about understanding and serving the customer

This article was originally published in the MarketingSherpa email newsletter .

Mini Case Study #1: 34% increase in conversion for powdered health drink company by helping customers come to their own conclusions

A single-product company that sells high-quality, all-natural, powdered health drinks engaged MECLABS Institute to help better understand their potential customers and increase the conversion rate of prospects reaching the homepage.

The original homepage took a claims-driven approach – it provided several bold statements about what the product would do for a customer with no information about the product to help the customer understand why it would work for them. Here is a look at the upper left of the original homepage.

Creative Sample #1: Upper left of original homepage for health drink company

The MECLABS team created a version of the homepage that took a conclusion-driven approach – instead only trying to convince potential customers with only bold claims about the product, the homepage copy included information about the product to help customers understand why the product would help them.

Creative Sample #2: Upper left of treatment homepage for health drink company

The team tested this version as the treatment against the original homepage (the control) to help better understand what communication style customers would respond to.

The treatment generated a 34% increase in conversion rate.

This experiment highlights a classic disconnect between customers and marketers. If you work in a company or with a client, you have intimate knowledge of the product and believe in its effectiveness. You spend all day thinking about it. You personally know some of the people who designed it. Your paycheck depends on the success of the product.

A customer does not have this same understanding or belief in the product. They have a significant gap in their knowledge about your product. Bold claims alone are not enough to close that gap. They have to understand why the product will work and come to their own conclusions about the company’s ability to deliver on its promises.

You can learn more about this experiment in The Conversion Heuristic Analysis: Overcoming the prospect’s perception gap from MarketingExperiments (MarketingSherpa’s sister publication).

Mini Case Study #2: Bags company increases conversion 191% by adding clarity to homepage

“I'm the CEO of Doubletake , a tennis and pickleball bag company, but I spent the majority of my career focused on messaging and research, consulting as a strategist for top brands for the last 10 plus years, and in-house prior to that. I'm almost embarrassed that I have this example to share, but I thankfully came to my senses!,” Shawna Gwin Krasts told me.

“It is interesting that crafting messaging/copy for products that aren't ‘your baby’ is so much easier – there is just more distance to see it for what it is. If this wasn't so near and dear to my heart, I would have caught it in a second.”

The team launched its homepage with only the headline “Sports Meets Style” over a photo of a bag. The headline was meant to differentiate the brand from competitors that were either only sporty or fashionable. Below the headline was a call-to-action (CTA) button with the word “shop.”

Creative Sample #3: Previous homepage copy for bag company

Internally it seemed obvious that the company sells tennis and pickleball bags since a bag was in the photo.

But they came to realize that it might not be as clear to website visitors. So the team added the subhead “Gorgeous Yet Functional Tennis and Pickleball Bags.” They also added the word “bags” to the CTA so it read “shop bags.”

Creative Sample #4: New homepage copy for bag company

These simple changes increased the website's conversion rate by 191%.

“It is so important for marketers to get out of their own heads,” Krasts said. “I suppose this is why I struggle with messaging so much for Doubletake. I am the target customer – I have the answers in my head and I suppose my natural curiosity isn't as strong. But clearly, I also have to remember that I've seen my homepage 10,000 more times than my customers, which means things that seem obvious to me, like the fact that Doubletake is a tennis brand not a reseller, might not be obvious.”

Mini Case Study #3: Online motorcycle gear retailer doubles conversion with personalized emails

There are ways to better tap into what customers perceive as valuable built into certain marketing channels. Email marketing is a great example. Marketers can build off information they have on the customer to send more relevant emails with information and products the customer is more likely to value.

"Very early in my marketing career I was taught, 'You are not the target audience' and told to try to see things from my customer's perspective. Empathizing with customers is a good start towards seeing products from the customers' perspective, but marketers really need to focus on quantifiable actions that can help identify customers' needs. That means continuous testing across messaging, price points, packaging, and every other aspect of a product. This is where personalization can really shine. Every time a marketer personalizes a message, it brings them closer to their customer and closes that gap," said Gretchen Scheiman, VP of Marketing, Sailthru.

For example, 80% of the email messages RevZilla sent were generic. But the website sells motorcycle parts and gear to a wide range of riders, each with their own preference in brand and riding style. The online motorcycle gear retailer partnered with Sailthru to better connect with customer motivations. The team started by upgrading the welcome series for new customers by personalizing the email messages based on the customers’ purchases and preferences.

The company has tested and added many new triggers to the site, and now has 177 different automation journeys that include triggers for browse and cart abandonment as well as automations for different product preferences, riding styles and manufacturer preferences.

The conversion rate from personalized email is double what RevZilla was getting for generic batch-and-blast sends. Automated experiences now account for 40% of email revenue. Triggered revenue is up 22% year-over-year and site traffic from triggers has increased 128% year-over-year.

"Customizing the buyer journey isn't about one long flow, but about lots of little trigger points and tests along the way. For any marketer that is intimidated about getting started with personalization, it's important to realize that it's more like a lot of small building blocks that create a whole experience. We started with a custom welcome series using testing and built from there. We're still adding new tests and new trigger points, but it's with the same concept that we started with,” said Andrew Lim, Director of Retention Marketing, RevZilla.

Mini Case Study #4: Pet protection network increases revenue 53% thanks to survey feedback

Huan makes smart tags for pets to help owners find their pets if they go missing. Initially, the company focused on the technical features in its homepage copy. For example, the tags don’t emit harmful radiation, are water-resistant and have a replaceable one-year battery.

From customer feedback surveys, the team discovered that customers purchased the product because they were worried they wouldn’t be able to find their pet if the pet went missing. This discovery prompted the team to change its messaging.

The new messaging on the homepage read, “Keep your pet safe and prevent heartbreak. Huan Smart Tags help you find your missing pet automatically.”

Revenue increased 53% increase following the change in messaging. “We immediately saw an increase in engagement on our website, with a lower bounce rate, higher click-through rate and a higher conversion rate. There were also a few people who messaged us on social media saying how our new message resonated with them,” said Gilad Rom, Founder, Huan.

Mini Case Study #5: Talking to new customers leads SaaS to change strategy, increase sales 18%

When Chanty launched, the marketing messages focused on pricing since the Saas company is 50% less expensive than the best-known competitor. However, when the team started talking to customers, they discovered most people had switched from the competitor for different reasons – ease of use, better functionalities in the free plan, better experience with the customer support team, and a better mobile app.

The team changed its marketing to focus around these product attributes and only listed pricing in the end as an additional benefit.

“It turned out that this was the way to go because we attracted people who wanted a better experience, rather than just customers who wanted to save money. After six months of implementing this new marketing and sales strategy, our sales grew by 18%,” said Jane Kovalkova, Chief Marketing Officer, Chanty.

Related resources

The Prospect’s Perception Gap: How to bridge the dangerous gap between the results we want and the results we have

Customer-First Marketing: Understanding customer pain and responding with action

Marketing Research Chart: How customer understanding impacts satisfaction

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We see lot of acceptance and also a lot of intolerance co-existing in the present society. Numerous structural and social barriers that have long existed are breaking down leading to a major cultural shift. The younger generation is openly expressing its voice. The attitude of people to different issues is changing. Hence, brands are continually trying to cope with all these changes. Brand strategist Harish Bijoor very well says that, “There will come a time when habits and attitude ...

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