Food.2Home - In: A Marketing Strategy For Targeting Corporate Customers

M IP – SUMMER PROJ ECT REPORT
FOOD.2HOME.IN:
A M A R K E T I N G S T R AT E G Y
F O R TA R G E T I N G
C O R P O R AT E C U S TO M E R S
ICTOBAN ONLINE SERVICES PVT. LTD.
Faculty Guide: Prof. Jaba M Gupta
Industry Guide: Mr. Aravind R S
Submitted in partial fulfillment of the Post Graduate Programme in Management at

TAPMI, Manipal by:
Name: Kunal Madkaikar
Roll No: 09223
Batch: 2009-11
Date: 15th June, 2010.
T A PAI MANAGEMENT INSTITUTE,

T A MPAANI I M
P AA LN, A KG AE RMNEANTTA K
I NA S- T
5 7I 6T U1 T0 E
4 ,
MANIPAL, KARNATAKA-576 1 04
CERTIFICATE
This is to certify that the project report titled “Food.2Home.in: A Marketing Strategy for
targeting Corporate Customers” is a bonafide work carried out by Mr. Kunal Madkaikar
(Roll No.09223) under my guidance for partial fulfillment of Post Graduate Diploma in
Management.
Signature
Name of Faculty Guide: Prof. Jaba M Gupta
Date: 30th July, 2010.
KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | II

ACKNOWLEDGMENTS
“Knowing is not enough; we must apply. Willing is not enough we must do” – Goethe.
The 2 months of summer training at ICTOBAN Online Pvt. Ltd. was not just a
knowledge enhancing exercise but also a process by which I was able to apply the
management tools and techniques I have learnt so far in the field of Marketing Research.
I am extremely grateful to my institute, faculty guides and my industry guides for giving
me this opportunity.
I wish to express my sincere gratitude to Mr. Aravind R S, Director, ICTOBAN Online

Pvt. Ltd. And Mr. Nirmesh Mehta, Director, ICTOBAN Online Pvt. Ltd. for their
constant guidance and support throughout the project lifecycle and their valuable and
timely inputs that helped me channelize my energy in the right direction. I would also
like to thank Mr. Dhiren Makhija, Director, ICTOBAN Online Pvt. Ltd. for giving me
this opportunity to conduct my summer project with ICTOBAN.
I would also like to express my sincere gratitude to Prof. Jaba M Gupta, T. A. Pai
Management Institute, Manipal for her invaluable guidance during the project. I am also
thankful to Prof. K. J. Jaims for introducing me to and imparting the right knowledge of
Marketing Research as a field of study which was one of the key components necessary
to carry out my project successfully.
Finally, I would like to thank the HR heads and the employees of the several corporate
offices who extended their support to all the activities that I carried out at their premises.
This project would have remained rather incomplete without their help and support.
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EXECUTIVE SUMMARY
ICTOBAN Online Services Pvt. Ltd. is a startup initiated by three budding entrepreneurs
from IIM Ahmedabad of batch 2007-09. It began operations in May 2009 in Ahmedabad
and has now extended operations across Mumbai and Manipal over the period of one
year. The firm has two independent businesses, one being an online food ordering web-
service by the name Food.2Home.in and the other is a management consulting business
in the areas of Operations and HR. This study was conducted for the website
Food.2Home.in.
Food.2Home.in has so far focused its marketing activities towards attracting college
students and residential customers. They wanted to expand their target segment to include
corporate customers. This study is aimed at devising a marketing strategy to get corporate
employees to switch from the traditional mode of ordering using the telephone to
Food.2Home.in.
In order to device a marketing strategy it is very important to understand the target

audience and identify the gaps in the traditional model that can be fulfilled using the
website. At the same time it is also necessary to know the business and the incumbent
industry. Keeping these objectives in mind the study was conducted in four phases:
Phase 1: This phase was focused towards understanding the business, the markets, the
competitors and performing a company and industry wide analysis using the 4 P model,
SWOT analysis model and Porter’s Five Force Framework. Telephonic interviews were
also conducted with existing customers to determine the current loopholes in the service
offered.
Phase 2: An exploratory research was conducted with corporations in Ahmedabad using

the focused group discussion methodology to collect important data points regarding the
social and behavioral aspects linked to food consumption in corporate offices, to
understand the motivating factors that affect their food ordering decisions and to identify
office policies pertaining to food reimbursements.
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Phase 3: In this phase a descriptive research was conducted by formulating a
questionnaire which incorporated the data points collected during the exploratory
research phase. This questionnaire was administered to 234 corporate employees
belonging to 150 companies across 10 different cities partly through online medium and
partly administered personally.
Phase 4: A comprehensive analysis of the collected responses was carried out in this
phase using Excel and SPSS software and the findings were used to formulate the
marketing strategy for targeting corporate customers.
The study identified two distinct target customers namely the Individual Orders placed by
the employees and the Bulk Orders placed by the offices during parties and celebrations.
Analysis was performed separately for each target customer and recommendations were
made accordingly.
The major findings were as follows:
Exploratory Research:
1. Several situations were identified when food is ordered at the office such as
Lunch, Evening snacks, Office parties, Team parties, etc.
2. Two distinct customers were identified
o Individual Orders: Employees
o Bulk Orders: Office/Team Celebrations
3. In most cases bulk orders were placed by the HR department, Administration
Department or the Receptionist.
4. Typical food reimbursement policies were identified.
5. Factors affecting individual food ordering decisions were identified.
6. Major expectations from food ordering service were identified.
Descriptive Research:
Individual Orders by employees:
1. 57.26% employees carried home cooked food.
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2. More than 91% of them ordered food for an occasional lunch, an evening snack or
while working late.
3. Factor Analysis revealed four major factors that affected the ordering decision.
Factors are mentioned in the order of their priority:
o Reliability
o Recommendations
o Value added features
o Price
Bulk Orders by corporations:
1. Majority of the bulk ordering happens during Birthday Celebrations, Office

Parties, Team parties or while working late.
2. HR, Receptionist and Senior Executives and the major decision makers while
placing the orders.
3. Factor Analysis revealed three major factors that affected the ordering decision.
Factors are mentioned in the order of their priority:
o Price
o Service quality and features
o Variety
The major recommendations were as follows:
Individual Orders by employees:
1. Changes in the Product:

o Measures to improve reliability factor:
□ Tie-up with quality restaurants.
□ Tighter control over Restaurants by strengthening the contract
clauses.
o Introduce value added services such as:
□ Descriptive menus mentioning the food ingredients.
□ Saving you favorite order for one click order placement.
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2. Changes in Promotion:
o Measures to improve online promotions:
□ Introduce a friend referral system on the website.
□ Food ordering is a high involvement buying behavior. Web 2.0
interface can be used to make the site more interactive by
introduction of food related discussion forum.
o Introduction of loyalty programs (e.g. registered customers would get
loyalty points on each order which can be traded for discounts/prizes.)
Bulk Orders by corporations:
1. Changes in the Product:

o Introduce corporate login accounts with facilities such as:
□ Individual login for employees
□ Price and timing cap on one time order
□ Overall monthly expenditure cap per employee
□ Expense tracker for the company
o Advanced price comparison of the bulk orders for HRs and Admins.
2. Changes in Promotion:
o Advertising strategy should be Cognitive-Affective-Behavioral
□ Cognitive: Highlight all the new features introduces and their
benefits.
□ Affective: Keep a limited period free trial.
□ Behavioral: Acceptance and Recommendations. Highlight the
good recommendations received on the website.
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TABLE OF CONTENT
A. INTRODUCTION ..................................................................................................... 1
B. OBJECTIVES AND SCOPE OF THE PROJECT ................................................ 2
C. METHODOLOGY .................................................................................................... 3
D. PHASE 1: COMPANY AND INDUSTRY ANALYSIS ......................................... 6
I. 4P ANALYSIS ............................................................................................................. 6
II. BUSINESS MODEL: VALUE CREATION THROUGH COMPLEMENTARITIES .................... 8
III. EXISTING CUSTOMER FEEDBACK ............................................................................... 9
IV. INDUSTRY ANALYSIS: PORTER’S FIVE FORCE FRAMEWORK ................................... 18
V. SWOT ANALYSIS ................................................................................................... 22
E. PHASE 2: EXPLORATORY RESEARCH .......................................................... 23

I. OBJECTIVE .............................................................................................................. 23
II. METHODOLOGY ...................................................................................................... 23
III. SNAPSHOTS OF THE FOCUSED GROUP DISCUSSIONS ................................................. 24
IV. MAJOR TAKEAWAYS ............................................................................................... 25
F. PHASE 3: DESCRIPTIVE RESEARCH .............................................................. 27

I. SAMPLING METHOD................................................................................................. 28
II. QUESTIONNAIRE DESIGN ........................................................................................ 28
III. MEASUREMENT AND SCALING ................................................................................ 30
G. PHASE 4: ANALYSIS AND FINDINGS .............................................................. 31

I. INDIVIDUAL ORDERS BY EMPLOYEES ...................................................................... 31
II. BULK ORDERS BY CORPORATIONS ........................................................................... 40
H. CONCLUSION ........................................................................................................ 47
I. RECOMMENDATIONS ........................................................................................ 48
I. INDIVIDUAL ORDERS BY CORPORATE EMPLOYEES ................................................... 48
II. BULK ORDERS BY CORPORATATIONS....................................................................... 50
J. LIMITATIONS AND SCOPE FOR FURTHER STUDY ................................... 52
K. REFERENCES ........................................................................................................ 53
L. APPENDIX............................................................................................................... 54
EXHIBIT 1: CURRENT CUSTOMER FEEDBACK QUESTIONNAIRE ...................................... 54
EXHIBIT 2: FGD MODERATOR’S GUIDE ......................................................................... 60
EXHIBIT 3: CORPORATE SURVEY QUESTIONNAIRE ......................................................... 64
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A. INTRODUCTION
Food.2Home.in online food ordering website using which customers can identify
restaurants in their vicinity, browse through their menu and place an order for food to be
delivered to their homes or offices. All the restaurants that have an association with
Food.2Home.in have a delivery radius within which they are willing to deliver food
either free of cost of by charging a nominal delivery charge. The website makes use of
this information to map all such restaurants who deliver food to your area thus providing
you with a variety of restaurants to order food from. The website also provides you other
information regarding the price of each item, Veg. or Non-Veg., Jain or Non-Jain,
approximate delivery time, etc. It also has a time scroll which allows you to place
delayed orders.
When a customer places an order, a confirmation SMS is sent across to the customers cell
phone. This is also followed by a call from the restaurant confirming the order placed by
the customer. This feature of the service provides a psychological help to the customer by
making him aware that the order is being processed and the food will be delivers in due
course of time.
This venture is rapidly graduating from being a startup moving up towards the growth
phase with more than 1400 customers already registered on the website across three
cities. The website is currently being upgraded to add additional features and will also
incorporate modifications consistent with the changes in the business model which are
currently being worked out.
Since its inception Food.2Home.in has focused its marketing activities towards attracting
college students and residential customers. My project was to develop a marketing
strategy to attract a new target segment in the form of corporate clients. I was required to
carry out a marketing research project to study the general food habits and the food
ordering patterns of corporate employees and formulate a marketing strategy to attract
corporate clients based on my findings.
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B. OBJECTIVES AND SCOPE OF THE PROJECT
A. OBJECTIVES
Primary Objective:
The primary objective of the project was to device a marketing strategy to get the
corporations / employees who order food by telephone to switch to Food.2Home.in.
Secondary Objectives:
The following secondary objectives were formulated to fulfill the primary objective:
1. To understand the business and perform a company and industry analysis.
2. To conduct marketing research to understand food ordering habits and patterns of

corporations.
B. SCOPE
Food.2Home.in currently has operations in Ahmedabad, Mumbai and Manipal with
their corporate office being located at Ahmedabad. The field work was restricted to
the city of Ahmedabad. The target segment for this study was restricted to Current
customers and Corporations.
The four Focused group Discussions were conducted with corporations within
Ahmedabad. The factors tested during the quantitative research stage were primarily
derived from the findings of the focused group discussions.
The Questionnaire was administered personally to 100 corporate employees in

Ahmedabad and also administered online to another 134 corporate employees across
10 different cities. The online questionnaire was circulated to capture responses of
corporate employees across different cities to get more inclusive responses from
corporations in several locations since the website is planning to expand to new cities
in the near future.
The researcher was given the freedom of choice of statistical tools to be used in this
study.

C. METHODOLOGY
The project was executed in the following Four Phases:
I. PHASE 1: COMPANY AND INDUSTRY ANALYSIS

Objective: To understanding the business, the markets, the competitors and performing a
company and industry wide analysis.
Methodology:
4P Analysis: Conducting the 4P analysis was necessary to understand the business

and its various constructs pertaining to Product, Price, Placement and Promotions.
Business Model analysis: Business model analysis helped in understanding the

exact relationship of Food.2Home.in with its buyers and suppliers.
Porter’s Five Force Framework: Analyzing the threats from the five forces
identified by Michael Porter would help understand the overall threat to the online
food ordering industry and its implications on Food.2Home.in.
Telephonic survey of current customers: Speaking directly to the current

customers helped in understanding the current shortfalls in the service delivery.
This understanding would help provide some important data points for performing
the SWOT analysis at a later stage.
This exploratory research was followed by a descriptive research in the form of an

online questionnaire which was sent to the existing customers. 53 responses were
collected and analyzed.
SWOT Analysis: SWOT analysis helped in formulating strategies to utilize the

strengths to realize opportunities and tackle threats and to mitigate the weaknesses
to prevent it from causing further threats to the business.

II. PHASE 2: EXPLORATORY RESEARCH PHASE (QUALITATIVE)
Four Focused Group Discussions were conducted in Ahmedabad with Corporate

Employees as the target audience.
Objective: To collect data points regarding the social and behavioral aspects linked to
food consumption in corporate offices, to understand the motivating factors that affect
their food ordering decisions and to identify office policies pertaining to food
reimbursements.
Methodology:
FGD Moderator’s guide was prepared (Exhibit 2 in Appendix Section).
4 firms were identified using convenience sampling.
Appointments were taken to conduct FGD in office premises.
Discussions ranging from 45 minutes to 1 hour were conducted.
III. PHASE 3: DESCREPTIVE RESEARCH (QUANTITATIVE)
Objective: To perform a confirmatory study on the findings of the exploratory research

phase.
Methodology:
A Questionnaire was formulated based on the findings of the exploratory

research.
The questionnaire consisted of five sections namely:
o Introduction: Describing the purpose of the exercise.
o Individual food ordering preferences: Consisting of questions directed

towards understanding individual food ordering habits and preferences.

o Lunch Related: Consisting of questions directed towards understanding
the lunch arrangements in office and the social dynamics during lunch
time.
o Office Policies: Consisting of questions directed towards understanding

food reimbursement policies followed by the respective companies.
o Demographic Information: Consisting of questions on demographic

information of the person giving the response.
The questionnaire was administered personally to 100 corporate employees in

Ahmedabad and administered online to 134 corporate employees. The total
responses received were 234.
IV. PHASE 4: ANALYSIS AND FINDINGS
The 234 responses collected during the Descriptive research stage were analyzed
using Excel sheet functions and SPSS software.
Findings of this analysis along with other findings from the company and industry
analysis stage would be used to formulate the final recommendations.

D. PHASE 1: COMPANY AND INDUSTRY ANALYSIS
I. 4P ANALYSIS
A thorough understanding of the Marketing Mix (namely Product, Price, Placement and
Promotions) is the necessary first step for analyzing any business for formulating a
marketing plan. The 4P analysis for Food.2Home.in revealed the following insights on
the marketing mix:
1. Product: Food.2Home.in offers two key products:
1. The Website: Food.2Home.in website is the tool used by the various associated
restaurants to generate additional revenues using online food delivery concept.
The website has been developed using the Web 2.0 technology which is well
known for providing social networking capabilities. Web 2.0 also provides strong
graphical user interface options to the developer to develop a visually attractive
website. Telephonic interviews with the existing customers revealed that majority
of the customers found the website to be user friendly. User friendly interface
coupled with attractive features would help Food.2Home.in differentiate itself
from rest of the online food ordering websites and create a high switching cost for
the customers.
2. Service: Being a part of the service industry it is important to understand all the
service aspects that are associated with the website. Even though the website is
not responsible for the preparation and the delivery of the food, food related
attributes (such as freshness and warmth) and the delivery related attributes (such
as on-time delivery and packaging) will always be associated with the website. If
the customer is not satisfied with the quality of the food or the delivery service,
Food.2Home.in will be answerable to the customer as it the touch point used by
the customer to place the order.
Food.2Home gives a confirmation call to the customer to informing him/her

regarding the status of the order. This system is proactive in nature and helps in

mitigating the anxiety associated with the wait for delivery and hence is an
important component of the service offered by the website.
2. Price: Food.2Home.in charges the restaurant a fixed commission ranging from 10%
to 15% on the order amount for every order that is placed through the website. The
service provided to the customer is completely free of cost as the user creates a free
account with the website to place an online order. The prices of the food items are
controlled by the restaurants and Food.2Home.in has no say in determining these
prices.
3. Placement: Food.2Home.in does not handle the logistics associated with food
delivery. Food delivery is made by the concerned restaurant either free of cost or by
charging a nominal delivery charge. After an order is generated on the website a call
center employee of the website place an order confirmation call to the customer. After
the order is confirmed an SMS is sent across to the concerned restaurant providing
them details of the order including the food items, quantity, delivery time and the
delivery address. Once the order processing is confirmed then a call is made to the
customer to inform him that his order is being processed notifying him the time of
delivery.
4. Promotion: Food.2Home.in was started with an initial investment of Rs. 3 Lakhs

raised by the promoters from personal sources. The website had not reached the kind
of scale where a venture capitalist would show interest in investing his funds in the
venture as the website only had 1400 registered customers which were mainly based
out of Ahmedabad. There was an evident financial constraint which restricted their
advertising budget. The major advertising activities that were carried out were
through Newspaper Fliers and occasional Newspaper articles along with posters in
the associated restaurants and Movie theaters. Telephonic interviews with the existing
customers revealed that majority of the customers (around 30%) were introduced to
the website through friend referrals.

II. BUSINESS MODEL: VALUE CREATION THROUGH
THROU
COMPLEMENTARITIES
Restaurant
Supplier
Website
(Hosting Agency)
Customer
The business model for Food.2home.in is based on value creation through

complementarities and is quite different from the conventional value chain model
consisting of distinct suppliers and distributors
distributors.. The restaurants that avail the service of
food.2home.in enter an agreement with the website to pay a 10% to 15% commission on
the business that is generated for the restaurant through the website. The customer
generates the order online which is transferred to the restaurant by sending an SMS to
one of the restaurant’s representative. An employee of the website makes a confirmation
call to the restaurant after which the customer is either sent an SMS or made a call to
notify him regarding the status of his order. Payment is made on delivery which goes
directly to the restaurant and the restaurants are bil
billed
led on a monthly basis by the website.
The website acts as an agent and facilitates the food ordering process. The value chain in
this model is as follows:
1. Website (Food.2Home.in): For Food.2home.in the restaurant is a buyer who

pays for the service that tthe
he website provides of bringing additional business
to the restaurant. The customer is also a buyer in this case who does not have
to pay anything to the website for using the information resources made
available by the website. The website hosting agency would act as the
suppliers in this value chain.
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CUSTOM PAGE | 8
2. Restaurants: For the restaurants Food.2home.in would act as suppliers and the
customers would be the buyers.
3. Customers: For the customers both the restaurant and the website would be
the suppliers. The website would supply the information and facilitate the
ordering process where as the restaurant would be the supplier of the food.
Both these services are complementary to each other and the absence of any
one would leave the process incomplete.
III. EXISTING CUSTOMER FEEDBACK
1. EXPLORATORY RESEARCH: TELEPHONIC INTERVIEWS
Objectives:
Following were the main objectives of conducting an existing customer feedback survey:
1. To ask the existing customers how they found out about the existence of the
website. This would help understand the most effective channel to advertise the
website.
2. To find out what is missing with the website (in terms of user interface) or the
service rendered to the customers to help understand and eliminate the service
gaps and ensure enhance customer satisfaction in the future.
3. To evaluate the response of existing customers towards the idea of making Online
payment using credit cards.
4. To find out the overall satisfaction level of the existing customers.
Methodology:
Secondary data was gathered containing customer’s order history including data
on the number of orders and the frequency of order in each month.
Existing customers were classified as New, Regular, Irregular and Lost customers
based on their past frequency of orders e.g. Customers who had ordered for the
first time in the last one month were classified as new customers whereas the

customers who had not placed any order in the last 5 months were classified as
lost customers.
10 Customers from each class were selected for the telephonic interview based on
judgmental sampling. Judgmental sampling was necessary as the customers had to
be selected based on their past order record.
Content analysis was performed on the data gathered from the telephonic
interviews.
Findings:
Some of the key findings from the telephonic interviews were as follows:
Most of the customers found the website to have a user friendly interface.
The major source of information regarding the existence of the website was found
to be Friend Referral (29.4%) followed by Newspaper (Especially Times of India)
articles (23.5%) and posters in different restaurants (17.6%).
Some of the major problems identified with the service were:
o Late Deliveries
o Improper packaging
o Stale food delivered
o Price mismatch
o Menu items no longer served
o Too many steps to order (Cumbersome process)

2. DESCRIPTIVE RESEARCH: QUESTIONNAIRE
Using the data points collected during the exploratory research an online questionnaire
was prepared to test the findings of the telephonic interviews quantitatively. This
questionnaire was circulated among the 1400 existing customers of the website via email
and 53 responses were collected.
Questionnaire Design:
The questionnaire was divided into the following four sections (Exhibit 1 in Appendix
Section):
1. Introduction: This section was meant for explaining the purpose of the exercise to
the customers.
2. General Feedback: Questions in this section were directed towards finding the
source that introduced the customers to the website, frequency of order and
finding out their overall satisfaction level with the service.
3. Situational Feedback: In this section, the respondents were asked to recollect an

instance when they had placed an order using the website and the respondents had
to rate the various factors based on the level of influence on their food ordering
decision. This information was used to conduct a factor analysis to find the major
influencing factors.
4. Demographic Information: These questions were meant for gathering

demographic information of the respondents such as Name, Sex, Marital status,
Living arrangements etc. This information can be used for profiling the customers
using cross tabulation.
Analysis:
1) The respondents were asked to identify the source that introduced them to the
website (Exhibit 1 in Appendix Section). This would help us identify the most

effective mode of promotion that has been implemented so far. The findings from
this exercise were as follows:
How did you find out about Food.2Home.in?

Ad on other website
4, 8%
4, 8% 5, 9% (eg. Facebook)
Friend Reference
7, 13%
Leaflet in newspaper
5, 9%
28, 53% Newspaper article
Poster ads at a
Restaurant
Search Engine
Finding: Word
ord of mouth promotion by existing customers was found to be the
most effective mode of promotion. Friend referral constituted 53% of the overall
responses.
2) In Q3 of the General Feedback section the respondents were asked to rate the
different service par
parameters
ameters on a 5 point Likert Scale ranging from Strongly
Agree to Strongly Disagree. The average of the responses collected were as
follows:
Parameter Average Score
The food ordered using Food.2Home.in website is always delivered on time. 3.89
I am satisfied with the variety of restaurants available on Food.2Home.in. 3.38
The food ordered using Food.2Home.in website is always delivered fresh. 3.81
The web interface for Food.2Home.in is user

user-friendly. 4.34
I will use Food.2Home.in again. 4.53
I recommend
commend people to use Food.2Home.in. 4.47

CUSTOM PAGE | 12
Finding: On-time Delivery, Restaurant variety and Freshness of the food received
scores below 4(code for Agree). This indicates that the customers are reasonably
satisfied with these parameters of the service. The average rating for the web
interface is 4.53 indicating that the web interface is generally perceived to be
user-friendly. The ratings for repeat purchase and friend referral are the highest at
4.53 and 4.47 indicating a high overall satisfaction level of the customers.
3) Factor Analysis: Factor analysis was performed on responses collected for Q1 to

Q10 in the Situational Feedback section of the questionnaire (Exhibit 1 in
Appendix Section). The 10 variables in Q1 to Q10 were coded as follows:
I seek a different restaurant every time I order a Different_Restaurant

Home Delivery
I like trying new dishes / cuisines every time I New_Dishes

order a Home Delivery.
I like to try restaurants that are recommended by Recommended_By_Friends_Family

friends and family.
I like ordering food from restaurants that have Customer_Reviews

received good customer reviews.
I only order food from restaurants that have On_time_delivery

delivered food on time in the past.
Follow up calls by restaurant / website Followup_calls

coordinators are important to me.
I do compare prices of different restaurants while Compare_Prices

placing the order.
I do consider discounts offered by the restaurants / Discounts

website while placing the order.
I do check if my favorite restaurant is available on Order_only_from_particular_restaurant

the website.
I do not place an order if a particular restaurant is Check_favourite_restaurant

not available on the website.

The final output of the factor analysis was as follow:
KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling
0.423
Adequacy.
Bartlett's Test of Approx. Chi-Square 105.964
Sphericity Df 45
Sig. 0.000
Finding: The Kaiser-Meyer-Olkin measure of Sampling Adequacy was below 0.5

indicating a below acceptance level of sampling adequacy for the factor analysis.
The reason for this may be the small sample size of 53. Bartlett's test of
sphericity, which tests whether the correlation matrix is an identity matrix, is
significant (p<.05). This indicates that the factor model is appropriate.
Communalities
Initial Extraction
Different_Restaurant 1.000 0.642
New_Dishes 1.000 0.790
Recommended_By_Friends_
1.000 0.781
Family
Customer_Reviews 1.000 0.825
On_time_delivery 1.000 0.772
Followup_calls 1.000 0.808
Compare_Prices 1.000 0.898
Discounts 1.000 0.813
Order_only_from_particular_
1.000 0.776
restaurant
Check_favourite_restaurant 1.000 0.559
Extraction Method: Principal Component Analysis.
Finding: All the variables (except Check_favourite_restaurant) have

communalities above 0.6 indicating that most of the variables were appropriate
for performing the factor analysis. Since Check_favourite_restaurant has
communality close to 0.6, I have considered this variable for the analysis purpose.

Total Variance Explained
Extraction Sums of Squared Rotation Sums of Squared

Initial Eigen values Loadings Loadings
% of Cumulative % of Cumulative % of Cumulative

Component Total Variance % Total Variance % Total Variance %
1 2.054 20.541 20.541 2.054 20.541 20.541 1.597 15.966 15.966

2 1.618 16.184 36.726 1.618 16.184 36.726 1.595 15.952 31.918
3 1.523 15.229 51.954 1.523 15.229 51.954 1.577 15.772 47.690
4 1.297 12.973 64.927 1.297 12.973 64.927 1.570 15.697 63.387
5 1.171 11.709 76.635 1.171 11.709 76.635 1.325 13.249 76.635

6 0.828 8.277 84.912
7 0.512 5.118 90.030
8 0.402 4.024 94.053
9 0.369 3.690 97.744
10 0.226 2.256 100.000
Finding: Five components had Eigen values above 1 indicating that the 10
variables would be finally reduced to 5 factors. The five components together
explain 76.635% of the total variance.

Rotated Component Matrixa
Component
1 2 3 4 5
Different_Restaurant -0.089 0.781 -0.137 -0.061 -0.042

New_Dishes 0.094 0.852 0.205 0.115 -0.002
Recommended_By_Frien
0.024 -0.156 0.836 0.126 -0.203
ds_Family
Customer_Reviews -0.074 0.256 0.802 -0.011 0.332
On_time_delivery -0.210 -0.067 0.088 0.107 0.839
Followup_calls 0.592 -0.003 -0.156 -0.027 0.657
Compare_Prices -0.050 0.037 -0.110 0.932 0.114
Discounts 0.235 0.017 0.356 0.794 -0.025
Order_only_from_particul
0.854 -0.208 0.044 0.019 -0.041
ar_restaurant
Check_favourite_restaura
0.627 0.346 -0.026 0.157 -0.144
nt

Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 6 iterations.

The factor analysis revealed the following five factors. Their average scores were
calculated to determine their priority levels:
Factor Factor
Factor Name Components Average Average
Different_Restaurant 4.47
1 Variety New_Dishes 4.87 4.67
Recommended_By_Friends_Family 5.70
2 Referral Customer_Reviews 5.32 5.51
On_time_delivery 5.00
3 Reliability Followup_calls 4.58 4.79
Compare_Prices 5.17
4 Price Discounts 5.47 5.32
Order_only_from_particular_restaurant 5.98
Restaurant
5 4.83
Preference
Check_favourite_restaurant 3.68
Finding: Priorities given to the different factors by the respondents are as

follows:
1. Referral (5.51)
2. Price (5.32)
3. Restaurant Preference (4.83)
4. Reliability (4.79)
5. Variety (4.67)

IV. INDUSTRY ANALYSIS: PORTER’S FIVE FORCE FRAMEWORK
Industry: Online food delivery service
i. Threat of Entry: High
Driver Threat
Customer switching cost: A customer may switch easily from using Low
one website to another as there is no registration cost involved.
Capital requirement: Developing a website and hosting it on a server Low

does not require large amount of capital.
Scale independent incumbency advantage is medium mainly due to Medium

the early mover’s advantage.
Entrant’s ease of access to existing chain of restaurants is high as High

the restaurants would not hesitate to associate with the new website
since they are getting additional business.
ii. Threat of Suppliers: Low
Driver Threat
Suppliers to this industry are the Website hosting companies and the Low
employees of the website. Website’s switching cost in changing the
website hosting agent is low since there are a lot of companies that
provide such service with a reasonably low downtime.
Threat from employees is less as the websites have a low switching Low
cost in changing the call center employee who is available in large
numbers.

iii. Threat of Buyers: High
Driver Threat
Restaurants are the major buyers for this industry. Since the website Medium
brings only a fraction of the business for the restaurants their
dependence on the focal industry is low. Restaurant’s switching cost
in discontinuing the website’s service is medium as the restaurants
would only lose a small to medium fraction of their business and still
retain their regular customers who would order using a different
service.
Incumbent’s switching cost in changing the restaurants is medium Medium

as website may lose the customers which order food from that
restaurant on a regular basis.
There is a high risk of buyer backward integration as the restaurants High

may start their own website.
Lack of regular updates regarding changes in the list of menu items High
and prices would lead to incorrect information being passed to the
customers. This could lower the website’s information credibility and
generate lack of trust.
If the delivery logistics are handled by the restaurants then there is High
high likelihood that the website orders would be given lower
priority as compared to the in-house customers and the direct orders
that the restaurants receive. This would lead to delays in deliveries
causing damage to the websites image. In such a case the website
would have to choose their suppliers appropriately.
Customer switching cost: A customer may switch easily from using Low
one website to another as there is no registration cost involved. It is
important that the website establish a point of differentiation by
providing additional features to retain the current customer.
It is less likely that a customer would backward integrate and start Low
his own website providing similar service as it requires high level of
technical expertise.

iv. Threat of Substitutes: High
Driver Threat
Buyer’s cost of switching to substitutes is low as the customers may Low

find it easier to order food using a telephone that to go online and
place an order.
Customers can easily find restaurant numbers using alternative High

services such as Just Dial, Sulekha.com, etc.
v. Threat of Rivalry: Low
Driver Threat
Low exit barrier as the website can shut shop at any point in time. Low
The products are heterogeneous as each website tries to differentiate Low

itself from the others by providing additional features that the
customers would appreciate.
The Indian market is highly fragmented as the existing players in Low

this industry operate in only select few cities. On an average there are
only 2-3 websites operating in major cities. There is no single
national/international player in the industry.

Threat of
New
Entrants
(High)
Threat of Threat of Threat of

Suppliers Rivalry Buyers
(Low) (Low) (High)
Threat of
Substitutes
(High)
After analyzing the threat

threats from the five forces identified by Porter, I conclude that the
overall threat to the industry from the combination of the 5 Forces is Medium to High
since three out of the 5 forces already pose a high threat and the threat of rivalry is likely
to be greater
er in the near future due to low entry barriers.

CUSTOM PAGE | 21
V. SWOT ANALYSIS
Opportunities: Threats:
O1. Word of mouth publicity. T1. Restaurants starting their own restaurants.
O2. No single National Player. T2. Low entry barrier.
O3. Scope of tapping International markets T3. Lack of awareness among the Indian masses coupled
with low internet penetration.
T4. High rate of customer turnover.
Strengths: S-O S-T

S1. Sole presence in Ahmedabad and • The Web 2.0 interface of the website can be • The website needs to be differentiated from the
Manipal markets. used to introduce food related discussion others with additional features to create a high
forums on the site to attract more traffic on the customer switching cost reducing the threat from
S2. IIM Ahmedabad brand equity. site (S3-O1). forward integration by restaurants (S3-T1).
S3. Web 2.0 technology.
• With a correct business model there is a huge • Simplify the process of ordering process to prevent
scope of tapping a large portion of the Indian technically challenged users to switch from
S4. User-friendly graphical user interface
and the International markets as the concept is Food.2Home.in to alternatives like Just Dial,
already known and extensively used by Sulekha.com etc. (S3-T3).
S5. Customer Rating system
customers in the US and UK markets (S3-O2-
O3).
Weaknesses: W-O W-T

W1. Low control over quality of food • Discussion forums can also lead to negative • Tighter control over the restaurants would also
provided by the restaurants. publicity if the service is not up to the mark. reduce the effect of customer turnover (W1-W2-T4).
Tighter control needs to be administered over
W2. Low control over the delivery the restaurants to avoid this consequence (W1-
activity of the restaurants. W2-O1).

E. PHASE 2: EXPLORATORY RESEARCH
Exploratory research was conducted in the form of Focused Group Discussions (FGDs).
I. OBJECTIVE
Objective of the focused group discussion was to understand:
1. Social and behavioral aspects linked to food consumption in offices.
2. Motivating factors affecting food ordering decisions.
3. Expectations from a food ordering service.
II. METHODOLOGY
Four companies were identified from secondary data obtained using the internet
and services like Just Dial. The firms were identified using convenience sampling.
An appointment was made with the HR of these firms to conduct the Focused
group discussion at the office premises.
An FGD Moderator’s Guide (Exhibit 2 in Appendix section) was prepared as a

reference document while conducting the FGD. This document included and
introduction made by the moderator to explain the purpose of the exercise and the
flow of the proceedings and a list of probing questions to be asked to direct the
discussion in the desired direction.
Each focused group discussion lasted from 45 minutes to 1 hour and involved 6 to
7 participants including the HR personnel of that company.
A Content Analysis was performed on the data collected during the focused group
discussions and the necessary findings were arrived at.

III. SNAPSHOTS OF THE FOCUSED GROUP DISCUSSIONS
1st FGD: DigiCorp Information Systems Pvt. Ltd.
• Participants: 7 IT professionals aged between 25 and 35.
• None had used or heard about Food.2Home.in.
• While working late either the HR orders food from outside or one member of the
team does a pick up. Office reimbursement is provided for food ordered during
extra hours (overtime).
• Some restaurants give bulk discount to the office as they are regular customers.
• One of the participants recommended introducing a one click order facility based
on previous order history to make the ordering process less cumbersome.
2nd FGD: Axiom Business Process Management
• Participants: 6 BPO professionals aged between 21 and 30. Two employees were
night shift employees and the rest were evening shift employees including the
HR.
• Two had used Food.2Home.in for ordering food at home.
• People in the evening (5pm) shift would order regular food at around 9pm. Night
shift employees would have food at home and come to office.
• Bulk orders would be placed mainly during team parties.
3rd FGD: Cygnet InfoTech Pvt. Ltd.
• Participants: 4 IT professionals, an HR professional and a Marketing Personnel

aged between 23 and 30.
• None had used or heard about Food.2Home.in.

• Lunch is ordered for the new recruits on their first day at office. This generates
around 10 to 12 orders every month and Cakes are ordered for senior executive
birthdays.
• Night Shift employees get food coupons for a fixed set of restaurants.
• One participant suggested association with good quality to reduce post purchase
dissonance of the customers.
4th FGD: MakeMyTrip.com
• 5 sales executives, a Marketing Manager and HR personnel aged between 25 and

35.
• Three participants had used Food.2Home.inincluding the Marketing Manager.
• Company would reimburse food orders made by employees working after 8 pm.
There was also an upper limit to the reimbursement amount.
• Evening snacks are ordered for office employees for birthday parties.
• One participant expressed the need for providing information on specialty items
and descriptive menus mentioning the food ingredients.
IV. MAJOR TAKEAWAYS
Some of the major takeaways from the FGD’s are as follows:
Two distinct customer segments were identified namely:
o Individual Orders: By Employees
o Bulk Orders: For Office/Team Celebrations
Bulk orders were handled by one of the following on most of the occasions:
o HR Department

o Administration Department
o Senior Executives
o Consensus of the office staff is taken
Typical situations when food was ordered in the office were identified:
o Lunch
o Evening snacks
o Office parties
o Team parties (Among others)
Typical office policies on food reimbursement were identified.
Factors affecting individual ordering were identified
o Variety
o Time
o Discounts (Among others)
Expectations from food delivery service were identified
o Quick order facility
o Tie-up with quality restaurants
o Descriptive Menus
o Price Comparison (Among others)

F. PHASE 3: DESCRIPTIVE
PTIVE RESEARCH
The descriptive research was conducted by administering a questionnaire to 234

corporate employees belonging to 150 different companies across 10 different cities. The
city and the industry details are as follow:
City Responses
Ahmedabad 100
Mumbai 66
Pune 16
New Delhi 13
Bangalore 13
Hyderabad 10
Chennai 9
Kolkata 3
Indore 2
Mangalore 2
Total 234
Telecommunications Traders Industry Split Airline Automotive

3% 1% 1% 1%
Others Retail Advertising
10% BPO
1% 5% 3%
Media
Consulting
Marketing and Sales 2%
11%
3%
Manufacturing Finance
5% IT services 17%
27%
Healthcare
3% Human
Insurance Infrastructure Resource
3% 5% 1%
Majority of the responses were collected from Ahmedabad (100) and Mumbai (66) as the
website was operational in these cities. Majority of the respondents belonged to the IT
(27%), Finance (17%) or the Consulting (11%) industries.

I. SAMPLING METHOD
Since the target population was infinite the sample size was determined by calculating the
sample size required for carrying out a successful factor analysis. This approach was
adopted since factor analysis was one of the major components in the analysis of the
questionnaire that could influence the sample size. A general rule in factor analysis states
that
Number of observations/Number of Dependent variables = 10/1
The factor analysis consists of 11 dependent variables.
Therefore, Sample size > 11 X 10 = 110
Since 240 responses were collected sample size criteria was successfully fulfilled.
II. QUESTIONNAIRE DESIGN
The questionnaire consisted of the following 5 sections (Exhibit 3 in Appendix Section):
1. Introduction: The introduction gave a brief idea about the services offered by
Food.2Home.in and explained the reason behind conducting the survey.
2. Individual food ordering preferences: This section consisted of questions that

were directed towards understanding individual food ordering habits and
preferences.
Q1 is meant to isolate the response of the respondents how order food to office
form the ones who don’t. Q2, Q3 and Q4 are meant to be answered only is the
answer to Q1 is yes. They capture the typical situations for ordering, mode and
the frequency of order respectively. Q5 is a situational question where the
respondent is asked to recollect a past situation when he had ordered food to the
office and eleven questions are asked based on that situation that capture the
various factors that could affect individual ordering decisions on a Likert Scale

having five units ranging from Strongly Disagree to Strongly Agree. This
question is important for carrying out a factor analysis to recognize the key
factors that influence food ordering.
3. Lunch Related: This section consists of questions directed towards understanding

the lunch arrangements in office and the social dynamics during lunch time.
Q1 is a multiple choice single response question that captures the current lunch
arrangement in the office for each respondent. Q2 tries to capture the lunch time
dynamics and behaviors of respondents through use of a Likert Scale having five
units ranging from Strongly Disagree to Strongly Agree.
4. Office Policies: This section consists of questions directed towards understanding

food reimbursement policies followed by the respective companies.
Q1 is a multiple choice multiple response question that captures the data on the
different situations when food is ordered to the office. Q2 tries to find out the
individual/department that is responsible for deciding the order and placing the
order to the restaurants. This information is crucial as it would allow us to
recognize the target customer for the bulk orders who needs to be influenced
through effective use of advertising. Q3, Q4, Q5 and Q6 are meant for capturing
information on the various office policies linked to food reimbursements and the
restrictions that are imposed on issuance of such reimbursements.
5. Demographic information: These questions are meant for gathering demographic

information of the respondents such as Company name, Industry, City, Sex,
Marital status, Living arrangements etc. This information can be used for
profiling the customers using cross tabulation.

III. MEASUREMENT AND SCALING
Section Question Question type Scale
Individual Food Q1 Dichotomous Question Nominal Scale

Ordering
Preferences Q2, Q3 Multiple choice multiple Nominal Scale
responses
Q4 Multiple choice single response Nominal Scale
Q5 Rating or Ranking Likert Scale
Lunch Related Q1 Multiple choice single response Nominal Scale
Q2 Rating or Ranking Likert Scale
Office Policies Q1, Q2, Q4 Multiple choice multiple Nominal Scale

responses
Q3, Q5, Q6 Dichotomous Question Nominal Scale
Demographic Q1, Q2, Q3, Open ended

Information Q4, Q5
Q6, Q8, Q10 Dichotomous Question Nominal Scale
Q7, Q9, Q11 Multiple choice single response Nominal Scale

PHASE 4: ANALYSIS AND FINDINGS
I. INDIVIDUAL ORDERS BY EMPLOYEES
1) The responses on current lunch arrangements in the office were tabulated to give
a summary of the number of respondents in each category. The output was as
follows:
What are your current

lunch arrangements in Total Percentage
the office?
At canteen inside
2 0.85%
commercial complex
Have lunch at home 1 0.43%
I carry home cooked food 134 57.26%

I eat at a restaurant outside
26 11.11%
the office
I have enrolled for a Tiffin
16 6.84%
service
I order food to the office
15 6.41%
from outside restaurants
My office provides me
38 16.24%
food at subsidized rates
My office provides me
food, but not at subsidized 2 0.85%
rates
Grand Total 234 100.00%
Finding: Majority of the respondents carried home cooked food (57.26%). Only
6.41% of the respondents ordered food to office on a regular basis. 11.11% of the
respondents had lunch at outside restaurants. These respondents would need to be
convinced regarding the benefits of online food ordering by providing cognitive
information in order to convert them into potential customers.

2) The responses on typical situations for ordering food to office were tabulated to
give a summary of the number of respondents in each category. The results were
as follows:
What are the typical

situations when you Number of
Percentage
order food to be responses
delivered at your desk?
Daily lunch (I order almost
14 6.0%
on a regular basis)
Evening Snacks 64 27.4%
Occasional lunch 144 61.5%
Working late at office 95 40.6%
Don't Order 21 9.0%
Total Responses 234
Note: The percentage values do not add to hundred since the question was
multiple choice question with multiple responses.
Finding: A large percentage of the respondents ordered food to office for

occasional lunch, evening snacks or late hour meals.

3) Since a majority of the office goers carry home cooked food it was important to
understand the typical situations when these people ordered food to be delivered
at the office. A cross-tabulation of “Lunch Arrangements” data with the “Typical
Situation” data was carried out for this purpose. The results were as follows:
What are the typical situations when you order food to be delivered at your desk?
What are your
current lunch Daily lunch (I
arrangements in Working
order almost Don't Evening Occasional Grand
the office? Dinner late at
on a regular Order Snacks lunch Total
office
basis)
At canteen inside
commercial 0.00% 0.00% 0.00% 50.00% 50.00% 0.00% 100.00%
complex
Have lunch at
0.00% 0.00% 0.00% 0.00% 100.00% 0.00% 100.00%
home
I carry home
0.51% 0.51% 7.18% 22.05% 44.10% 25.64% 100.00%
cooked food
I eat at a restaurant
8.57% 0.00% 2.86% 11.43% 48.57% 28.57% 100.00%
outside the office
I have enrolled for
28.57% 0.00% 9.52% 9.52% 28.57% 23.81% 100.00%
a Tiffin service
I order food to the
office from outside 17.39% 0.00% 4.35% 21.74% 43.48% 13.04% 100.00%
restaurants
My office provides
me food at 0.00% 0.00% 0.00% 0.00% 50.00% 50.00% 100.00%
subsidized rates
My office provides
me food, but not at 0.00% 0.00% 0.00% 0.00% 50.00% 50.00% 100.00%
subsidized rates
Finding: Around 92% respondents who carried home cooked food would order
occasional lunch, evening snacks or late hour meals. This represents around
52.55% (= 91.79% X 57.26%) of the overall population.

4) Now that we know that a reasonably large number of the respondent order
occasional lunches, evening snacks and late hour meals the next step would be to
analyze the order frequency. A cross-tabulation of the “Typical Situations” data
was carried out with the “Order Frequency” data for this purpose. The output was
as follows:
What are the How many times per month do you order food to your desk?
typical
situations
when you Less More
2 to 5 6 to 10 Don't
order food to than 2 than 10 Grand Total
times times Order
be delivered times times
at your desk?
Daily lunch (I
order almost
0% 7.14% 7.14% 85.71% 0% 100%
on a regular
basis)
Evening
14.06% 46.88% 28.13% 10.94% 0% 100%
Snacks
Occasional
22.38% 54.55% 16.78% 6.29% 0% 100%
lunch
Working late at
28.42% 54.74% 10.53% 6.32% 0% 100%
office
Don't Order 0% 0% 0% 0% 100% 100%
Finding: It can be observed that majority of the respondents in the Evening

Snack, Occasional Lunch and the Late Hour Meals category order food 2 to 10
times a month. Thus around 52.55% of the respondents ordered food to be
delivered at the desk at least 2 to 10 times per month. These customers exclude
the 6.41% respondents who order food to office on a regular basis (more than 10
times a month) and the 11.11% of the respondents who eat at outside restaurants
on a regular basis (more than 10 times a month). Thus there is definitely a large
customer base that has not yet been taped by Food.2Home.in that holds a huge
potential to earn Food.2Home.in large revenues.

5) Factor Analysis:
Factor analysis was performed on responses collected for Q5 in the Individual

Food Ordering Preference section of the questionnaire (Exhibit 3 in Appendix
Section)
The 11 variables in Q5 were coded as follows:
I seek a different restaurant every time I place an order. Different_Restaurant
I like trying new dishes / cuisines. New_Dishes
I like to try restaurants that are recommended by friends Recomended_Restaurants

and family.
I like ordering food from restaurants that have received Customer_Reviews

good customer reviews in newspapers and magazines.
I only order food from restaurants that have delivered Ontime_Delivery

food on time in the past.
I only order food from restaurants that are close to my Proximity_to_Office

office.
I do consider discounts offered by the restaurants while Discounts

placing the order.
I do compare prices of different restaurants while Compare_Prices

placing the order.
I prefer that restaurants mention their specialty items in Speciality_Items

the menu cards.
I would prefer ordering food from restaurants with Descreptive_Menus

descriptive menus mentioning the ingredients along with
the food items.
I do give importance to the restaurant brand while Restaurant_Brand

placing an order.

At first the factor analysis was performed on all the 11 variables included in Q5.
The communalities (an estimate of shared or common variance among the
variables) that we got for all the variables were as follows:
Communalities
Initial Extraction
Recomended_Restaurants 1.000 0.638
Ontime_Delivery 1.000 0.513
Proximity_to_Office 1.000 0.606
Speciality_Items 1.000 0.651
Descreptive_Menus 1.000 0.643
Restaurant_Brand 1.000 0.446
Extraction Method: Principal Component
Analysis.
Variables with communalities less than 0.6 are undesirable as they are considered
to be chaotic variables which can cause cross loading on the final factors. Hence,
it was desirable to eliminate one variable at a time and observe the effect on the
overall communalities of all the other variables.
Finally 3 variables were eliminated and the factor analysis was conducted on 8
variables. The three variables that were eliminated were:
1. Different_Restaurant
2. New_Dishes
3. Restaurant_Brand


0.588
Adequacy.
Sphericity Df 28
Sig. 0.000
Finding: The Kaiser-Meyer-Olkin measure of Sampling Adequacy was above 0.5

indicating an acceptable sampling adequacy for the factor analysis. Bartlett's test
of sphericity, which tests whether the correlation matrix is an identity matrix, is
Communalities
Initial Extraction
Analysis.
Finding: All the variables have communalities above 0.6 indicating that all the
variables were appropriate for performing the factor analysis.

% of Cumulative % of Cumulative % of Cumulative
Component Total Variance % Total Variance % Total Variance %
1 2.110 26.376 26.376 2.110 26.376 26.376 1.544 19.296 19.296
2 1.325 16.558 42.934 1.325 16.558 42.934 1.423 17.787 37.082
3 1.213 15.158 58.092 1.213 15.158 58.092 1.375 17.182 54.265
4 1.046 13.073 71.164 1.046 13.073 71.164 1.352 16.900 71.164
5 0.698 8.730 79.894
6 0.628 7.848 87.742
7 0.550 6.875 94.617
8 0.431 5.383 100.000
Finding: Four components had Eigen values above 1 indicating that the 8
variables would be finally reduced to 4 factors. The four components together

Component
1 2 3 4
Recomended_Restaurants 0.125 -0.072 0.845 0.172
Customer_Reviews -0.009 0.274 0.794 -0.121
Ontime_Delivery -0.060 0.204 -0.008 0.795
Proximity_to_Office 0.152 -0.151 0.062 0.782
Discounts 0.844 0.182 0.107 0.030
Compare_Prices 0.869 0.074 0.012 0.060
Speciality_Items 0.150 0.794 0.061 -0.137
Descreptive_Menus 0.106 0.780 0.102 0.204

The factor analysis revealed the following four factors. Their average scores were
calculated to determine their priority levels:
Factor
Factor Factor Name Components Average Average
Recomended_Restaurants 3.95
1 Recommendation Customer_Reviews 3.32 3.637
Ontime_Delivery 3.77
2 Reliability Proximity_to_Office 3.66 3.718
Discounts 3.64
3 Price Compare_Prices 3.38 3.506
Speciality_Items 3.46
Value Added
4 Features Descreptive_Menus 3.56 3.511
Finding: Priorities given to the different factors by the respondents were as

follows:
6. Reliability (3.718)
7. Recommendation (3.637)
8. Value added features (3.511)
9. Price (3.506)

II. BULK ORDERS BY CORPORATIONS
1) Typical situations for placing Bulk Orders were identified in the exploratory
research phase were tested with the respondents to identify the most common
situations when food was ordered in the office. The results were as follows:
Typical situations for ordering food

100.00%
80.00% 64.00% 66.00%
62.00% 59.33%
60.00%
30.00% 34.67% 35.33%
40.00%
20.00%
0.00% Percentage
Note: The percentage values do not add to zero since the question was multiple
choice question with checkbox.
Finding: Bulk orders were mostly placed during Office and Team celebrations,
Birthday celebrations
ebrations and when employees were working late in the office.
office

CUSTOM PAGE | 40
2) Next step was to identify the department/individual who took charge of placing
the bulk orders. It is necessary to identify the decision maker for bulk orders in
order to identify the target audience for the promotional activities and to
understand the factors that influence the ordering decisions of the target audience.
A direct question was asked to the respondents regarding the person/department
responsible for placing the bulk orders. The responses were as follows:
Admin 2.0
A Senior Executive of the company 6.0
The Receptionist 12.0

Percentage
HR Department 29.3
Consensus of office staff 62.7
0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0
Note: The percentage values do not add to zero since the question was multiple
choice question with checkbox.
Finding: In 62.7% of the cases the orders were placed taking into consideration
the consensus of the office staff. In about 49.3% cases the orders were
wer placed by a
specific department like the HR department or the Admin department or by an
individual like the receptionist or a senior executive. The HR department (29.3%)
constituted a significant portion of this number.

3) Since the HR department was identified as one of the major decision makers
when it came to placing bulk orders the next step was to identify the various food
reimbursement policies set by the HR department with respect to overtimes. The
policies identified in the exploratory research phase were tested in the
questionnaire and the responses were analyzed. Following are the results:
Does your office reimburse the food expenses (or provide Number of Percentage
food coupons) incurred during overtimes (or when companies
working late)?
Yes 91 60.67%
No 59 39.33%
Finding: 60.67% of the companies analyzed provided food reimbursements to their

employees for overtimes.
What are the limitations that are applied to such orders? Number of Percentage
Companies
There is an upper limit to amount that can be reimbursed in one 49 32.67%

order.
There is an overall cap on the total amount that can be reimbursed 14 9.33%
in a month.
This facility is only available to senior position employees. 7 4.67%
There are timing restrictions (E.g. Reimbursement will be 31 20.67%

provided to employees working after 8pm).
Such facility can be availed only a limited number of times during 8 5.33%
a month.
No Limitation 9 6.00%
Finding: Some of the most common limitations imposed by the HR department

on food reimbursements were placing an upper cap on the amount that can be
reimbursed for a single order and placing a time restriction for placing the order
e.g. orders will only be reimbursed if the employee has placed it after 9 pm.

4) Factor Analysis: The next step was to perform a factor analysis on the 40
responses collected from respondents belonging to the HR and Administration
department to determine the major factors influencing their food ordering
decisions. The same 11 variables that were used for the previous factor analysis
on individual responses were utilized for this analysis. The communalities that we
got for all the variables were as follows:
Communalities
Initial Extraction
Restaurant_Brand 1.000 0.369
Analysis.
Finding: Several variables were chaotic variables (< 0.6) and it was necessary to
eliminate the chaotic variables one by one till all the chaotic variables were
removed. Finally four chaotic variables were eliminated and the factor analysis
was performed using the remaining seven variables. Four variables that were
eliminated were:
1) New_Dishes
2) Customer_Reviews
3) Restaurant_Brand
4) Proximity_to_Office


0.509
Adequacy.
Sphericity Df 21
Sig. 0.000
Finding: The Kaiser-Meyer-Olkin measure of Sampling Adequacy was above 0.5

indicating an acceptable sampling adequacy for the factor analysis. Bartlett's test
of sphericity, which tests whether the correlation matrix is an identity matrix, is
Communalities
Initial Extraction
Analysis.
Finding: All the variables have communalities above 0.6 except for
Speciality_Items, but since its communality is quiet close to 0.6 I have considered
the variable. This indicates that all of the variables were appropriate for
performing the factor analysis.

Compo % of Cumulative % of Cumulative % of Cumulative
nent Total Variance % Total Variance % Total Variance %
1 1.983 28.326 28.326 1.983 28.326 28.326 1.851 26.441 26.441
2 1.714 24.487 52.812 1.714 24.487 52.812 1.684 24.056 50.496
3 1.373 19.610 72.423 1.373 19.610 72.423 1.535 21.927 72.423
4 0.721 10.294 82.717
5 0.491 7.018 89.736
6 0.440 6.293 96.028
7 0.278 3.972 100.000
Extraction Method: Principal
Component Analysis.
Finding: Three components had Eigen values above 1 indicating that the 7
variables would be finally reduced to 3 factors. The three components together

Component
1 2 3
Different_Restaurant 0.109 -0.096 0.866
Recomended_Restaurants -0.091 0.236 0.810
Ontime_Delivery 0.790 -0.073 -0.198
Discounts 0.061 0.893 0.056
Compare_Prices 0.017 0.891 0.055
Speciality_Items 0.711 0.014 0.290
Descreptive_Menus 0.835 0.150 -0.006

The factor analysis revealed the following three factors. Their average scores
were calculated to determine their priority levels:
Factor Factor Components Average Factor

Name Average
1 Variety Different_Restaurant 3.05 3.5125
Recomended_Restaurants 3.975
2 Service Ontime_Delivery 3.825 3.675

quality
Speciality_Items 3.725
Descreptive_Menus 3.475
3 Price Discounts 3.95 3.8
Compare_Prices 3.65
Finding: Priorities given to the different factors by the HRs were as follows:
1. Price (3.8)
2. Service quality (3.675)
3. Variety (3.5125)

G. CONCLUSION
The following conclusions were drawn on the basis of the research conducted during the
summer project:
Word of mouth publicity was found to be the most effective mode of

promotion in the past.
Two different target segments were identified namely ‘Individual orders from
corporate employees’ and ‘Bulk orders by corporations’.
There is a large business potential from individual orders from employees

even though a large number of them carry home cooked food.
Bulk orders were most commonly handled by the HR department or the

receptionist making them the target audience for all promotional activities
regarding bulk orders.
Individual employees gave more importance to factors such as reliability,

recommendation and value added features whereas HRs and receptionist gave
more importance to factors such as price, service quality and variety.

H. RECOMMENDATIONS
According to the 4P analysis done earlier the website does not have much control over
the Price and the Placement aspects of the business as they are mainly controlled by the
restaurants. Product and Promotion are the only areas where ICTOBAN can influence a
change. Hence, the recommendations are specific to these two aspects of the business.
I. INDIVIDUAL ORDERS BY CORPORATE EMPLOYEES
Changes in the Product:
o Service reliability was seen as one of the dominant factor that affected the
individual food ordering decisions. As per the initial company analysis
reliability in terms of on-time delivery and food quality was seen as one of
the weaknesses that could pose potential threats. Some of the measures to
improve reliability factor are:
□ Tie-up with quality restaurants needs to be ensured in order to set
and maintain high service quality standards. The company can
standardize the process of restaurant identification and selection
for association by setting specific criteria that the restaurants
would need to fulfill in order to form an association with
Food.2Home.in.
□ Tighter control over Restaurants by strengthening the contract
clauses: Currently customer review is the only measure that is
directly linked to the restaurant’s performance and can indirectly
penalize the restaurants if it delivers unsatisfactory service. The
company can introduce a monthly threshold for the number of
customer complaints that are registered against the restaurants and
directly penalize them if the threshold is crossed. The company
also needs to ensure regular and timely updates of any menu
changes that take place at each restaurant.

o Value added service was one of the important parameter identified through
factor analysis that influenced individual food ordering decisions. The
website could introduce the following value added services to aid the
process of ordering food:
□ The restaurants can be requested to provide descriptive menus
mentioning the food ingredients and a daily/weekly list of specialty
items which would aid the process of ordering food.
□ It was noticed during the telephonic interview phase that a lot of
lost customers felt that the ordering process was cumbersome and
involved too many steps. This can be partly tackled by introducing
a Quick order facility where the website would save the customer’s
favorite order and enable him to place this order at just a click of a
button.
Changes in Promotion:
o Web 2.0 technology is a strong online platform that is highly recognized

for providing social networking capabilities. This asset can be exploited to
a great extent by introducing the following measures to aid online
promotions:
□ Studies conducted during the project have shown that word of
mouth promotions have played a major role in the past in bringing
visibility to the website without any aid from the website. Word of
mouth promotions can be taken to next level by introducing an
online friend referral system on the website where satisfied
customers could send a personal recommendation to their friends
and family via email.
□ Food ordering is a high involvement and a complex process where
most of the user seeks and analyses information on different
restaurants and cuisines before placing an order. Web 2.0 interface
can be used to facilitate this process by making the site more

interactive by introducing food related discussion forums allowing
users to provide restaurant reviews and recommendations.
o As discussed in the Proter’s five force framework there is a high level of
threat from buyers and new entrants due to low user switching cost. This
can be tackled by increasing the user switching cost by introducing loyalty
programs such as giving reward points on every order placed that can be
exchanged for free gifts or free orders.
II. BULK ORDERS BY CORPORATATIONS
Changes in the Product:
o Bulk orders from corporate customers need to be separated from the rest
of the individual orders by introduce corporate login accounts with
facilities such as:
□ Individual login for employees
□ Cap on expenditure per order
□ Overall monthly expenditure cap per employee
□ Time restrictions on order
□ Expense tracker for the company
o Research conducted during the project showed that Receptionists, HR
department and Administration department are the main stakes holders
when it came to placing bulk orders. Factor analysis performed on the HR
responses revealed that price was the most important factor that influenced
their Food ordering decision. In many cases the performance of the HR
personnel was directly linked to the amount of cost savings that the HRs
achieved. Hence it would make sense to provide the HRs with advanced
price comparison features which would enable them to compare the price
of the bulk orders across restaurants to ease the decision making process

Changes in Promotion:
o Advertising strategy should be Cognitive-Affective-Behavioral

□ Cognitive: Cognitive learning for consumers is a process of
perceiving stimuli, associating stimuli to needs and evaluating
alternative brands, and assessing whether the product/service meets
expectation (Source: ‘Consumer Behavior A Strategic Approach’
by Henry Assael). In cognitive learning a consumer is receptive to
external stimuli providing valuable information on a particular
product or service. It is important to communicate to the customer
in clear and simple terms all the benefits the customer would
derive from the product or service that differentiates it from the
competitors. Hence, ICTOBAN should bombard the target
audience with informative advertisements via frequent news paper
campaigns, fliers, posters and banners and highlighting all the new
features introduced by the website and their benefits.
□ Affective: Affective component represents the consumer’s overall
evaluation of the brand based on his feelings after using the brand.
It is important to make the consumer use the brand in order to
develop a strong affective attitude towards the product/service.
Keeping this in mind ICTOBAN should keep a limited period free
trial to encourage corporate customers to use the website and get a
good feel of it.
□ Behavioral: A positive affective attitude would lead to a behavioral
change in the form of acceptance and recommendations. Highlight
the good recommendations received from customers on the website
to attract further clients.

I. LIMITATIONS AND SCOPE FOR FURTHER STUDY
LIMITATIONS
It was very difficult to get appoints with the corporations in Ahmedabad to

conduct focused group discussions as most of them were not willing to spare time
for the activity. Hence, the FGDs were conducted among a limited sample of 4
corporations.
Very few responses could be collected from the existing customers of the website
as those responses were collected online via email rather than personal collection.
This was done due to time limitations. The effect of this limitation can be seen in
the KMO test for factor analysis which shows sampling inadequacy.
More HR and admin responses were desirable to conduct an even thorough factor
analysis.
SCOPE FOR FURTHER STUDY
A confirmatory factor analysis can be carried out using Structural Equation

Modeling to further substantiate the findings.
A study of various advertising channels can be conducted and a feasibility

analysis can be carried out to recommend the most suitable advertising channel
for the company.

J. REFERENCES
‘Multivariate Data Analysis’ by Hair, Anderson, Tatham and Black.
‘Marketing Research’ by Hair, Bush and Ortinau.
‘Marketing Research’ by Dr. Rajendra Nargundkar.
Online Food Ordering – Does This Really Work In India? (www.WhatBlog.com)
The changing phase of online food ordering system (www.merosys.com)
How to choose the best online food ordering system! (www.ehow.com)
http://www.watblog.com/2009/07/27/online-food-ordering-does-this-really-work-in-
india/
http://help.surveymonkey.com/app/answers/detail/a_id/426/
http://help.surveymonkey.com/app/answers/detail/a_id/136/~/tips-for-creating-an-
effective-survey-introduction.
http://ahmedabadonline.in/Profile/Economy/
http://www.ahmedabadbusinessdirectory.com/find-any.asp
http://www.ahmedabadindustries.com/
http://wwww.justdial.com/
http://www.sulekha.com/
http://maps.google.com/

K. APPENDIX
EXHIBIT 1
Existing Customer Survey Form
Dear Customer,
This is Kunal Madkaikar from Food.2Home.in. I am conducting a short survey to

determine your overall customer satisfaction level based on your recent transactions with
our website. This is an effort to understand your needs and expectations from our website
so that we could deliver better service and the desired features to you.
Thank you for taking the time to complete this survey. Your feedback is important to us. I
assure you that the information gathered in the survey will be kept confidential and not
shared with any third party.
This survey should only take about 5 minutes of your time. Any questions marked with
an asterisk (*) require an answer in order to progress through the survey.
If you have any questions about the survey, please contact me at kunal@2home.in or call
09662898001.
Section 1: General Feedback
Q1. How did you find out about Food.2Home.in? *
□ Newspaper article □ Leaflet in newspaper
□ Poster ads at a Restaurant □ Search Engine
□ Ad on other website (e.g. Facebook) □ Friend Reference

Q2. How many times per month do you place an order? *
More than 10
0-1 2-5 6-10
times
Dine in a restaurant o o o o
Order home delivery o o o o
Arrange for a take away o o o o
Q3. How much do you agree with each of the following statements? *
Strongly Strongly
Disagree Neutral Agree
Disagree Agree
The food ordered using

Food.2Home.in website is always o o o o o
delivered on time
I am satisfied with the variety of

restaurants available on o o o o o
Food.2Home.in
The food ordered using

Food.2Home.in website is always o o o o o
delivered fresh
The web interface for

o o o o o
Food.2Home.in is user-friendly
I will use Food.2Home.in again o o o o o

I recommend people to use
o o o o o
Food.2Home.in

Q4. How much do you agree with each of the following? *
Strongly Strongly
Disagree Agree
It is more easier to place an

order on the telephone than o o o o o
on the website
Food is delivered faster

when it is ordered through
o o o o o
telephone instead of the
website
The quality of food is better

when it is ordered through
o o o o o
telephone instead of the
website

Section 2: Situational Feedback
Think of a situation in the recent past when you placed an order through our website.
Keeping this situation in mind rate the following statements based on how much you
agree / disagree with the statements.
Q1. I seek a different restaurant every time I order a Home Delivery *

1 2 3 4 5 6 7
Completely Disagree o o o o o o o Completely Agree
Q2. I like trying new dishes / cuisines every time I order a Home Delivery. *
1 2 3 4 5 6 7
Q3. I like to try restaurants that are recommended by friends and family. *
1 2 3 4 5 6 7
Q4. I like ordering food from restaurants that have received good customer reviews.*
1 2 3 4 5 6 7
Q5. I only order food from restaurants that have delivered food on time in the past.*
1 2 3 4 5 6 7

Q6. Follow up calls by restaurant / website coordinators are important to me. *
1 2 3 4 5 6 7
Q7. I do compare prices of different restaurants while placing the order. *

1 2 3 4 5 6 7
Q8. I do consider discounts offered by the restaurants / website while placing the order. *
1 2 3 4 5 6 7
Q9. I do check if my favorite restaurant is available on the website. *

1 2 3 4 5 6 7
Q10. I do not place an order if a particular restaurant is not available on the website. *
1 2 3 4 5 6 7

Section 3: Demographic Information
Q1. Name Q2. Sex *
o Male o Female
Q3. Age * Q4. Marital Status *
o <18 o 25-30 o Married o Unmarried
o 18-24 o >30
Q5. Occupation *
o Own Business o Working Professional
o Housewife o Student
o Other: __________________
Q6. Location *
o Ahmedabad o Mumbai
o Manipal o Other: ___________________

Q7. Living arrangement *
o Living with family o Paying guest
o Hostel o Rented apartment with roommates
o Other: __________________
Q8. Which social / professional networking website are you a member of? *
o Orkut o Facebook
o Linkedin o Twitter
o MySpace o I do not use such websites.
o Other: _________________

EXHIBIT 2
FGD Moderator’s Guide
Introduction:
Hello, my name is Kunal Madkaikar from 2Home.in, and I am the facilitator for this
discussion. 2Home.in is an online food ordering website conceptualized to ease the
process of ordering food.
Our objective for today’s discussion is to
1. Study the social and behavioral aspects linked to food consumption in corporate
offices.
2. Understand the motivating factors that affect your food ordering decisions.
3. Know your expectations from an online food ordering website
This discussion would help us understand the factors that stimulate your food
ordering decisions and what is it that you are looking for from a general food ordering
service. My job is to move the conversation along and make sure that we cover several
different subjects and to ensure that everyone here gets involved. As you will see, there is
no right or wrong answer to any of the questions. The purpose is to find out what your
personal opinions are, and everyone’s opinion is equally important to us. We will be
covering several topics and I encourage you to speak freely.
Some Important Points:
1. One person speaking at one time:
We want to have an organized session, and in order to do this, I ask that you
respect the person who is speaking, and wait for him/her to finish his/her
thoughts.
2. Participant’s Introduction: We shall start off with a brief introduction of each

participant.

Topics: (List of probing questions)
1. Social aspects linked to food consumption in Office:
Here we will be discussing in general about the food arrangements in your office,
your lunch time behaviors, importance given to socializing during lunch time and
what do you associate lunch time with(what does lunch time mean to you).
a. You could start by describing a typical lunch time in your office.
i. What are your current lunch arrangements in office and how is it

convenient / inconvenient to you?
ii. Is your lunch time fixed? What do you do if you are not able to
have lunch in that particular time slot?
iii. Do you order food way in advance so that it reaches in time?
iv. Do you have lunch in a group? If yes then why?
v. What if your food has not arrived till the time your group starts
having lunch?
vi. Do you share your food with others? What are some of the typical
traits observed while sharing food?
vii. Do you have a common pantry or a cafeteria where you sit for
lunch or do you have it at someone’s desk?
viii. If you have it at someone’s desk how do you ensure cleanliness?
ix. If you have lunch at you own desk, why?
b. What does lunch time mean to you? Give me one word that you would
like to associate with lunch time.
i. Why?
ii. Need to dig deeper into this.

2. Food ordering habits in the office:
Here we will be discussing when, how and under what conditions do you order
food from a particular place. The purpose of this discussion would be to
understand the motivating factors that affect your food ordering decisions.
a. Describe a typical situation where you order food from outside? (Dig
deeper into each situation. Some situations could be: Evening snacks,
Working late at office, Conference or a meeting)
i. How do you currently order food from outside?
ii. How did it help/bother you?
iii. Have you ever ordered food during meetings or conferences? What
factors do you consider while making a decision on whether no not
to order food during such situations
iv. What are the policies in your office for ordering food for official
purpose?
v. What do you do when you are working late and get hungry? If you
order food from outside is it take care by the office or on personal
account?
vi. How does your order change when you order on office expense
instead of on your own account?
b. You have to order food from a restaurant for whatever reason. You have to
choose a restaurant for ordering food from. How do you go about
choosing the restaurant?
i. What are the major factors that affect your food ordering decision?
(Discuss each factor in details).

ii. Do you order from the same restaurant every time or like trying
different restaurants? Would you order from a restaurant you
haven’t heard of?
iii. Are you influenced by your friend’s recommendations while

choosing a restaurant?
iv. How do discounts affect your order decision? What kind of

discounts?
v. How important is it to have a menu card in front of you wile

ordering?
vi. Do you order standard items from the menu or do you like
experimenting? How does that change when you are ordering for
official purpose for a meeting instead of ordering for yourself?
3. Your Expectations:
Here we would like to know your expectations out of a food ordering

service/website, things that you would like to have in order to make you order
food more frequently.
a. If you were to open your own food ordering service what features would
you want to include for satisfying your customers? And Why?

EXHIBIT 3
Questionnaire for Corporate Survey
Hello Sir/Madam,
This is Kunal Madkaikar from Food.2Home.in. Food.2home.in is an online food

ordering website conceptualised to ease the process of ordering food. I am conducting a
short survey to study the food ordering habits and preferences of corporate employees.
This is an effort to understand the needs and expectations of corporate customers from a
food ordering service like ours so that we could deliver better service and the desired
features to you.
Thank you for taking the time to complete this survey. Your feedback is important
to us. I assure you that the information gathered in the survey will be kept highly
confidential and not shared with any third party.
This survey should only take about 10 minutes of your time. Any questions
marked with an asterisk (*) require an answer in order to progress through the survey. If
you have any questions about the survey, please contact me at kunal@2home.in or call
09662898001.

Individual Food Ordering Preferences
The following questions are directed towards understanding your current food ordering
habits and preferences.
Q1. Have you ever ordered food to be delivered at your office? *
o Yes o No
Q2. If answer to Q1 is 'Yes' then what are the typical situations when you order food to
be delivered at your desk? (Select all relevant options)
□ Daily lunch (I order almost on a regular bases)
□ Occasional lunch
□ Evening Snacks
□ Working late at office
□ Other: _____________
Q3. If the answer to Q1 is 'Yes' then how did you place the order?
(Select all the relevant options)
□ On the telephone □ On the Internet
□ Direct Pickup by self or an office □ Other: _____________________

assistant
Q4. If the answer to Q1 is 'Yes' then how many times per month do you order food to
your desk?
o 0-1 o 6-10
o 2-5 o More than 10 times

Q5. Think of a situation in the recent past when you placed an order for food to be
delivered at your office. Keeping this situation in mind rate the following statements
based on how much you agree / disagree with the statements. *
Strongly Strongly
Disagree Agree
a) I seek a different restaurant every time I

o o o o o
place an order.
b) I like trying new dishes / cuisines. o o o o o

c) I like to try restaurants that are
o o o o o
recommended by friends and family.
d) I like ordering food from restaurants
that have received good customer o o o o o
reviews in newspapers and magazines.
e) I only order food from restaurants that
o o o o o
have delivered food on time in the past.
f) I only order food from restaurants that
o o o o o
are close to my office.
g) I do consider discounts offered by the
o o o o o
restaurants while placing the order.
h) I do compare prices of different
o o o o o
restaurants while placing the order.
i) I prefer that restaurants mention their
o o o o o
specialty items in the menu cards.
j) I would prefer ordering food from
restaurants with descriptive menus
o o o o o
mentioning the ingredients along with
the food items.
k) I do give importance to the restaurant
o o o o o
brand while placing an order.

Lunch Related
The following questions are directed towards understanding your lunch arrangements in
office and your social dynamics during lunch time.
Q1. What are your current lunch arrangements in the office? *
o I carry home cooked food
o I have enrolled for a Tiffin service
o I order food to the office from outside restaurants
o My office provides me food at subsidized rates
o I eat at a restaurant outside the office
o Other: _________________________
Q2. How much do you agree with each of the following statements? *
Strongly Strongly
Disagree Agree
a) I like to have my lunch in a group

o o o o o
environment.
b) I always have lunch with the same group. o o o o o

c) I like to socialize during my lunch time. o o o o o
d) I like to share my food with others
o o o o o
during lunch time.
e) I have my lunch with my team mates to
o o o o o
synchronize our work activities.
f) I like to finish my lunch fast so that I can
o o o o o
go home early.
g) I tend to skip/delay lunch whenever I am
o o o o o
loaded with work.
h) Having a timely lunch is important to
o o o o o
me.

Strongly Strongly
Disagree Agree
i) A good lunch break helps me reduce

o o o o o
work related stress.
Office Policies
The following questions are directed towards understanding the food ordering related
policies followed at your office.
Q1. What are the typical situations when food is ordered at your office? *
(Select all the relevant options)
□ Office Parties □ Conferences
□ Team Parties □ Client meetings
□ Festival Celebrations □ Working Late
□ Birthday Celebrations □ Other: ______________________
Q2. Who decides the restaurant and menu when food is ordered for an office celebration
(party, festival, birthday, etc.)? * (Select all the relevant options)
□ The Receptionist
□ HR Department
□ A Senior Executive of the company
□ Menu is decided taking the consensus of the office staff
□ Other: ______________________
Q3. Does your office reimburse the food expenses (or provide food coupons) incurred
during overtimes (or when working late)? *
o Yes o No

Q4. If the answer to Q3 is 'Yes' then what are the limitations that are applied to such
orders? (Select all the relevant options)
□ There is an upper limit to amount that can be reimbursed in one order.
□ There is an overall cap on the total amount that can be reimbursed in a month.
□ This facility is only available to senior position employees.
□ There are timing restrictions (E.g. Reimbursement will be provided to employees

working after 8pm).
□ Such facility can be availed only a limited number of times during a month.
□ Other: _________________________
Q5. Does your office have employees who work in the night shift? *
o Yes o No
Q6. If the answer to Q5 is 'Yes' then does your office offer food allowance to these
employees?
o Yes o No
Demographic Information
Q1. Name: * Q2. Company Name: *
Q3. Department: * Q4. Industry: *
Q5. City: * Q6. Sex *
o Male o Female
Q7. Age * Q8. Marital Status *
o <18 o 25-30
o 18-24 o >30 o Married o Unmarried

Q9. Living arrangement *
o Living with family o Paying guest
o Hostel o Rented apartment with roommates
o Other: __________________
Q10. Have you ever made an online purchase (tickets, books, gifts, etc.) *
o Yes o No
Q11. Which Social / Professional networking website are you a member of? *
o Orkut o Facebook
o Linkedin o Twitter
o MySpace o I do not use such websites.
o Other: _________________

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M IP – SUMMER PROJ ECT REPORT

Faculty Guide: Prof. Jaba M Gupta

Industry Guide: Mr. Aravind R S

Submitted in partial fulfillment of the Post Graduate Programme in Management at

Name: Kunal Madkaikar

Roll No: 09223

Date: 15th June, 2010.

T A PAI MANAGEMENT INSTITUTE,

Name of Faculty Guide: Prof. Jaba M Gupta

Date: 30th July, 2010.

KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | II

I wish to express my sincere gratitude to Mr. Aravind R S, Director, ICTOBAN Online

In order to device a marketing strategy it is very important to understand the target

Phase 2: An exploratory research was conducted with corporations in Ahmedabad using

KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | IV

The major findings were as follows:

Individual Orders by employees:

1. 57.26% employees carried home cooked food.

KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | V

Bulk Orders by corporations:

1. Majority of the bulk ordering happens during Birthday Celebrations, Office

The major recommendations were as follows:

Individual Orders by employees:

1. Changes in the Product:

KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | VI

Bulk Orders by corporations:

1. Changes in the Product:

E. PHASE 2: EXPLORATORY RESEARCH .......................................................... 23

F. PHASE 3: DESCRIPTIVE RESEARCH .............................................................. 27

G. PHASE 4: ANALYSIS AND FINDINGS .............................................................. 31

KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | 1

2. To conduct marketing research to understand food ordering habits and patterns of

The Questionnaire was administered personally to 100 corporate employees in

KUNAL MADKAIKAR (09223) MARKETING STRATEGY FOR CORPORATE CUSTOMERS PAGE | 2

The project was executed in the following Four Phases:

I. PHASE 1: COMPANY AND INDUSTRY ANALYSIS

4P Analysis: Conducting the 4P analysis was necessary to understand the business

Business Model analysis: Business model analysis helped in understanding the

Telephonic survey of current customers: Speaking directly to the current

This exploratory research was followed by a descriptive research in the form of an

SWOT Analysis: SWOT analysis helped in formulating strategies to utilize the

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Four Focused Group Discussions were conducted in Ahmedabad with Corporate

FGD Moderator’s guide was prepared (Exhibit 2 in Appendix Section).

4 firms were identified using convenience sampling.

Appointments were taken to conduct FGD in office premises.

Discussions ranging from 45 minutes to 1 hour were conducted.

III. PHASE 3: DESCREPTIVE RESEARCH (QUANTITATIVE)

Objective: To perform a confirmatory study on the findings of the exploratory research

A Questionnaire was formulated based on the findings of the exploratory

The questionnaire consisted of five sections namely:

o Introduction: Describing the purpose of the exercise.

o Individual food ordering preferences: Consisting of questions directed

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o Office Policies: Consisting of questions directed towards understanding

o Demographic Information: Consisting of questions on demographic

The questionnaire was administered personally to 100 corporate employees in

IV. PHASE 4: ANALYSIS AND FINDINGS

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1. Product: Food.2Home.in offers two key products:

Food.2Home gives a confirmation call to the customer to informing him/her

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4. Promotion: Food.2Home.in was started with an initial investment of Rs. 3 Lakhs