Lean Product Marketing - Case Study

The Coffee Mug Paradigm

By,Nitish Gulati,Product Owner,Cybrilla Technologies & Blogger www.nitishgulati.com

What is the case study?❖ Sector - Food Tech.❖ Companies - TinyOwl, DineOut, Swiggy.❖ Key Factor - Coffee Mug - Start ups going nuts over it!❖ Focus - Relentless focus on distribution of free coffee

mugs to attract customers to stalls.

Situation Analysis❖ Model - Offline Marketing through stalls at various

locations.❖ Peak Time to engage with consumers -

❖ 9.30 - 11.30 AM (Breakfast)❖ 12.30 - 3.00 PM (Lunch)❖ 5.00 - 6.30 PM (Snacks)

❖ Total time for engagement - 420 mins per day❖ Locations – Waverock SEZ, Hyderabad

Testing the Data Waters

Brands Dineout Swiggy TinyOwlFactors

Staff at the stall 3-5 5-7 3-5Stall Positions

(Single Location) 2 2 1

Number of Days 2 2 1

Cashback Rs 100 NA 100% up to Rs 150

Mugs Handed Out 420 168 NA

Stall Decoration Simple Grand ModerateOrders Achieved NA 84 NA

Engagement Time

420 mins per day

420 mins per day

300 mins per day

A bird’s eye view of the defined metrics

It’s somewhat measurable, but is it working?❖ Not really lean!

❖ Where are the Key performance indicators (KPI’s)?

❖ If KPI’s exist, which facets of a coordinated marketing campaign are having a positive impact on them?

❖ Let’s introduce something called - Lean Product Marketing

Lean Product Marketing - What is it?

❖ Validating learning and being able to judge the needs of early customers.

❖ Identifying the minimum viable product (MVP) and being agile around it with respect to marketing.

❖ Value, experimentation over planning.❖ Testing and metrics are vital to the growth

Applying Lean Marketing - Let’s deep dive

Brands Dineout Swiggy TinyOwl

Business CaseInstall Enter codeCredit of Rs 100Get mug

InstallMin order of Rs 50Get mug

*100% cash back up to Rs 150*Play dart game - 5 chances. Up to Rs 300 back. Get mug

Observations*Network Issues*Time to register pre download

*Network Issues*Time to place order*Less numbers due to costs involved

*Network Issues*Time to play game*Breakfast time not included (Lost 120 mins)

Assumptions

Approx. 2 mins time for installation, code redemption and registration

Approx. 4-5 mins for installation, placing order and collecting mug

Approx. 3 mins for playing game, code redemption and registration

Applying Lean Marketing - Let’s deep dive (cont.)

Brands Dineout Swiggy TinyOwlTangible Factors

Staff at stall ₹7500 ₹10000 ₹7500Rent ₹28000 ₹28000 ₹14000

Cashback ₹42000 NA ₹ 40000 (30 + 10)

Mugs ₹21000 ₹8400 ₹5000Stall decoration ₹5000 ₹10000 ₹5000Orders Achieved NA ₹8400 NA

Total ₹61500 ₹48000 ₹78500Non tangible factors

Stall Attraction Simple Grand ModerateCustomer profitabilty Grand Moderate Simple

❖ All values in Indian Rupees (INR)

❖ What could the 3 start ups have done differently post this analysis?

❖ Plan for a Sustainable pace.❖ Removing Impediments (TinyOwl)❖ Just In Time Reviews (DineOut)

Applying Lean Product Marketing

❖ Lean Marketing Factors used - ❖ Experimentation | Customer feedback |

Metrics

The Coffee Mug Judgement

Paradigm Winner Runner UpConsumer is the King DineOut TinyOwl

WOW Factor TinyOwl SwiggyBalanced Market Strategy

(ROI + Customer Acquisition + Customer

Retention)Swiggy NA

Conclusion❖ Lean product marketing is a cycle – Not a big

bang approach.❖ Have something akin to a MVP ❖ Measurements, like burn down charts, are

important ❖ Retrospect helps in maintaining the vision of

the brand❖ Focus on building experience with consumers

Connect With Me

/in/nitishgulati

@GulatiNitish

www.nitishgulati.com