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Product Management Analytics Question: Defining success metrics for Dunzo's on-demand delivery service

Asked at Dunzo

15 mins

how would you define the success of dunzo's on-demand delivery service?

Product Success Metrics Medium Member-only
Metric Definition Stakeholder Analysis Data Interpretation On-demand services Last-mile logistics E-commerce
Product Analytics Success Metrics On-Demand Delivery Hyperlocal Dunzo

Introduction

Defining the success of Dunzo's on-demand delivery service requires a comprehensive approach that considers multiple stakeholders and metrics. To effectively evaluate this product success metrics problem, I'll follow a structured framework covering core metrics, supporting indicators, and risk factors while considering all key stakeholders.

Framework Overview

I'll follow a simple success metrics framework covering product context, success metrics hierarchy.

Step 1

Product Context

Dunzo is a hyperlocal on-demand delivery service that connects users with local stores and delivery partners. The app allows users to order groceries, food, medicines, and other essentials for quick delivery, typically within an hour.

Key stakeholders include:

  1. Users: Seeking convenience and quick delivery of essential items
  2. Delivery Partners: Looking for flexible work opportunities and fair compensation
  3. Local Stores: Aiming to increase sales and reach more customers
  4. Dunzo: Focused on growth, profitability, and market share

User flow:

  1. User opens app and browses categories or searches for specific items
  2. Selects products and adds to cart
  3. Chooses delivery time and address
  4. Makes payment
  5. Dunzo assigns a delivery partner who picks up items from store(s)
  6. User receives real-time updates and can track the delivery
  7. Delivery partner completes the order and user can rate the experience

Dunzo fits into the broader strategy of last-mile logistics and the gig economy, aiming to revolutionize urban convenience. Competitors include Swiggy, Zomato, and Amazon's Prime Now, but Dunzo differentiates itself with a wider range of services beyond just food delivery.

Product Lifecycle Stage: Growth - Dunzo is expanding to new cities and continuously adding features, but still faces challenges in achieving profitability and scaling operations efficiently.

Software-specific context:

  • Platform: Mobile app (iOS/Android) and web platform
  • Integration points: Payment gateways, mapping services, local store inventory systems
  • Deployment model: Cloud-based with frequent updates

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