Project Everest

Proposed Experiment

[Proposed Experiment]: Fuel I Timor-Leste July 2019 - Home Delivery

Lean Phase:


Channels


Assumption:


That paying customers prefer to pay an additional amount to have the product delivered directly to them. 


Time Box:


Two weeks.


Success Metrics:


Metric


% of paying customers who choose to pay for home delivery.  


Green Light:


Develop relationship with D&N movers, and if they are proven to be reliable purse them as home delivery channel.


Success point:


If over 40% of customers are willing to pay for home delivery. 


Orange Light:


Empathise with customers to determine their preferences regarding home delivery. Determine if there are any blocks for customers that are involved in home delivery.


Investigate if price is a determining factor, if so explore the possibility of alternative distributors.


Failure Point:


Less than 10% of paying customers are willing to pay for home delivery.


Red Light:


Prioritise pick up as the distribution method. See experiment here: https://projecteverest.crowdicity.com/post/1013430


Experiment build:


1. When making a sale, through online ordering or face to face, give the customer the option to have the stove delivered for a set price (see experiment here: https://projecteverest.crowdicity.com/post/1013430) or pick up from a predetermined location.


2. Track the total number of customers who opt for each method over a set period of time.


3. Record their selected channel for distribution and determine the overall percentage of those customers that selected home delivery.


4. Fulfill sales with the selected method and gain customer feedback on process


This experiment is to be run in conjunction with the pick-up experiment, see here: https://projecteverest.crowdicity.com/post/1013430


It is designed so that a green light is theoretically possible for both experiments should there be an even split of paying customers who are interested in each method. It is intended that if both delivery channels fall in the 40-60% range (with the combined total always 100%), they are both worth executing on.

edited on 29th June 2019, 02:06 by Laura Taylor

Thomas de Heus 4 months ago

Status label added: Proposed Experiment

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Nic Makram 4 months ago

Hey Deus,

Sounds like it will be an interesting experiment and love the way you've got the simultaneous experiment running with pick up and the overlap metric!

Is this experiment being run just in the Dili area, or is it extending out into the rural regions? My question being whether the data from those within Dili would correlate to those in the more rural communities - which would change the actions on of this experiment (D&N offer rural home delivery, but Vinod Patel offer free delivery within Dili as far as I'm aware - so relationship with D&N not necessarily required if rural communities prefer pick-up).

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Thomas de Heus 4 months ago

Hi Nic,

Thanks for your comment.

Initially this is intended just within Dili, as the $5 quote we have recieved from D&N is just for this at the moment. It is also logistically easier for this initial test.

For rural communities we would be looking at moving a larger volume of stoves at one time and distributing them from a central location in that area (such a store), rather than door to door directly like in the Dili suburbs. This is more economical, however is a future action at this point.

Vinod Patel only offer delivery for furniture, so for door to door D&N is currently the only option we have found.

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