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 Case writeup – #1A

This particular case would be rated 5/10 in difficulty and would be considered as a Round-1 case.

Please have a pen & paper handy before you get started.

It is important to note that this is only hypothetical scenario. You should not use company names or apply data from real world into this case. Your analyses should be done based on the data that you receive from the case itself.

CASE STATEMENT: IMPACT OF COVID ON FOOD-TECH

INFORMATION PROVIDED TO YOU AT THE START OF THE CASE: Our client is a FOOD DELIVERY GIANT and has been in business for over 10 years and has grown tremendously in the market. However, the revenues have declined in the last financial quarter because of COVID-19. And our client has 3 business verticals as follows:

  1. Food delivery: Customers can order food from our client’s mobile application. And the food is delivered from partner restaurants
  2. Grocery delivery: Customers can order groceries from our client’s mobile application. And the groceries are delivered from partner grocery stories
  3. Cloud Kitchens: Customers can order food from our client’s mobile application. And the food is delivered from cloud kitchens that are exclusively available on the client’s mobile application. These cloud kitchens are owned by the client.
Question #1 that you will be asked: What are the potential reasons for the decline in the client’s revenues?

WHAT IS THE INTERVIEWER LOOKING FOR FROM YOU:

  • You should first confirm the overall objective of the interview: “To get back to Pre-COVID level revenues”.
  • You should some meaningful questions (limit to 2-4 questions).
  • Don’t share single line answers. Share an issue tree/framework that highlights all the issues that can potentially impact client revenues.
  • Please don’t list 10 things. Neither you will remember nor the interviewer.
Question #2 for the candidate: What are your observations from this chart? (ANNEXURE A: chart is given below)

WHAT IS THE INTERVIEWER LOOKING FOR FROM YOU:

  • Your comfort with numbers and graphs.
  • If you are logically explaining your takeaways from the graph. For example – “Since the revenue target for the next quarter is to get back to Pre-Covid levels (250 Million dollars), so the additional revenue that needs to be filled is 50 Million dollars”.
Question #3 for the candidate: What are the areas you would explore to get the client’s revenues back to Pre-COVID levels.

WHAT IS THE INTERVIEWER LOOKING FOR FROM YOU:

  • Some potential ideas / hypotheses from you: Example – Revenue improvement opportunities from existing verticals &  Revenue improvement opportunities by launching new businesses. 
  • Again don’t share things randomly. Use the framework that you used in Question 1 to answer in a structured way.
Question #4 for the candidate: What steps would you take to improve the revenues in each vertical? And What is the additional revenue TARGET from each vertical?

WHAT IS THE INTERVIEWER LOOKING FOR FROM YOU:

  • If you do well so far, the interviewer will be willing to help you.
  • The interviewer will highlight that – there is an opportunity to increase the price by 25% in the food delivery vertical without losing any orders.
  • The interviewer will also mention that by increasing the operating hours (currently the client is delivering food only from 8 am to 8 pm which is set to change to 8 am to 9:30 PM), and with this, the revenues are expected to go by 25 million dollars
Last Question for the candidate: What are your final recommendations for our client, based on all the analyses done so far?

 WHAT IS THE INTERVIEWER LOOKING FOR FROM YOU:

A summary of the recommendations from you based on the analyses that you have done so far. Again, don’t list but share your top three recommendations based on your analyses from the Question 1.

All the Cases over Coffee Registered Members can access a model solution #1A for this case statement here, https://casesovercoffee.com/model-solution/. In that model solution Ex-McKinsey, BCG, Dalberg consultants role play the entire interview.

Data (Annexure A):

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