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Institute of Administrative Sciences

(University of the Punjab)

Submitted to:

Ma’am Urooj Qamar

Submitted By:

Haseeb Tanveer 125

Abdullah Nawaz 154

Abdul Rehman 149

Azmat-ullah 135

Abdul Samad 129

Business Plan of Dronedrop


Company Name: Dronedrop

Tagline: Khao Peo Online

Elevator Pitch

My name is …… I am a cofounder of dronedrop. As a drone is an integrated delivery


service and it starts with a mobile application which can be used to order food. The
question is how it works. Moments after receiving the order an electrically power drone
can makes it way down an automated track and then rise into the sky with the customer
package on board. These drones are automated from takeoff to landing and return. Or
drone will fly below 400ft and can carry up to 6 pounds and guided by GPS. Or system is
designed to find their destination safely. Within 30 minutes of placing the order. The
customer receive the package

Introduction
Dronedrop is the food delivery company we provide food through advance drone.
Dronedrope will transform the way you order food. We partner with the best restaurants
in the area and bring the food you love, right to your door

You can order by using the Dronedrop app, available on iOS and Android. Simply find
all the great restaurants working in your area, choose your food and place your order.
Once we receive your order, we forward it to restaurant then they’ll prepare your food
and then carefully package it. Once it's all ready to go, our drone will pick it up and bring
it to you.

Mission:

Provide a great efficient service to the food lovers and save their precious time.

Vision:

To be a leading provider of food delivery service via modern technology at local,


regional and national level.

Executive Summary

Dronedrop is an online food delivery company which is based on partnership of five


founders. In this advance era people don’t get food on time. So we combine food and
technology and revolutionize the food delivery business. We do not only deliver fast and
reliable food. But exactly the kind of food you desire. We partner with the best
restaurants in your area. Our apps are designed to be an entire food court in your pocket.
We will use the data which is gathered by our app and also by taking feedback we will
improve our services and expand our business.

HIERARCHY:
Marketing Operational R&D
Manager HR & IT Financing
Abdullah Manager Manager Manager
Manager
Nawaz Abdul Azmat Abdul
Rehman Haseeb Ullah
Tanveer Samad

Workers

SWOT analysis:

Strengths:

 First mover advantage:

We are the first significant food delivery company to move into a market through
drone service.

 No traffic issue:
We have no traffic issue as we are going to provide delivery service by drone
service which will fly over traffic
 Low cost:
\.
By this service we will be able to reduce the cost of delivery up to 60%.
 Pollution free:
Our drone is rechargeable and work on electricity so that there will be no air
pollution.
 Superior technology:
Our technology is latest and superior as compare to other food delivery services.

Weakness:

 Permission:

We will be unable to operate in the areas like airport and army areas because our
operations are not allowed there.

 External environment:
It will be hard for us to operate in time of worst weather conditions like heavy rain
fall.

Opportunities:

 Market share:
We can increase our market share by covering more areas.
 Loyalty program:
We can start loyalty programs by which our circle of customers can be increased.
 Smart phones:
By the increase of the use of smart phone our number of customers will also
increased.

Threats:

 New entrance threat:

Our threat is that new entrance with new innovation. So we bring continuously
value addition in it.

 Competitors:
Companies like foodpanda which are providing food delivery service by
traditional way can be threat for us.

Target audiences:

 Upper middle class


 Elite class

Competitors:

Our main competitors are:

 Foodpanda
 Eatoye
Financing:

Description: Cost:

Drone cost 6,40,000/-

Shop rent 60,000/-

Shop advance 1,00,000/-

Shop equipment 1,25,000/-

Advertising 2,00,000/-

Brochure/Flex 50,000/-

Billboards 5,00,000/-

Total: 16,75,000/-

Explanation:
 Drone cost
1 Drone = 80,000/-
We will buy 8 drones. This will be as follow:
8*80,000 = 6,40,000
 Shop rent:

1 shop rent = 20,000

We are going to take 4 shops at four different places

4*20,000 = 60,000

 Shop advance
2 shops will be provided by one of our friend, there is no advance for those. While
others are as follow:
2*50,000 = 1,00,000
 Shop equipment:

Our equipment includes 4 computer systems 1 for each office. And equipment
includes table and chairs.

4*20,000 = 60,000

Furniture = 65,000

 Advertising:

YouTube = 70,000Rs for 1 lac views.

FB sponsorship = 70,000 per 1 lac views.

Instagram = 60,000 per 85 thousand views.

 Brochure/Flex:
25000 Rs
 Billboards:
Khokar chowk 2.5 lac for 15 days.
Shahqam chowk 2.5 lac for 15 days.

Profit generation:

Net Profit= 40,000


Revenue 300,000
Shop rent 60,000
Utility bills 20,000
Salary 180,000
Net profit 40,000

Funding Sources

We are five co-founders of Drone Drop Company. Each will make contribution of
rupees five lac.

5*5,00,000 = 2,500,000

As our business will start in 1,675,000/ - so we have Rs. 8,25,000 as reserve.

Legal Consideration

Wages of the employees:


Wages of the employees will be given according to the government rules and regulations.
Consumer privacy:
Consumers’ privacy, for example their mobile number, address, and the video which is
made by drone will be confidential and secure.
Trade mark:
Our logo and name are registered no one copy our name or logo.

Licensing:
We are licensed by civil aviation to operate drone system for food delivery services. But
they restricted us to operate near airport and army area.

Growth & Exit Strategy

Growth Strategy:

 Medicine delivery
 Access to more areas
 Fully automatic
 Marketing through TV ads

Medicine delivery:

We can expand our business by providing medicines to the customers at their door step
through drone service.

Access to more areas:

Business can be expand after some time by entering in the new areas like Pak Arab
society.

Fully automatic:

We can grow by updating our technology. There will be fully automatic drone which can
deliver food by automatically detecting GPS.

Marketing through TV ads:


More customers can be attracted through TV commercial ads.

Exit strategy:

 We can sell our business to our competitors.


 Otherwise, we can sell drones.

Operational management plan

Order Online:

Buyers place an order through our online application which is available on android and
iOS.

Processing:

Our system processes the order. We have prepayment method after which order is
forwarded to the partner restaurant. Customers can pay through jazz cash or debit &
credit card by sending their card numbers.

Restaurant:

Restaurant will be responsible for food preparation within twenty minutes. A Drone,
which is controlled by our operator, will pick the food and deliver safely to our
customers.

Research & Development

We researched about our service company as a result got some suggestions and
percentage of customers.

We introduced our service and asked people whether they like and avail this service or
not?

Either they have heard about the same service or not? Whether it will more innovative
and helpful than traditional delivery system or not?

81.3% liked to use this service.


18.7% said they are comfortable with traditional delivery methods.

67.6% respondents said this is new, innovative and fast delivery service.

32.4% said they already know about similar idea but not yet implemented in Pakistan.

Marketing strategy

Social Media:

Our major marketing tool will be social media e.g. Facebook and the content of the
Facebook posts include the whole information regarding drone drop service. Through
Facebook we can also control the targeted audience and locations, on which will spend
70,000/Rs for 1 lac views. We will also use YouTube in which we will post videos
related to our service for which we have allocated 70,000/Rs for 1 lac views and
Instagram is another emerging social media site on which we will spend 60,000 for
85,000 views.

Print Media:

We will use brochure/flex to create our brand awareness which will cost us 25,000/Rs.

Free ad Posting Sites:

We will use electronic as well as free ad posting sites to deliver our message to the target
audience. These channels are not only cost-efficient but also provide the opportunity to
interact with customers and get insights of customers perceived value.

Bill-boards:

We plan to put bill-boards one at Khokhar Chok: 2.5 lac for 15 days and other at
Shahqam Chok: 2.5 lac for 15 days.

Direct Marketing:

Direct marketing is another strategy with low or zero investment through friends, family
and relatives.