EMPERIO Marketing Lab
All worked cases

Repair click and collect in Delhi

Delhi · Fictional practice case

A promise the stores could not keep

A Delhi electronics retailer launched online pickup to turn web traffic into store visits. The website treated overnight stock counts as available inventory and sent pickup confirmation immediately. By afternoon, floor staff sometimes sold the same units to walk-in shoppers. The call centre could cancel orders but had no view of whether a replacement was available at a nearby store.

Operations director Kavya Menon had a month to improve the service before the next promotional period. The ecommerce team wanted to add reminders. Store managers wanted reservation software and argued that more messages would make little difference when the product was missing. Finance wanted one pilot that could be evaluated on contribution.

What the process can change

A reservation pilot would assign picking to a store colleague, hold the item against the web order and send a ready-to-collect message after a scan. A reminder pilot would send two messages to customers whose items were ready. The first has higher implementation cost. The second could start quickly, but it addresses a different failure point.

The operations team proposed using monthly retained pickups and the margin after added costs. Store leaders added two safeguards: picking could not materially increase checkout wait, and the reservation process could not lock scarce stock for long enough to harm walk-in availability.

Exhibits

Exhibit 1 · Pickup order disposition
OutcomeOrders
Completed750
Stock-related cancellation160
Customer no-show90
Fictional month of 1,000 orders. The categories are mutually exclusive.
Exhibit 2 · Pilot economics
InterventionExpected failures preventedMonthly equivalent cost
Reserve and confirm80 stock failures₹18,000
Reminders30 no-shows₹5,000
Assume each prevented failure becomes one completed pickup with ₹320 contribution before pilot cost. These are planning estimates.

Discussion questions

  1. Find the largest failure point and distinguish its share of all orders from its share of failed orders.
  2. Compare both pilots financially. At what recovery volume does each break even?
  3. Design a store test and describe the operational trade-offs that could reverse your recommendation.

Teaching note

Reveal the visual and solution
Case at a glance
1,000 pickup orders. 250 uncompleted orders. 750 completed pickups

Locate the failure in the journey

Completion is 75%. Stock failures are 16% of all orders and 64% of the 250 failures. Observe the sequence from promise to reservation, picking, confirmation and collection. A confirmation that precedes the pick can cause a customer to travel for stock the store has already sold.

Compare gains after costs

The reservation pilot earns 80 × ₹320 − ₹18,000 = ₹7,600 and needs at least 57 recovered orders. Reminders earn 30 × ₹320 − ₹5,000 = ₹4,600 and need at least 16. If reservations recover fewer than 71 orders, their modeled contribution falls below the reminder forecast. The pilots target separate failures, but recovery estimates could overlap once the first change alters who is eligible for the second.

Pilot reservations in matched stores

Start with accurate-inventory stores, match on volume and cancellation rate, and compare completed orders and contribution over the same weeks. Track inventory lock time, customer travel complaints, walk-in stockouts and staff minutes. Add reminders as a separate experiment after the ready-to-collect population stabilizes.

Review the marketing concepts