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Infobip > Case Studies > dahmakan: Enhancing Customer Experience and Reducing Costs with SMS
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dahmakan: Enhancing Customer Experience and Reducing Costs with SMS

Technology Category
  • Networks & Connectivity - 5G
Applicable Industries
  • Transportation
Applicable Functions
  • Logistics & Transportation
  • Quality Assurance
Use Cases
  • Last Mile Delivery
  • Visual Quality Detection
Services
  • Testing & Certification
The Challenge
dahmakan, a food delivery service in South East Asia, was facing a challenge with low conversion rates. The company was primarily using email and push notifications to communicate with their customers about order confirmations, delivery updates, and promotions. However, they noticed that SMS had a better conversion rate for certain types of messages in the local market due to high delivery rates and the customer’s ability to easily save and refer to messages. The use of SMS as a communication channel was secondary as it was expensive through their previous service provider.
About The Customer
dahmakan is a food delivery service in South East Asia, specializing in authentic home-cooked flavors prepared by 5-star chefs. The company operates a centralized service model, from the kitchen to the delivery service as well as their website and app. dahmakan runs an efficient service model based on delivery times that coincide with lunch and dinner hours, which is more cost effective and lets them provide inexpensive, high quality, freshly prepared meals. The company currently operates in Malaysia and Thailand with a user base of over one million.
The Solution
In order to leverage the popularity of SMS for daily customer communications, dahmakan consulted with Infobip and ran an experiment to test their theory. They used all three channels (Push, Email, and SMS) in a promotional campaign and the results showed that SMS had the highest conversion rate. Consequently, dahmakan used Infobip’s API to make SMS their predominant channel for daily communication at local rates, which reduced their costs by 30%. Infobip provided dahmakan with quality support and a quicker response time, due to local offices and regional expertise. With a dedicated Customer Success Manager, dahmakan was supported through the move between providers as well as implementing new growth strategies.
Operational Impact
  • The introduction of SMS as the primary communication channel has had a positive impact on customer experience. Customers can now receive notifications without having the app installed and it is easier for them to store and access SMS promo codes compared to push notifications. dahmakan now also uses SMS to inform their delivery staff about canceled orders and Cash on Delivery (CoD) so that drivers know exactly how much they have to bring back at the end of a shift. The company believes that SMS will help them provide a better service to their customers as they continue to expand in Kuala Lumpur and Thailand.
Quantitative Benefit
  • Doubled conversion rates
  • 30% cost reduction in communication
  • Increased use of SMS as a communication channel due to better rates

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