Easy Method
1. Extract patch folder to Shiny Days game folder e.g. C:\SHINYDAYS\patch
2. Run patch.cmd from inside the patch folder

Manual Method
1. Extract to a temporary folder
2. Open Command Prompt to said temporary folder
3. Use the command xdelta.exe -d -s <shinydayspath>\<file you are patching> <patchfile>.xdelta <a temporary folder>
4. Copy all patched files from the temporary folder back into the Shiny Days game folder