Squats and lifts are terms for certain types of exercises. But in this challenge, the challenge title has exactly nothing to do with the description. The title should really be changed.
The purpose of that challenge is to take a phot from and interesting point of view. We have done similar From Above and From Below challenges in the past.
Good grooming refers to looking nice. Getting dressed up for a wedding is a good example.
I'm not American and I don't speak English well so I can't comprehend certain ways of saying
The originator of the "Squats and Lifts" challenge is hoping people, when making their photographs, instead of shooting from standing eye level, will make them more interesting by lifting the camera up or by squatting down close to ground level. It's about changing one's point-of-view to enhance the image. She's hoping people DON'T turn this into an exercise in shooting from drones or skyscrapers :-)
"Good Grooming" specifies 'anything and everything about looking sharp'. This is pretty open to interpretation. I can imagine some of our shooters doing fashion shots. I can imagine product shots on hair care accessories. I can imagine shots in the shower, people combing their hair, someone admiring him/herself in a mirror, whatever.
You're Italian, "looking sharp" is a way of life in your part of the world :-)