SCHOOL OF MECHANICAL ENGINEERING

June 2020

TerrePedia
A Project Report for the course

Lean Startup Management (MGT1022)

Under the Guidance of

Prof. THIAGARAJAN S

By

DHRUV MITTAL 17BCE2110

MOULI PRAKASH 18BIS0073
ANSHUL TRIPATHI 18BCE0148
ABHISAR SHUKLA 18BCE0110
YASHASWI SHIVANK 18BCE0162
ABHISHEK 18MIS0017
SHREE NIDHARSHANA R 18BEC0709
 TERREPEDIA

LOCATION DETAILS:

The prototype is going to be made based on Vellore. It can be extended to any place in
the future. We are aiming to cover all the places accessible in Vellore. Our main office
would be located at:
Vellore Institute of Technology, Vellore - 632014

Abstract

Sometimes, people visit new places and aren’t aware of various information about the place,
such as basic amenities available, nearby major landmarks and many more. This can be a
problem if someone faces an extreme situation or requires some specific service. This can not
only hamper crucial work, but also can lead to personal losses. As a part of our start-up we
intend on helping people adjust when they arrive in a new city. As mentioned before due to the
cosmopolitan transformation, people shift to new cities for jobs and other purposes. This causes
problems for the people who shift to the new city. They don’t know the rates of transport or local
prices of the articles and furthermore have problems in communication.
Introduction

We intend to offer a variety of services through the proposed website which would cater to the
working professionals’ group that live alone. We initially would start by offering listing services
which would help people settle into new cities and gain knowledge about places of interest to
them. Later we plan to provide a blogging platform where our customers can express and share
their thoughts. We also plan to offer an advertising platform and reviewing services to local
businesses to help them expand their customer base.

The customer will be able to gather the specifics of a place they visit and access a platform that
could help people in any dilemma that they may face. We would then gradually shift to
entertaining the people through blogs and start outsourcing our capability to translate for
transcreation purposes. Transcreation changes the message from one language to another while
keeping the essence of the message the same. Furthermore, we would extend to all the sections
of the community.

Survey

Types of business we have chosen:

1. Water Flow Controller - Water Saving Technique:
The main reason for depletion of water is that people don’t use water. Reckless use of water due
to availability of water in abundance, people tend to use water in an uncontrolled manner without
giving thought to consequences. Planning to develop website-based applications through which
the users can specify their localities’ inactive hours so that the flow of water can be reduced by
the municipal corporations in order to save water.

2. Tourism Guide with Emergency Contacts

As a part of our start-up we intend on helping people adjust when they arrive in a new city. As
mentioned before due to the cosmopolitan transformation, people shift to new cities for jobs and
other purposes. This causes problems for the people who shift to the new city. They don’t know
the rates of transport or local prices of the articles and furthermore have problems in
communication.

3. FITNESS
How about we find a solution that merges the problem with its alternative to find the best
possible solution. What if the food is prepared in the mess under the same supervision but is also
monitored by nutritionists and dieticians over the quantity being served? This is the main idea
behind our Lean Start-Up model: ‘FIT-MESS’. We will change how messes are perceived by
students; because now, messes will give you the food which is suitable to your fitness needs and
since it is healthy and meets your requirements, it will be made tasty as well.
 4. ARMOIRE - Clothing Store
It’s an online based start-up. It would be a website/ app which has a designing window and all
the options starting from cloth type (tops, shirts pant etc.), cloth material, size, colour, some
common designs and even an option to customize already existing merchandise. People can use
this for any kind of dress they want starting from Formal, informal, Daily use, Party wears, etc.

GOOGLE FORM RESPONSES

https://docs.google.com/forms/d/1c9Sviy1OwMXQGXagVbJEtWoclFCPtPqF8Qu
58mP3hA/edit?ts=5 e1ee102#responses
4. Service Details
The Terrepedia app offers details of the tourist locations which include a detailed
write-up about the locality along with details of the weather, people, tourist
attractions and the best time to visit. Numerous photos of the landscapes, market,
monuments and the people are available. This helps the user to guide about his/her
plans of choosing the best location. The user has an option to select his/her mode of
transport, is it flight, buses, trains or other passenger vehicles. Live tracking uses the
GPS tracker to keep a track of location of bus or train allowing the users to know
exactly, how far they are from their destination. This feature is also helpful in
keeping track of the traffic to check how long it will take to reach the pickup point.
Moreover, live tracking is particularly helpful for parents to keep a track on the
vehicle if their children are traveling.

Carrying cash while traveling may not always be a good idea considering the exchange hassle
and of course the possibility of theft or losing the luggage or wallet. The additional feature
facilitating payments digitally allows for an easy mode of transaction and ensures a safe travel.
Users can shop and make their payment using digital modes of payment they can make payments
for reservations of hotels and travels online. Tourists prefer online payments. When tourists book
their tickets, they are also worried about the weather of particular places. So, an additional
feature to provide real time weather is also included. An entire team is dedicated to collecting the
local’s contact information for ease of access. An automatically generated call is used to confirm
that the local is still using the contact info every 4-6 months. Online support and forum for all
kinds of users. A toll-free number is dedicated for the support of the customers.

The Terrepedia is focused on simplicity and user-friendly interface for all age groups. It is the
primary driving force and underlying design of the app.

5. Financial Planning
Financing activities include the inflow of cash from investors such as banks and
shareholders, as well as the outflow of cash to shareholders as dividends as the company
generates income. Other activities which impact the long-term liabilities and equity of the
company are also listed in the financing activities section of the cash flow statement.

▪ Payments of dividends.
▪ Payments for repurchase of company shares.
▪ For non-profit organizations, receipts of donor-restricted cash that is limited to long-term
purposes.
Items under the financing activities section include:

▪ Dividends paid.
▪ Sale or repurchase of the company's stock.
▪ Net borrowings.
▪ Repayment of debt principal, including capital leases.
▪ Non-cash investing and financing activities are disclosed in footnotes to the financial
statements. Under US General Accepted Accounting Principles (GAAP), non-cash activities may
be disclosed in a footnote or within the cash flow statement itself. Non-cash financing activities
may include
▪ Leasing to purchase an asset.
▪ Converting debt to equity.
▪ Exchanging non-cash assets or liabilities for other non-cash assets or liabilities υ Issuing share.
▪ Payment of dividend taxes in exchange for assets.

Initial Expenditure:

Legal Rs 25,000

Insurance Rs 24,000

Rent Rs 1,20,000

Online Promotion Rs 4,30,239

Business sign Rs 20,000

Permits Rs 4,500

Office Supplies Rs 21,220

Other Expensed Equipment Rs 50,000

Trademark Rs 4,500
 Others Rs 1,50,000

Total initial Expenses Rs 8,49,459

Operating Expenses:

Web Hosting Rs 70,000

Web Server Rs 56,000

Electricity Rs 3,00,000

Rent Rs 1,20,000

Hardware Repair Rs 36,750

Server Maintenance Rs 25,500

Marketing Expense Rs 4,30,239

Other Rs 1,50,000

Total Operating Expenses Rs 11,88,489

Total Expenses: Rs 20,37,948

Break-even analysis:
A business’s break-even point is the stage at which revenues equal costs. In our case, the initial
investment is Rs.500000. to reach break-even point our business must have revenue that equals
this amount. We estimate that we will require 9 months of time to form a loyal client base. Once
a good client base is established, we can explore more sources of income other than subscription
fees. We would offer a platform for advertisement on our website to the local businesses and in a
particular city and offer to review them to help them gain customers at suitable charges. We
expect to reach the break-even point in a year and a half after starting our business.

In the graph below, it is where the revenue line intersects the variable costs line. Anything above
this intersection is profit, anything below it is loss. The graphical method is the simplest way to
determine the break-even point, but it is not very precise.

Minimal Viable Product (MVP):

Build-Measure-Learn Process
Minimum Viable Product: New product which allows a team to collect the maximum amount of
validated learning about customers with the least effort.

STEP 1: Figure Out the Problem

Sometimes, people visit new places and aren’t aware of various information about the place,
such a basic amenities available, nearby major landmarks and many more. This can be a problem
if someone faces an extreme situation or requires some specific service. This can not only
hamper crucial work, but also can lead to personal losses.
STEP 2: Analyse Your Competitors Has been discussed in competitors’ section

STEP 3: Design User Flow

1. Registered users can login and view their respective visiting places. There they can view
the different places situated in the place and can select one to know about it or to set a waypoint.
2. If the user wants, they can favourite the place they visit most so that the map will be saved
offline.

STEP 4: Listing Necessary Features

1. Login,
2. Registration
3. Navigation
4. Immediate Call feature
5. Service available in whole India

STEP 5: Build, Test and Learn

1. Users will register for the app using google or using email.
2. If user forgets a password then they can use their registered email to reset the password

6. Business Plan

Alternatives available in the market

TripIt is a serious app for the organized traveller. It keeps track of all your confirmation emails
for flights and housing and creates an itinerary for you to follow. You can even book restaurant
reservations or reserve tickets for a show through this app. Available for iPhone, Android,
Blackberry and Windows.

Sure, you want to stay in the best hotels, but what about layovers? You shouldn't be miserable at
an airport, so search through Gate Guru’s free app to find an airport with upscale amenities. The
app provides maps of terminals, security line waits times and tracking for your flight. Available
for iPhone and Android.

Stay safe and healthy with this free app from MedJetAssist. Users can access MedJetAssist's
medical guide with first-aid treatment information on their phones/device, or store their own
medical information — emergency contacts, allergies, medications — through the app. The app
can be accessed without an Internet connection or cell phone signal. Available for iPhone and
Android.
Hipmunk takes the guessing game out of booking flights. Instead of just showing which flights
are the cheapest, this free app takes into account the "agony" of flying, like layovers, when
recommending the best options for a user. Hipmunk can also recommend hotel bookings.
Available for iPhone and Android.
This free app dubs itself the "full body scanner of mobile travel apps" — and for good reason.
Kayak helps you utilize thousands of travel sites to book flights, hotels and car rentals. You can
also manage your itinerary, check baggage fees and look up airport information. Available for
iPhone, Android, Nokia and Windows.

The Yelp website you know and love can be accessed in the palm of your hand. Yelp's free app
searches for locations like restaurants, bars and coffee shops around you, then provides details
like hours, price and user ratings to help you make the best decision on where to travel next.
Available for iPhone, Android, Windows, Blackberry and Palm.
Once in a while, everybody has the urge to check their email or Facebook — even when on
vacation. Wi-Fi Finder is a free app that can help any traveller find over 320,000 registered
public Wi-Fi hotspots. Available for iPhone and Android.

When you're in a foreign place, how do you know where to eat? Try Picksie, a free app that
recommends locations based on what you're looking for. Restaurants, bars, concerts, movies —
Picksie can recommend anything you need. Available for iPhone and Android.
What if you need more than one app at once? Tourist Eye's free mobile app has it all —
recommendations, maps, itinerary planners and even a journal to take pictures and jot down
memories of your travels. Best of all, this app can work without an Internet connection or cell
phone signal. Available for iPhone and Android.

Targeted Customers

As we know that everyone will not buy what we are selling and according to a
website CBINSIGHTS, 42% of the start-ups fail due to lack of market needs.
Therefore, to make our startup successful we tried to identify the markets
suitable for our product.

Young Professionals:
•Age: 20-35
•Income: Medium to high
•Gender: Male/female
•Family: Bachelor/Married
•Geographic: Suburban
 •Occupation: White collar/Business
•Attitude: Determined to their work; Independent personality

Government Employees:
• Age: 25-55
• Income: Medium to high
• Gender: Male/female
• Family: Bachelor/Married
• Geographic: Suburban/Rural
• Occupation: Government Official
• Attitude: Working regardless of transfers

Wanderlusts:
•Age: 15-65
•Income: Medium to high
•Gender: Male/female
•Family: Bachelor/Married
•Geographic: Suburban/Rural
•Occupation: Any
•Attitude: Exploring different places

7. Strategies
Strategies for attracting customers

1. Ads on social media:

We intend to market our services using Google, Facebook and Instagram ads which are the most
apt and popular platforms for reaching out to the potential clients whom we wish to target.
Since the target group is professionals who stay away from their families, social media is a great
way to market this product to them. We can also get more customers from their followers.

2. Blogs:
Advertising using blogs is desirable because people always want to know more about the
services. Putting it in a blog form will make it an easy read.
3. Collaborations:
We intend to collab with local influencers who have made their identity as a traveller, if their
followers will see them using the app then they will give it a try.

4. Banners:
We intend to use banners in busy parts of cities to promote the app. As target group is people
who moved to a new city for many purposes, banners are great way of introducing the app.

5. Referral system:
If a user sends a referral link to other person and the person install the app then they both get
some form of discount on using local services.

6. SEO:
Search Engine Optimization is necessary when writing about our app online, using all the
keywords and keeping a catchy title to attract the attention of a potential

Marketing Strategy

1. Brand Development
The name, logo and catchphrase are the first impression of a company and it should be catchy
i.e. grab audience’s attention. We have defined the name of our company as “TerrePedia” where
“Terre” means land and “Pedia” means knowledge.

2. Web Presence
In this digital age, the website of the company should be responsive and user friendly.
We will also require blog sites, Facebook Fan pages and a Twitter page to show our presence in
the digital world. We will also need to develop an app which will be our main interface as apps
are more user friendly than webpages.

3. Blog Strategy
Rich bog sites are also required about the company environment and its product to attract both
customers as well as people who are interested to work in our company. Blogs are the reason for
the success of most of the start-ups as most of our customers will be youth and youngsters are
attracted towards blogs to get information about anything they come across.
4. Digital PR and partnering
To support the company’s presence in the digital world and social media marketing activities a
digital and partnering program needs to be kicked off, not just to drive communications, traffic,
networking and partnering but also to monitor conversations. Twitter will be the main tool, but
an effective and efficient digital PR (Public Relations) and partnering program should be tightly
linked to your key, numeric business goals and help drive revenues and clients.

Online Advertising

We intend to market our services using Google, Facebook and Instagram ads which are the most
apt and popular platforms for reaching out to the potential clients whom we wish to target. • As
our services tend to young professionals who stay away from their families in new cities, the
best way to market our services is through social media platforms as our target group is very
active on social media.

We also plan to team up with freelance bloggers and social media celebrities from the city we
intend to provide our services in. • This has multiple benefits as not only we stand a chance to
gain clients from their followers but also get good content for our website from these freelancers.
We even plan on offering smart subscription offers to gain loyal customers.

Competitors

• MakeMyTrip’s and Trivago’s EV/EBIT

• DA multiple shows an unusually high valuation, particularly when taking into

account their challenges and underperformance.

• Ctrip and OnTheBeach saw the highest growth in 2018, and Lastminute also had
a strong year with successes on its strategic goals as well.

• eDreams Odigeo remains the largest OTA in Europe in Revenue and EBITDA,
but it is losing market share, growing at half the rate of the European online travel
market. The other European OTA in the group, Lastminute Group, had a solid
year of growth, with trends aligned with its stated strategic goals.

• The largest OTA in Latin America, Despegar, had a subpar year. Its results were
particularly impacted by regional macroeconomic difficulties and currency
fluctuations.
 • TripAdvisor is 37% larger in revenues than Trivago, but 20X larger in EBITDA.
Both are impacted by reduced investment by large OTAs like Expedia and
Booking, but TripAdvisor’s EBITDA levels don’t compare with Trivago’s
barely positive EBITDA (never above €28 million over the past 5 years.

Some other competitors are as follows:

Hopper

Type in your destination and a color-coded calendar will show you the cheapest (and most
expensive) dates to fly. Hopper will then recommend whether you should go ahead and buy
now, or hold off until the rates get better.

TripIt

It keeps track of all your confirmation emails for flights and housing and creates an itinerary for
you to follow. You can even book restaurant reservations or reserve tickets for a show through
this app. Available for iPhone, Android, Blackberry and Windows.

Roadtrippers

You have a considerable amount of flexibility on a road trip, but planning them requires effort.
Try Roadtrippers the next time you're inspired to grab a car and go. The app allows you to map
your trip with up to 7 waypoints for free. After that, there's an option to upgrade.

HotelTonight

Booked that spontaneous flight and now you're trying to figure out where you're going to sleep
at night? Or in the middle of a road trip and need to find a hotel? Don't panic, there's an app for
that. HotelTonight finds last-minute deals on hotels near your location, ranging from "basic" to
"luxe" options, including unique boutique hotels.

Waze

There are few bigger mood killers than starting off a road trip or vacation by sitting in traffic.
Waze makes it easy for you to avoid congestion, blocked roads, police, accidents or other
hazards that might increase your driving time.

Kayak
The beauty of KAYAK is that it aggregates the best fares from most airlines, allowing you to
filter flight options based on your airline preference and departure times, while easily changing
dates and destinations. You can also look for car rentals and hotels.

Airbnb

Whether you're looking to rent a room, a house, or an entire hacienda, you can search for
accommodations in your desired location. The app (free on Google Play and iTunes) lets you
filter through photos and reviews, as well as sort by amenities—like a pool or washing machine.
Plus, a local host can provide insight about great dining spots.

Timeshifter

If you have an international trip in the works but are hoping to fend off jet lag, give Timeshifter
a try. The app was developed by scientists who used sleep and circadian neuroscience to help
inform the personalized jet lag plans they craft for you. According to the app's website, even
astronauts and elite athletes have used it to arrive at their destinations in tip-top shape.

Meetup

One way to really immerse yourself in your next travel destination is to meet and talk with
locals. Meetup can help you connect with people who are interested in the same things as you,
even while on vacation. Whether it's cooking, tech, sports, music, or photography—the app will
help you find a local community event to make new friends all over the world.

Skyscanner

Skyscanner's "everywhere" feature allows you to look for surprising destinations simply by
sorting by your budget and your travel timeframe. You may think Europe, for example, will be
out of your price-range, but this feature could make the trip possible.
8. Operating Plan

Structure of Organization:

The CEO (Chief Executive Officer) position is situated on the top of the organisation as it is
described as the position of a most senior corporate officer or administrator of managing an
organization. Next in line comes the VP (Vice President), Chief Marketing Officer and Chief
Product Officer of the various departments in our business. Engineering department is necessary
for our business as it is completely online- based and will consist of highly skilled software
engineers, Android and iOS engineers who develop information systems by designing,
developing, and installing software solutions, determines operational feasibility by evaluating
analysis, problem definition, requirements, solution development, and proposed solutions,
develops software solutions by studying information needs, conferring with users, and studying
systems flow, data usage, and work processes.

Human Resource department will be responsible for ensuring law compliance, recruitment
of employees, staff training, payroll, record-keeping and employee relations. People with good
communication, organizational, decision making, training and development skills etc. are
required to work under this department.

Marketing department will play a vital role in promoting the business and target of an
organisation which is responsible for coordinating, promoting and describing the services of
our business such that more people are attracted towards getting these services. This
department is headed by the Chief Marketing Officer who works just below the CEO. It
requires employees with skills related to mass communication, media or social media
handling and content writing.
Product Management department will be led by the Product manager who holds the position
of a Vice President and will be held responsible for a single part of the product lifecycle –
product development which includes product vision, strategy and roadmap. It also manages
and prioritizes market/ customer requirements. Employees in this department should have good
teamwork skills, written and verbal communication skills, industry knowledge.

Finance department headed by VP Finance will be playing a vital role in our business as it will
monitor the growth of the business last month, quarter or year. The functions that this department
will be looking on are:

1. Bookkeeping and payables/ receivable.

2. Financial reporting and control.
3. Tax and compliance

Accountants and account executives with a formal accounting qualification, interpersonal

skills, financial reporting, analytical ability and problem-solving skills will act as
subordinates for the VP Finance.

Levels of Administration:
CEO (Chief Executive Officer): Dhruv Mittal
VP Engineering: Mouli Prakash
VP Human Resources: Shree Nidharshana R CMO (Chief
Marketing Officer): Anshul Tripathi
CPO (Chief Product Officer): Yashaswi Shivank
VP Finance: Abhisar Shukla
VP Business Development: Abhishek

Details of employees required:

As per the structure to make this prototype a big commercial product. The number of
employees required:
1. 11 Employees for engineering department:

a. iOS engineer – 2 (1 with masters and 1 with bachelor degree)

b. android engineer – 2(1 with masters and 1 with bachelor degree)

c. software engineer – 3 (1 with ph. d, 1 with masters and 1 with bachelor degree)

d. engineering manager – 4(1 with ph. d, 1 with masters and 2 with bachelor degree)

2. 7 Employees for marketing department

a. VP, head of brand marketing and communication – 4 (MBA and fluency in English)

b. director of marketing – 2 (both with MBA degree)

c. country manager – 1 (linguist)

3. 7 Employees for human resource department

a. lead recruiter – 2

b. hr. manager – 3

c. personnel manager – 2

4. 10 Employees for product management department

a. director with product management core experience – 4

b. director of product management (revenue) – 3

c. senior product manager – 3

5. 6 Employees for finance department

a. senior accountant – 1 (with m.com degree in finance)

b. account executive – 3(2 with m.com and 1 b.com degree in finance)

c. account payable executive – 2(1 with m.com and 1 b.com degree in finance)

6. 4 Employees for business development department

a. partner management officer

b. client relationship manager

9. Future Plans:

● Coverage over more cities for expansion of the business.

● New methods of Advertisement hosting can be incorporated to attract customers and
investors:

1. Online pre-roll ads and bumpers.

2. Direct mail, catalogues and leaflets.

3. Television ads and radio

4. Applying story-telling on social media posts.

● Expanding the type of content available to sections like leisure reading, which can attract
more traffic to the website/application.
● Strengthening technical infrastructure and support.

1. Offer 24/7 customer support

2. Make navigation easy

If reducing repetitive queries from customers is one of the main concerns, then
switching to cloud telephony-based contact centre is the way to do it.

For example, if a customer is calling to check order status or balance inquiry, it

can be automated through cloud contact centre solution by assigning keypress
such that customers can navigate automatically instead of having to wait in queue
for a customer service agent to answer the query.

3. Automate tasks

Use tools that boost the support team’s productivity and streamlines complex processes
into simple steps. By reducing manual intervention, support team gains hours to
concentrate on providing great customer service. It also is a very cost-effective option when
we see the number of hours saved.