Tell us of a problem with a product which bothers you.

● How would you use technology to solve the problem?

Propose more than one potential solution (max 3)
● Compare and choose the best solution for the problem
● How would you measure whether the chosen solution is
working?
● What might be the reason for this chosen solution to fail ?

[Kunal Kumar]
[kunal.kumar896@gmail.com]
[9932599081]
v.nnd.2015.06
CONFIDENTIAL
PRODUCT: PEER-TO-PEER RIDE HAILING APPS
Market Share Distribution Industry Overview
1%
OLA
MERU

41% UBER
OTHERS
56%
4 mn $10 bn 125 15.5 %
Daily Rides Market Size Cities covered Revenue CAGR
2% (as of 2019) (as of 2019) (as of 2019) (2018-19)

Value Proposition Limitations & Issues Scope of Improvement

 Economical and metered Fares
 Certified drivers, ensuring passenger
safety
 Simplified app interface for easy
commute b/w source and destination
 App majorly preferred by riders who Tourist/ Visitor segment is almost
ride a maximum of 1-2 times per day untapped and this segment still prefers
guided tours over ride-hailing apps
 Ride hailing service is convenient for
moving from just point A to point B
 A multimodal trip is often expensive

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PROBLEM IDENTIFICATION IN TOURIST/VISITOR SEGMENT
Customer Roadmap in a Travel Booking Process Identified Problem Area
Customer Objective : To visit multiple spots in a city time-efficiently and economically  User has to constantly switch between
multiple apps while preparing the itinerary
Preliminary Action: Prepares a list of attractions to
visit and activities to do in the city
 Manual prioritization of routes & transport
based on time and money is challenging
 As a result, people switch to expensive
Finds out the modes of travel from Checks trip fare and trip time for each guided tours or Ola/Uber rentals which
the current location to the destination mode of travel (such as public transport, offer very limited flexibility
spot using apps like google maps Ola/Uber/ Meru, biking, walking)

1 2
Vicious Cycle of
Switching between
multiple Apps

Resets the search to the

next spot that the user
4 3 Makes a decision on the
preferred route, time and
intends to visit mode of transport

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SOLUTION 1: TOURIST FEATURE IN THE RIDE HAILING APP
Running Example (OLA app)
Scenario User switches to
A transit visitor arrives at Howrah Tourist Feature
Railway Station in the morning and
he/she has a waiting time of 8
hours before the next train leaves.
Chooses from
Objective nearby activities
To make a day-trip to Kolkata
and attractions
Solution
Opens the Ola mobile application
to plan a visit to popular attractions Travel Itinerary is
in the city and do some activities. generated

Technology
Selects preferred
modes of travel for
+ + each route using

API Integration + UI Changes

Starts the trip; Can
pre-books rides for
subsequent routes
Select Your Spots Start Your Trip Pre- Book Rides

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SOLUTION 2: DEDICATED CABS WITH GUIDES
User switches to Product Design Framework
Tour Feature

Chooses from the

available tour Technology
options Market Entry Strategy
+
Existing App + UI Design

Travel Itinerary is
generated

See itinerary Selects the type of Merger & Acquisition Greenfield Venture
vehicle or Bus (for • Purchasing new fleet of cabs
₹ 2500 ₹ 1200 group tour) • Hiring and training guides
Group Tour

Select Selects the

language for tour
Language
guidance Joint Venture Acquisition
Collaboration with local tourist Acquiring local tourist
agencies based on a revenue agencies and their fleet of
Confirms the sharing model cabs with guides
Booking

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COMPARING SOLUTIONS USING SWOT ANALYSIS
Solution 1
• Personalized itinerary creation
Strength • Flexibility in selecting mode of travel
• Prices may fluctuate if not pre-booked
Weakness • Greater amount of user input is required
• A community of travelers can be made for
Opportunity better reviews and suggestions, hence
improving the overall service
Threat • Easily replicable by competitors
Selected Solution
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Solution 2
• Availability of a local tour guide
• Lesser amount of user input in the app
• Expensive; Limited no of spots available
• Cabs need to be dedicated for this
• Training needs to be provided to guides
• Scope of partnering with local tour
guides/agencies increasing the overall
customer reach and revenue generation
• Market entry is competitive due to already
established touring agencies
CONFIDENTIAL
KEY PERFORMANCE INDICATORS FOR MEASURING SUCCESS
KPIs for DIRECT MEASUREMENT KPIs for INDIRECT MEASUREMENT
% Increase in Average No. of Bookings per Customer per Day % Increase in Total Footfall at Tourist Spots in the city
This metric indicates that the ride-hailing app is used by people such as visitors/ after feature implementation
travelers/ tourists who visit multiple places in a day and hence require more no of
This index will act as a clear evidence to the fact that more and more
trips
people who earlier waited at stations during transits are now using the
tourist feature of the app to visit different places in the city
% Increase in No. of Cab Bookings at Public places &Tourist spots
Monitoring the no of bookings received from railway stations, airports, tourist
sites can indicate an increase in the no of general/ transit tourists using the app

POTENTIAL IMPACT
Total no of tourists arriving in a 6
metropolitan city annually mn Potential market size of Ola after
16 capturing the tourist market

Total no of people using Ola in a 10

mn 60%
Increase
metropolitan city annually
mn
(Current data)
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DRAWBACKS

User Price
Interface Changes Market Share

The customizability in Non-completion of Pre-Booking The initial price of Easy replicability of the
itinerary comes with a requests might lead to poor commute on the route feature can make the ride-
drawback of moderate- customer reviews and eventual might fluctuate, if pre- hailing market very
extensive user input revenue losses booking is not done competitive

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