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Online Taxi Service Market – India April 2015
Executive Summary
Market
Drivers & Challenges
Radio taxi market in India is pegged at ~ INR m bn and is expected to grow at a CAGR of a% until 2019 Operators working on the traditional ownership model, or specifically the fleet owned companies have an average of x-y% of their total bookings on website and mobile applications Aggregator based service providers are dominating the online business space which is expected to grow at a CAGR of ~c% over the period of 2014-19 with online business amounting to ~z bn Segmentations in operating models of the online cab service include Complete Fleet Ownership Model, Fleet Aggregation Model and Hybrid Model Drivers Challenges Favorable Demography and a Healthy High fares of Online Cab Services Economic Outlook Increasing Operating Costs Shortage of Modes of Public Transport Rise of Unfortunate or Socially during Rush Hours Derogatory Incidents Growing BPO Sector Influx of Tourists Price Rise of Passenger Vehicles Major Players
Competition
Player 1
Player 2
Player 3
Player 4
Player 5
Player 6
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Macroeconomic Indicators (1/3)
SAMPLE
GDP at Factor Cost: Quarterly INR tn
Q1
Q2 2011-12
2012-13
2013-14
Q3 2014-15
Q4
Inflation Rate: Monthly %
Jul 2013 - Aug 2013
Aug 2013 - Sep 2013
Sep 2013 - Oct 2013
Oct 2013 - Nov 2013
ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
Nov 2013 - Dec 2013
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Public transport is much dependent on transportation technology and the needs of the cities economies
SAMPLE
Modes of Public Transport • Text
Pattern of Public Transport Modal Split in Metros Paratransit Vehiches (Taxi and 3-6 seaters)
Composition of India’s Vehicle Population
Buses (SRTU)
Other Buses Two Wheelers Cars, Jeeps and Taxis Buses Goods vehicles Other Vehicles Mumbai
Delhi
Kolkata
Bangalore Chennai
Note: Figures for 2011-12, SRTU: State Road Transport Undertaking
Note: Figures for 2011-12
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Organized taxi market is still minuscule as compared to rest of the taxi market in India constituting only ~14%
SAMPLE
Taxis in India – Market Potential
Market Segmentation of Indian Taxi Operators
Parameters
Unorganized Market
Type of Operator
Individual cabs or operators running in different parts of the country
• Text
• Text
• Individual Owners • Small Operators • Pre-paid Taxis
• Text
• Text
Key Players
Radio Cabs
ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
Aggregator or Affiliator
• Text
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Organized cab service form a minuscule portion of the overall private taxi business in India
SAMPLE
Radio Taxi Service – Market Overview • Text
Radio Taxi (Radio Cabs + Aggregator Based Model) – Market Size and Growth INR bn
A%
2014
2015e
2016e
2017e
2018e
2019e
Note: Figures are for financial year Apr-Mar
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For traditional radio cab companies based on ownership model, online bookings still account for a minuscule share Online Taxi Service – Market Overview (1/2)
SAMPLE
• Text
Online Taxi Service (Radio Cabs – Ownership Based Model) – Market Size and Growth INR bn
B%
Company/Brand
2014
Booking On call
Website
2015e 2016e 2017e 2018e 2019e
Mobile App
Note: Figures are an approximate estimation
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Ola, which works on the marketplace model, is said to be clocking its majority of bookings per day online Online Taxi Service – Market Overview (2/2)
SAMPLE
• Text
Online Taxi Service (Aggregation Based Model) – Market Size and Growth INR bn
C%
Company/Brand
2014
Booking On call
Website
2015e 2016e 2017e 2018e 2019e
Mobile App
Note: Figures are an approximate estimation
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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India’s growing economy is continually sustaining the development of the online taxi service market as…
SAMPLE
Favorable Demography and a Healthy Economic Outlook (1/2)
Impact
• Text
Healthy Economic Outlook (1/2): Key Economic Indicators Growth Trend in GNI Per Capita
Rapid Urbanization
INR
Urban Population.
Rural Population
bn
Jan-10
Jan-11
Jan-12
Jan-13
Jan-14
2010
2011
2015e
2020e
Note: Figures for financial year – April to March, GNI – Gross National Income ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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BPO sector employees form a major clientele base contributing a major share to online cab service providers’ revenues
SAMPLE
Growing BPO Sector
Impact
• Text
Indian BPO Sector – Market Size and Growth
India’s Share in Global BPO Market (2013)
INR tn C%
2014
2015e
2016e
2017e
2018e
2019e
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Radio Taxi Fares in Delhi is higher by almost a quarter percent than before post Jun 2013 High fares of Online Cab Services (2/2)
SAMPLE
Price Rise in Radio Cabs – Delhi
Price Rise in AC Radio Cabs
Price Rise in Economy Radio Cabs
INR/km
INR/km A%
Before Jun 2013
B%
After Jun 2013
Factsheet – Delhi
Text
Factsheet – Bangalore
Text
ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
Before Jun 2013
After Jun 2013
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Trends – Summary
SAMPLE
Mobile Applications
Cab Advertisement
Low Financial Mileage ` Key Trends
Consolidation amongst Service Providers
Private Equity (PE) Investments and Venture Capital (VC)
Exclusive Online Cabs for Women
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The tie-ups processes work towards making a unique market proposition for the existing brands Consolidation amongst Service Providers (1/3)
SAMPLE
• Text
Date
Buyer
Target
Deal Size (INR mn)
% stake
Deal Status
Type of Transaction
Note: The list is not exhaustive ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Porter’s Five Forces Analysis
SAMPLE Impact
Threat of New Entrants • Text Impact
Impact Impact Competitive Rivalry Bargaining Power of Buyers
Bargaining Power of Suppliers • Text
• Text
• Text
Impact
Threat of Substitutes • Text
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Competitive Benchmarking (1/4)
SAMPLE
Key Ratios of Top 3 Companies – Operational Basis (FY 2014) (1/3) Operating Margin
%
Player 1
Net Margin
Player 2
Player 3
• Text
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Private: Domestic Company – Player 1 (1/5) Company Information
SAMPLE Offices and Centres – India
Corporate Address
Tel No. Fax No. Website Year of Incorporation Head Office
Products and Services Category
Products/Services
Key People Name
ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
Designation
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Private: Domestic Company – Player 1 (2/5)
SAMPLE
Shareholders of the Company
Ownership Structure
Directors or Relatives of Directors Name
No. of Shares held
Foreign Holdings Others
Total
Ownership structure corresponds to Date of AGM: 30/09/2014
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Private: Domestic Company – Player 1 (3/5)
SAMPLE
Financial Snapshot Total Income
Key Ratios
Net Profit/Loss
Particulars
INR mn
INR mn
2012
2013
2014
y-o-y change (2014-13)
2014
2013
2012
Profitability Ratios Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets
Cost Ratios Operating costs (% of Sales) Administration costs (% of Sales)
Financial Summary
Interest costs (% of Sales)
• The company incurred a net loss of INR - mn in FY 2014, as compared to net loss of INR - mn in FY 2013
Liquidity Ratios
• The company reported total income of INR - mn in FY 2014, registering an increase of -% over FY 2013
Leverage Ratios
• The company earned an operating margin of -% in FY 2014, an increase of m percentage points over FY 2013
• The company reported asset turnover ratio of a in FY 2014, an increase of -% over FY 2013
Current Ratio Cash Ratio Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio
Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover Improved
ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
Decline
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Private: Domestic Company – Player 1 (4/5)
SAMPLE
Business Highlights Description
News
Overview
• Text
Products and Services
• Text
Expansion and Way Forward
• Text
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Private: Domestic Company – Player 1 – SWOT Analysis (5/5)
SAMPLE • Text
• Text
S
W
O
T
• Text
• Text
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Consumer Insights – Overview
Summary
SAMPLE
• The section summarizes the overall respondents demographics, age and gender split, economic indicators and overall cab preference
Preference Pattern and Budget
• The section summarizes the parameters for consumer preference and budgetary insights for online cabs • It provides meaningful insights for service providers
Online Preference Insights
• The section summarizes age-wise and gender-wise online penetration of consumers with respect to booking radio cabs • Also highlights the preference pattern for booking modes
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Consumer Insights – Summary (1/4)
SAMPLE
Sample Size Survey Duration and Period Quantitative Representation Used
Survey Respondent Demographics
Respondent’s – Gender Split
Respondent’s – Age Split (Years) Units
29
Consumer Insights – Summary (4/4) Service Preference – Company-wise Split
SAMPLE
Intercity Travel Preference Split
Scores
Bus Radio Cabs under All India Tourist Permit
Car Rental Service Others
Note: Scores corresponding to individual ranking
Note: Percentages are based as per scores corresponding to individual ranking
30
Consumer Insights – Preference Pattern and Budget (1/3)
SAMPLE
Services Used – Purpose-wise Split Male
Usage Based Strategy – Analysis
Female Units
Analyzing the purpose of usage, certain insights are notable from the business perspective: • Text
When targeting the customers based on gender wise usage: • Text
Other miscellaneous purposes that surveyors have sighted for use of online cab services are Airport/Railway station pick-up and drop, emergency and party or other such social occasions
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Consumer Insights – Online Preference Insights (3/3)
SAMPLE
Payment Preference vs. Mode of Booking Units
On-call Booking Website Booking Mobile Booking
Modes of Payment Cash
In-cab POS Terminal for Credit/Debit Cards
Pre-paid Wallet based Option
Insights
• Text
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•Macroeconomic Indicators
•Introduction •Market Overview •Government Participation
•Drivers & Challenges •Trends •Competitive Landscape
•Consumer Insights •Strategic Recommendation •Appendix ONLINE TAXI SERVICE MARKET IN INDIA 2015.PPT
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Strategic Recommendation (1/4)
SAMPLE
Innovation and out-of-the-box thinking in business operation and service providing is the success mantra for the Indian Market
Text
Text
Text
Text
Text
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