3. Vision
• Become #1 most i) usable and ii) popular service in managing taxi customer
operations from A to Z
• Grow to a large profitable operation (both operationally and overall) in CIS
with $10M annual revenue
• Penetrate several large national markets (US, Europe, Asia) with dominant
share of mobile/online orders
• Exit to a potential buyer or IPO
3
4. Taxi markets are significant and mature
• Most markets are growing behind:
★ higher incomes
★ reduced costs of taxi car ownership
★ more need to manage personal commuting inside urban areas
★ ample labor supply
★ increased costs of a personal car ownership
Market Population, mln
GDP per capita,
US$‘000
Industry
Revenue, $M
Number of
operators
Employees, ‘000
Revenue per
Employee, $‘000
Taxi Spending
per Capita,
US$
US 313 46.8 9,200 7,000 136 68 29
Australia 22 41.7 4,900 5,400 68 72 223
UK 63 34.8 4,000 18,000 157 25 64
Ukraine 45 6.7 800 1,000 100 8 18
Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011Sources: IBIS World, CIA Factbook and other free and paid research available online, dated from 2002 and 2011
4
5. Problems are typical for mature but low-tech market
Taxi Operator & Taxi Driver Customer
1. High call center overhead
2. Frequent human errors (operators and taxi
drivers): navigation, billing
3. Inability to i) manage supply (constant fleet/
driver resource) and volatile demand, ii) detect
hidden demand
4. Suboptimal navigation, route mapping and
traffic jam management
5. Unreliable radio/mobile phone
communications, dangerous while driving
6. Lack of complete data to make pricing,
ordering and hiring policy decisions
1. Time spent on the phone to order a taxi
(waiting, conversation)
2. Unclear time and cost of the trip
3. Lack of taxi-sharing opportunities in busy
urban environment to save time/money
4. Lack of one-time or monthly billing
5. Lack of money-saving “frequent flyer” (loyalty)
programs
6. Lack (frequent) of bank card payment
opportunity
7. Metering is perceived to be unfair
5
6. Product solves ALL these problems
Feature Customer Taxi Driver Taxi Operator
Easy ordering with Start and End address prompt X X* X**
Current location prompted X X
Route Planning & Navigation X
Time and Cost forecast X X
Countdown till trip starts/ends X
Billing with trips, length, distance and cost (online or email) X X X
Billing based on true distance and actual time spent X X X
Supply forecast* based on historical, weather and public data X
Instant and reliable taxicab location X X
Taxi sharing opportunities****
* In case the taxi driver picks up someone in the street
** In case customer calls on the phone
*** Includes geographical forecast to allocate taxicabs to area where demand is expected to grow
**** Especially important during high-demand peaks
6
7. Technology and its components are proven to work
• Represents four interfaces
• Employs computational abilities outsourced to a cloud
• Integrated with APIs of major i) navigation and ii) payment providers
• Open issue: payments through Apple application possible?
Customer Taxi Driver** Taxi Operator TaxiCall
Device
Mobile phone,
Smartphone or a Pad
Pad*** Computer Server
Interface
iPhone, Android
application or SMS
iPad or Android
application
Web Browser Web Browser
Device Location
Customer’s pocket or
hand
Mounted in front of
the driver inside the
car
Manager’s desk Cloud*
Connection GPRS, 3G/4G or WiFi GPRS, 3G/4G
Any Internet
connection
Reliable high-speed
Internet connection
* Amazon or other cloud service with scalable computing capabilities and reliable connection
** With such an infrastructure a taxi driver can lease his high-speed Internet connection to the passenger at extra charge
*** The Pad will be alos equipped with a card reader
7
8. Two types of Target Customers & Value Proposition
8
Taxi Customer
1. Start ordering taxis from a convenient user interface, avoiding communicating with operator, which is time-
consuming and may contain errors
2. Start getting advice on when you need a taxi if you need to be at your destination at a certain time
3. Start getting clear and complete weekly/monthly bills for your taxis
4. Get individualized pricing/billing based on your LTV with the Taxi Operator
Taxi Operator/Driver
1. Increase your sales through realizing latent demand and taxi-sharing
2. Reduce overhead by automating order processing at variable cost and a small subscription fee
3. Make more money through smarter demand and supply management
4. Increase customer satisfaction and loyalty through
✓ reduced human errors
✓ usable customer interface
✓ multiple payment options (including )
✓ more transparent and fair billing
5. Reduce driver risks and time losses through better navigation and instruction
6. Increase driver satisfaction through more transparent billing and better navigation
9. Selling Strategy & Customer Acquisition
9
Target Objectives
Communication & Business Development
Channels/Tools
Customer
1. Penetrate maximum percentage of
smartphones and pads with TaxiCall
application
2. Maximize percentage (100%) of taxi
orders through mobile application
1. Online advertising
2. Social media
3. Partnerships with Expedia and other travel
management services
Taxi Operator
1. Penetrate maximum number of operators
and their taxi drivers
2. Maximize number of orders managed
through the customer end (via customer
smartphones) and taxi driver pads
3. Minimize human operator involvement
and decision-making
1. Industry events
2. Pilot trials with selected taxi operators
3. Endorsements by taxi operator owners on
what positive changes TaxiCall made to their
business operational and financial
performance
4. Financing (leasing) of hardware (taxi driver’s
Pad)
10. Revenue model (Kiev pilot)
10
• Kiev pilot is proposed to test the
technology as well as business
development, along with technology
acceptance by passengers, taxi drivers
and taxi operators
• Assumptions are conservative
• Smartphone penetration will be
constantly growing, in line with other
global markets
Total city population, ‘000 3,300
Share of those using taxis, % 20%
Taxi customer pool, ‘000 660
Smartphone penetration among those using taxis, % 20%
TaxiCall customer base, ‘000 132
Average number of orders per customer per month 1.20
Total monthly orders through TaxiCall, ‘000 158
Average taxi ride check, US$ $4.40
Total taxi monthly revenue, US$‘000 $697
TaxiCall comission, % 10%
Total monthly commission, US$‘000 (Kiev only) $70
TaxiCall Annual Revenue, US$‘000 (Kiev only) $836
Ukraine National Annual Revenue, US$‘000 $3,345
11. Management Team
11
Dimitri Popov, CEO & Co-Founder
Shares both corporate and entrepreneurial experience, have several startups launched and progressed, including
YouScan, Restart, Aftar and SuperPhoto, as well as the failed ones (SmashTV and Hippocrates). Prior to entrepreneurial
activities worked for Procter & Gamble, General Motors, Toyota, MTV, Benckiser, 1+1 TV and Volia Cable and other
companies in marketing.
Ognjen Nastic, CTO & Co-Founder
IT professional with a wide range of professional experience, both technical and management. Strong background in
technical governance and managing people. Vast experience with Microsoft technology and Linux solutions.
Mikhail Golokolosenko (TBD), VP Business Development
Business development (sales) professional with experience at Henkel (FMCG distributor relationships) and Volvo
Financial Services (leasing). Mikhail is eager to join a startup with international scope.
All team members speak and write fluent English, have international exposure and have their full profiles on
LinkedIn
12. Key Milestones
12
Month/Year Milestone
October-11 Beta developed and tested on 10 taxi drivers and at least 1,000 customers
November-11 Top 20 taxi operators in Kiev penetrated with TaxiCall technology at least as a pilot
December-11 Operationally profitable in Kiev
December-11 Maps and billing integrated into the product for 5 chosen European markets
January-11 5 pilots in European countries (possibly including Estonia)
February-12 Maps and billing integrated into the product for the US market (preferably NY and LA)
March-12 Pilot in the US (NY, LA)
13. Funding Plan
13
Month/Year Type Funding
Amount, US
$‘000
August-11 Seed Initial seed funding received $250
March-12 Round A
Funding for growth received based on proved business model,
scalable and profitable
$2,000
January-13 Round B
Secondary funding received to accelerate growth in major
markets, like US, EU and Asia
$10,000
2014 Exit IPO or sale to a buyer $50,000
14. Potential Exits
1. Expedia, TripIt or other travel management services
2. IPO (NASDAQ, LSE)
3. Large taxi operators
4. Large transport operators
14
15. Next steps
1. Agree to invest $250K as seed at a 20% equity stake
2. Form a company (Cyprus, BVI or the US) to hold shares, patents, trademark registrations
3. Develop Beta, make sure it works perfectly
4. Start a pilot project in Kiev with hardware financed for a number of selected taxi drivers
5. Run a campaign to attract at least 10,000 taxi customers into the pool (preferably frequent taxi riders)
6. Prove sustainability of technology and business model
7. Apply for Round A funding
15
17. Other industry/market facts
• Average annual revenue per employee in the US is $70K. In Ukraine about $8K.
• 2/3 of taxi orders are made by phone, and 1/3 is made on the street
• Average taxi customer in the UK travels 61 miles per year (all population)
• Large cities demonstrate 70% higher spending per household (UK)
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18. Liberal Business Model Current Business Model
Total Kiev Population 3,500,0003,500,000
Taxi users, % of Total Population 10%10%
Customers 350,000350,000
SmartPhone Penetration, % 15%15%
SmartPhone Users, # 5250052500
Usage Frequency, per Week 11
Average Check, UAH 3030
Usages per Month, # 227500227500
Commission, % n/a 10%
Commission, UAH 2.00 3.00
Revenue, Monthly, UAH‘000 455 683
Revenue, Annual, UAH‘000 5,460 8,190
Revenue Model: Kiev Market Only
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19. Ukrainian taxi reality from a perspective of a driver
Per week Per month
Revenues
Number of orders 140 607
Revenues Average Check $5 $5Revenues
Revenue, $ $700 $3,033
Costs
Car rent (min) $100 $433
Costs
Radio Rent $8 $33
Costs Gasoline $84 $364Costs
Dispatcher Commission, % 10% 0
Costs
Dispatcher Commission, $ $70 $303
Netto Driver IncomeNetto Driver Income $439 $1,900
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