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Uber – APM Exercise
Hello!
I am Harish Kumar Nagarajan
Graduate Student at Northeastern University – Boston, MA
Class of 2019
2
Introduction
The ideas I’ve presented here is a result
of some pain points I’ve felt as a frequent
Uber rider in India and the U.S.A., which
could also be applicable for countries
with similar geographies and economies.
3
My Uber Stats: 450+
Rides
4+ Years, 4 Countries
Last-mile Connectivity from
Public Transit Systems
Fuel Allowance
for Driver Partners
In-App Driver Calling
via Data/WiFi
4
Product Ideas for Uber
Last-Mile Connectivity
From Public Transit Systems
Improving Last-mile Connectivity from Public Transit Systems
6
Problem Statement:
“Let’s assume that daily commuters on the
Caltrain prefer Uber Pool/Express Pool as their
preferred option to and from the Caltrain Station.
Considering the fact that the Uber Pool options
take 1.5-2x times longer, how do we relatively
reduce wait times for the user to ease their
already long commute?”
Background Information:
Taking the Caltrain between downtown
San Francisco and the South Bay during
weekdays. They spend 2-4 hours on this
daily commute, door to door.
On Uber Pool/Express Pool, which is
considered by many in the Bay Area as
the most preferred option to travel that
short distance home(<2-3 miles).
Are spent by passengers commuting,
exclusive of waiting times, between San
Francisco and San Jose daily, door to
door.
(Source: Caltrain/TechCrunch/Uber)
Improving Last-mile Connectivity from Public Transit Systems
Opportunity Assessment:
For the User: Passengers use the Clipper card to tap on/tap off at Caltrain stations. If the user links
the Clipper card number with his/her Uber account, the MTC can send the tap on data to Uber,
prompting a message on the app asking for a destination and, if an Uber(and what type) is required
upon arrival at their final stop. Then, keeping track of possible train timings and location data, a ride
can automatically be requested two stops/5-minutes before arrival(whichever is shorter) thereby
reducing wait times at the station(especially if the weather is not nice).
For Uber:
- Opportunity to upsell to Uber X, if wait times are beyond the acceptable threshold for Uber
Pool/ExpressPool. Users may react favourably for a faster ride, for a small premium on Uber X
instead of a surge on UberPool options
- Partnership with MTC on a revenue sharing basis by providing instant online top-ups of the Clipper
Card from within the Uber app.
(Currently, instant recharges for Clipper Cards are only available at kiosks and brick & mortar stores while online recharges
take 48 hours to credit. Therefore, there is definitely a big opportunity for Uber here.)
7
Improving Last-mile Connectivity from Public Transit Systems
Opportunity Size:
Average Weekday Ridership: 62,416
Total Annual Ridership: 18,567,173
(Source: Caltrain)
Pros:
- Massive time savings for both Drivers and Riders. Drivers will have more time to do a drop off/pick
up, thereby leading to more rides for Uber. Win-win for everyone.
- Makes navigation easier and give enough time to both parties to find each other, away from busy,
dangerous, or inconvenient pick up and drop-off points
- Promotes the use of sustainable public transportation, increases ridership, and therefore higher
revenue, that benefits both Uber and the Transit company.
Cons:
- Challenges in getting user opt-in to link Clipper Cards with Uber
- Possible misconception that Uber is tracking the users everywhere, even when not using the app
- Accounting for train delays before requesting a ride automatically
8
Key Metrics:
% of Caltrain pax opted-in for a ride before arrival
% of Caltrain pax upgraded to Uber X before arrival
% of increase in rides from Caltrain stations
% of Caltrain pax topped-up balance via Uber
Wireframe/Prototype
9
1
Arrival at a Transit
Facility
User taps the transit card at
the machine in the station
or on the
train/subway/bus. This
information is sent to Uber
via the integration
Arrival at the Final
Stop
Uber keeps track of
train/user* location and
requests an Uber 2
Stops/5 Minutes prior to
arrival at final stop. User
can then tap off and ride,
saving a lot of time.
4
*Subject to Engineering and Privacy Concerns
Fuel Allowance
For Driver Partners
Fuel Allowance for Driver Partners
11
Problem Statement:
“India is a country where cash is still king.
Users do not have or want to pay cash for rides.
Drivers do not have cash to pay for fuel or other
vehicle-related expenses.
Let’s also assume that Uber is unable to
expedite pay-outs by policy or due to
operational difficulties.
This imperfect deadlock causes undue
inconveniences to both parties which, Uber as a
company heavily relies on for its daily
operations. Considering it’s not good business to
always ask customers to change their ways, how
do we focus on driver partners and solve this
problem on their end?”
Background Information:
In India, U.S.A. and China prefer using
Digital Payments and/or Mobile Wallets
over Cash
I have taken in Chennai, India over the last
month, about 15-20 drivers have
demanded cash and have cancelled the
booking if the payment was by Credit
Cards or a digital wallet
Accept electronic payments without
displeasure. I’ve heard from 8-10 drivers
directly that they are averse to electronic
payments but importantly, they are often left
without cash to fill gas or perform repairs
due to the system of weekly pay-outs.
(Source: Forbes)
Fuel Allowance for Driver Partners
Opportunity Assessment:
For the User: Better user experience with the option to pay with a mode of their choice
For the Driver Partner: Uber can provide these drivers with a Prepaid/Credit Card* valid only at Fuel stations.
They can either be provided with a moderate line of credit or use a portion of their earnings to pay via the
card. If it is a credit card, the outstanding amount can be adjusted with their earnings before processing the
pay-out. Alternatively, the fuel allowance can be disbursed via the driver partner’s digital wallet.
For Uber: Uber has two opportunities here. One, a chance to earn the goodwill and loyalty of its driver
partners by supporting them and solving their payment issues. Second, a viable business opportunity to
partner with big petroleum companies such as Shell, HP, BP etc. for exclusive fuelling rights in exchange for
a small percentage of the transaction amount or preferred rates per litre of gas. If the Driver Partner wants to
pay cash for fuel, they may provide their Driver ID before payment to get the preferential rate, even when
they are off duty.
*(Uber offers a Visa Debit Card, in association with GoBank instead of the now-defunct Fuel card in the US, offering instant pay-outs.
While a separate salary account/debit card might be difficult to provide in India, because of convoluted RBI guidelines, a fuel card
will conveniently address this problem.)
12
Fuel Allowance for Driver Partners
Opportunity Size(India):
Number of Uber Drivers: 500,000
Max number of Rides in one day: 1,000,000
(Source: Indian Express/NDTV)
Pros:
- Driver Partners can now drive with the assurance that they have access to funds to pay for fuel
- Riders can take Uber and pay using Credit Cards/Digital Wallets without any inconveniences
- Uber benefits by having a tertiary source of revenue through its partnership with petroleum
companies, which it could extend to its other products such as Uber Eats and Uber Freight
Cons:
- Might complicate and put more pressure on the Finance Team for Uber, when there are discrepancies
- Significant upfront cost – Issuing and Shipping Cards, Identity Verification
- Possible misuse of funds on the Prepaid/Fuel Card or Digital Wallet
13
Key Metrics:
% of cashless rides recorded per driver per week
% of cashless rides recorded per rider
# of fuel refills at preferred gas stations with Driver ID/Card
% of Revenue from fuel payments at preferred gas stations
In-App Driver Calling
via WiFi/Mobile Data
In-App Driver Calling via WiFi/Mobile Data
15
Problem Statement:
“Most travelers on business or pleasure need to
stay connected wherever they are. Yet, the task
of signing up for a roaming plan doesn’t always
take top priority, until they reach their
destination.
Assuming that travelers are most likely to have
access to WiFi at Airports, Hotels or Public
Hotspots, how do we make it easier for users to
call their drivers easily within the app without
having to dial out and incur expensive roaming
charges?” The average cost of calls on International
Roaming. Data costs $2/MB, so it is cheaper
for more value. US-based phones are carrier
locked and there’s usually a fee for unlocking
it temporarily. Therefore, getting a local SIM
card may not always be an option, especially
for short visits.
Background Information:
That Uber has a presence in. However, for
millions of users who use just ONE Uber
worldwide, during their travels, especially
for business, lies a pain point that has not
been addressed yet, International
Roaming
The average amount spent by a business
traveller on International Roaming, most
likely charged just to make an emergency
call or book an Uber/Taxi.
(Source: CondeNast)
In-App Driver Calling via WiFi/Mobile Data
Opportunity Assessment:
For the User: The option to place a call over WiFi/Data(similar to a Whatsapp call) to the driver to
communicate the exact pick up location. This will be a better option than in-app texting* in
countries where English is not the first language. It also saves a lot of time to call and provide
directions quickly if the GPS is inaccurate, identify and communicate the details of a landmark or if
the passenger is about to move to a blind spot
For the Driver Partner: Uber Driver Partners’ phones are usually connected to the internet and it’s
easier for them to quickly call a rider for example, who just arrived from the UK at JFK, via the app
for free without having to dial an international number to exchange details about the location
For Uber: I’ve read numerous posts on Reddit and travel forums such as TripAdvisor where users
had to go through the trouble of either opening a new Uber account, get a local SIM, update that
number in the account and jump through numerous hoops just to call the driver. If that finally
doesn’t work, Uber will probably see a ticket from a frustrated customer on its helpdesk portal. All
of this can be solved by building an in-app calling feature using Twilio’s API and Mobile SDK. Users
and Drivers can then talk to each other over the internet to share their respective whereabouts for a
smooth pick up.
*Available in the U.S.A.
16
In-App Driver Calling via WiFi/Mobile Data
Opportunity Size(India):
Number of Uber Drivers: 500,000
No. of Rides from North America Pax: 369,003
(Source: Indian Express/NDTV)
Pros:
- International Travelers will love this feature as they will have the ability to contact their drivers or vice-
versa over WiFi/Mobile Data which is becoming commonplace
- Massive savings on international roaming costs
- If Uber becomes the first to bring this to market, it will also benefit regular users who do not have
proper cell-service at their location, but have strong Wi-Fi. (Eg: Homes around tall buildings)
Cons:
- Building this feature into the app will be easy, but will need to be extensively tested for reliability in
real-world scenarios
- Does not address a scenario where both WiFi/Mobile Service is unavailable
17
Key Metrics:
% of rides started without initiating contact
% of rides where one party had to call for more information
% of calls by international travellers to drivers or vice versa
% of calls placed from WiFi Hotspots/Mobile Data
18
Thank You!You can find me on,
LinkedIn: https://www.linkedin.com/in/nharishkumar/
Email: nagarajan.h@husky.neu.edu

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Uber - Associate Product Manager Interview Exercise

  • 1. Uber – APM Exercise
  • 2. Hello! I am Harish Kumar Nagarajan Graduate Student at Northeastern University – Boston, MA Class of 2019 2
  • 3. Introduction The ideas I’ve presented here is a result of some pain points I’ve felt as a frequent Uber rider in India and the U.S.A., which could also be applicable for countries with similar geographies and economies. 3 My Uber Stats: 450+ Rides 4+ Years, 4 Countries
  • 4. Last-mile Connectivity from Public Transit Systems Fuel Allowance for Driver Partners In-App Driver Calling via Data/WiFi 4 Product Ideas for Uber
  • 6. Improving Last-mile Connectivity from Public Transit Systems 6 Problem Statement: “Let’s assume that daily commuters on the Caltrain prefer Uber Pool/Express Pool as their preferred option to and from the Caltrain Station. Considering the fact that the Uber Pool options take 1.5-2x times longer, how do we relatively reduce wait times for the user to ease their already long commute?” Background Information: Taking the Caltrain between downtown San Francisco and the South Bay during weekdays. They spend 2-4 hours on this daily commute, door to door. On Uber Pool/Express Pool, which is considered by many in the Bay Area as the most preferred option to travel that short distance home(<2-3 miles). Are spent by passengers commuting, exclusive of waiting times, between San Francisco and San Jose daily, door to door. (Source: Caltrain/TechCrunch/Uber)
  • 7. Improving Last-mile Connectivity from Public Transit Systems Opportunity Assessment: For the User: Passengers use the Clipper card to tap on/tap off at Caltrain stations. If the user links the Clipper card number with his/her Uber account, the MTC can send the tap on data to Uber, prompting a message on the app asking for a destination and, if an Uber(and what type) is required upon arrival at their final stop. Then, keeping track of possible train timings and location data, a ride can automatically be requested two stops/5-minutes before arrival(whichever is shorter) thereby reducing wait times at the station(especially if the weather is not nice). For Uber: - Opportunity to upsell to Uber X, if wait times are beyond the acceptable threshold for Uber Pool/ExpressPool. Users may react favourably for a faster ride, for a small premium on Uber X instead of a surge on UberPool options - Partnership with MTC on a revenue sharing basis by providing instant online top-ups of the Clipper Card from within the Uber app. (Currently, instant recharges for Clipper Cards are only available at kiosks and brick & mortar stores while online recharges take 48 hours to credit. Therefore, there is definitely a big opportunity for Uber here.) 7
  • 8. Improving Last-mile Connectivity from Public Transit Systems Opportunity Size: Average Weekday Ridership: 62,416 Total Annual Ridership: 18,567,173 (Source: Caltrain) Pros: - Massive time savings for both Drivers and Riders. Drivers will have more time to do a drop off/pick up, thereby leading to more rides for Uber. Win-win for everyone. - Makes navigation easier and give enough time to both parties to find each other, away from busy, dangerous, or inconvenient pick up and drop-off points - Promotes the use of sustainable public transportation, increases ridership, and therefore higher revenue, that benefits both Uber and the Transit company. Cons: - Challenges in getting user opt-in to link Clipper Cards with Uber - Possible misconception that Uber is tracking the users everywhere, even when not using the app - Accounting for train delays before requesting a ride automatically 8 Key Metrics: % of Caltrain pax opted-in for a ride before arrival % of Caltrain pax upgraded to Uber X before arrival % of increase in rides from Caltrain stations % of Caltrain pax topped-up balance via Uber
  • 9. Wireframe/Prototype 9 1 Arrival at a Transit Facility User taps the transit card at the machine in the station or on the train/subway/bus. This information is sent to Uber via the integration Arrival at the Final Stop Uber keeps track of train/user* location and requests an Uber 2 Stops/5 Minutes prior to arrival at final stop. User can then tap off and ride, saving a lot of time. 4 *Subject to Engineering and Privacy Concerns
  • 11. Fuel Allowance for Driver Partners 11 Problem Statement: “India is a country where cash is still king. Users do not have or want to pay cash for rides. Drivers do not have cash to pay for fuel or other vehicle-related expenses. Let’s also assume that Uber is unable to expedite pay-outs by policy or due to operational difficulties. This imperfect deadlock causes undue inconveniences to both parties which, Uber as a company heavily relies on for its daily operations. Considering it’s not good business to always ask customers to change their ways, how do we focus on driver partners and solve this problem on their end?” Background Information: In India, U.S.A. and China prefer using Digital Payments and/or Mobile Wallets over Cash I have taken in Chennai, India over the last month, about 15-20 drivers have demanded cash and have cancelled the booking if the payment was by Credit Cards or a digital wallet Accept electronic payments without displeasure. I’ve heard from 8-10 drivers directly that they are averse to electronic payments but importantly, they are often left without cash to fill gas or perform repairs due to the system of weekly pay-outs. (Source: Forbes)
  • 12. Fuel Allowance for Driver Partners Opportunity Assessment: For the User: Better user experience with the option to pay with a mode of their choice For the Driver Partner: Uber can provide these drivers with a Prepaid/Credit Card* valid only at Fuel stations. They can either be provided with a moderate line of credit or use a portion of their earnings to pay via the card. If it is a credit card, the outstanding amount can be adjusted with their earnings before processing the pay-out. Alternatively, the fuel allowance can be disbursed via the driver partner’s digital wallet. For Uber: Uber has two opportunities here. One, a chance to earn the goodwill and loyalty of its driver partners by supporting them and solving their payment issues. Second, a viable business opportunity to partner with big petroleum companies such as Shell, HP, BP etc. for exclusive fuelling rights in exchange for a small percentage of the transaction amount or preferred rates per litre of gas. If the Driver Partner wants to pay cash for fuel, they may provide their Driver ID before payment to get the preferential rate, even when they are off duty. *(Uber offers a Visa Debit Card, in association with GoBank instead of the now-defunct Fuel card in the US, offering instant pay-outs. While a separate salary account/debit card might be difficult to provide in India, because of convoluted RBI guidelines, a fuel card will conveniently address this problem.) 12
  • 13. Fuel Allowance for Driver Partners Opportunity Size(India): Number of Uber Drivers: 500,000 Max number of Rides in one day: 1,000,000 (Source: Indian Express/NDTV) Pros: - Driver Partners can now drive with the assurance that they have access to funds to pay for fuel - Riders can take Uber and pay using Credit Cards/Digital Wallets without any inconveniences - Uber benefits by having a tertiary source of revenue through its partnership with petroleum companies, which it could extend to its other products such as Uber Eats and Uber Freight Cons: - Might complicate and put more pressure on the Finance Team for Uber, when there are discrepancies - Significant upfront cost – Issuing and Shipping Cards, Identity Verification - Possible misuse of funds on the Prepaid/Fuel Card or Digital Wallet 13 Key Metrics: % of cashless rides recorded per driver per week % of cashless rides recorded per rider # of fuel refills at preferred gas stations with Driver ID/Card % of Revenue from fuel payments at preferred gas stations
  • 14. In-App Driver Calling via WiFi/Mobile Data
  • 15. In-App Driver Calling via WiFi/Mobile Data 15 Problem Statement: “Most travelers on business or pleasure need to stay connected wherever they are. Yet, the task of signing up for a roaming plan doesn’t always take top priority, until they reach their destination. Assuming that travelers are most likely to have access to WiFi at Airports, Hotels or Public Hotspots, how do we make it easier for users to call their drivers easily within the app without having to dial out and incur expensive roaming charges?” The average cost of calls on International Roaming. Data costs $2/MB, so it is cheaper for more value. US-based phones are carrier locked and there’s usually a fee for unlocking it temporarily. Therefore, getting a local SIM card may not always be an option, especially for short visits. Background Information: That Uber has a presence in. However, for millions of users who use just ONE Uber worldwide, during their travels, especially for business, lies a pain point that has not been addressed yet, International Roaming The average amount spent by a business traveller on International Roaming, most likely charged just to make an emergency call or book an Uber/Taxi. (Source: CondeNast)
  • 16. In-App Driver Calling via WiFi/Mobile Data Opportunity Assessment: For the User: The option to place a call over WiFi/Data(similar to a Whatsapp call) to the driver to communicate the exact pick up location. This will be a better option than in-app texting* in countries where English is not the first language. It also saves a lot of time to call and provide directions quickly if the GPS is inaccurate, identify and communicate the details of a landmark or if the passenger is about to move to a blind spot For the Driver Partner: Uber Driver Partners’ phones are usually connected to the internet and it’s easier for them to quickly call a rider for example, who just arrived from the UK at JFK, via the app for free without having to dial an international number to exchange details about the location For Uber: I’ve read numerous posts on Reddit and travel forums such as TripAdvisor where users had to go through the trouble of either opening a new Uber account, get a local SIM, update that number in the account and jump through numerous hoops just to call the driver. If that finally doesn’t work, Uber will probably see a ticket from a frustrated customer on its helpdesk portal. All of this can be solved by building an in-app calling feature using Twilio’s API and Mobile SDK. Users and Drivers can then talk to each other over the internet to share their respective whereabouts for a smooth pick up. *Available in the U.S.A. 16
  • 17. In-App Driver Calling via WiFi/Mobile Data Opportunity Size(India): Number of Uber Drivers: 500,000 No. of Rides from North America Pax: 369,003 (Source: Indian Express/NDTV) Pros: - International Travelers will love this feature as they will have the ability to contact their drivers or vice- versa over WiFi/Mobile Data which is becoming commonplace - Massive savings on international roaming costs - If Uber becomes the first to bring this to market, it will also benefit regular users who do not have proper cell-service at their location, but have strong Wi-Fi. (Eg: Homes around tall buildings) Cons: - Building this feature into the app will be easy, but will need to be extensively tested for reliability in real-world scenarios - Does not address a scenario where both WiFi/Mobile Service is unavailable 17 Key Metrics: % of rides started without initiating contact % of rides where one party had to call for more information % of calls by international travellers to drivers or vice versa % of calls placed from WiFi Hotspots/Mobile Data
  • 18. 18 Thank You!You can find me on, LinkedIn: https://www.linkedin.com/in/nharishkumar/ Email: nagarajan.h@husky.neu.edu