I worked on the various aspects on the marketing management done by Ola cabs . It is a detail study on the marketing strategy which is done by the Ola to sustain in the market and compete with there competitors.
INTRODUCTION TO BRAND
CUSTOMER DEVELOPMENT PROCESS
CONSUMER BUYER BEHAVIOUR
5 STAGES OF BUYERS PROCESS
B2B AND B2C
EXPECTANCY VALUE MODEL
TARGET MARKET SELECTION
FEATURE AND BENEFITS
BRAND KNOWLEDGE TREE
Ola Cabs is a private company of Indian origins. Ola is a trade name and
operates under its parent company ANI Technologies Private Limited. It is
associated with logistics and technology industry as it deals with transport
facilities. Ola Cabs has founded in the year 2010, 3rd December by its co-
founders Ankit Bhati and Bhavesh Aggarwal, when he experienced the deep
routed problem in India quality Cab service and professionalism of the Cab
drivers. The company has taken help of latest technology to bring forth a
fast and efficient service for hiring cabs. The brand has received series of
funding from angel investors and companies like Softbank, Tekne Capital,
Vanguard, Baillie Gifford and Yes Bank. Spurt with the growth in the
demand, in 2017 the company has received $ 18 billion.
VALUE CREATION- Ola Cabs is a mobile app used as a service provider for
personal transportation. It has revolutionised the conceptof travelling, Earlier
hiring taxis from roads was a harassment but now it has becomehassle free as
one can easily make a booking at his/her convenience without stepping out.
VALUE CAPTURE- Passengers are nowadays concerned about convenience
rather than prices. Ola Cabs offer rides in a comfortable setting with furnished
and air-conditioned cabs. It offers to price flexibility with its range of vehicles
that includes economic-range, mid-range and high-range. Ola Cabs has adopted
a penetration policy and has kept its price range reasonable so as to gain a
competitive advantage over rival companies. It has also adopted a promotional
policy and offers incentives to increase its customer base.
VALUE COMMUNICATION-It has adopted an extensive marketing policy to
create high and positive brand awareness amongst consumers. The company has
taken help of every available medium like digital and print via SMS on mobiles,
magazines, newspapers and billboards. It has also used social media platforms
to garner maximum coverage via Twitter, Facebook, Blogs and Instagram.
Actress Gul Panag has been associated with this brand and at a promotional
event handed over keys of Ola cab to its driver. The company offers incentives
like free rides, 50% discounted rides, rupees 5o off on first ride free for new
members and promo codes to increase its customer base.
VALUE DELIVERY-The company started its operations from metro city
Mumbai in Maharashtra but later shifted its base to Bengaluru in Karnataka. By
the year 2014, it had extended its network to include nearly 200,000 cars that
were running in nearly one hundred two tier, three tier and metro cities like
Kolkata, New Delhi, Chennai, Bengaluru, Hyderabad, and Mumbai.
SEGMENTING- Ola cabs have been using segmentation parameters such as
geographically dividing the market it serves into urban & metro in order to
devise promotional and business strategy based on demand in these markets and
the places where public where more aware of using smartphones.
Also, it segments customers based on customer income profile and corporate
profile and the places where crowd is more, and people are struggling for the
TARGETING-As the company serves different customer segments i.e. long
route outstation customers, customers within 8 Kms, Shuttle service and shared
services, therefore it uses differentiation targeting strategy based upon the
segmenting such as categories e.g. Auto, Micro, Mini, Prime, Suv, Luxury class
of fleet services based upon their income, area and needs of the customer. And
Cab services for passengers, for corporatecustomers through Ola Shuttle i.e.
daily office goers through fixed routes and Ola outstation.
POSITIONING-OlaCabs has positioned itself as a company making mobility
easy, convenient, affordable and safe 24*7. They are also promoting and
making positioning in their customers mind by Innovatively thought concept
ideas and ads of the company such as Chalo Niklo, ?6/ per Km, Ola Share pass,
Ola outstation, shuttle and Ola peddle has helped the company in being ahead of
PRODUCT- Ola Cabs is a mobile app used as a service provider for personal
transportation. Its fleet includes Auto, Bike, Cars, Shuttles, SUVs vehicles and
offers different types of cab service that have a diversified range from luxury to
PLACE- Ola Cabs is a company dealing via an online network. Cabs can be
easily reserved through its own website and via Ola mobile app that can be
downloaded from The App Store and Google Play Store. Company is operating
it business from urban and metro cities with more then 2,00,000 vehicles in
nearly one hundred two tier, three tier and metro cities like Kolkata, New Delhi,
Chennai, Bengaluru, Hyderabad and Mumbai.
PRICE- Ola Cabs offer rides in a comfortable setting with furnished and air-
conditioned cabs. It offers to price flexibility with its range of vehicles that
includes economic-range, mid-range and high-range as with, Base fare of Rs35
and Rs10 per km,12km,15km as per the range and adopted a penetration policy
and has kept its price range reasonable so as to gain a competitive advantage
over rival companies.
PROMOTION- It has adopted an extensive marketing policy to create high and
positive brand awareness amongst consumers. The company has taken help of
every available medium like digital and print via SMS on mobiles, magazines,
newspapers and billboards. It has also used social media platforms to garner
maximum coverage via Blogs and Posts. They also sponsors events time to time
to create a brand image in a consumer mind and offers incentives like free rides,
50% discounted rides, rupees 5o off, first ride free for new members and promo
codes to increase its customer base, referrals programs to earn free ride and Ola
cash in their account.
CUSTOMER VALUE DELIVERY:
CATEGORY BENEFIT COST
Pricing Price is kept low Min profit margin
Products Range of Categories Based on ride categories
Place Urban and metro cities To get maximum sales
of productin each
Promotion Digital and print via
SMS on mobiles,
To create awareness of
product, to get more
customers and to
Price Low price
Quality Luxury Fleets & Verified Drivers
Availability 24*7 with same Quality
category excellent Good average poor
Derived market share:(4)
According to the documents filed with the Corporate Affairs Ministry, Ola narrowed its
standalone losses significantly to Rs 2,676.7 crore, while revenues were up 44.6 per cent to
Rs 1,860.6 crore in FY2018 compared to the previous financial year.
ANI Technologies -- the entity running Ola -- saw its consolidated revenue rising 60.9 per
cent to Rs 2,222.6 crore in the fiscal ended March 2018 from Rs 1,380.7 crore in the
CUSTOMER DEVELOPMENT PROCESS
STAGE 1 – AWARENESS
Digital and print via SMS on mobiles, magazines, newspapers and
STAGE 2- INTEREST
Entertainment on fleet (T.V, Music system, Fast service)
STAGE 3- DESIRE
Desire to get faster service
Desire to get doorto doorservice
STAGE 4 - ACTION.
Brilliant network across country
variety of Categories
Car arrival in less time
OLA CABS: “we are the fastest” OLA making cab available
In a minute
OLA studies the consumer behaviour through the following question:
1.How consumers use Ola? – Frequently need basepassengers, Daily office
goers and cheap costtravellers.
2.Where consumer use the service? - Daily commuters, urgent need base, pretty
often, trial costumers.
3.When services are likely to be used? –Everyday, corporateareas, housing
societies, industrial areas, urban and metro cities.
4.Who are the consumers of Ola? – Avg. age group is 19-60, adults, teenager,
women’s and smartphone users.
5.Why consumers chose Ola? - easy, convenient to use the App and time saving
with low costof commuting.
6. Top 2 competitors of Ola – UBER, MERU.
Hassle free service inlow cost,reachontime.
VALS –VALUE AND LIFESTYLES
Ola has millions of Users thus they VALS are
Primary and Secondary type: Strivers, Experiences.
BUYER’S ROLE:5 stages of Buyer’s Role for Ola:
1.Initiator: Advertisements, social media etc.
2.Influencer: Peer circles, family, any other reliable sources like reviews,
3.Decider: Peer circles, family or Self decision.
4.Buyer: individual purchase.
5.User: buyer, Daily commuter, Need base user.
Consumer buyer behaviour using demand curve
Price Media Service Ease ofaccess
More price More media attention More Service greater ease ofaccess
demand more demand more demand more demand
Demand Demand Demand Demand
OLA “We promise our customers to make a cab available in a minute, with safe
Driver partners which values your time and work, our investors the prospects of
sustained profitable growth, and our employees the allure of huge impact”.
STAGE BUYERS PROCESS
1.Initiator - Business Development, Client Applications
2. Gatekeeper- Financer Planning & Analysis, Planning & Analysis.
3.Influencer –Customer Service, Employee Tech,Product –Consumer Insights
4. Decider- Product Management.
5. User-Creative service,Core and Data Science Engineering, Security
6. Buyer- Finance, Marketing Production
Daily commuters, time saving, fast mobility from one place to another.
2. Information Search
(Twitter, Facebook ads, billboards, other social media, Advertisement & promotions)
3.Evaluation of alternatives
(Uber cabs,Meru cabs, Prepaid taxis and local transports)
(Trial stage user, reviews, Strivers, Daily commuters and urgent need base users)
(membership, daily usage, monthly passes)
Figure: Buyer’s decision for Ola
. BUYER’S BEHAVIOR PROCESS:
OLA as B2C model OLA as B2B model
Tie up with
Quality Quantity Price Service
2.More Variety of
3. Registered Drivers
More than 2 Lakhs
Rs4 per km 1.Less waiting
time car within
UBER 1.Less Entertainment
2.Less variety of
Less than 2 Lakh fleets
Rs6 per km 1.Less safety
Less no. of fleet
Rs10 per km 1.More waiting
1.Less cleanliness Depends upon the area. Depends upon
the length of
1.Risky way of
SKY CABS 1. Only for specific
Airport pickup &
Very few fleets
Rs17 per km 1.limited
SEGMENTATION PROCESS WITH VARIABLES OF CONSUMER & BUSINESS:
Due to growing popularity and ease of use of Ola it showcases under the basis of the following
Demographic: (age, income, occupation)
Psychographic: (Personality, values, opinions)
commuters: (number of fleets)
TARGET MARKET SELECTION:
In case of Ola the target is domestic and international market. They target market is dependent on the
media they carry. Here they are divided into four categories: Within the city, Outstation, Sharing cabs,
type of vehicles.
1. Within the city- here ola carry passengers within the city premises.
2. Outstation- here ola carry passengers outside the city premises
3. Sharing cabs- here the cab can be shared between more than 3 passengers
4. Types of vehicle- auto, bike, sedan, hatchback SUVs and premium luxury cars
POSITIONING & BANDING
. Brand Map of Ola Vs Others
Less punctual More punctual
Pocket friendly pricing Affordable for all
Make in India Being Digital
Hassle free service Door to door pick n drop
Entertainment on fleet TV, Newspapers, audio systems
Varieties of Categories Bike to luxury car
Registered drivers SOS, Emergency & first ad option in fleet
More varietyof cars
Less varietyof cars
Bike For 1 person
Micro Hatchback car for 4 persons
Mini Hatchback car for 4 persons with more boot space
Prime sedan Sedan car for 4 persons with huge boot space
Prime play Sedan car with TV, newspapers and top drivers
SUV Big car for 7 persons with top drivers
Share 1 car can be shared among 4 different passengers
Auto Capacity of 3 passengers at a time
Ola electric Electric rickshaw for short distance
Brand knowledge tree:
An Indian company which has an online fleet services for daily comminutors to use for
People recognized the brand being Digital India and Hassle-free transportation.
People started relating to their daily transportation problems and opting Ola in their life.
People’s emotion started getting attached to Quality of service.
A brand which represents the benefits of using online fleet platform and digital payment with
less fare of travelling as compared to other transportation.
Low price, more categories, easily available 24*7, superior quality, registered driver, exact
fare as per the company pricing, entertainment on fleet, handy use of App.
OLA successfully positioned itself in a quadrant where it is highly accepted by the customers.
India was the core targeting area, after its success in India it is trying to expand its business
throughout the world.
Features and benefit
Customer Awareness Pyramid
Price ranges from 30Rs to 1000rupees of an individual Categories.
Ola provide their service at a price of 10-20 % lower than that of competition • Pricing
Strategy has helped Ola to establish itself in marketplace •
Ola Pricing Key Features – “Penetrative Pricing”: • The company’s product are priced at 10-40
% discount to competition • It is able to offer such discounts primarily because of having negligible
Advertising and Promotion spend versus other companies • Other companies have A&P spends
ranging from 12-18% as a % of sales • Another reason for discounts is consumer centric ideology
of the organization and selling best quality service at attractive price points • There are even some
products which are making losses or have low margins, but it sells those products to meet consumer
Lower and Effective Advertising aids Lower Pricing • Ola cabs has limited advertising
expenses which helps them in lower pricing • The company advertises in a limited way
– digital advertising, SMS and hoardings.
Communication objective Price  product Brand ambassador
Word of mouth,
print and digital
radio, Events in
To make ride
available in a
minute with less
price and top
is spent on
Ola has picked
up 3 categories
They are ola
share, Auto &
Well known cricketer
Irfan Pathan and their
best driver partners
are the brand
ambassadors of Ola
Ola offers 3 categories in a cab healing service which is Bike, Auto and Car and it is most
trusted brand in India for Fleet Mobility.
5 Ms ofAdvertising:
1. Mission: creating better way of transportation of India.
2. Money: it spends 40% of their budget on advertising and promotion.
3. Media: newspaper,online, broadcasting, events, sponsorships and Drivers.
4. Message: has criteria.
5. Measurement: it will develop an ad campaign and test it in a certain geographic region.
Appendix A: The Market Research Survey for Ola
Behavioural Psychographic Demographic
Q1. Which cab service
you currently use?
Q2. What do you use
your cab service for the
Q3. Are you ready to pay
for Ola’s passes?
Q5. How much you
spend time on travelling
in each day?
Q1. What types of vehicle do
you like the most?
Q2. On a scale of 1-5 where 1
being not satisfied and 5 being
fully satisfied. Rate you
experience with Ola cabs.
Q3. If you are new, would you
consider a ride on ola.
Q1. Highest level of education
Q2. Age between.
Q3. Can you state your Annual
household income .
Q4. Please select your gender.