Data-backed guidance on new opportunities for market differentiation at Pyber from three observation trends:
- Pyber business appears to bring in the highest revenue in urban areas from many different vantage points: urban areas contribute to 68% of total rides, 86% of total drivers, and 63% of total fares. The least amount of revenue comes from rural areas contributing to around 5% of total rides, making up more than 2% of total drivers, and 7% of total fares. There are multiple reasons behind this trend: 1) Parking in urban areas is relatively difficult compared to other places, so people prefer to rideshare. 2) Distances between locations in cities are usually shorter than other areas, so the fares are more affordable. 3) The employment force in urban areas is usually larger than rural or suburban, thus more drivers work, especially part time and join this sector. In general, urban areas are a good environment for Pyber to thrive. Although there is more competition in this market, we find it still has room to grow. Thus, we recommend to continue investing in this market.
- Suburban areas also serve as a great potential market for Pyber. Although suburban areas only contribute to 26% of total rideshares, they make up more than 30% of total fares. Thus, I recommend expanding business in this market by providing more marketing and recruitment strategies for business development.
- Rural areas contribute least to the total revenue, with more than 2% of total drivers and 5% of total rides. Beside some common reasons such as consumer habit, higher fare is another of the causes for this trend. Pyber can consider expansion in this market because it appears to provide the most revenue per rides, and there are not many competitions in this market yet. One recommended strategy is to provide discounts to introduce this new service to rural people to push demand in this market.