Date post: | 12-Apr-2017 |
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Technology |
Upload: | sam-ryan |
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Making travel between cities and to events more direct through pop-up coach travel
“Like BlaBla car but with licensed operators and trained drivers”
“It’s UberPool for coach travel”
Team
Sam Ryan (Co-Founder, 23) Sold 1st start up, JumpIn (Uber Pool for students), to Addison Lee in Aug 14, where Sam became Head of Product, responsible for a team of 18, performance all digital channels (~£200mn TTV) and working with offshore teams spanning Cambodia, India, Russia and Spain. Led digital transformation from 45% of sales to 70% of sales
Barney Williams (Co-Founder, 25) Also co-founder of JumpIn. Became Head of Brand at Addison Lee, building the ClubLee loyalty scheme, managing a £7mn promo strategy and a global re-brand of the business, which went live with a £1m ad-campaign and included the integration of major international acquisitions
Mathew Hassell Entrepreneur, 20 years of ground transport experience (most recently founder of Coachhire.com)
Marco Schiavo Entrepreneur & investor: Partner - Nickleby Capital, Founder - Salt Digital Recruitment, Founder - Portchester Estates
Liam Griffin (Non-Exec) Vice-Chairman and former-CEO of Europe’s largest private car service, Addison Lee. Led business to £300mn sale to the Carlyle Group
The Opportunity
Inter-urban travel is often indirect and inconvenient:
• Travel is scheduled, doesn’t cater well for surges in demand and isn’t event
specific
• Travel times are higher than expected, as not all locations are directly
connected to each other
• Transport hubs are often inconveniently located within cities and far away
from major event venues
• Travel can be expensive, especially the rail network
The Solution
Introducing Zeelo.Making inter-urban travel more direct through a pop-up transport platform that manages
surges in demand
1. We use intelligently pop-up direct routes by predicting surges in demand using a number of different data points, including data from partners and the ‘crowd’
2. Customers book seats on our routes via zeelo.co or through partners with intelligent pricing incentives to optimise capacity utilisation
3. Dependent on demand, we match with a vehicle anywhere between 8 and 49-seats from our pool of 20,000 vehicles across 800 licensed operators
Public Transport (Train + Bus)
Zeelo
Birmingham (train) Banbury Silverstone
2h 34m -
£28
Birmingham Silverstone
1h 7m -
£30
(bus) Brackley (bus)
Megabus
Birmingham Coventry Silverstone
2h 45m -
£27.50Banbury
Birmingham —> Silverstone Grand Prix
The Market - TAM
With opportunities to apply our technology and business model overseas - in both developed and emerging markets
£1.8bnvalue of the UK inter-
urban bus marketwhich is only 4% inter-urban UK transport market
over 50 miles (includes all transport modes)
of the
£45bn
The Market - Key Test Markets
Events (key market 1) ZeeloLIVE
Students (key market 2) ZeeloUNI
120mtickets sold to UK
sporting and music events annually
£156mZeelo revenue with
0.05% of market at £26 ABV
9mlong distance trips
taken annually across 2.3m UK students
£36mZeelo revenue with
15% of market at £26 ABV
• High-concentrations of customers travelling within hours of each other from areas not well served by the ‘schedule’
• Strong communities and returning customer base - positive for LTV and acquisition
• Partnership opportunities for data, marketing and distribution
• Significant market size
• Discreet inter-urban transport requirements such as getting to and from university and visiting friends in other towns
• Strong communities and returning customer base - positive for LTV and acquisition
• Opportunity for referral/brand ambassador marketing
• Overlap with ZeeloLIVE customer base and attracting young audience who will have strong LTV with us
Business Model
• Zeelo bases the seat price on the quote for a 16-seater exec-vehicle with a mark up
• Zeelo can alter the size of the vehicle to match demand
• Profitability increases dramatically as we scale in to 32 and 49 seater vehicles and risk can be minimised by supplying smaller vehicles when demand is low
• As we scale, more focus on sharing financial risk with key suppliers, reducing journey break-even
16-seater operator
journey price
24-seater operator
journey price
32-seater operator
journey price
49-seater operator
journey price
Progress to DateZeeloUNI trial complete ‘Popped-up’ routes from Bristol to 10 locations to get students back to their family homes and to airports across a 2-week period in December
visits made by Bristol students to zeelo.co between 4 Nov - 21 Dec
(9k social, 6k organic, 7k PPC/display)
22,00016,000
unique visitors
250 seats booked on 42 trips
capturing of the addressable market10%
1,500social media
following
500registered users
Direct services where we reduced travel times by 20-40% were most popular:
BristolGuildford
Tunbridge Wells
Milton Keynes
with 150 new route requests made by potential customers
97% said they would use Zeelo again
Customers thought Zeelo was great
Progress to Date
ZeeloLIVE trial now live Event-based front and back end technology built and launched with Twickenham events. More events crowd-sourced events features launching over coming days. ZeeloUNI will also return in an event-based form for the end of the Easter-semester
Partnerships - data and marketing - ‘Test’ data partnerships made with Huq (location-based tracking data), Google high-growth team,
Audiense, partners to check key drivers of selecting commercially viable routes - Marketing partnerships with 2 x Premier League football clubs
Team changes - CTO hired in preparation to re-build technology team (starting March) - Growth Marketer identified (starting March)
Funding £260k seed funding round closed from 8 angels and coachhire.com
What’s next?
• Trial of our ZeeloLIVE product to get fans to major sporting events from February onwards, including football club home games and 6 nations rugby games at Twickenham
• Official partner of 2 major Premier League clubs to get fans to and from home games- clubs will co-promote the service and have provided anonymised location data of fans
• Return of ZeeloUNI for Bristol students at the end of the Easter term
Adoption Strategy
zeeloLIVE events partnerships
Travel + ticket aggregators
Acquisition
Referral scheme
Targeted social media
PRDigital - member of Google’s high
growth account teamInfluencer programme
Affiliate programme
Event-organiser partnerships for brand/marketing partnerships and as distribution channel. Focus on
communities
Aggregator partnerships for data and as a distribution channels
Physical marketing
Target CPA • Y1 = £15 • Y2 = £12.50
CRM