ANI Technologies Pvt. Ltd.

Indian Online Transportation Company

About OLA– OLA was founded in January, 2011, by Two IIT Bombay

Alumni Bhavish Aggarwal (CEO) & Ankit Bhati (CTO – Chief Technical Officer) and presently based in Bangalore.

• Name has been derived from a spanish word – Hola means Hello.

• OLA ensures convenient, transparent and quick service

• Customers can access OLA on the web, through the mobile app or through the customer service centre.

• OLA does not own or operate its own fleet, but aggregates small operators and single vehicle owners.

• OLA’s GPS enabled mobile app for the driver helps receive booking requests from customers in the vicinity and navigate to the customer’s pickup point with utmost ease.

Number Crunch• OLA is present in 102 cities with over 2.5 lakh vehicles,

includes:– Cabs – Two-wheeler (on rent & with Driver - Bangalore)– Auto Rickshaw.

• Over 70% of the bookings come through the mobile app!• Ola's revenue is growing at an average of 30% month on

month.• 2000 cars get added on the platform every month pan-

India.• Ola has raised ~$70mn through venture capital funds and

has prestigious investors like Tiger Global, Matrix Partners, Steadview Capital, Sequoia Capital and ‘Ratan Tata’.

Micro-Entrepreneurs• OLA has transformed lives of Drivers and motivated them to

become Owner well known as DCO – Driver cum Operator.• OLA also works with leading car manufacturers and financial

institutions to help drivers buy their own cars at huge discounts - nurturing micro-entrepreneurship.

• Payment may be received through cash, Paytm, OlaMoney, etc. from customers.

• DCO : OLA ratio – 80% : 20%– OLA has recently increased its commission from 15% to

20%.– OLA also provides ‘Minimum Business Guarantee’

(MBG)* to drivers to secure their earnings.

* MBG: Will be explained in coming slides

OLA PINKOLA has empowered girl drivers keeping into

consideration the safety concern in the mind of girl customers.

Lady driving a

cab in Bangalore

Business Model • OLA ensures that every driver earns Rs. 1300 per day in 10

bookings which is MBG* - Minimum Business Guarantee.• OLA compensates by adding money to Driver’s account linked

with OLA after deducting 20% commission If driver fails to meet MBG.

• OLA also charges 1x, 1.5x, 2x of normal fare during peak hours which are usually between 7 am to 11 am and 4 pm to 8 pm.

• Different fares for different categories of vehicle:– Ola Share– Micro– Mini– Prime & – Auto

• It’ll be better understood with an Example in next slide:-

Example – Micro Category• Base Fare: Rs. 28 /-• Per Km: Rs. 6 /-• Ride Time: Re. 1 per minute (time consumed in travelling)• Taxes: 7.8% (Service Tax + Swach Bharat)______________________________________Q. Calculate the fare for a Passenger ‘A’ books Micro for 10 Km

journey and covers it in 30 minutes.R. Base Fare: Rs. 28

Per Km: 6x10 = Rs. 60Ride Time: 30 min. x 1 = Rs. 30Total Fare = Rs. 118 Taxes (7.8%) = Rs. 9.20 Total Payable Fare = Rs. 127 /- (round off) (through cash, paytm, OlaMoney).

MBG Concept - ExampleMinimum Business Guarantee by OLA (A) Rs. 1300

Cash received from customers by driver in a day (B) Rs. 900

Difference (A – B) Rs. 400

20 % Commission on MBG (i.e. 20 % of Rs. 1300) Rs. 260

Compensation to Drive Cum Operator (400 - 260) Rs. 140

*** In case, Driver receives Rs. 1300 as cash amount from customers; Rs. 260 as 20 % commission amount shall be charged by company on daily basis and OLA shall deduct the amount from DCO’s account when customer pays through OlaMoney and Paytm, etc. else it reflects in minus.

Documents Required• All India Taxi Permit• Police Verification*• Insurance• PAN • Pollution Certificate• Cancelled Cheque** • LTV License (Light Transport Vehicle for Cab)* Police Verification is an essential document to

ensure the background of drivers.** OLA compensates and deposit money in the

account if driver fails to meet MBG.

OLA’s Top Seven Cities1. Bangalore2. Chennai3. Delhi4. Pune5. Mumbai6. Jaipur7. CHANDIGARH

5000 CABs in Chandigarh has successfully secured 7th rank in the list of 102 cities.

Employee Relations & Challenges

Employee Relations• In cooperation with Avanti Learning Centres, drivers

who are associated with OLA can get their children studying in the ninth and tenth standard to the learning centre and avail free education.

Challenges• Driver Credibility• Car Pooling• Over Billing & Transparency in Billing• Mobile App Security – Customer Information

Data SourcesSecondary Data• Case Study: IIM – Calcutta (LIME Season 6) \http://limeonline.org/wp-content/uploads/2016/09/LIME-6-case-Study-Ola-Cabs.pdf

Primary Data• Mr. Davender Singh – Marketing Head – OLA Cabs

(Tricity)

Thank You !