#1UberCab Next-Generation Car Service Paxabery 1#2UberCab • Most use aging & inefficient technology Radio dispatch, no 2-way communication Most common car, Ford Crown Victoria = 14mpg Hailing is done by hand or phone No GPS coordination between client/driver Significant fareseeking or "dead-time" - Cabs in 2008 - 7043 5.25 NYC TAXI Ford Crown Victoria 2#3The Medallion System Taxi-monopolies reduce quality of service Medallions are expensive, and drivers underpaid UberCab ● - $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $0 1977 NYC Medallion Prices 30-Year History 1980 1983 1966 1989 1995 1998 2001 2004 2007 →→Individual Medallion Corporate Medallion Source: New York City Taxi & Limousine Commission Medallions cost ~$500k, drivers make 31k - No incentive/accountability for drivers/clients Digital Hail can now make street hail unnecessary 3#4UberCab ● UberCab Concept A fast & efficient on-demand car service Market: Professionals in American cities Convenience of a cab in NYC + experience of a professional chauffeur. But in SF and NYC Latest consumer web & device technology automate dispatch to reduce wait-time Optimized fleets and incented drivers The "NetJets of car services" ● 4#5UberCab 1-Click Car Service Must be a member to use the service Professional and trustworthly clientele Not hailed from street - So no medallion licenses are required, since clients are service members & use digital-hail Guaranteed Pick-up (unlike a yellowcab) Mobile app will match client & driver See photos of each other 5#6Key Differentiators • Members Only - Respectable clientele 1-click hailing - "Pickup here in 5 mins" Fast Response time - easier than calling Luxury automobiles - Mercedes Sedans Great drivers - "Rate your trip" feature High-tech solution: Geo-aware auto-dispatch Optimized fleet - Logistical LBS software UberCab 6#7UberCab Operating Principles ● Luxury service on-demand Modern and fuel-efficient fleet Customer-focused, computer-coordinated The best end-user experience possible Statistically optimized response time Pre-paid, cashless billing system • Profitable by design 7#8UberCab apps 1-Click request from Geo-aware devices SMS from any phone: "pickup @work in 5" UberCab l cingular SMS Text Calculator Notes Phone 9:41 AM Tursday 9 Calendar Photos Camera ww Stocks Maps Weather Clock Settings UberCab Age Operator Menu NOKIA 23 We 30.04.2008 3 (= 36 Mail for Exchange (12) Amanda Lund Business report Mymall (5) 11:00-12:00 Sales meeting WLAN network found $ E71 (1) Camera ASDFGHJKL VBNM Ctri Chr 8#9UberCab ● ● ● UberCab.com Book Trips, show Fleet status, trip history Pre-specify locations with labels + coordinates To enable easy texting of pickup locations Google Maps integration Lat/long for "home", "bob-work", "alice-apt" inte-San 2900 Jackson St Calfornia St Blvd IMG 100000 Turk St goodne University of San Francisco St Mary's Medical Center Fell St Panhande O 10000 Bush St Alta Plaza Fell St Oak St Pine St Hamiton Recreation Center Geary Blvd Buena Vista Park California St Alamo Square Western Addition BR Lafayette Park 1000 Duboce Ave 10 Turk St Margaret S Golden Gate Ave Hayward Playground Jefferson Square Fell St Oak St Bush St D n MU Geary Blvd Pine St Hermann St 101 Gol Sar Francis 10 entral Fw 9#10UberCab ● ● ● ● Use-Cases Trips to/from restaurants, bars & shows Fast local transport where parking isn't easy Airport pickup/dropoff (pre-scheduled) Working while commuting (wifi in cars) 3 person rideshare to a South-Bay campus Dropping off Kids at School Elderly transport - 10#11User Benefits Cabs don't guarantee pickup, can take 45 mins Cab aren't as safe or clean as limos UberCab Car services require 1-3 hours notice Car services transfers average over $60 + tax UberCab would be faster & cheaper than a limo, but nicer & safer than a taxicab 11#12UberCab Environmental Benefits Better Utilization of Vehicle Resources - In NYC, 35% of time is spend looking for fares - In less dense cities, can be over half "dead-time” - As swarm size increases, efficiency will improve Hybrid vehicles (2x efficiency of a cab) Mercedes S400 BlueHybrid, Lexus GS-450h - Reduce carbon footprint, better use of time in car Ridesharing/Carpooling incentives - lower rates - Trip to SFO, or Ballpark to Marina after a game 12#13UberCab UberCab Fleet ● Premium - S550 for SF Beta clients 30mpg with S400 BlueHybrid (in 2010) • Standard - Lexus GS450h or e320- 23mpg Existing cab/towncar fleets get 14-16 mpg 13#14UberCab Initial Service Area Central SF to Start, Manhattan soon after 101 The Presidio of San Francisco Presidio Golf Course and Clubhouse Park Presidio Blvd Pacific Jordan Park Heights CORAT Richmond District Fulton St Lincoln Way Kezar Forest Hill S 1000000 Geary Blvd 1000000 Ggnra Yacht Harbor Marina Blvd Marina District 17th St Interior Park Belt Western Addition 1000000 DODDDDDDD Oak St Divisadero Twin Peaks Buena Vista Park Port TOOBD Broadway St Castro St 0000 Clipper St Lombard St Fell St Franklin St Bay St Mission) Dolores Par POSUE Van Ness Ave 500 Larkin Hyde St Jones St Mission S Francisco 101 North Beach S. Van Ness Ave Geary St FO JEF 16th St 3:07 Cesar Chavez Broadway OD SUPPL DO C Bernal Heights Park The Embarcadero pe B Potrero Pine St 4th 5110 80 srd S 5300 San Fran Maritime Aquatic Park S St 1st St TUDED = LI 2007 John 00000000 2nd St King St 280 ern Emba San Fr Islais Ci Chan 14#15Technology • Mobile phones + intelligent scheduling Applications for iphone, blackberry, symbian Operations research for route optimization UberCab 70 60 50 40 30- 20 10 10 20 30 50 60 80- 401 -80 -40 0 40 80 600 400 200 -200 -1200 -800 400 0 Payment/utilization/reputation tracking Patent-pending system design 15#16UberCab Demand Forecasting Cars hover in statistically optimized positions minimize expected pickup time given hour of week & weather/traffic conditions 16#17UberCab Overall Market $4.2B annually and growing Top 4 players combined only 22% of revenues 7.25 THE UNITED STATES Year 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Taxi and Limousine Service (US $ mln): The United States 2004 - 2014 The United States % of Region 3,858.07 89.89% 3,942.95 89.85% 4,029.70 89.82% 4,118.35 89.78% II 4,208.95 89.74% 4,301.55 89.71% 4,396.19 89.68% 4,492.90 89.64% 4,591.75 89.61% 4,692.76 89.57% 4,796.00 89.53% Source: Philip M. Parker, INSEAD, copyright 2008, www.icongrouponline.com % of Globe 22.70% 22.42% 22.13% 21.85% 21.56% 21.29% 21.03% 20.76% 20.49% 20.22% 19.95% 17#18UberCab ● ● Composition of Market Focus on Urban service on-demand MAJOR MARKET SEGMENTS 2007 Market Market Segment Retail - non-airport trips Business - non-airport trips Retail- airport trips Business - airport trips Share 64.0% 15.0% 12.0% 9.0% 18#19UberCab ● ● Focus on SF/NYC to begin Expand to LA, Chicago, Houston, PA, Dallas This covers 50% of entire US market North America & the Caribbean City New York Los Angeles Chicago Houston Philadelphia Dallas San Jose San Francisco San Diego Target Cities Detroit Phoenix San Antonio Indianapolis Baltimore Washington D.C. Others Total The United States: Taxi and Limousine Service in 2009, US $ mln World Rank US $ mln %Country %Region 1 3 5 12 15 21 23 25 26 31 32 39 46 51 54 978.53 354.23 325.61 189.53 168.01 120.01 118.63 116.79 113.64 108.92 108.27 90.62 77.28 72.14 70.28 22.75 8.23 7.57 4.41 3.91 2.79 2.76 2.71 2.64 2.53 2.52 2.11 1.80 1.68 1.63 29.97 100.00 20.41 7.39 6.79 3.95 3.50 2.50 2.47 2.44 2.37 2.27 2.26 1.89 1.61 1.50 1.47 1,289.07 4301.55 Source: Philip M. Parker, INSEAD, copyright 2008, www.icongrouponline.com 26.88 89.71 168 % World 4.84 1.75 1.61 0.94 0.83 0.59 0.59 0.58 0.56 0.54 0.54 0.45 0.38 0.36 0.35 6.38 21.29 19#20UberCab ● Potential Outcomes Best-Case Scenario Becomes market leader, $1B+ in yearly revenue Realistic Success Scenario Gets 5% of the top 5 US Cities Generates 20-30M+ per year profit Worst-Case Scenario Remains a 10 car, 100 client service in SF Time-saver for San-Francisco based executives 20#21UberCab SmartPhones, Aug2008 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% Africa 19% Smartphone Requests by OS: US 10% Asia 6% 3% 30% 32% RIM OS Windows Mobile OS Palm OS iPhone OS Hiptop OS Note: Above share % refers only to requests from Smartphones Symbian OS Smartphone Manufacturer Share by Region Australia Eastern Europe Latin America North AmericaWestern Europe Other Samsung SonyEricsson Apple интс Palm RIM Nokia 21#22UberCab Future Optimizations Cheaper cars by buying used Less expensive hybrid vehicles (prius) More accurate GPS technology Discounted rates for Sun-Tues multi-hour bookings Pay premium for on-demand service "get here now" costs more than "tomorrow at 5pm" 22#23Marketing Ideas • YellowCab is the only recognizable brand Become the ubiquitous "premium" cab service Invite Only, referred from an existing member Possible slogan: The One-click cab The NetJets of Limos Cabs2.0 UberCab - 23#24Location-Based Service • Extend infrastructure to other LBS applications - Delivery, non-critical medical/governmental use UberCab Quarterly worldwide smartphone sales by OS vendor 36.0 million units shipped 30.0 25.0 15.0 5.0 100% 80% 70% Symbian LIVR Q3 smartphone sales by OS vendor by region 50% 40% 30% 20% 10% Microsof RM Apple Others 01 02 03 04 01 02 03 04 01 C2 2005 2006 2007 EMEA Source: Canalys Jepan Chira NAM ROW Growing to a $3.5B industry by 2010 24#25UberCab Progress to Date Ubercab.com reserved + "ubercab" SMS code California LLC + trademark filed ● Iphone dev license applied for Nov28,08 Bank Account + Paypal account created 5 advisors & 15 clients now recruited Provisional patent filed NEXT: buy 3 cars, develop app, Feb1st demo - Raise a few million, small-office + GM in SF 25