6. ServisHero
• Oxford MBA alumniWho
• June 2015~When
• sharing-economy venture which enables people to connect with
trusted, local service providersWhat
• South-East AsiaWhere
• allows consumers to generate a service request. Local providers,
who are all vetted by the ServisHero team, and reviewed by
previous users, can contact them then with a quote.
How
9. On-demand Economy
Source: CB Insight; Kunfu.co
The On-Demand Economy is defined as the economic
activity created by technology companies that fulfill
consumer demand via the immediate provisioning of
goods and services.
Supply is driven via an efficient, intuitive digital mesh
layered on top of existing infrastructure networks.
16. Customer
Task
Rabbit
Taskers
Download
app
Submit request for
Taskers
Locate Taskers who
are qualified for the
job
Taskers
advertise their
hourly prices
online
Select Tasker
based on the
hourly rates
Pay to
TaskRab
bit
Hold
payment
Complete job
Collect
service fee
Pay
Taskers
End
Start
Collect portion of transaction fees once task is completed
Option to select
EliteTaskers (pay
a price premium)
Provide insurance cover
of up to $1 million per
task
TaskRabbit monetisation model
17. Customer
Thumbtack
Service
proviers
Download
app
Submit request for
service providers
Send customer
request to service
providers
Make payment
to submit quote
to customers
Select service
provider
Pay to
Thumbtack
Hold
payment
Complete job
Receive
payment
End
Start
Service provider pays Thumbtack to make a quote
Send out up
to 5 quotes
Thumbtack monetisation model
18. Key Takeaway
▪ We have developed two monetization models for Servishero (visualized in
Swimlane diagrams):
1. Success fee model
2. Ad model
▪ Due to the diversity of services provided on the Servishero platform, there
are two potential models.
▪ The success fee model is more suited to one-off transactions (such as an
electrician changing a light bulb)
▪ Ad model may be more suited to recurring transactions (such as yoga
classes).
19. Customer
Servis Hero
Service
provider
Download
app
Submit request for
services e.g.
plumbing
Process
requests
Receives
customer
requests
Submit
quote?
Select
service
provider
Pay to
ServisHe
ro
Hold
payment in
escrow
Complete job
Authenticate
job
completion
Authenticate
job
completion
Keep xx% of
commission
Paid from
ServisHero escrow
account
End
No
Yes
Start Performed
simultaneously
For one-off services e.g. plumbing, air-conditioning maintenance
(Customer pays for services to ServisHero)
Revie
w
page
pops
up
Select
quotes to
show
Success fee model
20. Considerations
The range of
commission
Price still needs to be competitive
Authentication of job
completion
1. Service providers can remind the customer after delivery of service
(prepare a brief manual for service providers)
2. Rewards program for customers
• Ratings – x points
• Comments/reviews – 2x points
Payment Customer pays → Servishero holds money → payment made to supplier when:
1. Both indicate job completion
2. Automatically after two weeks
• This puts the responsibility on the customer; she has to raise issues (if
there were any) to prevent her payment from going through
Potential Risks When service demander gives contact details to service provider, it may be that
the next time, transaction may be direct, not going through Servishero. We may
have to make the supplier sign an agreement not to give direct contact details
Capability of
implementation
Manpower needed in establishing the payment systems
21. Customer
ServisHero
Service
provider
End
Start
Offers prominent in-
app advertising
space
Select
premium
advertising?
Send
advertising
request
Design
advertisments
(if requested)
Display
on app
Views
advertiseme
nt
More customer sign-ups
due to high-visibility
advertisements
Customer
demographics
data
Targeted
advertising
Use
customer to
decide which
ads should
be shown to
each user
Pay for
advertising
space
No
Yes
For long-term services e.g. yoga classes, tuition sessions
(Customer pays for services directly to service provider)
Monthly
subscription
for premium
advertising
slots
Ad model
22. Considerations
Need to collect customer data for effective advertising
May introduce ad-free versions to customers who pay for
downloads
23. Summary
Pro Con
Success fee model • Monetisation from the core
service rather than from ads
• The process offers more
chance to collect data
• Servicehero has more control
over pricing (since it will have
more data/trends)
• Manpower and technical
capabilities required
• Price may be uncompetitive
due to commission
Ad model • May be easier to implement
• Another potential source of
revenue (designing ads)
• Customers may not like it
(BUT could introduce ad-free
version)
• Need customer data bank and
analytics capability
