2. 01 RedBus Product Offerings
02 Transaction Funnel - Key Metrics
Agenda
What we'll discuss about RedBus
03 User Segments
04 Redbus Checkout Funnel
05
New features/growth strategies &
metrics to measure success
06 Major Challenges
3. RedBus Product Offerings
Services offered by RedBus in India
Bus Hire
Rent bus based on
passenger capacity.
Live Bus tracking feature
Professionally verified
drivers
rPool (Ride Sharing)
Present in metros, such
as Bangalore, Chennai,
Pune, Delhi etc.
Corporate and personal
use
Intercity Bus Rides
10000+ buses
Offers bus rides between
different cities.
Live Bus tracking feature
Mobile ticket options
4. Question 1
Identify at least 3 key metrics for RedBus that you, as a Growth PM, would monitor actively in
order to improve its transactional funnel? Also, provide relevant reasons for considering
these metrics.
5. Helps to track where customers get stuck and don't
proceed or convert. These data can be used to optimise
the pages to reduce drop offs.
Conversion Rate
This helps identify with platform performs well for
which product. Those data can be used to capitalise on
right platform or product for optimum results.
Bookings by platform/product
The total revenue from the bookings successfully made
excluding the cancellations. This gives ratio between
successful and canceled bookings.
Materialised Revenue
This gives an idea as to how loyal customers are.
Frequent transactions from repeat users will help
reduce customer acquisition cost.
Repeat Purchase Ratio
Transaction Funnel - Key Metrics
6. Question 2
Which of the 3 user segments could be the most valuable for achieving your business
objective? Explain your reasons behind selecting these segments.
7. Age group 18 -40
Users in Metro & Tier 1 Cities
Users in Tier 2 & 3 Cities
Users working away from hometown
Users who cannot afford air travel
Demographic
Tech Savvy users
Users that travel more than once a month
Users that book only during offers
Users who live in a different city than their
hometown
Psychographic
First time bus ticket booking users
Offline tickets booked by users
Users that book multiple tickets in one transaction
Users booking for family or friends
Behavioural
Users who are specific on the brand of bus
Users who book add ons such as insurance etc.
Users who wait and book during last minute deals
Technical Categories
User Segments
9. 1. Landing Page/Home page
This is the page the user first visits. data analytics
and session starts from this page.
2. Search bar Activation
The user searches for bus routes for travel.The
search bar has to be prominent for the user to find
and perform search.
3. Search Results/ Listing page
Once the origin, destination and dates are entered,
matching bus routes are displayed in a listing page.
4. Bus Seat selection
User selects a particular bus listing and then
proceeds to select the seat.
5. Pick Up & Drop Off
Post seat selection, user provides the pick up and
drop off points.
6. Passengers details
This is where all the passenger details are entered. All
relevant information from the user are collected at
this stage.
Landing Page/Home page
Search bar Activation
Search Results/ Listing page
Bus Seat selection
Pick Up & Drop Off
Passengers
details
Payment 7. Payment
This is the final stage of the funnel where the user
makes payment and checkout.
10. Question 3B
Which 4-5 cuts or parameters would you use in order to monitor this funnel on a daily basis?
11. 1. Type of Channels for incoming traffic
Getting traffic details across all marketing campaigns. This helps analysis which campaign is most effective at converting users.
2. Types of operating platforms
Traffic should be segregated by platform types such as, iOS, Android, Web browser, Operating system etc.
3. Category of products
RedBus has 3 product offerings. Traffic and metrics must be analysed across these product categories to determine which category is most
profitable for RedBus.
4. Marketing campaign periods
Analysing marketing periods helps to find out during which campaign or period marketing was most effective at acquiring customers.
5. Popular destination/routes
Based on the bookings made, it will be beneficial to find out which route is most popular and those routes can be further optimised for faster
checkout.
6. New vs repeat customers
Segregation between the type of customers helps to understand how the user transacts with RedBus which in turn will help the team to
improve the CAC and LTV of the customers.
7. Popular payment methods
After identifying the most popular payment method, those can be placed higher in the screen and can be made easily accessible to users.
8. Average revenue per seat
This helps estimate the APRU and the overall performance.
12. Question 4A
Suggest at least 2 new features and 2 growth strategies that can help RedBus increase the
number of transactions?
13. New
Features
New features proposed for
RedBus
Rather than getting notifications on all others platforms
such as email/SMS, sometimes its convenient to have in
app notifications all in one place for easy reference.
In App notifications
A compilation of rules and regulations across states can
be made available at the time of booking so users need
not exit the app to check COVID travel restrictions.
COVID regulations for bus routes
Reserving a seat for a small premium would help users
who are not sure about their travel dates. This flexibility
enhances loyalty to RedBus.
Seat Reservation
14. Growth
Strategies
Growth strategies proposed for
RedBus
Strategic partnership with brands creates a win-win
situation for both parties involved. E.g. partnering with
PayTm or Amazon Pay will encourage users to make
payments in their preferred payment methods thereby
improving brand visibility and gaining traction.
Partnership with brands
Many people travel for pilgrimage purpose and its
convenient to have a travel package catering their needs.
This will boost the engagement and also revenue.
Pilgrimage travel packages
This is a marketing strategy that can be implemented to
make users stick to the platform. Users must be
incentivised appropriately and also encouraged to get
membership for premium benefits. This will improve
retention and increase engagement.
Loyalty Programs
15. Question 4B
What are the metrics that you would use in order to measure the success of these features
and strategies? Also, provide reasons behind choosing these metrics.
16. Metrics for
New Features
This can be used to track to check if users are viewing
the covid regulations and if its beneficial for them
while making a booking.
CTA/CTR/Bounce rate
This metric provides details about the number of seat
reserved and conversations.
Reserve seat bookings/Seat Refunds
This metric gives insights as to how useful live tracking
feature is and are people really using the feature to
track the location.
Live tracking Session duration
17. Metrics for
Growth strategies
To understand if the new travel category is beneficial
for users and are people using it for their pilgrimage
bookings.
Bookings/CTA clicks/Drop offs
To determine how loyal existing users are and how
they compare to new users.
NPS/Member vs Non Member
bookings/Referral invites sent
To identify which promotional channel attracts most
traffic and most effective at converting users
successfully.
Promocode tracking/Referral traffic
18. Question 5
According to you, what are the major challenges that RedBus could face in the next 12-24
months?
19. Major Challenges
New challenges for RedBus in near future
Due to the pandemic, each
state and city have respective
rules and regulations to be
followed. And mainly due to
social distancing, the overall
capacity of passenger load
decreases which will adversely
impact the revenue and
economics of scale.
Many people who are aged or
not tech savvy still prefer to
book offline. Large bus brands
often tend to have direct
relationships with their loyal
customers encouraging them
to book tickets offline. This will
hamper the growth and affect
revenue in long term for
RedBus.
Other bigger players such as
Yatra, Make My Trip, Goibibo
have got onto the bandwagon
of online bus booking taking
giant share from the current
market. Bus travel is a highly
competitive market and
customers are price sensitive.
Covid Protocols Offline Bookings Threat from Bigger Players
