📌 Problem Statement
The company has observed a 30% decline in profits in the last quarter despite maintaining stability in the preceding year. This signals that external market conditions alone cannot explain the fall; there are likely internal structural and operational inefficiencies at play.
The core challenge is to:
- Identify root causes of the revenue and profit decline.
- Suggest data-driven interventions to improve profitability.
- Build a sustainable rider and driver retention strategy.
📝 Assumptions
For analysis, we assume:
- Operations are spread across Delhi, Mumbai, Bangalore, and Kolkata.
- Multi-channel booking options: mobile app + website.
- The fleet includes a mix of company-owned and driver-owned vehicles.
- Ride categories: Shared, Pool, and Premium.
- The company already has loyalty and referral programs, but current adoption is low.
- Growth has been driven heavily by discount-based user acquisition.
These assumptions help frame the scope of analysis.
💡 Hypothesis
The profitability dip could stem from multiple causes. Key hypotheses:
- Rider Churn – Riders are leaving due to poor experiences, long wait times, or pricing dissatisfaction.