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How would you design an Uber riding pass?

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Interviewee :- I believe we need to design pass for passengers in Uber so that they would become loyal uber customers . Are there any other objective which should be covered in the pass

Interviewver :- System of pass might be helpful for customer retention , On the other hand - customer should get a reliable option for travel which is reliable and pocket friendly . Cab driver should as well benefit from this steady stream of income if the no of rides due to Pass can be predicted 

Interviewee :-  Ok . Let me consider these objectives and identify pain points wrt each of the stakeholder's User Joruneys which should help in identifying the design of Pass 

 

A) Customer Objective :- Reliable , comefortable ride at pocket friendly price ( Similar to Train Pass for e.g.) 

=> Pain Points
 a) Many times due to Demand variability the price of booking changes making it too costly
b) Customers cancel bookings and opt for competitive offerings incase they have urgency to go and dont find cabs.
c) If I am a regular customer of Uber , I would need to get priority wrt available cab options and potentially better drivers ( wrt ratings)  considering I am loyal customer for Uber

>> Solution to be addressed via below Key Elements in Pass for Customer
1) No of Kms & No of times ride can be taken and whether it is shared Vs Individual Ride  :- 

2) Validity of pass wrt date , locality , time taken in ride :-
Monthly /  Weekly 


3) Cost for the Customer & Estimated Savings:- Should have atleast 30% savings for customers considering it increases customer lifetime value ( Based on benchmark data such as Increase in lifetime value based on if  he takes Ola for 5 days of the week instead of 2.5 Days earlier) 

4) Ease of Booking for customer who use Pass and Plan their Travel:- 

(i) Book via Pass - Planned Booking / Pre-booking :- 
Should flash when customer initiates planned journeys such as going to office and coming back from office . Customer with Pass should be able to book their cab 30 mins in advance which would help them get assured ride by nudging them to confirm 30mins before usual time to start .
> Uber should on the other hand ensure they provide best drivers to these customers since these customers should continue to use the service and are loyal 

(ii) Book for multiple no of seats while booking via Pass incase of more than 1 person travelling  

 

B) Driver Objective :-  Reliable source of income via regular customer rides between routes for the driver

=> Pain Points

 a) Many times due to high demand spikes many cab drivers get agregated into specific chunks of areas , however incase of such temporary spikes not all cab riders get pickup . Others often need to go for longer pickups 
b) Customers cancel bookings incase of surges and subsequent drops in demand at peak hours. This results in wastage of fuel for drivers . 
c) If I am a Uber driver , I would need more incentive if I work towards completing more trips incase of demand supply mismatches


>> Solution to be addressed via below Key Elements in Pass for Cab Driver 

1) Predictable Supply of riders around an area at specific time of the day   :- 
This can be ensured to improve the utilisation of Cabs based on planned bookings or scheduled bookings by pass holders


2) More incentive to  Cab riders at specific time of the day from specific location ( Based on prebook / prediction of demand from pass holders) 

C) Business Objective 
(i) Increase in customer stickiness and repeat uber transactions 

(ii) Increased customer satisfaction 
(iii)  predictability of revenues  from loyal customers 

How to Launch ? 
Based on the above attributes of the Pass for both the stakeholders I will select pilot region of this based on where it also achieves business objectives but also solves for pain points of both the stakeholders 

E.g. For increased customer stickiness and high fitment for pass - Pilot could be run for office going population which is using Uber during specific time of the day for fixed route . By giving them price options and increasing level of discount if they opt for more no of riders for greater duration , we could finally arrive at design baseline for pass wrt no of riders , no of Km  etc etc 

 

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Get access to 2,346 pm interview questions and answers to give yourself a strong edge against other candidates that are interviewing for the same position
Get access to over 238 hours of video material containing an interview prep course, recorded mock interviews by expert PMs, group practice sessions, and QAs with expert PMs
Boost your confidence in PM interviews by attending peer to peer mock interview practices, group practices, and QA sessions with expert PMs