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How would you measure the success of Uber Ride?

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clarifying questions 

Uber rider or driver or both? lets say we are measuring the success of Uber Rider app and not driver app. 

which market ? India 

goal? you decide

 

Goal of Uber App

The user goal of Uber app is to help people find cabs to travel to their destination in the most efficient manner and provide a superior experience compared to other services. 

The Business goal is to maximize the usage of the app to maximize revenue. 

 

 

User journey : -

downloads the app --> signs up ---> requests for a ride for a destination --> matches with a ride --> completes the ride / cancels the ride -> rates the driver --> repeat

Intermediate actions

May share the driver information with someone else

Metrics 

  • number of user downloads of the app
  • number of signups
  • % of signed up users completed a ride within first week 
  • % of signed up users completed a ride within first month
  • number of ride requests per user per month
  • number of ride requests split by category : Uber Go, Uber X, Uber Pool, Uber Moto etc
  • number of ride completed split by category : Uber Go, Uber X, Uber Pool, Uber Moto etc
  • number of rides completed per user per month
  • booking to completed ratio
  • number of ride cancellations
  • average ride distance overall + by category 
  • average ride time overall + by category
  • average $ spent per ride 
  • $ spent on uber rides per user per month
  • average $ earned by uber per ride 
  • average waiting time
  • average threshold waiting time beyond which ride is cancelled
  • average rating 

Main metrics

average $ spent by user per ride / per month

average waiting time

average rating 

number of signups

number of rides completed per user per month

booking to completed ratio

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Metrics Question: How would you measure the success of Uber Ride?

  1. Clarifying questions

  • Narrow down: whole product of specific feature? => Whole product

  • Specific device? => App

  • Specific market: the US

  • Specific time frame:

    • Right now / aftermath of covid-19 => doesn’t matter

    • month/year: => annually

  • What is the meaning of success?

    • Assumption: Get more market share

    • Assumption: Market share = Drivers + Riders => Assume we will focus on the Rider in this answer

  • Riders

    • Individual => Assume focusing on this one

    • Business

 

  1. Customer Journey

  • Acquisition

    • Download the app

    • Open the app

    • Sign-up account

  • Activation

    • Log-in

    • Setup pick up point and destination

    • Book a ride

    • Find a driver

    • Being picked up

    • Travel to the destination

    • Drop off at the destination

    • Give the Feedback to the driver and ride

  • Retention

    • Feel very good at Uber Ride experience and come back to order the 2nd, 3rd, ...

  • Revenue

    • Give extra tips to driver when having good experience

    • Buy a combo/coupon from Ubers

  • Referrals

    • Refer Uber Rides to their family, friends, coworkers.

 

  1. Metrics

  • Acquisition

    • # of download the app

    • # of new users

  • Activation

    • # of eyeballs (App Openings)

    • # of time from opening to booking

    • # of booking

    • # of zeros - numbers of users open the app and see no Driver nearby

    • # of nearby drivers

    • Conversion rate from book to successful finding

    • Waiting time for being picked up

    • # of riders per ride

    • Distance from driver to pick up points

    • Conversion rate from successful finding to successful ride

    • # of time and distance from pickup point to drop-off point

    • # of riders satisfaction 

  • Retention

    • # of DAU, WAU, MAU

    • # of rides per users

    • Retention rate

  • Revenue

    • $ per ride

    • $ per user

  • Referrals

    • Viral coefficient

 

  1. Evaluation

 

Metrics

Impact

Recommendation

Acquisition

# of download the app

Extremely high

 

Highly Impact to the goal “Expand market share”

 

# of new users

Extremely high

 

Highly Impact to the goal “Expand market share”

 

Activation

# of eyeballs (App Openings)

Medium

 

# of time from opening to booking

Low

 

# of booking

High

 

# of zeros - numbers of users open the app and see no driver nearby

Medium

 

Impact to other user segment (Drivers)

 

# of nearby drivers

Low

 

As we are focusing on riders

 

Conversion rate 

Book -> Find drivers -> Successful ride

High

 

Waiting time for being picked up

Low

 

# of riders per ride

Medium

 

Distance from driver to pick up points

Low

 

# of time and distance from pickup point to drop-off point

Low

 

# of riders satisfaction 

Low

 

Retention

# of DAU, WAU, MAU

Extremely High

 

# of rides per users

High

 

Retention rate

High

 

Revenue

$ per ride

Low

 

$ per user

Low

 

Referrals

Viral coefficient

High

 

 

  1. Recommendation

  • North star metrics

    • # of download the app

    • # of new users

    • # of active users

  • Primary metrics

    • # of bookings

    • # of successful rides

    • # of rides per users

    • Retention rate

    • Viral coefficient

 

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Things you did well

  • Well structured : Great initial overview of how you plan to answer the question and great structure throughout the answer 
  • Product Description: You did a great job explaining what the product does and how it works today
  • Clarifying questions: You asked good clarifying questions to narrow down the scope of the question 
  • Overview of the user journey: You walked through the user journey and highlighted the relevant metrics for each phase of the user journey which was great
  • List of metrics: You came up with good list of metrics 
  • Evaluation of metrics: Your evaluation and prioritization of the metrics are reasonable and easy to understand. 
  • Summary: you provided a good summary of your answer  

Areas of Improvement

  • Usage level: I would have ranked # of rides per user as extremely high as it gives you an idea of whether or not you are your users' preferred app or not
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Clarifying questions:

how do you define success?
do you mean it for specific feature or the whole app?
which time frame and location do you mean?
As Uber Eats has 3 types of users (consumers, restaurants and drivers), for which target audience do you mean?


Assumption:
We define success as increasing the market share
We consider riders  as our target audience
There is a time duration for all of these metric which can be calculated daily, weekly or monthly

 

Metrics

1-Acquisition

Number of sign up
Number of App downloads

2-Activation

New customers book first ride
Conversion rate of new sign ups

3-Engagement

Daily active user
Number of rides
Number of App opening
Number of email/whatsapp CTR

4-Revenue

Total numbers of rides
Total sell of Uber
Total profit of Uber
Total payment of each user

 

5-Satisfaction
Rate of App
Numbers of complaints
customer wait time
number of cancellation
waiting time to being pickup

6-Retention

Avg retention time
Number of new customers booked more than once

7-Refferal

Number of using referral codes
Number of sending referral codes
conversion rate of referral customers

Finally we need to prioratize metrics based on their impact.

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