Porter is a goods transport agency catering to on-demand, intra-city goods movement. Through technology, Porter connects a highly fragmented largely SME customer base with a highly fragmented largely driver-cum-owner partner base.
We will focus on the demand side user i.e. the customer for the rest of the analysis.
Porter is in the business of providing on-demand, intracity goods transport for small and medium enterprises (SMEs).
Porter is present in 20 cities in India and 2 international countries (UAE, Bangladesh).
Porter has goods vehicles ranging from 2w all the way to 14ft trucks.
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ICP Parameter | ICP 1: Small SME without vehicle | ICP 2: Medium SME with vehicle | ICP 3: Retail | Enterprise | Specialty |
---|---|---|---|---|---|
Industry | Furniture, Textiles, Retail, Wholesale | Chemicals, Cement | Personal use | Automobile | Milk, Newspaper, Oil |
Age | 20 - 40 years | 30 years - 50 years | 15 - 40 years | 30 - 45 years | 20 - 40 years |
Gender | Male | Male | Female / Male | Female / Male | Male |
Location | Market area | Market area | Residential | Outskirts, Industrial area | Mixed |
Turnover | < 25 crore | 25 to 250 crore | Annual Salary ~10 to 50 lakh | 250 crore+ | 25 to 250 crore |
Apps | WhatsApp, Facebook, Khatabook, PhonePe, Excel, Maps | WhatsApp, Facebook, Tally, Excel, Maps | WhatsApp, Facebook, Uber, Ola, Maps | SAP, Oracle, MS Office, Maps | โWhatsApp, Facebook, Tally, Excel, Maps |
Most Value | Cost | Availability | Convenience | Availability, Invoices | Vehicle load body |
Frequency of use | 2 - 25 times a day | 25 - 100 times a day | 2-5 times a week | 100+ times a day | 25 - 100 times a day |
Key features | Price, tracking | Near real time allocation | Mobile app | Consolidated invoice | NA |
Decision maker vs operator | Same | Mix of same and different | Same | Different | Mix of same and Different |
Willing to spend | For 3w, 400 per trip | For 3w, 450 per trip | For 3w, 500 per trip | For 3w, 400 per trip | For 3w, 450 per trip |
We will focus on ICP 1 (Small SME without vehicle) and ICP 2 (Medium SME with vehicle) only.
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Top Customer Pain Points | Porter Feature | Outcome using Porter |
---|---|---|
Vehicle not available when needed due to known driver being busy. | Digital matchmaking with a large pool of driver-partners. | Allocation of vehicle within 5 minutes. Arrival at pick-up point within 15 minutes. |
Cost is high. | Low prices due to high utilization. | 15-20% lower cost per trip. |
Need to negotiate with driver. | Fixed price, well defined service. | No negotiation with driver partner. |
Need to call and check where my goods on-the road. | Digital tracking. | Real time knowledge of exact location of the goods and vehicle. |
Need invoice for records and filings. | Consignment note. | 100% compliance through automatically obtained email consignment note after trip ends. |
Pay more due to required vehicle not being available. | Select from range of vehicles from 2w all the way to 14 ft trucks. | Pay only for most efficient and effective vehicle. |
e-commerce, quick commerce competition is eating into the business. | Digital logistics features expected by end customer. | Compete by providing similar digital features to the end customer. |
If industry perception is that only a known driver will pickup and deliver goods reliably, and SME customers feel that they do not know how to get vehicle on time to move their goods, Porter will always prioritize building trust with the customer by ensuring that goods are always immediately transparently transported.
For a tech savvy SME who needs a reliable yet affordable way to transport goods on demand, Porter is a goods transport agency that provides transparent, cost-effective goods transport pickup within 15 minutes.
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Key elements of CVP | Porter | Major Competitor (Unorganized) |
---|---|---|
Reliable | Vehicle is always available in-app | Each customer may only know 2-3 |
Affordable | 10-15% cheaper. Higher demand leads of higher number of trips. | Costly due to the need to pay for |
Transparent | Vehicle category, price, ETA are clearly mentioned | There is always negotiation on price. |
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Every time a customer enters pickup and drop, and tries to find a vehicle, they will see that a vehicle is available within a small ETA. Further, when they order, they will get the vehicle.
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Every time a customer tries to book a trip, they will see that a vehicle is available with a price that is cheaper than what they will find with the major competitor (unorganized sector). Further, when the order is completed, they realize this value when they pay the lower amount.
Every time a customer tries to book a trip, they see ETA and price clearly. What they see is what they pay once order is complete. Once they book, they will see the vehicle in the tracking screen.
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User | Natural Frequency | Why? |
---|---|---|
Casual | 2 orders a month |
|
Core | 5 orders a week |
|
Power | 10 orders a week |
|
There are other sub-products.
Other products | Use case | ICP |
---|---|---|
On-demand 2w and Trucks | The service under consideration for this analysis | ICP1, ICP 2 |
All India Parcel | Move small items (<15 kg) primarily inter city | ICP 1, ICP2, ICP 3 |
Packers & Movers | Shifting houses both within and between cities. | ICP 3 primarily |
Products | Frequency | Why? |
---|---|---|
On-demand 2w and Trucks | Covered in earlier section | Covered in earlier section |
All India Parcel | SME: 10 per month | SMEs have more items to send. |
Packers & Movers | 1 per 3 years | People typically tend to shift houses only |
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An active customer of Porter is any one who has done at-least one order per month.
An active user is NOT someone who has
The reason why these are not considered active users is that they have not experienced the core value proposition (Reliable, Affordable, Transparent).
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User | Natural Frequency | Why? |
---|---|---|
Casual | 1 order a week |
|
Core | 5 orders a week |
|
Power | 10 orders a week |
|
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Parameter | Metric | Impact on CX value | Suitability | Reasoning |
---|---|---|---|---|
Frequency | Number of | High | Yes | The more a customer orders, they will experience |
Breadth | Number of | Medium | No | While the customer gets more value the more services of |
Depth | Time spent | Low | No | This may go in opposition. The more time the customer |
Frequency is selected as the parameter that best determines the increased value experienced by customers.
Framework | Decision | Reasoning |
---|---|---|
Power, Core, Casual | Most suitable | The core value proposition gets experienced more |
ICP / Persona Based | Not suitableโ | In this business, there is a large natural barrier |
Natural frequency based | Somewhat suitable | There is lack of clarity on the natural frequency |
Revenue generated | Not suitable | There is little ability to influence the average order value |
Products / features used | โSomewhat suitable | While there are some features that the power users |
Advanced segmentation | Not suitable | โWe are in early stages of segmentation and hence, |
Power, Core, Casual is selected.
Parameter | Power | Core | Casual |
---|---|---|---|
Natural frequency | 10 | 5 | 1 |
Most Value | Reliability, cost | Transparency, reliability | Reliability |
Key features | Repeat booking, Lowest price, Loyalty program | Near real time allocation, | Near real time allocation, |
Use case | Primary source | Has known person in market | Secondary option |
Industry | Furniture, Textiles, Retail, Wholesale | Chemicals, Cement | Any |
Age | 20 - 40 years | 30 - 50 years | 20 - 50 years |
Gender | Male | Male | Male |
Location | Market area | Market area | Market area |
Turnover | < 25 crore | 25 to 250 crore | 25 to 250 crore |
Apps | WhatsApp, Facebook, Khatabook, PhonePe, Excel, Maps | WhatsApp, Facebook, Tally, Excel, Maps | WhatsApp, Facebook, Tally, Excel, Maps |
Decision maker vs operator | Same | Mix of same and different | Largely different |
Willing to spend | For 3w, 400 per trip | For 3w, 450 per trip | For 3w, 450 per trip |
Have conceived 5 product hooks. 3 Core to Power, 2 Casual To Core
Parameter | Description |
---|---|
Goal | Move Core users to Power users |
Success metric | Success: Funnel of subscription landing page to purchase. |
Problem statement | There are core users who are sold on the value proposition but they |
Current alternative | The users divert a decent wallet share to their local contact (unorganized sector). |
Solution | Subscription program: Pay 100 rupees to get 20 rupees off per order for 10 orders within a week. |
Metrics to track | Success: Funnel of subscription landing page to purchase. |
Ramp up milestones |
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Parameter | Description |
---|---|
Goal | Move Core users to Power users |
Success metric | Success: Funnel of driver partner selection landing page to entering details. |
Problem statement | There are core users who are sold on the value proposition but they |
Current alternative | The users divert a decent wallet share to their local contact (unorganized sector). |
Solution | Preferred driver partner selection: For every order > 5 per week, up to for 10 orders per week, increase likelihood |
Metrics to track | Success: Funnel of driver partner selection landing page to entering details. |
Ramp up milestones |
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Parameter | Description |
---|---|
Goal | Move Core users to Power users |
Success metric | Success: Achievement landing page. |
Problem statement | There are core users who are sold on the value proposition but they |
Current alternative | The users divert a decent wallet share to their local contact (unorganized sector). |
Solution | Achievement screen: Show money saved.
|
Metrics to track | Success: Achievement landing page. |
Ramp up milestones |
|
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Parameter | Description |
---|---|
Goal | Move Casual users to Core users |
Success metric | Success: Number of orders placed by customer. |
Problem statement | There are casual users who are not yet sold on the value proposition but |
Current alternative | The users primarily use their local contact (unorganized sector). |
Solution | Monthly bumper prize: Top 5 customers will be rewarded with 2nd place: Fridge 3rd place: TV |
Metrics to track | Success: Number of orders placed by customer. |
Ramp up milestones |
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Parameter | Description |
---|---|
Goal | Move Casual users to Core users |
Success metric | Success: % of customers streaking.
|
Problem statement | There are casual users who are not yet sold on the value proposition but |
Current alternative | The users primarily use their local contact (unorganized sector). |
Solution | For every order > 1 per week, if at least 1 order is placed every day, |
Metrics to track | Success: % of customers streaking.
|
Ramp up milestones |
|
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Have conceived 6 campaigns: 3 Core to Power, 3 Casual to Core
Parameters | Campaign 1: Subscription | Campaign 2: Preferred Driver | Campaign 3: Money saved |
---|---|---|---|
Segmentation | Core customer | Core customer | Core customer |
Goal | Core -> Power by pushing | Core -> Power by pushing | Core -> Power by pushing |
Pitch / content | Good job on doing X orders! Save 20 rupees per order by subscribing! | Good job on doing X orders! Order more for higher chance of | Good job on saving X rupees! Order more to save more. |
Offer | Save rupees per order for 10 orders | For every order > 5 per week, up to for 10 orders per week, increase likelihood | Show money saved. |
Channel | Push notification | Push notification | Push notification |
Frequency | Twice a week | Twice a week | Once a week |
Timing | Log-in after completing | Log-in after completing | Log-in after completing |
Success metrics | Success: Funnel of subscription landing page to purchase. | โSuccess: Funnel of driver partner selection landing page to entering details. | Success: Achievement landing page. |
Parameters | Campaign 4: Monthly Bumper Prize | Campaign 5: Discount Streak | Campaign 6: FOMO of Savings |
---|---|---|---|
Segmentation | Casual customer | Casual customer | Casual customer |
Goal | Casual -> Core by . | Casual-> Core by pushing | Casual -> Core by pushing potential savings. |
Pitch / content | Become eligible to win a free bike by ordering X more! | Get free order! | You can save X rupees per order! Order now. |
Offer | Monthly bumper prize: Top 5 customers will be rewarded with 2nd place: Fridge 3rd place: TV | For every order > 1 per week, if at least 1 order is placed every day, | Show per order money that can be saved |
Channel | Push notification, WhatsApp | WhatsApp notification | |
Frequency | Once a week | Once a week | Twice a week |
Timing | Log-in after completing | Log-in after completing | After completing |
Success metrics | Success: Number of orders placed by customer. | Success: % of customers streaking.
| Success:
|
Retention curve flattens with a value of 25% at M6
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Period | Retention |
---|---|
D0 | 90% |
D7 | 70% |
M0 | 40% |
M1 | 33% |
M2 | 30% |
M3 | 28% |
M4 | 27% |
M5 | 26% |
M6 | 25% |
M7 | 25% |
M8 | 25% |
M9 | 25% |
M10 | 25% |
M11 | 25% |
M12 | 25% |
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ICP | Retention | Reasons |
---|---|---|
ICP 1: Small SME | High | Since the small SMEs cannot predict demand and do |
ICP 2: Medium SME | Medium | Since medium SMEs already have a vehicle, |
ICP 3: Retail | Low | Retail customer variability is very high. Majority use it only when they have forgotten something and hence, they have low retention. |
ICP 4: Enterprise | High | While enterprise customers have access to fixed contracts, Hence, their retention is high. |
ICP 5: Specialty | Low | Specialty customers need a specific load body etc. |
Acquisition Channel | Retention | Reasons |
---|---|---|
Organic - Inbound | Medium | Inbound shows high intent. These customers |
Organic - Referral | High | Referral recipients are typically highly targeted. |
Performance Marketing | Medium | While performance marketing is targeted, it will retention is medium. |
Feet On Street (FOS) | High | Feet on Street has a personal connect and |
Sub-features | Retention | Reasons |
---|---|---|
Book again | High | Book again feature is prominent after the customer |
Saved address | โHigh | Saved address substantially reduces effort to book |
Wallet load | High | Wallet load indicates significant commitment where |
Order creation through | Mediumโ | Order creation through WhatsApp link is a feature |
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Only ~20% of the churn reasons are voluntary and have scope for resurrection.
Reason for churn | Percentage | Grouping |
---|---|---|
Business is slow | 25% | Customer related |
Ordering from other number | 15% | Customer related |
Left the company | 10% | Customer related |
Bought own vehicle | 5% | Customer related |
Fare is high | 3% | System related |
Driver is unprofessional | 3% | Driver related |
Vehicle is not available | 2% | System related |
Tracking is not working | 2% | System related |
Found good regular driver | 2% | Driver related |
Reason for churn | Type | Reasoning |
---|---|---|
Business is slow | Involuntary | Porter cannot influence |
Ordering from other number | Involuntary | Demand is still coming to |
Left the company | Voluntary | Can connect to the new person |
Bought own vehicle | Involuntary | Once the major investment is made |
Fare is high | Voluntary | Can work with discount, subscription |
Driver is unprofessional | Voluntary | Can work with providing better quality |
Vehicle is not available | Voluntary | Can work with system allocation to |
Tracking is not working | Voluntary | Can enhance product and educate to resurrect. |
Found good regular driver | Involuntary | Once a good regular driver is found, not |
Action | Churn likelihood | Reasons |
---|---|---|
Delete saved address | Medium | Address could also be deleted if location of is complete. Hence it is a moderate signal. |
Remove contacts integration | High | Once contacts sync is removed, it is a |
Clear out the wallet amount | High | Suddenly reducing wallet balance to 0 and keeping |
Start logging out | High | There is no regular scenario were logout is needed. |
Consistently provide low rating | Medium | While there may be lower rated orders, |
Consistently call support | Medium | While there may be some support concerns, |
Reduce order frequency | High | Orders are the critical aspect indicating interest. |
Have designed 7 campaigns:
4 campaigns to resurrect power users.
3 campaigns to resurrect core users.
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Once these are resurrected, relevant engagement playbook can be applied for 2 weeks.
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Who | Top voluntary reasons | What will we do |
---|---|---|
Power user | Tracking is not working |
|
Power user | Driver is unprofessional |
|
Core user | Vehicle is not available |
|
Core user | Fare is high |
|
Parameters | Campaign 1: How to get best tracking | Campaign 2: Tracking improvement | Campaign 3: High rated driver | Campaign 4: Action taken on misbehavior |
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Segmentation | Power user who has churned | Power user who has churned | Power user who has churned | Power user who has churned |
Goal of the campaign | Resurrection: Get customer to place one order | Resurrection: Get customer to place one order | Resurrection: Get customer to place one order | Resurrection: Get customer to place one order |
Pitch / Content | We understand your tracking concerns. | We understand your tracking concerns. | We understand your driver experience concerns. | We understand driver A misbehaved. |
Offer | 50% off for first order to experience the tracking. | 25% off for first two orders to experience the tracking. | 10% off first five orders to experience the good quality drivers. | 10% off first five orders to bring back. |
Channel | WhatsApp, Call | WhatsApp, Call | Call | Call |
Frequency | 2 times a week for 2 weeks | 2 times a week for 2 weeks | 2 times a week for 2 weeks | 2 times a week for 2 weeks |
Timing | Typical time that they used to book orders | Typical time that they used to book orders | Typical time that they used to book orders | Typical time that they used to book orders |
Success Metrics | Success: Retention of the customer. | Success: Retention of the customer. | Success: Retention of the customer. | Success: Retention of the customer. Call conclusion. |
Parameters | Campaign 5: Increased vehicles | Campaign 6: Better ETA | Campaign 7: Competitive fare |
---|---|---|---|
Segmentation | Core user who has churned | Core user who has churned | Core user who has churned |
Goal of the campaign | Resurrection: Get customer to place one order | Resurrection: Get customer to place one order | Resurrection: Get customer to place one order |
Pitch / Content | We understand you did not get 3w vehicle last time. | We understand you did not get 3w vehicle last time. | We are now 20% cheaper! |
Offer | 10% off next 5 orders to experience the vehicle availability | The 15 min or less ETA or free for 3 orders. | Ensure to price appropriately. |
Channel | WhatsApp, Call | WhatsApp, Call | Call |
Frequency | 1 time a week for 2 weeks | 1 time a week for 2 weeks | 2 times a week for 2 weeks |
Timing | Typical time that they used to book orders | Typical time that they used to book orders | Typical time that they used to book orders |
Success Metrics | Success: Retention of the customer. | Success: Retention of the customer. Breaches of 15 min pickup ETA. | Success: Retention of the customer. |
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