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Rapido

Driver Retention & Supply Problem

Problem

Rapido drivers work for multiple platforms, leave when incentives drop, and provide inconsistent supply. Surge pricing issues and rider cancellations compound the problem. The main issue is that driver earnings are not predictable.

Users

drivers

Full-time driversMulti-platform driversPart-time driversNew drivers

riders

Daily commutersOccasional ridersPrice-sensitive users

Root Cause Analysis

Multi-platform drivers

No loyalty or switching cost

Incentive dependency

Drivers leave when incentives drop

Unpredictable earnings

No guaranteed income structure

Surge pricing issues

Inconsistent demand-supply balance

Rider cancellations

Poor ride matching or wait times

Hypothesis

Drivers prefer stable income over high but uncertain income. If we provide earning predictability and loyalty rewards, driver retention will improve.

Solution

1

Guaranteed Earnings Program

Complete 20 rides to get ₹X guaranteed earnings. Weekly earnings guarantee gives drivers income predictability.

Stable income > High but uncertain income

2

Driver Levels (Gamification)

Bronze, Silver, Gold, and Platinum levels with benefits like higher earnings multiplier, lower commission, and priority ride allocation.

3

Smart Ride Allocation

Prioritize rides to high-rated drivers, drivers with fewer cancellations, and drivers close to incentive targets.

Metrics

Primary

Driver RetentionRide Acceptance RateRider Wait Time

Secondary

Ride Completion RateDriver Earnings Stability

Expected Impact

More predictable driver supplyHigher driver retentionBetter rider experience with lower wait timesReduced dependency on incentive spend