Market Plan for Ingogo

The paper analyses the market plan for Ingogo, an Australian online taxi booking and payment company, to introduce a new service named Gogo cards. The plan includes significant discounts for students and old age people, and a system to top up the Gogo cards without sharing bank or credit card details. The potential target market is significant, and the marketing objectives include conducting promotional campaigns, promoting discounts, and going cashless. The financial objectives include increasing revenue, profit margins, and return on investment. The marketing mix includes a user-friendly product, competitive pricing, convenient place, and effective promotion.

Running head: MARKET PLAN
Market Plan for Ingogo
Name of the Student
Name of the University
Author Note

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Executive Summary:
The modern market is highly competitive due to the presence of an innumerable number of
market players. The private transportation industry is also getting significantly competitive
with the presence of companies like Ola, Uber or 13 Cab. The organizations are significantly
feeling the need to form an effective strategy which will provide them with some amount of
breathing space in the intense competition. The paper analyses one such innovative planning
for the Australian organization Ingogo where the plan is to introduce a service named Gogo
cards. The paper forms a marketing plan for the new service.

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Table of Contents
Introduction:...............................................................................................................................3
Overview of the organization:....................................................................................................3
Situational Analysis Recap:.......................................................................................................4
Market Segmentation, Targeting and Positioning:.....................................................................5
Problem Statement:................................................................................................................5
Potential Target Market:........................................................................................................6
Market Segment and Positioning:..........................................................................................7
Marketing Objectives:................................................................................................................7
Financial Objectives:..................................................................................................................8
Marketing Mix:..........................................................................................................................9
Product:..................................................................................................................................9
Pricing:...................................................................................................................................9
Place:....................................................................................................................................10
Promotion:............................................................................................................................10
Budget Allocation for Plan:.....................................................................................................10
Budget for Promotional Mix:...................................................................................................14
Conclusion:..............................................................................................................................14
References:...............................................................................................................................15

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Introduction:
The modern business market is getting significantly competitive with each and every
passing day where a significant number of market leaders are making the market incredibly
congested (Markarian & Santaló, 2014). The intense market competition is a major concern
for a large number of organizations trading in various industries. One of such industries
having intense rivalry among the market players is the private transportation (Bataille &
Steinmetz, 2013). A significant number of competitors like Uber, Ola or 13 Cab are not
letting a single opportunity of increasing their business go away. The organizations are
concentrating significantly in planning different strategies which can give the much-needed
breathing space in the intense market competition and in doing so the organizations are
implementing notable discount offers which will be effective for the organizations in
attracting their targeted customers. Apart from this, the organizations are trying their level
best to align their business in accordance with the need of the customers. The paper evaluates
one such interesting service in the form of Gogo card facility for the chosen organization,
Ingogo. The paper is able to form a market plan for the mentioned service.
Overview of the organization:
The organization Ingogo is one of the notable company in Australia which
concentrates on online taxi booking and payments. In the month of August 2011, the
organization was founded by Hamish Petrie who is also the Chief Executive Officer of the
organization (ingogo.com.au, 2018). The organization is currently having it's headquarter in
Sydney, Australia and is serving a considerable amount of people of Adelaide, Perth,
Brisbane, Sydney and Melbourne. It is one of favoured organization by the people of
Australia for the travelling because it was the first organization in the transportation industry
of Australia that employed the concept of fixed fares for the riders including all the tolls and

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charges and the organization was instrumental in eradicating the concept of surge pricing or
additional fees for the traffic jams and the service during the adverse natural conditions. The
organization expressively triggered the technological competence of the people of Australia
with the introduction of the mobile application on Android smartphones for the bookings and
transaction of the fares. The organization operates through its own GPS-enable booking
system and provides the opportunity to the nearby taxi services to pick up fares irrespective
of the agency they work for. One of the most advantageous features of Ingogo's service is that
their system enables the users to book a taxi even two days earlier from the date of departure.
The organization set some records in crowd funding which crosses even 4 million US dollars
and was acknowledged by the Australian equity-crowd funding platform, VentureCrowd as
one of the significant amount gathered by any organization from crowd funding
(venturecrowd.com.au, 2018). One of the notable investors for the organization was Brad
Shofer, co-founder of MYOB and along with that the Australian Federal Government also
provided a grant to the organization as well (myob.com/au, 2018). The organization had a
delay in the inclusion of it into the Australian Securities Exchange which took place in the
latter part of 2017 (asx.com.au, 2018).
Situational Analysis Recap:
The organization was facing intense rivalry from its competitors and was considering
a plan which will enable them to attract the customers in a more effective manner. The
recommended plan of having the Gogo cards was capable of serving them the perfect strategy
in order to increase their business with proper alignment to the concern of the probable
customers. The plan was to install Gogo cards for the travelling expenses of the customers.
Along with this the plan also included the introduction of a system which will be present in
the vehicles in order to top up the Gogo cards without sharing the credit card details with the
company. The recharge can be done at each and every vehicle at any time by cash or credit

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card. The proposed model was significant in securing the bank details of the customers and
along with that it provided regular driver facility with a comparatively stress-free application
for the top up. Apart from the scope of increasing the presence of technology in providing
effective and improved service to the customers, the plan was significant in creating probable
new customers. The plan included significant discounts for the old age and the young
students. This was instrumental in improving the relationship with the society and that also
highlighted their service in a significant manner which other companies were not able to
conduct in the desired manner (Sukthankar et al., 2014). The plan was significant in the
formation of the trust and belief of their customers with their portrayal of ethical business
practice.
Market Segmentation, Targeting and Positioning:
Problem Statement:
The impact of the technology in the modern is significant and along with
advantageous factors of technology, the presence of the negative impact will also be there.
Australia is significantly observing a considerable number of fraud cases where technology is
used in order to transfer the money unethically (afp.gov.au, 2018). This is making the people
of Australia significantly concerned regarding the exchange of their bank details or the credit
card details to any sort of agencies for their service or products. This was a major concern for
the mentioned organization as well as their online form of business significantly required the
transactions to be conducted via the credit cards or digital mode of payments. The Gogo cards
were hitting the absolute requirement of an alternative plan for the organization where the
people of Australia were kept relaxed from their concern of exchange of their bank or credit
card details. The card has the facility to get recharged from any of the vehicles and the
customer can conduct the process on their own without any sort of exchange of the details.

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Potential Target Market:
The potential choice of the market for the mentioned service will generally depend on
two factors which are the average taxi fares and the number of probable passengers that the
organization will look for. The statistics from the report of Australian Taxi Industry
Association (ATIA) of December 2014 makes it pretty clear that the organization will not
feel the absence of customers in the areas they operate as the statistics state that the operation
of the organization in Sydney will be having more than 174600000 numbers of passengers
(atia.com.au/taxi-statistics, 2018). The statistics in Melbourne state that the organization will
be having customers over 42000000, the operation in Brisbane will observe customers more
than 107222000 (atia.com.au/taxi-statistics, 2018). Along with this the organization will have
customers more than 15247000 in Adelaide (atia.com.au/taxi-statistics, 2018). The statistics
specify that the organization will have a notable opportunity of rapid growth with the
introduction of the Gogo cards as significant amount people in Australia travel by taxi
(atia.com.au, 2018). Along with this the average taxi fares in the areas of operation for the
concerned organization has also increased significantly which is visible from the statistics of
average fares (statista.com, 2018).
Operational Areas Avg. Fare in 2014 December Avg. Fare in 2015 August
Brisbane 24.16 28.56
Sydney 24.75 28.38
Melbourne 23.50 27.18
(Information Courtesy: ATIA and Statista.com)
(Numerical are in Australian Dollars)
Market Segment and Positioning:
The concept will be significantly good for the upper class as they are observed to
avail online cabs in a significant manner (Rahman &Anand, 2014). Along with the focus on

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the upper class, the plan will provide a discount up to 20% to the students. The young
generation specifically the students are also one of the section of the society that uses the
technology and the online taxi in an increasing manner (Maciejewski, 2014). The concept of
the online taxi is a bit complex for the old age people due to their inexperience in handling
technologically advanced applications and that is evident with the low rate of participation of
them in availing the online taxi (Singh, Teng & Netessine, 2017). The concept of the online
taxi is one of the easiest plans for the transportation of the old age people as the other modes
of general transportation are significantly overcrowded by the people of every age group. The
plan was significantly accurate in attempting the section of the old people with the possible
concession rate of 25% which will attract the attention of the old age people and motivate
them in availing the online taxi.
Marketing Objectives:
 To conduct several promotional campaigns in order to increase the brand
awareness.
 To effectively promote the discounts on the students and the old age people
along with the concept of a transaction without any sort of exchange of the
bank or credit card details of the customers.
 The scope of going cashless with the facility of online taxi booking and paying
by means of the Gogo card will be effective for the organization in expanding
their business to the growing nations.
The organization is expected to undertake several campaigns for increasing the brand
awareness among the people with an effective description of the Gogo cards which will be
helpful for the customers to understand the new plans of the organization. The campaigning

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is also advised to follow the digital mediums as the tech-savvy Australian people are
significantly dependent on the technology and social media.
The discounts on the part of the organization need to be marketed with effective
marketing policies as that would be significant for the organization in enhancing the customer
relationships (Pearson, 2016). The description of the fact that the plan does not require any
sort of bank or credit card details of the customer, needs to be expressed publicly in an
excessive manner so that it reaches to the people concerned about the financial fraud cases. It
will be instrumental for the customers in the assessment of the fact that the organization is
aligning their services in accordance with the needs of them. This will be significant for the
organization in gaining the faith of their targeted customers which will eventually increase
the number of customers availing their service.
The plan is incredibly benefitting for the organization even in case of business
expansions. The entire world is significantly trying to go cashless and with the option to book
the taxi online, the people of other nations like USA or developed countries of Europe which
accepted the technology in their style of living in an incredible manner, will take the
opportunity with both hands (Thomas, Jain & Angus, 2013). However the market will be bit
competitive as the industry of online taxi is significantly growing in the modern generation,
but the organization will be able to conduct business in such a manner that it will be able to
achieve sufficient revenue in order to survive in the new market and grow significantly.
Financial Objectives:
The plan will try to attain three important financial objectives for the concerned
organizations which are:
 To increase the amount of generated revenue.
 To increase in the profit margins.

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 To enhance the growth of return on investment.
The service charges for each top-up will form a considerable amount for the
organization.
The successful implementation of the plan is desired to reach a revenue that will have
a growth rate of 7% after the financial year. The promotional activities from the part of the
organization will be crucial for the desired growth of the revenue. The first financial year will
observe a comparatively slow growth rate as the business concept will be in need to be
recognized by the customers. This is why the desired growth rate for the organization after
the implementation of the plan is kept at 7%.
The implementation of the plan is expected to increase the margin which is the
difference between revenue and the costs by at least 5% after the first financial year as the
installation of the devices in the vehicles is subjected to a significant amount of investment
from the part of the organization.
The return on investment will also be expected to increase by a percentage of 4 as the
gains will be comparatively low at the first year than the other years and the cost of
investment will also be high as the installation cost of the devices will be subjected to a
significant amount of investment.
Marketing Mix:
Product:
The operations of the Gogo cards and the procedure for the top-up will be
expressively user friendly and the user interface of the device that is to be connected with
each and every vehicle needs to be simple as one of the targeted section for the plan is the old
age people who generally lack the knowledge of operating the digital applications. The

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prescribed discounts will need to be there for a longer period in order to motivate both the
young and the old generation. The after sales service from the part of the organization needs
to of top quality as well because the faults in the effective operation of the Gogo cards will
create significant panic among the people of Australia. This will also have a notable impact
on the old age persons as it is observed that the old people are panic-stricken faster than the
younger generation in terms of any sort of misunderstanding generated due to technology.
Pricing:
As mentioned earlier, the service of Gogo cards will provide discounts to the students and the
old age people up to 20% and 25%. This will be crucial for the organization in attracting new
customers and increase the market penetration.
Place:
The marketing activities will be cover different states of Australia with a specific
focus on the states in which the operation of the mentioned organization is absent. This will
be done with a precise focus on the expansion of the business in those states. Apart from this,
the marketing activities in the states in which the organization is operating currently will be
also in full swing as that will aware the customers of that region about the new idea, Gogo
cards.
Promotion:
The sufficient amount of launching events for the Gogo cards at different cities of
Australia will highlight the product in front of the Australian people. Apart from this, the
promotional activities by the Australian Superstars like Tim Cahill or Brett Lee will be
significant for the service in getting sufficient limelight. The organization is advised to think
of innovative taglines which will advertise their new concept and at the same time will be
significantly catchy as well.

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Budget Allocation for Plan:
Sources of Capital
Owners' Investment (name & % ownership)
Your name & % ownership $
45,000
Other Investor
13,500
Other Investor
1,500
Other Investor
-
Total Investment $
60,000
Bank Loans
Bank 1 $
70,000
Bank 2 $
50,300
Bank 3 $
-

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Bank 4
-
Total Bank Loans $
120,30
0
Other Loans
Source 1 $
-
Source 2
-
Total Other Loans $
-
Summary Statement
Sources of Capital
Owners' and Other Investments $
60,000
Bank Loans $
120,30
0
Other Loans

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-
Total Source of Funds $
180,30
0
Startup Expenses
Bldgs / Real Estate $
32,000
Leasehold Improvements
2,000
Capital Equipment
10,000
Location / Admin Expenses
9,500
Opening Inventory
-
Advertising / Promo Expenses
$
80,300
Other Expenses $
50,000
Total Startup Expenses $
180,30

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0
Budget for Promotional Mix:
Campaign types Quantity Per Unit
Cost
Total Cost
Banner ads 30.00 $150.00 $4,500.00
Newspaper ad 60.00 $50.00 $3,000.00
Public Events 8.00 $1,500.00 $12,000.00
Press Releases 8.00 $100.00 $800.00
Social media marketing $ 15,000.00
Online marketing $ 15,000.00
Television marketing $ 15,000.00
Radio marketing $ 15,000.00
Total $ 80, 300
Conclusion:
On a concluding note, it can be said that the Gogo cards will be instrumental for the
organization, Ingogo in achieving the desired growth in the competitive market of the taxi
industry in Australia if the operation of the cards is properly managed. Along with this, the
new concept needs to be effectively promoted by the concerned organization so that the
people of Australia know the benefits of the new concept. The successful implementation of
the plan along with proper promotional activities will definitely guarantee an increment in the
generated revenue for the concerned organization.

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References:
ATIA. (2018). Retrieved from https://www.atia.com.au/
Australian Federal Police. (2018). Retrieved from https://www.afp.gov.au/
Average taxi fares in Sydney, B. (2018). Australia - average taxi fares 2015 | Statistic.
Retrieved from https://www.statista.com/statistics/706661/australia-average-taxi-
fares/
Bataille, M., & Steinmetz, A. (2013). Intermodal competition on some routes in
transportation networks: The case of inter urban buses and railways (No. 84). DICE
Discussion Paper.
Business Software & Solutions | MYOB Australia. (2018). Retrieved from
https://www.myob.com/au
Crowdfunding equity investment platform in Australia - VentureCrowd. (2018). Retrieved
from https://www.venturecrowd.com.au/
Home - Australian Securities Exchange - ASX. (2018). Retrieved from
https://www.asx.com.au/
Ltd, i. (2018). ingogo | Taxis done better. For Passengers, Drivers and Businesses. Retrieved
from https://www.ingogo.com.au/
Maciejewski, M. (2014). Online taxi dispatching via exact offline optimization. Logistyka, 3,
2133-2142.
Markarian, G., & Santaló, J. (2014). Product market competition, information and earnings
management. Journal of Business Finance & Accounting, 41(5-6), 572-599.

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Pearson, S. (2016). Building brands directly: creating business value from customer
relationships. Springer.
Rahman, T., & Anand, N. (2014). Organized sector taxi operators in India–Opportunities and
Challenges. International Journal of Research in Management and Social Sciences,
23.
Singh, J., Teng, N., & Netessine, S. (2017). Philanthropic campaigns and customer behavior:
Field experiments on an online taxi booking platform. Management Science.
Sukthankar, G., Geib, C., Bui, H. H., Pynadath, D., & Goldman, R. P. (Eds.). (2014). Plan,
activity, and intent recognition: Theory and practice. Newnes.
Taxi Statistics | ATIA. (2018). Retrieved from https://www.atia.com.au/taxi-statistics/
Thomas, H., Jain, A., & Angus, M. (2013). Measuring progress toward a cashless society.
MasterCard Advisors.