John

Heine Entrepreneurial Challenge, 2010

 Powerful industry stakeholders

Centralised booking process
Cabcharge dominance of payments
Existing apps (13Cabs, mCabs)

 Problems
Ineciencies in connecting drivers and passengers
Drivers dont receive fair share of payments

Solution
Connect passengers and drivers directly
Use emerging technology to eliminate need for

payment equipment

Value
More fares & revenue for drivers
Less wasted time& cheaper for passengers

 The team
Andrew Campbell (co-founder)
Ned Mooreld (co-founder)
Larissa Tichon
Trung Nghi Tiet
Will Tanzy

Launch Q1 2011

 Low uptake
Anti-competitive behaviour
Launch of similar oering
Legislation

 Initial marketing territories

Sydney & Melbourne
Rest of Australia
Singapore

Reaching new territories

Minimal localisation required for new markets
Local marketing towards drivers

 Predisposing factors to become viral

Innovative
Social dimension
Multiple talking points

Creating the buzz

Guerilla marketing
Drivers referral system: Win a FREE iPhone!
Share/recommend favourite drivers on Facebook

TAXI
APPS

TAXI
PASS

TAXI DRIVER

TAXI DRIVER

PASSENGER
PASS

TAXI

TAXI

PASS

TAXI
PASS
PASS

PASS

Taxi drivers Smartphone ownership

Daytime data

% of ownership in line with the Australian national data

Taxi drivers Smartphone ownership

Night time data

Would the driver download Taxi Mate?

How much would they pay per month?

if guaranteed 30 extra customers per month

$50 - $75
$25 - $49
$0 - $24

 Investment of $2m in Preference Shares

IRR of 60%
Exit in 5 years at $21m or 2 years at $5.1m
Investor ownership of 35%
Dividends in excess of re-investment rate

 NSW Market

23,000 drivers
6,559 taxis

Activity Metrics
Avg number of active salespeople
Number of Drivers spoken to per day
% of drivers that download
% of downloaded drivers that refer
Driver downloads via referals p/m p/driver

2
100
20%
7%
5

Revenue
2.5% retained payment fee
$30/month driver subscription fee
50c pre-booking fee (paid by driver)

($,000)

FY01

FY02

FY03

FY04

FY05

# Markets

16

26

Revenue

1,300

5,100

11,600

20,500

33,400

Prot

642

2,568

5,778

10,271

16,691

Free CF

449

1,797

4,044

7,190

11,684

 Revenues - $33m
Prot - $16.9m
Exit Valuation - $64m
26 metro markets
Cabcharge at IPO valued at 11.7 x prot
Taxi Mate valued here at 3.8 x prot

 Build strategic partnerships from the outset

Presence in 4 markets
Revenue - $5.1m
Acquisition exit valuation > $15m multiple
Targets include payment processing

companies, taxi network operators

 Why Raise Capital?

Rapid Growth & Scale
Quality Development Work
Speed to market - market capture & lock-in

What will we spend it on?

Expanded development team
Legal Costs IP & Trademarks
Marketing to push key business drivers
Expenses related to new markets - lots of taxi fares!

 Experienced, connected and highly qualied

co-founders
Low capital expenditure & xed costs
Integration of existing payment platform
Cash burn set to track with revenue growth
Further risk reduction possible via terms
tranches, ratchets & a board position

!
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