Limebike Marketing Analysis Report

MARKETING ANALYTICS REPORT

Table of Contents

Executive Summary…………………………………………….3

 Research Methodology………………………………………….4

Secondary Research…………………………………………..4

Google Trends……………………………………………….4

Google Consumer Barometer…………………………………….4

Piinpoint…………………………………………………..5

Environics………………………………………………….5

Population of Interest………………………………………….5

Population of Interest Characteristics……………………………….5

      Low Rise Renters…………………………………………..5

      Young & Connected…………………………………………6

     Single City Jazz…………………………………………….6

Analysis and Findings…………………………………………….7

Right Location………………………………………………7

Target Market……………………………………………….8

Competition………………………………………………..10

Secondary Research………………………………………….11

Limitations of the Study…………………………………………..12

Human Error……………………………………………….12

       Platform Analysis and Diagnosis…………………………………14

            Environics Advantages………………………………………14

    Environics Limitations……………………………………….14

    Piinpoint Advantages………………………………………..14

    Piinpoint Limitations………………………………………..14

Conclusion………………………………………………….15

Bibliography…………………………………………………16

Appendix……………………………………………………17

Appendix A – Yonge and Bloor – high ratio of commuters in the area. ……….17

Appendix B – Google Trends indicates that there’s a demand in methods of commuting                 18

       Appendix C – Competition is driven by similar bike sharing programs in Toronto    19

     Appendix D- Decision to be more eco-friendly is driven by emerging trends in     environmental sustainability              20

Executive Summary

Limebike was discovered for easy access and comfortable travelling. The main outlook behind the idea of Limebike automobiles is to make people less dependent on private, public transport for short distance travel and make the environment pollution free. Limebike has been located in many USA cities such as Alabama, Arizona, California, Florida and many more.

Limebike also initiated programmes such as Lime for Cities which talks about how the use of these vehicles will reduce traffic congestion and provide a healthy lifestyle while the other programme which is Lime Campus Network targets the universities that decrease campus traffic and is reasonable for students to use. Limebike has also made sure to provide safety measures (How to Lime) to customer on their website by implementing Pre-ride safety check, Helmet Laws, Hand Signals and other important measurements to ride safe bike and scooters.

 It is recommended that Limebike should be operated from Toronto, downtown with a target population of 20-35, (with drivers license if operating scooter). This location has customers appropriate for this project, which involves Low to Middle class, Full/Part-Time workers as well as Students who study at different campuses such as Ryerson, University of Toronto. Also, Yonge & Bloor and Avenue Road & Bloor area, in which school campuses reside.

The use of Analytics Software such as Environics and Piinpoint has published the reports/provided information which highlights the sections of Geographic, Trade Area Profile, Population Sample and Target Segmentation. The data gathered gives a better idea about the expansion of the project Limebike in this area. Also, by the data provided by Environics Analytics the desired population through which Limebike would be benefited are Young and Connected, Low Rise Renter, Single City Jazz. Use of secondary research were also conducted using Google trends and Consumer Barometer to enhance the research to the depth.

By the information congregated Limebike can flourish to a great extent in the area specified. This evidence will make it easy for Limebike to enter the Canadian business market and expand as the age range selected shows a consistent growth in terms of lifestyle and status that helps the economic of an area.

Research Methodology

Secondary Research

• Secondary research was conducted using Google Trends, Google Consumer Barometer, Piinpoint & Environics to understand the Transportation industry in Canada as well as some of the industry’s trends. It was also used to discover the competition & sustainability of Limebike in the Canadian market, to find out the opportunities for its existence in an already established dynamic & competitive industry.

Google Trends

• Google trends analysis reveals that there is a market and increasing demand for different modes of commuting (Google Trends, n.d.).
• It is a unique and useful tool for industries to keep track of what people want, by looking over Google trends which show how frequently a given search term is entered on Google search engine (Google Trends, n.d.).
• Through using Google Trends it can be concluded that major cities searching the term “Commuting” are mostly in Toronto, with 100 people looking up the term; followed by Mississauga & Ottawa (Google Trends, n.d.).

Google Consumer Barometer

• Google consumer barometer is a free interactive tool that helps companies understand how people around the world use the internet (Google Consumer Barometer, n.d.)
• The barometer provides companies with up to date data that provide deep insights into current consumer trends in the industry, which helps them to better understand and serve the target market (Google Consumer Barometer, n.d.)
• This tool thus enabled Limebike to explore their potential target market based on the need discovery of people obtained through the consumer insights & industry trends

Piinpoint

• Piinpoint provided location insights for expansion of Limebike. The report generated in piinpoint highlighted the location sustainability, demographic information like demographic projections; custom demographics & points of interest (Piinpoint, n.d.)

Environics

• Environics Analytics offered a detailed survey of the population trends & the target trade areas for Limebike. Trade area within the range of 1-10 km was displayed based on the data gathered. Report was generated for radius areas of 1km, 5km & 10km (Environics, n.d.)

Population of Interest

Target population for Limebike are largely those within close radius of Yonge & Bloor who commute & are in need of more efficient transportation modes. The target market will incorporate students, millennials & singles within the age group of 20-35 years within a low-income bracket.

Population of interest characteristics:

The target market consists of low-rise renters, young & connected & single city Jazz.

1. Low rise Renters

These comprises of the young population with low income who are either city singles or families. The average household income for this category is $53694.00 (Environics, n.d.). They are under the age of 35 & are considered economically challenged (Environics, n.d.). This target market has a university, school or college degree/diploma & live a low-cost lifestyle(Environics, n.d.). Majority of their spending is on leisure activities. Having a tendency to spend more on leisure activities they save & maintain a budget on other expenses. Thereby public transit comprises 6.4% of the preferred transportation mode. Limebike thus has a growing market in this target area (Environics, n.d.).

2.  Young & connected

These are younger, diverse urban renters with low income ($54010.00) having a university, school or college degree/diploma (Environics, n.d.).. Having just these degrees they have jobs that are not highly paid, they just have an income that can suffice their essential needs but not their pricy wants (Environics, n.d.). Consequently, being young & having a limited income they tend to save more & thus are looking for expenses where they can cut down their spending (Environics, n.d.). Having said that commuting through public transit is a highly preferred option for this demographic target segment accounting for about 17.1% of the transportation modes (Environics, n.d.). As a result of this Limebike has potential opportunities in this market (Environics, n.d.).

3.  Single City Jazz

This target segment has more household income as compared to the other 2 segments (Environics, n.d.). They have an average income of $58539.00 (Environics, n.d.).. These are young diverse city singles living in apartments. More than a third of the target are under the age of 35 years being young, diverse & low-income singles (Environics, n.d.). 16.1% of this population travel by public transit thus creating a big demand base for Limebike (Environics, n.d.).

Analysis and Findings

Right Location:
Objective: To determine the ideal location for Limebike

Hypothesis: The most ideal location for implementing Limebike’s main distribution would thrive around Yonge and Bloor and Avenue Road and Bloor area, in which school campuses reside.

Yonge and Bloor – high ratio of commuters in the area.

• Based on projected growth of 58.16% in the period of 2006-2025, it is clear that Downtown Toronto is experiencing exponential growth.
• With this forecast prediction, the public transit, and or ride sharing industry will be in high demand.
• With an average annual spending of $2,614, 95 on public transportation, this declares this location is in need of a cost-efficient form of transportation (Piinpoint, n.d.)
• With 78.3 % of residents travelling to work by Public transit, bicycle and walking indicates that this location is in need of another method of accessible and efficient transportation (Piinpoint, n.d.)
• With 36.6% of the population’s income in our trade area range from $0-$40k indicates that this is a low-income area which is beneficial for Limebike because people in the low-income people are a key target (Piinpoint, n.d.).
• Within a 5km radius from Yonge and Bloor, there are many universities and colleges in the area (Piinpoint, n.d.).