From Social App Flop to Ride-Hailing Disruptor: How TADA plans to Challenge Uber adn Lyft
Teh journey of TADA,a rising ride-hailing company,is a compelling story of pivoting from initial failure to identifying a crucial market gap.It’s a testament to the power of adaptability and a keen understanding of evolving industry needs. Founder Kelvin Woo shares how a failed social app ultimately led to building a business poised to disrupt the established ride-hailing giants, Uber and Lyft.
Early Setbacks & The Pivot to Mobility
Initially, Woo and his co-founder aimed to connect people through a social gathering submission. Though, they quickly discovered a notable hurdle: they lacked the marketing and sales expertise to effectively bring their vision to life. “I couldn’t sell the product,” Woo admits, acknowledging their background primarily in engineering and finance.
Recognizing the need for a revenue-generating model from the outset, they shifted their focus. A ride-hailing app presented a clear opportunity, especially in the dynamic Asian market.
Identifying a Cross-Border Need
In 2014, Woo and Han returned to Asia, specifically targeting the bustling corridor between Hong Kong and Shenzhen. They noticed a significant inefficiency: despite the presence of Uber and DiDi, no ride-hailing service facilitated seamless cross-border transportation.
Instead, drivers and car rental companies relied on outdated, manual reservation systems – a clear indication of an underserved market. This realization fueled the progress of TADA, designed to digitalize this crucial mobility link.
Launching in Singapore: A Strategic choice
Following accomplished trials in Hong Kong and mainland China, TADA strategically launched in Singapore. The city-state offered a compelling combination of factors. It boasts a high population density and “superb infrastructure support,” making it an ideal testing ground.
Woo emphasizes singapore’s importance as a gateway to the broader Southeast asian market. “We got lucky in picking the right place, but also the right time,” he explains, highlighting the importance of timing in successful market entry.
Beyond Ride-Hailing: Diversified Revenue Streams
TADA’s revenue model extends beyond conventional platform fees. The company is building a robust ecosystem through its parent company, MVL. Here’s a breakdown of their key income sources:
* Platform Fees: Standard revenue generated from each ride facilitated through the TADA app.
* Web3 integration: Leveraging the broader Web3 platform of MVL for additional revenue generation.
* Anonymized Data Sales: Selling anonymized vehicle and driving data – with user consent – to ecosystem partners for valuable insights.
* MVL Token Trading: Offering MVL tokens for trading on external cryptocurrency exchanges, creating a dynamic digital asset component.
Taking on the Titans: Expansion into the U.S.
Now, Woo is setting his sights on the U.S. market, ready to challenge Uber and Lyft’s dominance. His research, conducted through interviews with drivers in cities like New york, reveals a consistent pain point.
“Everybody says the same thing: current ride-hailing services take too much commission, but they don’t have any choice,” Woo notes. TADA aims to provide that choice, positioning itself as a driver-focused choice.
A New Wave of Disruption
Woo views disruption as essential for progress, and believes the ride-hailing industry is ripe for a second wave. He categorizes Uber and Grab as ”first wave” disruptors, successfully challenging the traditional taxi industry.
However, he argues that these platforms have become overly focused on capitalistic gains, leading to increased fees and prices for both drivers and passengers. “And now it’s their time to be disrupted with a new type of model,” Woo confidently asserts.
TADA’s approach centers on creating a more equitable system,offering drivers better earning potential and passengers competitive pricing. Ultimately, the company’s success will depend on its ability to deliver on this promise and establish itself as a viable alternative in a fiercely competitive market.
