Case Presentation:
Mejor en Bici
Group 16
Tolga Şekerci 070210280
Başak Bozkır 070200213
Nahla Elkhatıb 070210923
b
Çağla
a Nur Sorkun 070200311
Mehmet Emre Aydemir 070210242
Yusuf İhsan Bilgin 070230323
What bicycle means
in Bogotá?
1976
34 km of the most important roads became Cycle Street
1982
Main roads of the city allocated an exclusive lane for the use of
bicycles on Sundays and holidays
2008
Bicycle was recognized as a transport service
2011
Mobility survey in Bogota
2013
Best cities in the world to use the bicycle
Mejor En Bici
History
1 The rise of the passion for bicycles, 1998
2 Their first business, 2010
3 Back to the initial idea:
“creating a bicycle-sharing system” , 2010
To improve people’s quality of life
by promoting the use of bicycles
as a means of transport.
Vission & “For your health, it is better by bike”
“To work, it is better by bike”
Mission “For the planet, it is better by bike”
Making the bicycle the main
means of transportation in
Bogota ́
Quick Overview
Naming the core
business line as
SIBUC New customers
Responsible for supplying Obtained a customer base
bicycles to universities and of 12 clients
companies and managing the
services
2011 2012 2013 2014 2015
The first client: External help
Competitor Alert
Codensa
Defining the challenges
Signed a contract for 2 Person in charge of
that had to be overcome
years for a monthly Codensa created a
value of $900 competitor company
Challenges
Increased competition
Managerial issues
Financial difficulties
Operational problems
Strategic mistakes
Customer Acquisition
Increased Competition
Competitor Companies
Many companies emerge over time which could reduce a company’s potential
customer base. Among these companies that challenged Mejor de Bici is GW
Bicycles, Orbea Colombia..
Advanced Technologies
Competitor bikes usually acquired more modern and up to date features
which created an overall better experience for users, putting Mejor En Bici at a
technological drawback.
Better Branding
Rival companies had invested heavily in marketing and branding, making it
hard for Mejor En Bici to build a loyal and aware customer base.
Market Changes
Changes in markets can either reduce or increase the
demand for products and services generally.
Factors that can affect market changes include:
Economic Conditions of Individuals
Cultural and Lifestyle Trends
Seasonal Variations
Competitive Factors
Fashion and Style Trends
Managerial Issues
Choosing partners from family members
and close friends
The changes in the roles after Jose left
the company
Talent management and organizational
structuring
Financial Difficulties
Operational Challenges
Variable Pricing Service Delivery Resource
Model Challenges Allocation
There may have been Managing the delivery The early years' financial
unclear among potential and maintenance of difficulties act as a
clients because of the not bicycles in perfect reminder of how
having a fixed price. The condition presents important efficient
price depends on the operational challenges, resource allocation and
number of bicycles, the especially as the cost management were.
cycle parking building, business scales up.
and the delivery
condition.
Strategy Challenges
Lack of Narrow Target Wrong Marketing
Differentiation Market Strategy
Strategy
Mejor en Bici faced The company Mejor en Bici’s
increasing primarily targeted marketing strategy
competition without a corporations and focused mainly on
clear differentiation universities, limiting products. They have
strategy. New entrants its potential customer no word about
began offering similar base. experience.
services
Challenges in Customer
Acquisition
Loss of a Key Client
The loss of their first client, Codensa, and a contract to a company founded
by a former employee threatened both their revenue and reputation.
Limited Customer Base
Even though the company had grown, the number of individual users for its
main service, SIBUC, wasn't growing significantly. On the contrary, the usage
of personal bicycles by employees was growing.
Public Bicycle Program Bid
Bogota's public cycling contract with Union Temporal Bici Bogota
threatened Mejor en Bici's future by making competition difficult.
What can be done?
Crafting marketing and communication strategies by leverage their
strengths
Creating a new customer base through partnerships with sports
organizations and cycling communities
Increasing customer satisfaction by improving SIBUC's user experience
Reaching the target audience through social media, cycling events, etc.
Attracting new users by offering competitive prices and flexible rental
options
Unlocking new opportunities by collaborating with public programs
Developing a strong message highlighting the advantages over
alternatives in terms of health, environment and cost, by focusing on the
value proposition
Thank You
FOR
LISTENING!
