Didi-Chuxing

 

“More than a journey”

Founded: 2012 in Beijing, China

Category: Mobile transportation platform

Primary office: Beijing (China)

Status: Private

Employees: 13,000

Amount raised: $21.2 billion  (18 rounds – July 2019)

OVERVIEW

  • App-based transportation services
  • Includes taxi hailing, private car hailing, social ride sharing and bike sharing; on demand delivery services; automobile services (including sales, leasing, financing, maintenance, fleet operation, electric vehicle charging and co-development of vehicles with auto makers.)
  • Operates in over 400 cities in China and various international locations

 

PERFORMANCE METRICS

  • Valuation: $56 billion
  • Estimated annual revenue: $400.5 million
  • Monthly active users: 66 million (December 2018)
  • Drivers: 31 million (December 2018)
  • Daily trips using platform (Average): 30 million

 

ACHIEVEMENTS

  • International expansion – Australia, Brazil, Chile, Colombia, Japan and Mexico
  • Acquired competitors (e.g., UBER China) and bought out some partners (e.g., 99 in Brazil)
  • Substantial rounds of funding including largest investment in a private company
  • Established Didi AI Labs with intent of becoming globally leading science and technology lab for smart transportation technologies
  • Various awards including being a Davos Global Growth Company (2015), a World 50 smartest company (2016 – by MIT Technology Review) and Fortune’s Change the World list

Sells

  • Provides all-in-one diversified mobility platform offerings:
    • Didi Taxi – Ridesharing
    • Didi Premier – Superior ride experience with high-end vehicles and quality services
    • Didi Express – More effective, more affordable and more comfortable transportation services
    • Didi Enterprise solutions – Travel services and management solutions for enterprises
    • Didi Bus – real-time multiple transport modality planning and search, diverse bus services, and shuttle services for enterprises
    • Didi Designated Driving – Convenient professional and reliable driving services for car owners
    • Didi Luxe – five-star limousine service
    • Didi Bike – bikeshare service
  • Drivers – a flexible working schedules, benefit packages, fuel coupons, and easy ways to receive payments
  • Didi Car Insurance, a technology driven professional and smart service platform

Channels

  • Multilingual websites (including English and Chinese)
  • “Share your advice” through website feedback
  • Promotion through driver initiatives for social good: Didi Driver Foundation, Didi Care Foundation, Didi Bravery Initiative
  • Promotions through social media (e.g., Weibo, Twitter, Facebook, LinkedIn)
  • Didi Women’s Network platform: career development and personal growth program for female professionals
  • Operates a sub organization, Xiaoju Automobile Solutions (2015) a company that provides a one-stop auto solutions platform.

Competencies

  • Big data analytics, cloud computing, artificial intelligence and machine learning in support of:
    • Didi Brain – produces optimal dispatching results to maximize traffic capacity
    • Didi wisdom traffic – includes traffic congestion analysis, safe driving analysis, bus dispatching and traffic guidance
    • Didi safety – safeguards every trip (e.g., screening, protection during trip, education, 24/7 emergency response)
  • AI Labs – global labs for cutting edge smart transportation technologies with a focus on natural language processing, driver and passenger experience, platform efficiency, speech interaction technologies, computer vision, and smart map engine
  • Committed to convenient sustainable transport (currently with 600,000 electric vehicles on the Didi platform)
  • Augments basic taxi-calling function – e.g., new premium vehicle services, functions for carpool and designated driver transportation modes and enhanced accessibility functions for passengers with disabilities
  • “Didi Car Insurance” for creating a technology driven, all-in-one car insurance service platform

Resources

Assets

  • Founder’s experience working in Alibaba’s sales and Alipay divisions
  • Power stakeholders including Alibaba, Tencent, Temasek Holdings (Private) Ltd, and Coatue Management
  • Global footprint with large customer base (in the hundreds of millions)
  • Didi platform and underlying technologies (e.g., big data analytics, machine learning, artificial intelligence)
  • Various initiatives to support drivers. For example:
    • Didi Women Initiative to provide female riders and drivers with exclusive care services
    • Didi Driver Care Initiative to provide specific insurance services and online open classes on health and wellness for female drivers
    • Female leadership program, work from home policy, mindfulness program, in-house kindergarten, and family day programs

Processes

  • To encourage app developers with intentions to integrate Didi services, cooperate with Didi with specific requirements
  • To provide developers with, for example, paid Didi resources
  • To empower developers to explore innovative industrial tricks by introducing general usage scenarios, product user interfaces, and solutions
  • To attract and retain drivers by providing flexible working schedules, benefit packages, fuel coupons, and easy ways to receive payments.
  • Maintains two different driver pools – Didi Drivers and Full-time Designated Drivers

Priorities

  • 2020 roll out of autonomous pickups in Shanghai, Beijing, Shenzhen and outside of China in 2021
  • Work with automakers on autonomous driving (e.g., Toyota)
  • User value creation and innovation: safety first, experience second, and efficiency third
  • Data-driven thinking: analyze and use data in working and decision making
  • Win-win collaboration: open mind, empathy and trust and excellence
  • Integrity: open and honest communication, do the right thing
  • Growth: accept challenges, exceed expectations, learn from mistakes, develop self and grow
  • Diversity: energy and creativity through embracing the diversity, that represents equity
  • Processes dedicated to improving driver-passenger experience and platform efficiency

Assertions That Best Describe What the Company Did to Scale Early, Rapidly & Securely

  1. Increase value by being responsible and accountable for creating and making visible the quantifiable benefits the company delivers its stakeholders, including customers, partners, investors, members of the company’s value chain, society, and others
  2. Define and implement the plan to scale with the effort, skills, and resilience to increase profitability
  3. Increase value by arranging and directing a community comprised of groups that are external and internal to the company and connect everything needed to scale
  4. Develop and sell products that address a problem, job to be done or a need that is shared by a large and growing number of individuals and organizations in various regions to increase sales
  5. Increase market share by selling products and services that the target market perceives to be better than available alternatives
  6. Increase market share by applying digital technology to brand, market, sell, and service customers more cost-effectively than competitors
  7. Enter a new market by partnering with or purchasing local firms to increase sales
  8. Increase demand by using scientific and technological advances to develop innovative products and services
  9. Increase sales by applying big-data analytics to produce information about users, suppliers and customers
  10. Increase the company’s value by continuously seeking and receiving funding to support the company’s plan to scale and improve its image in the marketplace

References


Contributors

  • Renuka Gamage
  • Dan Craigen