“Technology drives travel evolution”

Founded:Sept 2016 in Hangzhou, China

Category: Travel Service, Ride Sharing, Apps

Primary office: Shanghai, China

Status: Private

Employees: 4,000 – 5,000

Amount raised:$1.8B billion(7 rounds – December 28, 2018)

OVERVIEW

  • Mobile travel platform dedicated to providing users with convenient, efficient and comfortable travel tools and services
  • Adheres to the service concept of “green, low-carbon and easy travel”
  • Provides users with a variety of short-, medium-, and long-distance travel services
  • Provides bike sharing, moped sharing, car sharing and ride-hailing services
  • Strives to alleviate pressure on urban transportation
  • Facilitates the construction of smart transportation and smart cities

 

PERFORMANCE METRICS

  • Valuation: $5 billion
  • Estimated annual revenue: $134 million (2019)
  • Monthly active users: 63 million (July 2019)
  • Cumulative registered users: 300 million (December 2019)
  • Web Traffic: 380,000+ monthly visits

 

ACHIEVEMENTS-2020

  • Hello bikes in 360+ cities.
  • Bike users have ridden 18.98 billion kilometers, reduced carbon emissions by nearly 1.47 million tons (equivalent to planting approximately 78 million trees
  • Signed strategic cooperation agreements with 70+ municipalities focusing on green travel, big data applications, smart city construction, safe riding education, and accelerating adoption of smart public transportation systems
  • Surpassed two industry giants (Mobike and ofo) and hold 50% of the market (as of 2018)
  • Hurun “Global Unicorn List” (2018)
  • Deloitte “China’s Rising Star” (2018)
  • 36 Kr King of the New Economy Annual List “King of Travel” (2019)
  • Shanghai’s “50 Best Venture Companies” with the Most Investment Potential (2019)

Sells

  • Hello Bike – bike sharing (mainly serving travel under three kilometers)
  • Hello Moped – a new type of moped that uses motor and battery as auxiliary power, and includes an intelligent sensor system integrating human pedal force with motor assistance
  • Hello Vehicle Service – provides vehicle service content including rental and sales integration, localized service, intelligent travel, safety guarantee, unified standardized power exchange, etc.
  • Hello Swap – full life-cycle shared power exchange services (based on lithium batteries, utilization of residual value of electricity, and IoT)
  • Hello Travel – “last mile” travel customized products such as parent-child cars, family sightseeing cars and mopeds for scenic areas
  • Hello Ride Sharing –new car-sharing service platform with objective that everyone can afford a car
  • Hello Ride Hailing – Limousine & Chauffeur services (in cooperation with Didi Chuxing and Shouqi)
  • Hello Life House – provide users with peripheral products, focusing on high-quality and cheap travel and sports products

Channels

  • Strategic cooperation agreements with 70+ municipalities
  • Promote nationwide Zhima Credit deposit-free riding
  • Alipay to facilitate quick and safe mobile payment
  • Collaborate with traffic management department to provide big data support for future smart transportation
  • Promote through social media (e.g., Weibo, Facebook, Twitter)
  • Improve social image and awareness by launching charitable activities (e.g., helping lost and abducted children in poor families, creating exclusive riding courses for children with autism, and serving cultural travel to help the poor)

Competencies

  • Strategic operations: Focused on second- and third-tier cities before its competitors (winning valuable time to accumulate word-of-mouth and operational experience) and then entered large cities
  • Big data, artificial intelligence and cloud computing applied to entire business
  • Balancing excellent cost control capability and ultimate user riding experience
  • Great financing ability and investment support from Ant Financial

Resources

Assets

  • Hello Brain – intelligent decision making based on big data, artificial intelligence and cloud computing
  • Serial entrepreneur CEO with abundant entrepreneurship experience and innovative sprit
  • Merged with Youon Bike
  • Independently developed intelligent hardware to improve transportation efficiency (e.g., Bluetooth road stud, Argus intelligent visual interaction system, electronic fence)
  • Diverse travel options from bicycle sharing to ride hailing

Processes

  • Scale in second- and third-tier cities before competing in big cities (avoiding costly competition)
  • Strategy based upon recognition that short-term competition is on delivery density and speed and long-term competition is based on operational efficiencies
  • Adhere to the core value of using technology to promote travel revolution
  • Business strategies based on operational big data collection
  • Use 5G technology to support real-time identification (with high-precision image recognition)
  • Public welfare activities to expand public awareness and enhance social image
  • Explore new markets, such as ride hailing and car sharing (bike sharing market is saturated)
  • Large investment in technology to provide better tools and improve offline efficiency, increasing vehicle delivery density and speed

Priorities

  • Increase operational efficiency
  • Expand artificial intelligence applications
  • Increase travel plan offerings
  • Social responsibilities
  • Energy saving and environmental protection
  • Continue extending product line to cover more diversified travel services and increase penetration into users’ lives

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

  1. Build company value using an artificial intelligence powered decision making factory
  2. Develop capabilities to cost effectively attain scaling master plan objectives
  3. Scale up i) Upgrade capacity of existing scale model that works; ii) Automate and self serve; iii) Make no substantial change to scale model; iv) Reduce administrative efforts; v) Take advantage of cost effective and efficient technology; and vi) Outsource what others can do better
  4. Apply big data, machine learning and artificial intelligence to generate predictive analytics and enhance automation
  5. Develop capabilities to capture and use data from every interaction with every customer, supplier, partner and user to drive informed decision making across all levels of the company Hire scale experienced talented people to implement the scaling master plan
  6. Operate a large data collection and service center
  7. Use scientific and technological advances to develop innovative offers
  8. Arrange and apply resources from different regions early, rapidly and securely

References

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  2. 36kr.com. (n.d.). “逆袭者”哈罗的待解问题:历史包袱、财务陷阱_详细解读_最新资讯_热点事件_36氪. [online] Available at: https://36kr.com/p/5212704 [Accessed 19 May 2020b].
  3. Anon, (n.d.). Craft – Hello TransTech.
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  6. Crunchbase (2019). Crunchbase. [online] Available at: https://www.crunchbase.com/organization/hellobike [Accessed 18 Oct. 2019].
  7. www.ebrun.com. (n.d.). 哈啰单车:烧钱大战的幸存者-旅游出行-亿邦动力网. [online] Available at: http://www.ebrun.com/20200506/384760.shtml [Accessed 19 May 2020].
  8. www.helloglobal.com. (n.d.). 哈啰出行. [online] Available at: https://www.helloglobal.com/index.html [Accessed 18 May 2020a].
  9. www.helloglobal.com. (n.d.). 详情-哈啰出行. [online] Available at: https://www.helloglobal.com/detail.html?guid=390143bbfe8843059cf02b001afabbd1&type=duty&types=1 [Accessed 18 May 2020b].
  10. www.iyiou.com. (n.d.). 哈罗单车:我们其实不差钱-亿欧. [online] Available at: https://www.iyiou.com/p/73961.html [Accessed 20 May 2020].
  11. www.sohu.com. (n.d.). 3年赢2.8亿用户,哈啰出行是怎么干掉竞争对手成长壮大的?_单车. [online] Available at: https://www.sohu.com/a/342040188_104421 [Accessed 20 May 2020].
  12. 简书. (n.d.). 哈啰出行 |竞品分析报告. [online] Available at: https://www.jianshu.com/p/025aa230fa4d [Accessed 20 May 2020].
  13. 网易 (2018). 在中国中小城市,哈罗单车是如何打败摩拜和ofo的. [online] tech.163.com. Available at: https://tech.163.com/18/0724/01/DNELSF5M00097U7R.html [Accessed 19 May 2020].

Contributors

  • Nan Yang