Folding Bikes by DB Mobile App
Innovation
This project was conducted in collaboration with Deutsche Bahn and facilitated by Hochschule München University of Applied Sciences under a study abroad program through California Polytechnic State University, San Luis Obispo. Deutsche Bahn is a national railway company located in Munich, Germany. They introduced a growing problem in Munich in which many of the commuters were not able to fit their bikes in the train, causing major spacial issues and negatively impacting the commuting experience for the people of Munich. In this project, I collaborated with 4 international students to research the problem, ideate solutions, design a product, and develop a sustainable business model canvas to help establish a potential solution to pitch to Deutsche Bahn and alleviate the growing spacial problem for the people of the city of Munich.
The residents of Munich, Germany are experiencing annoying commutes to work/school due to spacial issues on trains, causing them to miss trains and arrive to their destination late.
When working on the empathy map canvas, we had to step into the shoes of the potential users and answer questions that would help us empathize with them. These were the questions we asked ourselves as well as the answers to them:
How might we motivate commuters with a place of work and/or residence far from train and bus stations to use bikes instead of cars or cabs while still having a pleasant commute?
After performing some research on the problem statement, we decided to pursue rentable folding bikes as a solution to the spacial issue. However, we also wanted to make sure foldable bikes would help compliment our users on the empathy map canvas.
Here are some insights we gathered from our research on folding bikes:
Our DB Connect mobile app will let users quickly and cheaply rent foldable bikes in Munich, Germany to help them enjoy a more streamlined commuting experience to work, school, the train station, or wherever they please while also reducing their carbon footprint.
While ideating folding bikes as a potential solution, we had to account for where users would leave their bikes once they arrived at a train station. To help visualize it, we sketched out bike lockers onto two potential spots:
Drawing of potential bike locker in train
Drawing of potential bike locker in train station
We designed and prototyped a Folding Bikes by DB app to help visualize the product we are innovating:
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First and last mile solution (e.g. to the train station and office)
Improving air quality, people's health, lifestyle and their connection to the city
Better handling and transportation of folded bikes in comparison to non foldable bikes in trains while also avoiding the restricted hours when full size bicycles are not allowed on the train.
Daily commuters
Short leisure trips
Businesses providing employee benefit
Event organizers (e.g. tour guide, city tour)
Social media (Facebook, Instagram, TikTok)
Mobile app & Webpage
Advertisements at train stations
Sales marketing trough phone calls, emails, and word-of-mouth
Transport of Brompton docks and bikes
Providing docks, bikes, and integration with mobile app
Promotion of the products to consumers and companies
Establishing a good customer support and relationship
Continued innovation and improvement of the products
Continued improvements to the customer journey
Responsibility of the compliance with regulations
Financial resources (Funding)
Human resources (e.g. advancing day-to-day business, maintenance, operations, sales, and marketing, etc.)
IT Infrastructures (e.g. Brompton docks and bikes as well as spaces for docks, servers, databases)
Research and development (e.g. improving the customer experience and product development)
Biggest costs factors will be the app development and maintenance, rental of Brompton Docks and Bikes, and the spaces on and day-to-day business and maintenance one time costs:
App development: ~ 400,000€
Estimated cost per year:
Total
1,857,200 € first year
1,457,200 € / year after
Revenue stream trough rental scheme (long and short term rental)
Advertisements on the Brompton docks
We determined that if at least 75% of bikes gets rented everyday throughout the year:
640 (bikes) * 75% * 9 € * 365 (days) = 1,576,800 €
Advertisements on the Brompton Docks (e.g. ads of health services, etc.)
20 (companies) * 1000 € * 12 (months) = 240,000 €
Revenue
1,576,800 € + 240,000 € = 1,816,800 € / year
Profit
1,576,800 € + 240,000 € - 1,457,200 € (costs) = 359,600 € / year
I would first like to thank my team, Deutsche Bahn, and Hochschule München University of Applied Sciences for giving me the opportunity of a lifetime. Working closely with an international team to solve a real life business problem came with difficulties but it was nothing we could not handle. I learned so much about the process of researching, ideating, and designing a product and business model canvas. It was a bit of a learning curve taking the lead on developing the business model canvas but it was satisfying to see it all come together. I realize there is always room for improvements in calculating the cost structure and revenue streams as well as in design but I am excited to learn more and improve for my next project.
I am looking for full time/contract/internship opportunities in Product Design! I am also actively looking to collaborate with driven entrepreneurs to build a product that can help improve people's lifestyles!