Goto: 50% More Expensive. A Bad Case of Data Analytics?

Goto: 50% More Expensive. A Bad Case of Data Analytics?

I've been a loyal customer of the Goto company, whether if I shop for food deliveries or transportation. This company is perhaps an equivalent to Uber in the US that provides similar services.

In fact, I'm so loyal that I almost exclusively shop for food deliveries with the company and exclusively for my transportations especially when I'm in another city.

Tonight, I just got back from another city. It was late at night, raining, and I just want to get home as quickly as I can. So, as usual, I opened the Gojek app and order a car to take me home.

When I was ordering, I took notice that the price was unusually high but as I was already so tired, I just went ahead and ordered.

While I was waiting to be picked up, I was curious as to how much an alternative ride with another company would have costed me. To my dismay, it's 33% less expensive! Or from the lower price perspective, the current ride was 50% more expensive! I was very tempted to cancel but since the driver was already on his way, I decided not to cancel.

In this situation, of course the price played a part as to making me feel agitated. However, more than that, to me, I felt betrayed. I've been a loyal customer, trusting the company to give me a great service for the best price. But when I feel my trust was taken advantage of, I felt betrayed. Thus, because of this betrayal, consequently, I will also reduce all my spendings with this company, whether it is for food deliveries or with its rides.

Whoever did the data analytic and the marketing decision to charge exorbitant amount when the "condition" is right (at night, raining, etc), is making a big mistake. As by doing so, they are going to lose more than they've gained as customers like me who regularly used their services will reduce or stop their spendings. Compare that to the profit they've gained for that single service. I don't think it's a good marketing move. What do you think?

Richard Ng

THIS IS A PERSONAL ACCOUNT

1 年

The dynamic pricing algorithm should be tracking competitor offerings. What a great story if the other company's strategy is precisely to exploit peak price situations. Thinking back, I think Uber did offer me a discount for my initial purchase.

Rye Whalen ??

Enabling Sense-Making?data processing, fusion, analysis, and contextual understanding related to intelligence production

1 年

Data ethics matter.

Zahmoul El Mays

Attorney At Law at CIVIL COURT CASES

1 年

Helpful

回复
Muhammad Aqeel

Link Builder | Content Marketer | Link Exchange | Data Analyst

1 年

According to my knowledge, every company increases the 2x price due to weather conditions. However, they send different offers to their loyal customers. If you are in the top customer list then they may have to send a better offer. If your RFM value is less than the mean then you are in a normal category. I don't know how they are making categories. If you are a top customer then they are doing wrong. Now you decided to churn. Eventually, they will get a loss. ??

要查看或添加评论,请登录

Eric Jonathan的更多文章

  • Are We an Adult or a Child?

    Are We an Adult or a Child?

    "We're Men! We Don't Care About the Inner Child!" In my opinion, we're both. We're adults because our bodies have…

  • What Startups can Learn From a Dojo

    What Startups can Learn From a Dojo

    I am fortunate that all the dojos I have been to had great atmospheres, great respect for each other and never been…

    1 条评论
  • Starting from the Beginning: The White Belt

    Starting from the Beginning: The White Belt

    To me, starting with the white belt again* has two conflicting feelings. The first is the uneasiness of starting fresh…

    22 条评论
  • Celebrating Indonesia's 78th Independence Day

    Celebrating Indonesia's 78th Independence Day

    Happy 78th Independence Day, Indonesia! As I watch the ceremony commemorating the Independence day, I have a mixed…

    1 条评论
  • Data Science's Perspective: MAGA

    Data Science's Perspective: MAGA

    Make America Great Again (MAGA) was a slogan used for Trump's last US presidential campaign. This slogan is so powerful…

    7 条评论
  • Do You Know What's Your Data's Worth?

    Do You Know What's Your Data's Worth?

    It's a simple question. Yet, the answer is complex and far from being easy at all.

    7 条评论
  • The Business of P2P Lending And Borrowing

    The Business of P2P Lending And Borrowing

    The business of Peer to Peer (P2P) lending and borrowing is truly a FinTech innovation! While it's true that the…

    1 条评论
  • If God is for us, Who can Stand Against us?

    If God is for us, Who can Stand Against us?

    When the wolves come to prey on your lambs, just think God is training you. When some of the lambs got lost, just think…

  • What Makes Life Great: A Poem

    What Makes Life Great: A Poem

    Inspired by Elena (Livia) Diaconescu's Post Ocean is there in the yonder. For each step, one can't help but wonder…

    4 条评论
  • A mother’s love has no boundaries ??

    A mother’s love has no boundaries ??

    (This post was inspired by Anthony J James' Post) I never really knew my mother when I was a child. My parents were…

社区洞察

其他会员也浏览了