Peppy walls business model

PeppyWalls.comHandpicked Rental Homes

India’s First online portal for Rental Homes to exclusively list Handpicked & Standardized homes

PeppyWalls is an In-house developed product, Boot-strapped by its Co-founders. It was launched in Bangalore on Dec 2015

Our Vision

Build a Brand with Trust in Rental Homes segment

Benchmark Home-standardization for Rental

When OYO could standout MakeMyTrip , ClearTrip;

Why can’t PeppyWalls standout CommonFloor, 99acres, etc !

2

PeppyWalls.com

The Market Problem

× No player in Home-rental segment offering Standardized Homes

× Rental Loss incurred in Occupancy gap, due to poor maintenance, quality & not so

appealing to the prospective tenants

× Rental Home-seekers need a compulsory personal visit to check the Living

standards

× Ex-Tenant ends up paying min. 1 month Rent to Owner, towards refurbishment

× Very tough to pick among 100+ search results in web portals

× Duplicate listings in online portals, sourced in by multiple people

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Target Market Size

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Residential Rental Market in India ~$20 Billion

Bangalore City Stats :

– Every year, 1.2 – 1.5 lakh rental homes are changed/re-occupied by tenants We aim to capture 10% share of the above, in the next 2 Years

– On every home-changeover by Tenants, ~1.8 Billion INR per Year involved with Home Refurbishment. We aim to capture 10% share of the above, with Home Standardization

Our Business Proposition

Standardization of Rental Homes

- Relative measurement of Natural Light in every Room

- Pick-choose apartment-flats, thereby eliminate listing of any less-ventilated homes

- Giving a scaled view to Users on Neatness of all Bathrooms, Kitchen

- Standardize homes, which require tweaking on Electrical, Plumbing, Carpentry, etc

First Occupancy Homes

Endorsing newly built homes for Rental has a huge potential with Young IT families. Target is to

list as much as such homes, specially in IT zones / areas

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Our Business Proposition (Contd..)

Exploit Technology

Interpreting EB readings (with robots on Bescom web) & marking properties occupied

helps PeppyWalls maintain integrity of Listings to Users

Branding Rental Homes, based on our Standards

Ultimate notion to categorize Standardized homes (PW Economy, PW Standard, PW

Premium), to help Customers pick-choose homes of their choice

100% Visited & Verified listings

We see properties by ourselves, to believe & rate it in our Standards. With time, this helps

possible elimination of Home-seekers to visit such homes in person!

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Our Business Process

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Listings Inventory

• Listed for RENT

• Periodically check Property Status

Inbound

List Properties

Homes Meeting PeppyWallsStandards

Homes Requiring PeppyWallsStandardization

Data Collection with 100% Visits, followed by

Quality Checks

Standardization In-house

By 3rd Party Home Services

REJECTEDHomes not feasible to meet

PeppyWalls StandardsElectrical, Plumbing, Carpentry, Cleaning,

Painting, etc

Journey so far..

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1200+ listings of Standardized Rental homes

500+ listings of Branded PGs

Coverage of Listings across all the areas in Bangalore

30+ Rental Assistance served so far

Unique Visitors : 20000 and counting..

Registered Users : 3000 and counting..

Business Partnerships

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Rental Assistance for Corporate employees with Timesol.net

Furnishing partnership with GrabOnRent

Home services tie-up with Helpr.in (Discussions ongoing)

Timesol.net

GrabOnRent.com

Helpr.in

Key Revenue Streams

• Rental Assistance Recently launched campaign of ‘1 day Challenge’

B2B rental assistance to TimeSol’s corporate employees (Assistance charges + % in Brokerage)

Assisting Tenant visits - revenue model for owners (in planning stage)

• Standardization of Homes and Branding under PeppyWalls Branding the Homes under PeppyWalls to fill faster and avoid rental loss due to huge

vacancy gap

Standardize the homes to meet PeppyWalls standards – services like painting, fixing basic necessary things, sanitizing the kitchen/bathrooms

• Lead generations to our channel partners GrabOnRent, Helpr.in

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• INR 5 Crores (~ 750k $) cash investments – covering 2 years Capex

• Introductions to Key Mentors & Advisors

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What are we looking for?

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Burn Rate : Current & Forecast

INR

in Lakhs

INR

in Lakhs

INR

in Lakhs

Wages 6.6 43.2 51.84

Hosting 0.5 1.5 2.4

Tools, Licenses 0.12 1 1

Bulk SMS 0.2 0.75 1.5

Pymt Gateway charges 0.2 3.2 6

Sub Total 7.62 49.65 56.74

Wages 11.4 42.6 63.72

Fuel 0.96 4.8 5.76

Mobile Bil ls 0.12 0.6 0.72

Sub Total 12.48 48 70.2

Wages 0 25.8 30.96

Ad Boards 0 5 0

Social Media Ads 2.4 6 8

Media Prints 0.5 0.5 0.5

Newspaper Ads 0 0 0

Radio Ads 0 5 5

Volvo Bus Ads 1 5Sub Total 3.9 47.3 44.46

Wages 0 36 67.2

Fuel 0 0.3 0.36

Sub Total 0 36.3 67.56

Office Space 1.2 6 12

Broadband 0.24 0.6 1

Telephony & Mobile 0.24 0.6 1

Maintainance 1.2 3.6 6

Fixed Assets 3 22 10Sub Total 5.88 32.8 30

29.88 214.05 268.96

Infrastructure

Total Spend per Year

Fund Required for 24 months Runway 483.01

Product Development

(Inhouse)

Operations

Business Vertical

vs

Burn Rate

Marketing and Branding

Business Strategy,

Development & Sales

Team of 1 Founder (COO)

+ 2 Data Collectors + 1 Backend Admin

Total of 4 Employees


+ 10 Data Collectors + 3 Backend admin

+ 1 Quality Checkers + 1 Finance person +

2 Customer Care Reps



+ 10 Data Collectors + 10 Backend Admin

+ 1 Quality Checkers + 1 Finance person +

2 Customer Care Reps


Currect - Bootstrapped

(Bangalore)

Year 1

(Target - Bangalore)

Year 2

(Target - Bangalore)

Team of 1 Founder (CTO)

+ 2 Techies / Developers

+ 1 Testers



+ 3 Senior Techies / Developers

+ 1 Senior-level SEO Optimizer

+ 1 UX Designer + 2 Testers



+ 3 Senior Techies / Developers

+ 1 Senior-level SEO Optimizer

+ 1 UX Designer + 2 Testers


Team of 1 Founder (Chief Marketing &

Branding)

+ 1 Digital Designer + 1 Content Writer



Branding)

+ 1 Social Media marketing specialist + 1

Digital Designer + 1 Content Writer



Branding)

+ 1 Social Media marketing specialist + 1

Digital Designer + 1 Content Writer


Team of 1 Founder (Chief Business

Development)

+ 2 Sales Executives



Development)




Development)



Current

Year 1

Year 2

13

Revenue - Current & ForecastTarget Bangalore for 2 FYs

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Monthly StatsMonthly

(INR)

Yearly

(INR)Monthly Stats

Monthly

(INR)Yearly (INR) Monthly Stats Monthly (INR) Yearly (INR)

Home Std : 2 requests @ Rs.

~3000 margin6000 72000

Home Std : 60 requests @ Rs.

~3000 margin180000 2160000

Home Std : 120 requests @ Rs. ~3000

margin360000 4320000

Sub Total 11000 72000 Sub Total 180000 2160000 Sub Total 360000 4320000

ODC : 500 Personal

Assistance @ Rs.19991000000 12000000

ODC : 500 Personal Assistance req

@ Rs.19991000000 12000000

ODC : 20 Rental requests @

Rs.600 (Int. offer price)12000 144000

100 Remote Assitance req @

Rs.999100000 1200000

1000 Remote Assitance req @

Rs.9991000000 12000000

B2B :

Assistance charges - 3 Rental

requests @ Rs. 1000

Brokerage charges - 3 Rental

request @ 5000

18000 216000

B2B :

Assistance charges - 10

Rental requests @ Rs. 1000

Brokerage charges - 10

Rental request @ 5000

60000 720000

B2B :

Assistance charges - 25 Rental

requests @ Rs. 1000

Brokerage charges - 25 Rental

request @ 5000

150000 1800000

Sub Total 30000 360000 Sub Total 1160000 13920000 Sub Total 2150000 25800000

41000 432000 1340000 16080000

Business Streams

vs

Revenue Actuals/Forecast

Property Standardization

* Home Standaridization & Branding, via

own/partnered Home Service vendors

* Adhoc on-demand Home Services & Repairs,

via own/partnered Homes Service vendors

Rental Assistance

* One-Day Challenge campaign to Home-

seekers

* B2B channel for Rental needs (eg. Timesol)

* Assured Tenant visits to Landlords (To be

Started)

Scale up plans to other cities

PG Standardization (on-going market size

analysis with few PGs)PG Std

Current - 2016

(Bangalore)

Post Funding - Year 1

Target : Bangalore

Post Funding - Year 2

Target : Bangalore

Scaling plans

PG Std

Subscription model

Total Revenue 30120000 + Targeting major revenue from PG standardization

Subscription Model for owners and

tenants

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Revenue - Current & ForecastStatistics

Target : Bangalore for 2 FYs

Rental Assistance revenue figs in INR

Property Standardization revenue figs in INR

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Founders & Our Team

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PonnusamyBusiness Development & Brand

Manager for PeppyWallsSoftware Solution Architect,

Entrepreneur of 2 Goli Franchises.

KishoreChief Technology Officer &

Money-manager for PeppyWallsProduct Technical Architect at

Software MNC.

YokeshMarketing & Advertising,

HR for PeppyWallsTelecom Architect at

Software MNC.

RajasekarOperations Manager for

PeppyWallsProject Manager in

Infrastructure Domain.

Lead by 2 Tech Leads (Co-Founders)

2 Senior Web Developers

1 Junior Web Developer

Lead by 1 Ops Lead (Co-Founder)

1 Ops Manager

2 Data Collectors

Mentors

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Pavithran AyyalaHeads India IT Operations @ MNC

Ex – SONY,DELL and HP.

Veteran in Technology and Media/Marketing and strategic investor

in Priya Media and other startups.

Real Estate

Peppy walls business model