Project for concept show 'DMAGICS'. We proposed a model for an innovative on-the-go entertainment rental service for long distance train travel in India.

1. Note:
This project is from way back in 2011, so today the content might seem dated
considering the pace at which technology has evolved.
However, something similar did come into existence in India a few months later.
(Unfortunately not by us, but it’s good to know that the idea had merit. )

2. Computing System Rental Service for
Long-Distance Train travel in India
Techxpress

3. THE CONCEPT
• Rental service for Entertainment / work systems on Outstation
trains.
•Rent at starting point – Use on journey - Return at destination
•Based on the Captive Audience Network Model

4. THE OFFERING
Features
Internet
& Voice
Service
Webcam
& video
Chat
Movies
Gaming
E-books
& Audio-
books
Music
Satellite
Radio
Booking
Hotels/C
abs, etc.

5. Product Price in INR
Aakash – low-cost Tablet PC 2,999.00
Reliance 3G Tab 12999
WESPRO 7" Netbook Laptop WIFI USB N720 800 MHz 256 MB 4071
Acer Emachine Mini Netbook Notebook 1GB 250GB 14,749.00
ASUS Eee PC X101H Netbook - N455 / 1GB / 250 GB 11,495.00
**Work with Economies of Scale to reduce costs.
THE HARDWARE

6. THE BUSINESS OUTLINE
•Railways
•Travel Sites
•Travel Magazines
•Online Media
•Website
•Physical Stores / counters
at all major Stations
•Procurement in bulk
•Technology (software,
streaming media, etc.)
•Maintenance
•Inventory & Store Space
•Insurance
•Misc.
•Advertisers
•Customer - Nominal
Rental Fee
Revenue Expenditure
PartnersResources

7. CAPTIVE AUDIENCE NETWORKS
 A broadcast-like medium to deliver informative content to viewers while
they wait at a venue.
 Use of plasma displays and LCD screens to deliver content that is relevant
to the target audience.
 Common locations include medical centre waiting rooms, train and bus
stations, and retail checkout areas.
 The Technology - a display screen, a media player, and a content
management server connected to the media player over a network.

8. OUR CONCEPT
•Replication of the mass CAN model in an individual, one-to-one
format.
•Travelers rent the device at the beginning of their journey.
•Use the device on the train journey, for entertainment or work
purposes.
•Paid content / ads streamed to device
over a wireless network.
•Return the device at destination

9. We Procure the Device in bulk from suppliers
Advertisers provide us with content + Fees
Content is Streamed to the device via a network
Alternatively, manually installed/updated into each
device.
Customer Orders the device via our website & inputs journey details
Customer collects the device at starting point of journey
Through journey - Customer uses the device, ads are streamed at regular intervals
Customer returns the device to store on arrival at destination point + Collects Deposit
Payment of
Deposit either
online or
physical -on
location
THE VALUE CHAIN

10. THE TARGET GROUP
 Travels by outstation trains, AC / 1st class / Chair Car (Can later be
replicated for General classes.)
 Is technology savvy.
 Mainly students, business travelers, tourists.
 Long Distance travel, especially day travel, including long idle
periods.
 Can afford to spend approx. Rs 2000 as a refundable deposit (In
addition to a rental fee of approx Rs. 100)

11. TARGET PERSONA #1
 Mona is a 23-year old IT-engineer who works in Mumbai. She
travels home to Delhi for a few days every month.
 Mona boards the Mumbai Rajdhani Superfast Express from
Mumbai at 4pm and is scheduled to arrive at Delhi at 7am the next
day.
 She usually spends her time on the train
reading her favorite novel,
listening to her iPod and
worrying about the work piling up
in the office while she’s away.

12.  Jay is a 36 year old businessman from Bangalore. He is headed to
Kashmir on vacation with his 5-year old daughter, Sara.
 They board the Kashmir Kalli Express from Bangalore at 5am and is
scheduled to arrive at Kashmir at 11pm the next day.
 It is a long journey, and little Sara gets bored and restless.
She carries her dolls along on the journey
but misses her video-games at home.
TARGET PERSONA #2

13. Step 1.
Online
User Orders device
via Website
Inputs Personal
Details and Journey
Details
Makes online
payment of Rental
fee + Refundable
deposit (Optional)
Step 2. At
Departure
User picks up the
device from the
Store on Starting
Rly. Station
Makes payment of
Rental fee +
Refundable deposit
(If not paid online)
Receives Temporary
Key
Step 3.
During
Journey
User Inputs
temporary key and
unlocks device
User uses device
throughout journey
Ads are streamed to
device
Step 4. On
Arrival
Validity of Key
expires + system
self-locks
User returns device
at Store at that
Station
Gets a FULL Refund
of Security Deposit
PROCESS FLOW

14. THE PITCH
*As compared to installing permanent on-board entertainment systems in trains
For Advertisers
• One-to-one
advertising to captive
audience
• TG captive for long
periods. Ample time
for ad messages to
register
• Large Audience
For Travelers
• Free usage of a high-
tech entertainment
device
• Payment only of a
fully Refundable
security deposit. (and
a nominal rental fee.)
For the Railways
• Solution to major
customer pain point.
• Relatively low-cost,
outsourced business
model*
• No /nominal charge
to customer for high-
tech on-board
entertainment
• Competition to
Airlines in this
respect

15. MARKETING
•Irctc.co.in
•Possible Tie-ups with:
•Travel Websites like Makemytrip, Yatra.com, etc.
•Travel Agents
•Advertising at major railway stations

16. POTENTIAL CHALLENGES
•Pilferage / Damage.
• Software / Hardware issues & Troubleshooting mid-journey.
• Inventory management (various locations)
• Content - monitoring and updating on each unit.
• Low public familiarity with technology.

17. • Single-use pin number – travel-time based pricing.
• Limited validity period, system locks and can no longer be accessed.
• Security Deposit equal to the cost of the Device, Fully Refundable
• Personal Details collected at time of order.
• Security Deposit + original documents.
• Insurance
• GPS/RFID
TACKLING SECURITY ISSUES

18. TACKLING INVENTORY & MAINTENANCE ISSUES
•Stock dispatched to respective Station stores only when
order is placed.
• Small volumes of Inventory kept in stores on all major
stations for Spot rentals.
• Toll-free technical support number / availability of a
technician in major trains for troubleshooting.

19. Additional
Rental
Formats
Single CAN
Plasma
screen
CDs/DVDs
Games
Books/
Magazines
E-book
Reader
Potential for expansion
- Also Replicable in long-distance buses.

20. THE FINANCIALS
Assuming implementation in 2 major types of trains in India

22. Rs.
Revenue from rent 150000
Income from Adv. 30000
Total Revenue 180000
Fixed Cost
Cost of Tablet PC 150000
Website creation 20000
Insurance 2500
Total fixed cost 172500
variable cost
Labour @ 5000/month 40000
Shop rent 20000
Technicians @10000/Month 20000
Website maintenance 10000
Total variable 90000
Total cost 262500
BEP 1.675 months
Monthly Income Statement

23. REFERENCES
http://features.ibnlive.in.com/features/cjawards/sponsor_livemedia.php
http://indianwebstartups.com/StartupDetails.aspx?startupId=470
http://www.terabug.com/live-media-the-new-advertising-chain-in-india/
http://www.dailydooh.com/archives/356
http://iims-markathon.blogspot.com/2011/01/captive-audience-networks.html
http://business-standard.com/india/news/india-gets-worlds-cheapest-tablet-
pc/451633/
http://www.afaqs.com/news/story.html?sid=27808

24. THANK YOU
Ankur Shrivastava
Saket Bihari
Sharon D’Costa