Car advertising is wildly popular in Indonesia. Here is how PayRide aims to do it differently
Based in Surabaya, PayRide is one of the many Indonesian startups enabling car owners to use their vehicle as a “moving billboard”
Left to right: PayRide co-founders Ivaline Tedjo, Jimmy Alim, and Agus Widjaja
One notable trend in the Indonesian startup scene is the rise of adtech startups offering car advertising platforms. These startups enable owners of vehicles such as cars and motorbikes to put wrapped advertisements from brand-clients on the body of their vehicles, making it possible for them to earn money as they go about their daily commute.
The service is usually complemented with a mobile app that helps track the movement of the vehicle, and determined how much money each car owner’s make.
PayRide is one of such startups operating in the market. But considering the tough competition in the market, the startup comes up with a different approach in running their business.
While most car advertising platforms in Jakarta and Bandung calculate the money that car owners earn based on the kilometers that they have gone through, PayRide bases it on the impressions that each advertising makes.
“We are using our algorithm to calculate impression based on few factors, such as, but not limited to: Road classification, when does the driver drive by, type of wrapping, which city the campaign is running, et cetera,” PayRide CEO Agus Widjaja explained in an email to e27.
“We are strengthening the report [given to brands] by giving a more thorough explanation regarding the impression, heat map, the best driver, and the demography of the people in that particular area to give a clearer projection for the target audience,” he added.
The startup claimed that this approach will allow car owners to earn more money when they drive on busy roads and during rush hour, as the ads will be seen by more people.
A car-owner using the PayRide app can expect to earn between IDR400,000 (US$29) and IDR1.5 million (US$112) per month.
In addition to how they determine how much each car owner earn, PayRide also differs in the way that they provide car owners with a dedicated GPS tracker, instead of relying on the car owner’s smartphone.
Widjaja said that apart from providing more accurate and reliable analytics for advertisers, it can also provide greater security by preventing data tampering by any party.
Also Read: Sticar turns your car into a moving billboard, aims to expand to 11 cities in Indonesia
“Data tampering is an issue that is prone to occur with smartphone-installed GPS systems. PayRide’s device, however, is also
more convenient for drivers, as it pulls power from the vehicle instead of relying on a battery,” he explained.
Movement from the East
PayRide is based in Surabaya, the capital city of Indonesia’s East Java province. The city is the second most populated city in the country; in 2014, its annual economic growth (6.73 per cent) surpassed other major provinces even Jakarta itself (6.2 per cent).
Like many other big cities in the country, Surabaya is also riddled with congestion issues. In fact, the city made it to the top five position of a 2014 list of cities in the world with the worst traffic jams, as provided by oil giant Castrol. Topping the list is Jakarta, with Istanbul, Mexico City, and St. Petersburg also being in it.
PayRide has secured a great number local clients in the province, mainly from the hospitality industry.
While its name might not be as popular as Jogjakarta, Bandung, or Ubud in the global startup scene, Surabaya itself is home to a budding startup community.
Indonesian startups with a base in Surabaya include blood donor management platform Reblood and IoT manufacturer Cubeacon.
Founded by Widjaja, Ivaline Tedjo, and Jimmy Alim, PayRide is currently run through bootstrapping.
“We are planning to raise funding, but before that we have to achieve certain goals. Not only to solidify our foundation in the industry, but also to gain the trust of our investors,” Widjaja said.
For the year 2018, PayRide itself plans to expand to other Indonesian cities, starting with Jakarta, Denpasar, and Semarang.
The startup is also looking more into product development.
“We are also in close connection with a third party to prepare a deeper and more thorough report. Finally, we are working to explore an alternative marketing medium to be placed in the car,” Widjaja hinted.
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Image Credit: PayRide
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