Question: Hi i need help that will guide with what I have The key aspect of ride-hailing is upfront pricing, which works the following way. First,

Hi i need help that will guide with what I have

The key aspect of ride-hailing is upfront pricing, which works the following way. First, it predicts the price for a ride based on predicted distance and time. This price is what you see on the screen of the phone before ordering a ride. Second, if the metered price based on actual distance and time differs a lot from the predicted one, the upfront price switches to the metered price. 'A lot' means by more than 20%. For example, suppose you want to make a ride that upfront price predicts to cost 5 euros. If the metered price is between 4 and 6 euros - the rider pays 5 euros, otherwise the metered price.

We would like to improve the upfront pricing precision. Kindly analyze the data and identify top opportunities for that. Could you name the top one opportunity?

THE DATA SET IS VERY LARGE SO I COPIED THE FIRST 20 ROWS

Sample data SET in the table below

order_id_new order_try_id_new calc_created metered_price upfront_price distance duration gps_confidence entered_by b_state dest_change_number prediction_price_type predicted_distance predicted_duration change_reason_pricing ticket_id_new device_token rider_app_version order_state order_try_state driver_app_version driver_device_uid_new device_name eu_indicator overpaid_ride_ticket fraud_score
22 22 2020-02-02 3:37:31 4.04 10 2839 700 1 client finished 1 upfront 13384 1091 1376 CI.4.17 finished finished DA.4.37 1596 Xiaomi Redmi 6 1 0 -1383
618 618 2020-02-08 2:26:19 6.09 3.6 5698 493 1 client finished 1 upfront 2286 360 2035 CA.5.43 finished finished DA.4.39 1578 Samsung SM-G965F 1 0
657 657 2020-02-08 11:50:35 4.32 3.5 4426 695 1 client finished 1 upfront 4101 433 2222 CA.5.43 finished finished DA.4.37 951 Samsung SM-A530F 1 0 -166
313 313 2020-02-05 6:34:54 72871.72 49748 1400 0 client finished 2 upfront_destination_changed 3017 600 client_destination_changed 1788 CA.5.23 finished finished DA.4.37 1587 TECNO-Y6 0 1
1176 1176 2020-02-13 17:31:24 20032.5 19500 10273 5067 1 client finished 1 upfront 14236 2778 2710 CA.5.04 finished finished DA.4.37 433 Itel W5504 0 0
1209 1209 2020-02-14 1:27:01 6.11 6.3 4924 513 1 client finished 1 upfront 4882 562 2732 CA.5.04 finished finished DA.4.39 1591 HUAWEI WAS-LX1 1 0
761 761 2020-02-09 6:51:20 20753.2 10500 10459 1874 1 client finished 1 upfront 4892 698 2173 CI.4.17 finished finished DA.4.19 982 TECNO MOBILE LIMITED TECNO KA7O 0 0
1662 1662 2020-02-17 18:24:45 2.61 6.5 2020 412 1 client finished 1 upfront 8545 888 3229 CI.4.18 finished finished DA.4.37 1701 Samsung SM-N950F 1 0 -2350
1904 1904 2020-02-20 16:38:34 13600.5 9540 1917 1 client finished 1 prediction 11018 1914 3557 CA.5.40 finished finished DA.4.31 605 TECNO K7 0 0
1999 1999 2020-02-21 11:02:38 4.14 2.5 3845 720 1 client finished 1 upfront 1883 298 3631 CI.4.18 finished finished DA.4.39 1960 Samsung SM-G930F 1 0 -5181
2366 2366 2020-02-24 8:51:31 8.04 8.1 9977 1257 1 client finished 1 upfront 9891 1282 4157 CA.5.44 finished finished DA.4.39 1339 HUAWEI BLA-L29 1 0 -652
2803 2803 2020-02-29 1:44:16 18.8 17107 1552 1 client finished 2 upfront_destination_changed 11054 962 client_destination_changed 4608 CI.4.17 finished finished DA.4.37 1695 LENOVO Lenovo TB-7304F 1 0 -100
3313 3313 2020-03-06 0:29:03 31.23 54757 6581 1 driver finished 3 upfront_destination_changed 13878 1381 driver_destination_changed 342 CI.4.19 finished finished DA.4.39 1459 Samsung SM-G950F 1 0 -58
3299 3299 2020-03-05 18:52:48 7.65 6.3 13355 1335 1 client finished 1 upfront 11823 888 282 CA.5.32 finished finished DI.3.37 214 iPhone9,3 1 0 -44
3675 3675 2020-03-09 10:50:57 8.53 11456 1205 1 driver finished 2 upfront_destination_changed 11482 1179 driver_destination_changed 700 CI.4.19 finished finished DA.4.42 629 Samsung SM-J610FN 1 0 -498
3638 3638 2020-03-08 21:01:19 13643.28 10365 1533 1 client finished 1 prediction 9088 1175 736 CI.4.19 finished finished DA.4.39 1968 TECNO MOBILE LIMITED TECNO CC7 0 0
3797 3797 2020-03-10 16:32:01 8.49 8.7 9276 1555 1 client finished 1 upfront 8781 1733 854 CA.5.46 finished finished DA.4.42 1889 Samsung SM-J730F 1 0
3406 3406 2020-03-06 20:24:49 4.6 4.5 5278 662 1 client finished 1 upfront 5632 546 397 CA.5.46 finished finished DA.4.42 1392 Samsung SM-A500FU 1 0
73 73 2020-02-02 14:46:22 15.67 22396 2237 1 client finished 2 upfront_destination_changed 9713 802 client_destination_changed 1436 CA.5.40 finished finished DA.4.37 2110 Samsung SM-G965F 1 0 -160

Variables in the file:

order_id_new, order_try_id_new - id of an order

calc_created- time when the order was created

metered_price, distance, duration- actual price, distance and duration of a ride

upfront_price- promised to the rider price, based on predicted duration (predicted_duration) and distance (predicted_distance)

distance - ride distance

duration - ride duration

gps_confidence- indicator for good GPS connection (1 - good one, 0 - bad one)

entered_by- who entered the address

b_state- state of a ride (finished implies that the ride was actually done)

dest_change_number- number of destination changes by a rider and a driver. It includes the original input of the destination by a rider. That is why the minimum value of it is 1

predicted distance - predicted duration of a ride based on the pickup and dropoff points entered by the rider requesting a car

predicted duration - predicted duration of a ride based on the pickup and dropoff points entered by the rider requesting a car

prediction_price_type- internal variable for the type of prediction:

upfront, prediction - prediction happened before the ride

upfront_destination_changed - prediction happened after rider changed destination during the ride

change_reason_pricing - indicates whose action triggered a change in the price prediction. If it is empty, it means that either nobody changed the destination or that the change has not affected the predicted price

ticket_id_new - id for customer support ticket

device_token, device_token_new - id for a device_token (empty for all the fields)

rider_app_version - app version of rider phone

driver_app_version- app version of driver phone

driver_device_uid_new - id for UID of a phone device

device_name- the name of the phone

eu_indicator- whether a ride happens in EU

overpaid_ride_ticket- indicator for a rider complaining about the overpaid ride

fraud_score- fraud score of a rider. The higher it is the more likely the rider will cheat.

Part II: Business Research

Please create an assessment for food delivery (courier delivery of food from restaurants) launch in a city of your choice. The output should be a spreadsheet including the following:

A top-down estimation of market size

Unit economics with profitability per order

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