How We Started An Automotive Software Business
Hello! I'm Rakesh Biswal, one of the Co-founders of RAMP GLOBAL, a startup at the forefront of revolutionizing the automotive aftermarket industry. Our journey began with the vision of bridging the gap between car maintenance facilities and data-driven decision-making.
Initially, we focused on developing smart solutions for auto repair workshop management aimed at simplifying administrative tasks for auto repair shop owners and operators. However, as we immersed ourselves deeper, we identified additional gaps in the industry which raised our levels of interest and indulgence.
Our flagship product, RAMP WMS, started as straightforward garage management software and primarily focused on billing and repair process management.
However, through extensive market research and customer feedback, we evolved our offering to include fleet maintenance solutions for companies managing large fleets. Our goal is to assist these companies in reducing losses, streamlining operations, and ultimately increasing profits.
Furthermore, recognizing the demand for efficient management of heavy vehicles in sectors such as construction, we developed FUPO - Fleet Utilization, Productivity & Optimization, a construction equipment productivity and engagement management system. This system allows for the monitoring of heavy vehicles, providing valuable insights into their engagement, performance, and maintenance needs.
We ended up signing the largest construction company from India as our first client which was a big validation of the impact the product would create. As per a case study published, we have been saving them over Rs. 4 Crores annually per 100 equipment in direct costs.
Additionally, we have been proactive in forging collaborations with government and semi-government institutions to digitize motor insurance claim operations nationwide. These partnerships highlight our commitment to driving innovation and digital transformation in the automotive industry.
Our journey at RAMP has been marked by continuous evolution and innovation, driven by our passion for creating value and solving real-world problems. As we look into the future, we are excited about the opportunities ahead and remain committed to pushing the boundaries of what is possible in the automotive aftermarket.
What's your backstory and how did you come up with the idea?
My journey as an entrepreneur began with several ventures that offered invaluable lessons in execution, business development, and strategy. Together with my co-founders, Amit Kumar and Praveen Yalla, we remained vigilant for opportunities to craft impactful solutions. However, it was a conversation with a friend who owned vehicle workshops that sparked the inception of RAMP.
Spending time in these workshops and understanding their challenges revealed an untapped market and the potential to digitize the automotive repair industry. With our collective expertise and positive feedback from potential customers, we realized the significance of our endeavor.
Initially, we focused on creating a straightforward garage management and billing solution. Yet, as we delved deeper, we uncovered opportunities to collaborate with vendors, fleet operators, and leasing companies to streamline vehicle ownership experiences. This expanded vision culminated in the development of RAMP, with a mission to simplify vehicle ownership for individuals, businesses, and organizations.
Our educational backgrounds, combined with our professional experiences, equipped us with the necessary skills and insights to adapt and enhance the platform continually. We are committed to meeting the diverse needs of our users and ensuring RAMP remains at the forefront of innovation in the automotive industry.
Take us through the process of building the first version of your product.
Building the first version of RAMP WMS was immensely challenging citing a limited understanding of the founders of the industry. Thus, we needed meticulous planning and execution while keeping in the loop with the customers continuously to understand the intricate details of the business is very important.
We began by spending a lot of time in the workshops and understanding the specific needs of those auto repair shops, the user (employees) behavior, vehicle owner expectations, etc, and design features to address their pain points.
Our team worked tirelessly to develop the initial modules of the software, focusing on user-friendly interfaces and seamless functionality. Prototyping, testing, and refining were integral parts of the process, ensuring that our product met the highest standards of quality and usability.
How long did it take you to build the product?
Before launching, it took approximately 8 months to develop the initial basic solution. However, as we received incoming requirements, we continued to make updates to our product to enhance its capabilities.
How much did it cost?
Initially, with a small development team, the cost amounted to approximately 15-20 lakhs Indian Rupees (~$20K USD), excluding our efforts. This investment was sourced from our co-founder's funds.
What tools or tech did you use to build?
As we started operating in bootstrapped mode, we relied more on open source technologies in the development process. Using open source technologies, we created our own framework, called SPACE (Service Provider And Consumer Enablement) framework to quickly scale our digital platform on the technical front.
How did you fund it?
The development of the product was funded entirely using our finances, without any external investment.
What was the business model?
As we are providing our solutions in SAAS space, our business model has focused mostly on the subscriber and the type of products being subscribed for. For some products we have license/subscriber based revenue and for some products, we had business/revenue model based on value added offerings and for some products, we had business/revenue model based on no of vehicles onboarded on the system.
Describe the process of launching the business.
Our launch strategy centered around building a strong relationship with customers and reaching out to potential customers through targeted channels. These were primarily people in low income groups or people with low levels of technical literacy. We knew that the approach that needs to be taken has to be very personal and handholding would be required at many levels.
We understood their behavioral patterns and realized that the resistance from middle and lower management towards shifting to a technology platform to manage business would be very high due to multiple reasons often involving conflict of interests and unethical practices.
We invested in establishing a team that could understand the importance of relationship building and deliver accordingly. They were trained to build confidence at every level of the hierarchy and educate them about the benefits of using software for their own good.
Financing the business initially was a combination of personal savings and strategic partnerships. While we didn't go through a funding process, we did learn valuable lessons about managing costs and optimizing our resources.
This stays with us throughout our journey and helps us to be grounded. The biggest takeaway from our launch was the importance of agility and adaptability in responding to market feedback.
We began by spending a lot of time in the workshops understanding the specific needs of those auto repair shops and design features to address their pain points.
Since launch, what has worked to attract and retain customers?
Attracting and retaining customers has been a continuous journey of learning and adaptation. We've found success through a combination of relationship-building with clients and delivering up to their expectations each time. Our focus on providing exceptional customer support and regularly updating our product based on user feedback has helped us build very high levels of trust with our customers.
While our product sells for a premium, it is important to mention that for a very long time until COVID-19 happened, our dropout rates remained below 5% even in such a price-competitive customer segment. After COVID we have come back stronger than ever and are retaining our customer loyalty better than before.
Up to now, we have acquired significant number of auto repair workshops globally, with the majority, comprising 72%, are in the Indian market, with 15% located in the Middle Eastern continent, and the remaining portion spread across regions such as the US, Canada, and Africa.
How are you doing today and what does the future look like?
Today, RAMP is experiencing significant growth, with a robust customer base and expanding operations in multiple cities globally with its various products. We are constantly striving to enhance our performance and operational efficiency.
Looking ahead, we envision continued innovation and expansion into new markets, with a focus on delivering value-driven solutions to our customers.
Our short-term goals include increasing market penetration and optimizing our product offerings, while our long-term vision involves becoming a global leader in automotive post-sales lifecycle management.
Through starting the business, have you learned anything particularly helpful or advantageous?
Starting RAMP has been a journey of growth, challenges, and learning. We've made our fair share of mistakes, but each one has been a valuable lesson in resilience and perseverance.
One of the most important lessons we've learned is the power of listening to our customers and being adaptable in our approach.
By staying agile and constantly seeking feedback, we've been able to iterate and improve our product, ultimately driving our success.
Allow me to share a real story from our journey. Approximately six months after the launch of our solution, we had onboarded around 30 to 40 workshops. During this time, we adopted a hands-on approach by regularly visiting these workshops to ensure a seamless experience with our solution.
It was during one of these interactions that a customer raised a pertinent question: could they enter their daily expenses into the system as well?
This simple query sparked a profound realization. In the day-to-day operations of an auto repair shop, transactions extend beyond just service charges. Workshops frequently engage in various exchanges, from providing lunch for technicians to purchasing spare parts and making payments, all of which are meticulously recorded in documents.
Recognizing the common struggle among workshops to manage their day-to-day finances in a centralized manner, we understood the significance of incorporating this feature into our solution. Hence, we promptly integrated functionality that enabled workshops to input their daily expenses directly into our system.
This anecdote underscores our commitment to actively listening to the needs and challenges faced by our users. By responding to their feedback and evolving our solution accordingly, we strive to empower workshops with the tools they need to streamline their operations and achieve greater efficiency.
What makes RAMP unique?
What makes RAMP unique in this scenario is its proactive approach to listening to customer feedback and promptly implementing changes to meet their needs.
By actively seeking input from its user base and taking swift action based on that feedback, RAMP demonstrates its commitment to delivering a customer-centric solution that evolves with the needs of its users. This responsiveness and agility set RAMP apart from competitors and contribute to its reputation as a customer-focused platform.
My advice to aspiring entrepreneurs is to stay focused on solving a real problem and never be afraid to fail.
What platform/tools do you use for your business?
Most of our platform has been developed on the LAMP stack, owing to the ease of prototyping, development, and launch of the various software products that form part of this platform.
We have also been using other technologies like Python, NodeJS, mongo, and various other technologies for data analytics and reporting.
Android and Flutter also need a mention as that is what was used to develop our native and hybrid apps for mobile platforms.
What have been the most influential books, podcasts, or other resources?
There have been a few books that have influenced me, but one particular book that needs to be mentioned is “The 7 Habits of Highly Effective People” which talks about particular habits and how to develop them (practical ways) to become successful in personal and professional life.
Advice for other entrepreneurs who want to get started or are just starting out?
My advice to aspiring entrepreneurs is to stay focused on solving a real problem and never be afraid to fail. Building a team that shares the same vision as yours is the most critical factor in being able to build a successful and impactful business.
Embrace challenges as opportunities for growth and always keep the needs of your customers at the forefront of everything you do. Surround yourself with a supportive network of mentors and peers who can offer guidance and encouragement along the way.
And most importantly, never lose sight of your passion and purpose – they will be your greatest sources of motivation in the journey ahead.
Are you looking to hire for certain positions right now?
We are seeking talented individuals from the industry to join our team in various capacities, including software development, marketing & sales, and customer support. If you are passionate about innovation and eager to make a difference in the lives of people in the automotive industry, we encourage you to explore opportunities with RAMP.
Where can we go to learn more?
If you have any questions or comments, drop a comment below!
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