The solution the venture provides to the problem
Velvioo’s customers will be able to use our mobile app to unlock well-designed, safe, and effective bicycles and electric bicycles anywhere, ride them for up to 45 minutes and then place them back anywhere - all for a very economical price.
The concept is very innovative for the Armenian market, as well as other small-to-medium sized cities. However, the real innovation (compared on a global basis) will be delivered when we launch our intelligent parking identification and car sharing capabilities in the same application – creating one mobility application for urban citizens.
The business value created through the venture
The core product/service provided initially is a bicycle and electric bicycle sharing program. Velvioo is targeting 18-35 year old’s, especially those in the financial services, IT, and telecommunications industries as we believe they will be more open to trying new modes of transportation. The initial market in Yerevan, will target roughly 400,000 18-35 year old’s. Another customer that Velvioo is targeting is large corporations to sponsor the bicycle sharing program. They have already secured Ameriabank as the key sponsor for Yerevan, hoping to attain others in the near future. Velvioo also believes tourists, with knowledge and experience from bike-share programs in other cities, will also be inclined to purchase Armenia Bikeshare’s single ride and weekly passes.
The social value generated through the venture
Growing cities, particularly ones in Armenia like Yerevan, have a growing congestion problem. This causes multiple issues, including reduced economic activity, environmental and health issues, a negative tourist experience, and many others. Velvioo helps provide multiple benefits for both Armenian cities and Armenian citizens. There are currently no Bikeshare companies in Armenia at the moment, while many Armenian media sources have discussed the growing demand for alternate modes of transportation, such as bicycles. For example, in August 2018, students at Armenian universities promoted the idea of students going to class with bicycles to reduce the congestions.