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if you're the one - DM me some of your work
please RT or tag anyone you know
Founder of @telegram, just got arrested because it is encrypted 🤯
But why, what happened, and how did it happen? 😱
Give me 2 minutes, and let me give you the entire story 🗞️
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IndiGo (InterGlobe Aviation Ltd) is saving around 59 crores every year by not giving you a water bottle on your flight 😳
So, yesterday, I took a flight - usually, it’s Vistara, but because it wasn’t available on the route, I had to take Indigo - after 3-4 years.
I admired Indigo for its operational efficiency - things like making the flight ready for the next flight even before landing and ensuring the check-in and check-out take minimum time by making the boarding via zones (seat-wise).
But, one thing made me very curious and confused this time - I saw the cabin crew serving water in cups rather than giving a 250ml bottle, which felt odd.
Knowing it’s Indigo - I knew this was a cost-cutting measure, so I started doing my maths.
Case 1 - For a mineral water bottle of 250ml
a. Cost of the bottle - ₹6-7 (the retail price is ₹10 - so in bulk, it might be around this)
b. No. of passengers in an average flight - 180
c. No. of bottles per passenger - 1.5 (considering some ask for water 2-3 times during the flight)
d. No. Of flights, Indigo operates in a day - 2000
So, money spent on the water bottle in a day by Indigo -
(Cost of a bottle)*(No. of passengers in average flight)*(No. of bottles per passenger)*(No. of flights Indigo operates in a day)
6*180*1.5*2000 = 32,40,000/day
Yearly, it costs - 118 crores to serve water on planes 🤯
Now, Case 2 - Water was poured from the Bisleri ₹20 bottle for water cups.
a. Cost of cup - ₹0.5
b. Cost of water for 1 cup (150ml) - ₹2.5 (considering it will cost 3rs for 150ml, at price of 20rs/ltr - in bulk small savings would be there)
c. No. of passengers in an average flight - 180
d. No. of time water poured per passenger - 1.5 (considering some ask for water 2-3 times during the flight)
e. No. of flights Indigo operates in a day - 2000
So, money spent on giving water in a paper cup by Indigo -
(Cost of a cup+ cost of water)*(No. of passengers in average flight)*(No. of time water poured per passenger)*(No. of flights Indigo operates in a day)
3*180*1.5*2000 = 16,20,000/day
Yearly, it costs - 59.1 crores to serve water in cups on planes.
Which means (drumroll, please)
A saving of 58.9 crores straight every year 🤯
Approximately 50% of the cost is cut by just this simple change, adding to its profits.
Mindblowing 🤯
What do you think about this - do you think this is a good move by Indigo, or does this hamper the customer experience? Please share your thoughts below 👇🏻
If you liked reading this, follow Rohan, and I’ll share more such insightful posts daily.
Apple is going to levy a tax of 27% on every iOS app, even if the payment happens outside of the app store 😳
Here is a bit of background on this -
1. From the start of the App Store, Apple has charged a 30% commission on any in-app payments that happen inside the App Store.
2. This is huge, but developers have no option but to pay this - because they won't get the distribution Apple provides anywhere else. Even though this suffocated many people, no one ever voiced it out a lot 😩
3. To give you a perspective - Imagine you earn 100rs from your app; you will have to give 30rs to Apple as commission, then another 12-20rs as government taxes, and you're left with only 50. So you're half of the revenue is gone even before it hits your bank. With this 50% revenue, you must cover all your costs - i.e., salaries, servers, operations, etc 🤯
4. To fight this, EPIC (the company behind Fortnite) filed a suit against Apple after it banned the game from the App Store, as it was asking the users to pay from the web app rather than in-app.
5. After many court hearings - the Court ruled against Apple and asked that it give users the option to pay from other mediums (like payment links) 🤌
Now, the trouble for Apple was that it might lose a lot of revenue if this happened. All the apps will try to surpass in-app payment and redirect users to pay outside the app.
1. So, how is Apple trying to solve it?
They are levying a commission of 27% on any payment that happens outside of the app store (WTF moment! - what was the point of the court case then?)
Now, the second question is.
2. How will it know which payment happened outside the app, and how will they enforce this?
This is where it gets very evil. Apple has updated its terms and conditions and now added a very shrewd term where it has specified that -
a. The developers/companies will have to provide transaction reports to Apple every 15 days. Even if there are no transactions, you have to submit this report.
b. If they fail to provide this information late, they will also have to pay interest.
c. Apple can audit the company's financial books anytime, and if the developer refuses to comply, it could lead to the termination of the app from the App Store 😳 (yes, you heard it right)
This is where it gets purely evil - even after the court order if Apple is resorting to this, it means they don't want people to use other payment options than in-app, and the screen where you go outside of the app to pay - is written in a way, where no one will go outside the app.
Apple's 2022 revenue from the Appstore was $86.8bn (around 71,660 crores), and I can understand that it's very hard for Apple to let go of this much revenue, but now, because of these anti-user steps, it's losing many allies.
What do you think about this 27% tax move from Apple? Share in comments 👇🏻
If you liked reading this, do follow me @lets_dig_deeper and I'll share more such insightful stories daily.
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