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Urban Clap

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81 views42 pages

Urban Clap

Uploaded by

sajalagam2610
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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INTRODUCTION

UrbanClap is a platform to make our urban lives more fulfilling


to solve our needs in a clap. Hence the name, UrbanClap.
UrbanClap is India's largest at-home services marketplace. The
platform helps customers hire trusted professionals for services
such as salon at home, cleaning, plumbing, carpentry, interior
design, wedding photography, yoga training and more. Since its
inception in 2014, UrbanClap has built a network of 100,000+
hand-picked service professionals, and served over 2 million
customers across major metropolitan cities of India.

UrbanClap is a platform to make our urban lives more fulfilling


to solve our needs in a clap. Hence the name, UrbanClap. It
enables users to find any service professional like a plumber, a
wedding photographer, a yoga teacher, or an interior designer.
They want to be the go-to platform helping customers complete
the projects that are important to their urban lives – everything
from designing their homes to capturing key moments, learning
arts, filing taxes, and getting healthier etc.

UrbanClap is recognized as the fastest-growing startup in India.


Customers hire trusted professionals for all their service needs.
Consisting of young and passionate people working tirelessly to
make a difference in the lives of people by catering to their
service needs at their doorsteps. Currently, the company has
1
employed over 300 people, with over 65,000 professionals
having been enlisted. It is fully operational in at least 16 cities
in India
Organized service commerce is a large yet young industry in
India. While India is a very large market for home and local
services (~USD 50 Billion in retail spends) and expected to
double in the next 5 years, there is no billion-dollar company in
this segment today. The industry is barely ~20 years old, with a
sub-optimal market architecture typical of an unorganized
market – fragmented supply side operated by middlemen. As a
result, experiences are broken for both customers and service
professionals, each largely relying upon word of mouth to
discover the other. The industry can easily be 1.5-2x larger than
it is today, if the frictions in user and professionals journeys are
removed – and the experiences made more meaningful and
joyful.

2
UrbanClap is a “services platform”, with the bold ambition to
organize the key verticals within the service commerce industry,
bringing in the benefits of scale - structured processes, systems,
standardization, transparency and trust. This platform will
enable billions of dollars in commerce annually, and create jobs
for 1 million+ service professionals. The key industries that we
are going to organize over the next few years include – home
improvement, home maintenance & repairs, appliance repairs,
salon spa & makeup services, fitness & health at home,
academic tuitions, photography & events, packing & moving
etc.

3
ABOUT CO-FOUNDER

ABHIRAJ BHAL

Abhiraj is responsible for operations and service provider


onboarding at UrbanClap, he was a consultant with The Boston
Consulting Group, advising fortune 500 companies across India,
Germany and South East Asia. He holds a B.Tech in Electrical
Engineering from IIT Kanpur and an MBA from IIM
Ahmedabad..

4
RAGHAV CHANDRA

Raghav leads the technology and product development at


UrbanClap. He has spent the majority of the last decade at the
silicon valley.

He was a software engineer at twitter in San Fransisco. Raghav


holds a Bachelor of Science degree in Computer Science and
Engineering from the University of California, Berkeley.

5
VARUN KHAITAN

Varun is responsible for marketing and product growth at


UrbanClap. Prior to the UrbanClap Varun worked at the Boston
Consulting Group where he advised leading companies across
USA, Turkey and India on business strategy and on Qualcomm
Inc. where he designed next generation mobile technology.
He holds a B.tech in Electrical Engineering from IIT Kanpur.

6
BUSINESS MODEL

The working of urbanclap is based on two simple models:


For standardized, blue collared serviceslike electricians or
home cleaning, where you just want the job done, you can
directly book and pay for the service on their app. 5

For white collared services, which are the larger part of the
business, like photographers, interior designers or yoga
instructors, UrbanClap makes the effort to understand exactly
what you need, and helps you hire the right professional, in your
budget, most suited to meet that need.
This is done through an automated match-making algorithm,
which the team is investing heavily to continue perfecting.

Not just that... In order to have certainty about the professionals


that they hire, as in if the people they are hiring are legitimate,
they have a system of background check and police verification.

7
For the purpose of such work they are smart enough to have
hired a retired Superintendent of Police which again helps in
creation of a job opportunity.

8
HOW IT WORKS

1. The first step is simple and precise for the customers to


understand the services and facilities and how they are to be
accessed.

2. Urban Clap filter the choices and narrow it down to the


choices picked up by their customers and keep in mind the
importance of transparency and the level of the transparency
their customers are looking for in order to gain their trust.
Looking for in order to gain their trust.

3. After customer have chosen their suitable professionals.


Customers get in touch with the professionals through them to
assure that they have chosen what they want and avoid
misconceptions.

4. After having assured that their customer is satisfied and ready


they promise their best to the customer.

9
MARKET COMPETITORS:
Sulekha
Localoyee
Taskbob
Local Vendors

INVESTORS
Rathan Tata
VY Capital
Saif Partners
Accel Partners
Bessemer Venture Partner

10
MARKETING TECHNIQUES

The most important factor of marketing technique for


companies like Urbanclap is Word Of Mouth. So the most part
of promotion involves people talking about it. Other than that
they use social media for their promotion by the mode of
advertisement.

At first, they divided the target market into different segments


say students , working people for example, For most of the
students group there used to be a link in the top right corner of
their facebook screens with cooked food images saying
‘Missing Home Cooked Food’ which created acuriosity among
the people living away from their houses and the fuss having
been created they acquired a large share of market in most of
the student areas! Initially, when this Delhi based company

11
began spreading its market area in Mumbai, they chose one girl
to carry out this little technique.

On the 1st day they sent her a chocolate without any name or
address. On the 2nd day they sent her a cake with the mere
name of the cake shop On the 3rd day they sent her a bouquet
And then on the 4th day they sent her an e-mail telling her that
it was them sending her all those things.

With this what happened was that in the span of those 4 days,
the girl called every person including her relatives, friends and
colleagues being disturbed with who it was that had been
sending her all those items. So when these guys came clean they
had already acquired an entire circle of 1 person which in itself
happened to be a great achievement and a brilliant idea of
marketing.

Then they came up with the advertisements of special occasions


like mother’s day, different festivals, etc. Similarly when they
designed their project for Pune, they made advertisements in a
way that it looked like moving to Pune is the simplest thing that
can be done but there’s something left to do and they came up
with what you should do before doing that.

12
The bottom-line of there strategy even according to its co-
founders is that everything a person can possibly think of
having to do or get it done be it because of the weather, or
because of the traffic, or pollution all it is required for them is to
can clap their hands and urban clap will be there to fix that.

13
SWOT ANALYSIS
STRENGTHS
Wide range of choices in services.
Direct Interaction between the professionals and customers.
The services are mostly provided at the residence, office or
chosen venue of the consumer.
Service is available on android/ios app as well as through
website.
It has over 10,000 customers on their platforms and
connections worth 5crores of business value.

WEAKNESS
Lack of awareness among the Indian population regarding
online services provided by urban clap.
Lack of trust among the Indian population because it comes
under e-business.
The share of people in rural area is more than urban area
therefore it becomes difficult for u.c to reach the masses.

14
OPPORTUNITIES:
Expansion of business:
By targeting other service lines company can increase their
revenues as well as it can have Economies of scale.
Expanding their Product categories:
This will increase their customer base & at the same time will
reduce the cost of acquisition and customer switch .

15
VISION AND MISSION STATEMENT

Vision
To evolve and position the company as a world class,
progressive, cost effective andcustomer friendly company
providing services at home .

Committed to excellence in serving the public.

To provide luxury services at affordable prices.

Mission
To provide excellent professionals and services and improve its
position as a leader in quality services.

Build and maintain a team of motivated workforce with high


work ethos.
Use latest technology aimed at customer satisfaction and act as
an effective catalyst for socio economic development.

16
COMPANY’S VISION
UrbanClap's vision is to empower 1 million+ service
professionals to become micro service entrepreneurs.

Prior to joining UrbanClap, most of these professionals, be it


plumbers, beauticians, carpenters etc., would typically earn INR
10-15k per month, working for a local shop, aggregator or as a
freelancer.

The UrbanClap platform enables these professionals to become


micro-entrepreneurs by helping them in 5 key areas – Customer
Access & Brand.

Working as an individual franchisee of UrbanClap.


Access to a steady stream of customer orders, forming >80%
of the service professional's business, if not 100% Financing &
Insurance.
Opening bank accounts, access to loans for upfront kits, 2-
wheelers, home etc.
Life and Accidental Insurance Programs Tech-Led
Standardization Standardizing the service - creating SKUs,
fixed and transparent pricing, clear servicedeliverables,
defined SOPs, delivery tracking, payment systems, reviews etc.,
17
to help remove friction from the service experience Training &
Certification .

Soft and Core Skills Training imparted in our training centers


and via the app Product.
Procurement. Purchasing consumables (Spares, cosmetics,
paints etc.) needed for service delivery in bulk.
This helps service professionals become more organized, and
multiplies their earnings. E.g. - Beauticians typically earn INR
40 to 50k per month with no upper ceiling (Many earn > INR
100k per month), while in the local salons, they would earn
between INR 8 to 15k per month.

18
MARKETING SKILLS OF URBAN CLAP

To stand out from other startups, based on their services urban


Clap is using different types of marketing skills. This way it is
making way to customer’s mind to have their attention. Some of
the marketing methods used are:

1. SEARCH ADS

Advertisement are everywhere to redirect you to the stuff where


you want. Google search ads play the same role. If you enter any
keyword related to their website you will see their search ads on
the browser.

2. SOCIAL MEDIA LIKE FB AND INSTAGRAM

Almost every internet user is on social media platforms. It’s a


best way to reach out to the audience. Using social media ads on
Facebook and Instagram they try to reach every potential
customer they can.

3. POSTING VIDEOS ON PLATFORMS LIKE YOUTUBE

Urban Clap posted very heart-touching and relatable videos to


grab attention of audience in relaxing their lifestyle through
Urban Clap. In this way they are also reaching into the audience
on YouTube even in their ads.

19
4. THROUGH SOCIAL MEDIA INFLUENCERS

Social media influencers have lots of followers who believe in


them. Make them promote their services attracts audience. This
way people trust their services.

HOW URBAN CLAP MANAGES ITS SERVICES?

Urban Clap gives you easy access to its home services using
online website and through mobile application.

Urban Clap has developed interactive and easy to understand


platform. Anyone can use and book their services easily. Either
customer or professional access the functionality effectively.

20
FUTURE GOALS

Urban Clap is growing at a very fast pace. It is one of the most


successful startup in providing services at home in India. They
are also expanding their services in many other cities. Moreover,
recently they are also working in Dubai in making their services
available efficiently.

No doubt, Urban Clap grows, so fast instead of tough


competition from other similar startups. They are changing
themselves regularly to provide better services to its customers.
They have also included a chat option so that users can chat to
their selected servicemen with ease if they are unable to call.

All this shows how fast and willingly they are moving ahead.
With the ups and down in their path they have already achieved
biggest milestones.

21
OBJECTIVES

It is of utmost importance that a project’s objectives are stated


clearly as these will impact every decision in the project
lifecycle. Project objectives must be measurable and contain
key performance indicators that will be used to assess a
project’s success. These indicators will often encompass areas
such as budget, quality, and time to completion. They are the
specific goals that everyone hope to accomplish within the
project. The Objectives of carrying out a major project on
Revenue Generation by Fitness Category at UrbanClap
Technologies India are the following;

To study the revenue generated by fitness category.


To study the demand of female and male trainer in market
. To compare the market Position of UrbanClap with its existing
competitors and identify its market share.
To know the trail complete percentage and trial cancelled
percentage.
To know the satisfaction level of respondents.
To compare revenue generated by various service

22
UrbanClap works on 2 software’s
SLACK
SHERLOK
SLACK
Slack is a cloud-based set of proprietary team collaboration
tools and services, founded by Stewart Butterfield N Slack
began as an internal tool used by his company, Tiny Speck in
the development of Glitch a now defunct online game. The
name is an acronym for "Searchable Log of All Conversation
and Knowledge". Slack was launched in August 2013.[18] In
January 2015, Slack announced the acquisition of Screen hero
In March 2015, Slack announced that it had been hacked over
the course of four days in February 2015, and that some number
of users’ data was compromised.

That data included email addresses, usernames, hashed


passwords, and, in some cases, phone numbers and Skype IDs
that users had associated with their accounts. In response, Slack
added two-factor authentication to their service. Slack used to
offer compatibility with the non-proprietary IRC and XMPP
messaging protocols, but announced in March 2018 that it
would close the corresponding gateways by May 2018.
In August 2018, Slack bought IP assets of Atlassian’s two
enterprise communications tools, HipChat and StrideWhile no

23
longer using an IRC backend, Slack offers many IRC-like
features, including persistent chat rooms (channels) organized
by topic, private groups and direct messaging.All content inside
Slack is searchable, including files, conversations, and people.
On the free plan, only the 10,000 most recent messages can be
viewed and searched. Users can add emoji buttons to their
messages, which other users can then click on to express their
reactions to messages.

Messaging
Public channels allow team members to communicate without
the use of email or group SMS (texting). They are open to
everyone in the chat provided they have first been invited to
join the client. Private channels allow for private conversation
between smaller sects of the overall group.

These can be used to break up large teams into their own


respective projects. Direct messages allow users to send private
messages to a specific user rather than a group of people.[26]
Direct messages can include up to nine people (the originator
plus eight people). Once started this direct message group can
be converted to a private channel.
Integrations
Slack integrates with a large number of third-party services and
supports community-built integrations.] Major integrations
include services such as Google Drive ,Trello Dropbox
24
HerokuIBM and Zapier In December 2015, Slack announced
their app directory, consisting of over 150 integrations that
users can install.[31] In March 2018, Slack announced its
partnership with the financial and human capital management
firm Workday; Adding to slack’s list of plugins. This
integration allows Workday customers to access features from
directly within the Slack interface.

SHERLOCK

Sherlock, named after Sherlock Holmes, was a file and web


search tool created by Apple Inc. for Mac OS (not to be
confused with macOS), introduced with Mac OS 8 as an
extension of the Mac OS Finder's file searching capabilities.
Like its predecessor, it searched for local files and file contents,
using the same basic indexing code and search logic found in
AppleSearch.
Sherlock extended the system by enabling the user to search for
items through the World Wide Web through a set of plugins
which employed existing web search engines. These plugins
were writtenas plain text files, so that it was a simple task for a
user to write a Sherlock plugin. Sherlock was replaced by
Spotlight and Dashboard in Mac OS X 10.4 Tiger, although
Apple continued to include it with the default installation.
Since most of the standard plug-ins for Sherlock provided by
Apple itself no longer function, it was officially retired and

25
removed in the release of Mac OS X 10.5 Leopard in 2007.
Sherlock.urbanclap.com has a estimated value of $123,120. It
receives around 14,275 unique visitors per day and 85,650 daily
page views which may earn a revenue of $171.00/day from
different advertising sources. Alexa world traffic rank is 28,273
and Alexa India rank is 1,876. Page speed score of 28 out of
100.

26
DATA PRESENTATION, ANALYSIS AND
INTERPRETATION

UrbanClap is India's largest home services marketplace. The


platform helps customers hire trusted professionals for services
like salon at home, cleaning, plumbing, carpentry, interior
design, wedding photography, yoga training etc. Since its
inception in 2014, UrbanClap has built a network of 100,000+
hand-picked service professionals, and served over 2 million
customers across major metropolitan cities of India.

27
On-demand home services marketplace UrbanClap saw its
operational revenues jump 309% to about Rs 45 crore in FY18
from about Rs 11 crore in FY17. Backed by Bessemer Venture
Partners and Vy Capital, the firm also managed to reduce losses
by 25% to about Rs 50 crore in FY18 from Rs 66.7 crore last
year .
April 2018 UrbanClap clock Rs 8.75 crore in operational
revenues with commission revenues at Rs 7.25 crore and
another Rs 1.5 crore worth of products sold to professionals.
“Our cost base has remained largely flat over the past two years
while we have seen steady and solid growth in business.
The aim is to build a large-scale business and hence UrbanClap
will continue to invest in growth. For Urban Clap, its operating
revenues comprise commission on services delivered and
revenues from sale of products with commissions forming
almost 85% of the pie. Commissions on services delivered
typically form about 10-20% of the ticket size across categories
with some categories, such as beauty, on the higher end of the
commission spectrum.
The company claims to have bagged 4,50,000 orders with an
average order value of Rs 1200-1500 in April alone, even as the
gross transaction value of services sold stood at about Rs 50
crore for the last month. UrbanClap has also managed to bring
down its monthly cash burn to under Rs 2 crore in FY18 from
about Rs 7 crore last year, Bhal claims.

28
The firm also has cash reserves of about Rs 220 crore to further
invest in growth areas and build some of the less frequently
transacted categories. While beauty and appliance, are top
categories for UrbanClap.

Fig-2 Shows the revenue generated by various services at


UrbanClap. It is observed that 65% of the revenue is being
generated by 2 services salon at home and spa at home.
So it is rightly said that these two services are working as a
blood of the company, which means salon at home and spa at
home are the 2 services which contributes 65% of the total
revenue to the companies profit.

29
As per data of 100 customer fig-3 depicts that only 18% of
customer requested for female trainer and rest 82% of customer
want male trainer across Delhi Ncr. UrbanClap tries to increase
the demand of female trainer but due to unavailability of female
trainers in market UrbanClap fails to achieve its target, which is
to increase the demand of female fitness trainer.

30
The 3 different categories of trainer are
Normal-
Female Trainer (7200/12)
Standard –
Male Trainer (6000/12)
Premium –
Male Trainer (8000/12)

The fig-3 shows that 18% of the customer requested for normal
trainer which is category for female trainer. 17% of the
customer requested for premium trainer which is a category of
male trainer in which the customer has to 8000 for 12 session
whereas the base charges are 6000 for 12 session.

The premium trainers have more experience than standard


trainer and have more knowledge about injuries as well, so here
customer has to pay 2000 more if he/she wants to hire a
premium fitness trainer. 64% of the customer requested for
standard trainer which is more than normal and premium
category. In standard category customer has to pay 6000 for 12
session and it is for male trainer.

31
Depicts status of trials as before buying the package of 6000, 7200 &
8000. Customer placed a request for trail and he/she is been charged 99
rupees for that. Once the customer has booked the trail he/she has to just
wait till the time UrbanClap provides them a trainer according to their
needs and wants.
This fig shows that out of 100 trials only 59 can get completed, which
means 59% of the trials get completed and rest 41% of the trials get
cancelled. The reason for 41% of cancellation of trials are- sometimes
the customer places the request by mistake another reason is that the
customer needs to travel urgently, family issue and emergency is
another one of the main reason for trial cancellation, one of the biggest
issue that I face during my internship was that the customer was busy in
his work and time schedule.

32
UrbanClap aims at reducing the trail cancellation ratio as it
reduces the revenue of company. And decrease in revenue
amount is a matter of great concern for any firm. So UrbanClap
aims at increasing the trial completion ratio and decreasing the
trail cancellation ratio.

Depicts Medical issue faced by respondent, The fig shows that


25% of the respondent are facing any serious medical issue
where as 75% of the respondent are fit and healthy.

33
Depicts the satisfaction level of customer. In the above graph it
shows that Only 14% of respondents are very satisfied with
urban clap services while, 43% are satisfied and 43% are
neutral, Which means UrbanClap needs to deliver the services
more effectively and efficiently as they only have 14%
customers who are very much satisfied with their services.

34
METHODOLOGY

Methodology is the systematic, theoretical analysis of the


methods applied to a field of study. It comprises the theoretical
analysis of the body of methods and principles associated with a
branch of knowledge. Typically, it encompasses concepts such
as paradigm, theoretical model, phases and quantitative or
qualitative techniques. This chapter aims to understand the
research methodology establishing a frame of evaluation and
revaluation of primary and secondary research. The technique
and concepts used during primary research in order to arrive at
findings. Which are also deal with and lead to a logical decision
towards the analysis and result.

RESEARCH DESIGN

I propose to conduct a intensive primary and secondary


research to understand the full impact and implication of the
industry to review and critique the industry norms and reports,
on which certain issues shall be selected , which I feel remain
unanswered or liable to change , this shall be further taken up in
the next stage of exploratory research .This stage helps me to
restrict and select only the important question and issue, which
inhabit growth and segmentation in the industry.

35
SOURCES FOR DATA COLLECTION:

Primary Data Collection Sources:


It has been collected by forming a proper questionnaire.
Questionnaire is a systematic and structured manner of
collecting data for conducting experiment. The nature of the
questionnaire is very inductive and fundamental. It has been
kept in a proper framework to make it clear to the retailers.
Primary data can be collected in five main ways:
Observation
Focus groups
Surveys
Behavioral data
Experiments Among these, ‘survey method’ was selected to
collect the primary data.

The data has been collected from 100 customers


(b) Secondary Data Collection Sources:
Secondary sources Information was collected from secondary
sources such as customer survey, newspapers advertisements,
newsletters, etc.

36
DATA COLLECTION
Data collection took place with the help of filling of
questionnaire. The questionnaire method has come to the more
widely used and economical means of data collection. I found
it essential to make sure the questionnaire was easy to read and
understand to all spectrums of people in the sample. It was also
important as research to respect the samples time and energy
hence the questionnaire was designed in such a way that its
administration would not exceed 4-5 mins. The questionnaire
was personally administered . The first hand information was
collected by making the people fill the questionnaire. The
primary data collected by directly interacting with the people.
The respondents were contacted at their workplace and home.
The data was collected by interacting with 100 respondents
consisted of house makers , students ,businessman
,professionals etc. The required information was collected by
directly interacting with these respondent
SAMPLE SIZE
I have targeted 100 people in the age group of 10-60 yrs for
the purpose of the research. The target population influences
the sample size. The target population represents the people
from Delhi Ncr and the people were from different
backgrounds. The details of our sample and data representation
are shown in chapter-3.

37
SUMMARY & CONCLUSIONS
RESULT OF THE STUDY
50% of the company’s revenue is being generated by 2 services
i.e. Salon at home and Spa at home.
Out of 100 respondents 82 respondents preferred male trainer
and rest 18 respondents preferred female trainer.
Out of 100 respondents 65 respondents preferred Standard
trainer while 18 preferred Normal trainer and rest 17 preferred
Premium trainer.
59% was the trail complete ratio and 41% was the trail
cancelled ratio.
75% of the respondents were medically fit while 25% were not.
The above graph shows that 14% of respondents are very
satisfied with UrbanClapServices, while 43% are satisfied and
rest 43% are normally satisfied with UrbanClap services

Since UrbanClap operated in service industry so customer


satisfaction matter a lot for them. If any company wants to be
successful in service industry they really need to work on
customer satisfaction, here customer preferences and choices
are given priority, so as to provide them what they actually want
but in this dynamic environment which keeps on changing it

38
becomes difficult for the firms to cope up with the needs and
wants of customer.
Every customer has its own choices and preferences or we can
say choices and preferences differ from individual to individual
and that becomes challenging for the companies to provide right
quality and quantity of service at right time.
It is necessary for an organization to interact and communicate
with customers on a regular basis to increase customer
satisfaction. In these interactions and communications it is
required to learn and determine all individual customer needs
and respond accordingly. Even if the products are identical in
competing markets, satisfaction provides high retention rates.
For example, shoppers and retailers are engaged with frequent
shopping and credit cards to gain customer satisfaction, many
high end retailers also provide membership cards and discount
benefits on those cards so that the customer remain loyal to
them. Higher the satisfaction level, higher is the sentimental
attachment of customers with the specific brand of product and
also with the supplier. This helps in making a strong and
healthy customer-supplier bonding. This bonding forces the
customer to be tied up with that particular supplier and chances
of defection very less. Hence customer satisfaction is very
important panorama that every supplier should focus on to
establish a renounced position in the global market and enhance
business and profit.

39
SUGGESTIONS
To provide right quality of service at right time.
To give good customer experience.
To provide luxury services at affordable prices.
Better pay scale to employees
Improve Social Media position.
To fix the price of the service as per the target population.
Customers feedback and suggestion should be given due
importance’s.

40
LIMITATIONS:

Intangibles Unlike products, services are intangible. This


means that there is nothing to demonstrate or display for
prospective buyers.

Individuality. Many services are completed to meet the needs


of one individual or firm.
Time. Services take time to perform and time to sell.
Mistrust. In many cases, potential clients are more likely to
mistrust service providers than products.
If a client purchases a product that he is not happy with, in
most cases, he can simply return it. But in the case of services,
the damage is already done

41
BIBLIOGRAPHY:

1) https://www.urbanclap.com
2) https://careers.urbanclap.com/
3)https://economictimes.indiatimes.com
4)https://yourstory.com/2015/04/urbanclap/
5)https://www.linkedin.com/

42

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