Scotty, who wants to find a solution to Istanbul’s traffic problem with motor transportation in 2017, has also entered the food delivery and courier markets in the future. Tarkan, the founder of the company, which reached 3 million trips in the first 18 months and has invested nearly millions of dollars from 30 different investors, is the 8th president of the Glocal Podcast. He was my guest in the episode.
In this article, I will explain the headlines from this section and the importance of Tarkan’s endless insistence… Greetings to Fatih Hodja 🙂
The dense population and the accompanying traffic problem make Istanbul an ideal place of scaling and starting for Scotty. During rush hour, users travelling between the vehicle and the points that could take up to 1-2 hours saw that they could travel this distance with Scotty in as little as 15 minutes. This also allowed Scotty to grow virally, and supported the embodiment of the company’s value proposition on the customer’s side.
The total market size of the areas Scotty addresses is approximately billion. Considering the billion valuation reached by Gojek, which has a similar model, in Indonesia, which has a higher population but lower purchasing power, Scotty’s potential in Turkey is not scarce at all. Although the fact that 1.4 million taxis are travelled daily in Turkey proves this great potential, the first question that comes to mind is the regulating problems…
The difficulties experienced by international companies such as Careem and Uber in Turkey are obvious. These factors did not create demotivated reasons when setting up Scotty for Tarkan, who worked closely with Uber in the early days of his service in Turkey. Scotty, with its structure that supports the solution of the traffic problem, does not compete with taxis according to Tarkan.
“We are the solution only on one-man journeys. This differentiates us from the taxi customer, as well as reducing low-person car journeys, allowing us to address the traffic problem – Tarkan
Another thing that everyone is focusing on when starting Scotty is the public prejudices about how safe motor journeys can be, and the risk of accidents. Scotty also provided information that would raise public awareness, and included drivers serving within the system by sifting and weaving frequently.
In the first two years, Scotty was hit by 70,000 drivers, with only 10,000 allowed access to the platform. Following the processes used in this selection, such as usage testing and equipment control, the team also organized trainings under the name Scotty Academy and aimed to improve driver quality. In addition to these trainings, the intelligent driving points system used and the scores given by users after service were also given great importance. In this way, driver quality has always been kept in the foreground.
Accidents can also occur in personal vehicles or taxis. At Scotty, our goal is to keep this ratio below other alternatives by including quality drives on the platform and further improving them. – Tarkan
Tarkan was trying to set up a video platform venture before Scotty, and in a competition he saw that Justin Kan was on the jury. Unfortunately, Tarkan, who was not among the top 10 attempts in this competition, insisted on meeting justin’s Twitch background. He did not fall off the collar of the organizers of the event, eventually found himself on stage and had the opportunity to present to Justin. After this presentation, he invited Justin to his house for breakfast and ordered a nice sprinkling breakfast 🙂
Tarkan, who also sent Justin’s wedding ring to him in Istanbul because of his family’s jewelry history, attended the wedding in Silicon Valley and met the leading members of the industry. That’s how he got his first pre-core investment for Scotty.
Since its inception, Scotty has met with more than 150 investors, and managed to recruit 30 of them as investors. Given the competitiveness of both the model and the new markets entered, such as food delivery, Scotty can only hold on to the market with high investment rounds. Considering the shallow investment ecosystem in Turkey, Tarkan aimed to recruit international investors from day one. Tarkan has been particularly interested in the field of transportation, succeeded with different companies such as Gojek or Ola, or targeted investors who regret to miss this opportunity. In this way, he took advantage of adapting a proven model to a relatively large and virgin market on Earth.
If we’re closing an investment round on Friday, we’re starting again on Monday. – Tarkan
The company, which has invested millions of dollars so far, is likely to continue to receive large sums without hesitation and enter new markets, especially payment systems.
The main reason for Tarkan’s so much time to buy investment was to strengthen the team. Tarkan, Zomato’s exit from Turkey in the morning, requested interviews with the entire team who left. In fact, Samet Kose, who is now coo as one of the co-founders, had already found a job in Berlin and had already made the decision to move. However, Scotty was also concerned about his positioning as just a transportation company. Tarkan picked him up with the following words: “I wanted to get into the food delivery business anyway. Let’s rule together from scratch!” Scotty’s entry into food delivery accelerated as he recruited key people from this dispersed team.
Tarkan made a similar strategy while forming his technical team. Hakan, who was previously iyzico’s CTO, and his team wanted to negotiate with all of Scotty’s technical needs, and decided to enter this field by pulling forward their plans to take advantage of their knowledge of the payment field.
The task of a founder should be to remove one by one the obstacles in front of the company. This obstacle is sometimes the amount of investment, sometimes the creation of the main team where you can comfortably deliver tasks. The main reason we’re moving forward with a lot of investment at Scotty is to make the team happy and support them. I spend 50% of my time collecting investments, 30% focusing on recruitment and 20% on strategy and regulated jobs. The team itself takes the rest, regardless of product, marketing, operational problems. – Tarkan
Finally, let’s note that episodes of Glocal can be listened to on Spotify, Apple Podcasts, Google Podcasts, Anchor.fm, Overcast, Radio Public.