Rapido Expands to Intra-City Cab Solutions
Rapido, a prominent bike-taxi startup commanding a 60% market share, has made a strategic move into the cab industry by unveiling Rapido Cabs, an intra-city mobility solution operated on a SaaS model. This expansion involves the introduction of an initial fleet of 100,000 vehicles. The startup's innovative SaaS platform marks a significant departure from the traditional commission structure for drivers, addressing the long-standing issue of commission sharing with aggregators.
Pavan Guntupalli, Co-Founder of Rapido, highlighted that their groundbreaking approach ensures drivers only pay a minimal software usage fee, signifying a notable industry shift. The SaaS-based platform serves as a connection point between drivers and customers without Rapido exercising control over the marketplace. Within Rapido's system, drivers receive direct payments from customers, devoid of any intervention by Rapido. Drivers are obligated to pay a nominal subscription fee. The company stated that once drivers earn Rs 10,000 through the Rapido app, they will be charged a modest subscription fee of Rs 500.
Rapido emphasized that passengers benefit from competitive fares in the cab segment due to the comprehensive SaaS-based platform, which amalgamates various commuting solutions into one user-friendly app. Established in 2015, Rapido now operates in more than 100 cities and has amassed over 25 million app downloads. Tracxn data reveals that Rapido has secured a total funding of $324 million. In April of the preceding year, the company raised $180 million, led by the online food delivery service Swiggy.
