Uber CEO Declares Rapido Its New Top Rival In India
Ola saw a tough year filled with multiple issues across its products, including its electric scooter, commission complaints by cab drivers, and service-related issues reported by users.
Uber is remarking its main competition in India. In a tease shared by Zerodha Co-founder Nikhil Kamath for his podcast 'People By WTF', the global ride-hailing giant's CEO Dara Khosrowshahi has said that Rapido has replaced Ola as its prime rival and competition.
The statement comes after Ola saw a tough year filled with multiple issues across its products, including its electric scooter, commission complaints by cab drivers, and service-related issues reported by users.
Meanwhile, Rapido, an unlisted company founded in 2015 as theKarrie by two IIT alumni and a PESU alumnus – Aravind Sanka, Pavan Guntupalli, and SR Rishikesh gained traction with its 'Bike-Taxi' offering.
Raipdo was the first company to offer two-wheeler taxi service in the market and quickly gained market share between 2015-2018, soon after which it launched three-wheelers as well as cab service.
Other major brands, including Ola and Uber, followed soon in launching three-wheelers and two-wheeler services, but by that time, Rapido had an edge and consumer command over this segment.
What is still working for the company as compared to other ride-hailing giants is low commission and competitive fares. Rapido reportedly charges 0-5% commission per ride, while Uber and Ola charge a commission ranging between 18-22%.
In February, Rapido, co-founder Aravind Sanka told NDTV Profit that the company does not take any daily commissions. Drivers just pay a subscription fee upfront and keep the fare. Two million drivers work on Rapido platforms every month, according to the co-founder.
