Rapido Success Story: From Startup to Unicorn
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Facing problems each day reaching the office on time? Don't want to travel with the group, want to go alone to the destination? Driver's not at home and meeting your friends outside is too urgent? Neither Mom nor Dad is ready to take you to your tuition at this point. Feeling bored alone and wanting to go outside?
Yes, now there is no need to worry anymore because Rapido has come to relieve all from their respective headaches. All you need to do now is to install the app and go anywhere in the city safely. Even during the night because everything can be tracked online. Rapido recently joined the Unicorn Club in July 2024, with a $120 million investment from WestBridge Capital at a valuation of $1 billion.
Read the Rapido success story, about its founders, startup story, valuation, tagline, business model, revenue model, and more below, and learn more unknown facts about the company.
Rapido - Company Highlights
| Startup Name | Rapido |
|---|---|
| Headquarters | Bengaluru, Karnataka, India |
| Sector | Mobility Tech |
| Founders | Pavan Guntupalli, Rishikesh SR and Aravind Sanka |
| Founded | November 2015 |
| Valuation | $1.1 billion (September 2024) |
| Parent Organization | Roppen Transportation Services |
| Website | rapido.bike.com |
Rapido - About
Rapido - Industry
Rapido - Founders And Team
Rapido - Startup Story
Rapido - Business Model
Rapido - Revenue Model
Rapido - Tagline, Slogan And Logo
Rapido - Funding And Investors
Rapido - Growth and Revenue
Rapido - Product And Service
Rapido - Challenges
Rapido - Competitors
Rapido - Future Plans
Rapido - About
Rapido is a Bangalore-based Indian online bike taxi aggregator, which was founded in the year 2015. It operates in 100+ cities across the country and also travels to various places in and around them. It has got more than 15000 registered riders a day.
Rapido - Industry
The bike taxi market in India was last valued at $50.5 million in 2021. The same industry is expected to grow by a CAGR of 48.5% from 2022-2030 and is expected to reach $1478 million by 2030, as declared by Allied Market Research. Ola in another report via its policy research arm, Ola Mobility Institute (OMI), announced that the revenue potential of bike taxis in India stands at $5 billion.
Rapido - Founders And Team
Pavan Guntupalli, Rishikesh SR, and Aravind Sanka are the founders of Rapido.
Pavan Guntupalli
Pavan Guntupalli is one of the co-founders of Rapido after being a co-founder of Roppen Labs. He pursued his studies at the Indian Institute of Technology, Kharagpur, and obtained a Btech degree in Electronics and Electrical Communications. Guntupalli then completed two Summer Internships at Reliance Communications and Breakthrough Management Group. Along with native languages, he is also well-versed in Korean. Previously, he was a software developer at Samsung Research India.
Rishikesh SR
Rishikesh SR is also one of the co-founders of the company. He pursued his education at PES University where he obtained a BE degree in Computer and Informational Sciences. He is the founder of IMPStant and the carrier. He also achieved the 'Best Project of the Year Award'
Aravind Sanka
Aravind Sanka is the co-founder of both Rapido and theKarrier. He pursued his education at the Indian Institute of Technology, Bhubaneswar, from where he received a Btech degree in Mechanical Engineering. Previously he was the Finance Business Partner on Flipkart.com after completing a Summer Internship at Tata Motors.
Rapido - Startup Story
The foundation of Rapido dates back to the carrier days, which was modeled on a logistics and supply-chain-driven model that enabled their clients to seamlessly transport their belongings. Things were not bad for the company but according to Aravind Sanka, one of the co-founders of Rapido, they "quickly realized that shifting gears from B2B to B2C has more room for growth."
B2C meant that the company could no longer deal with trucks but had to shift to bikes to ease the transportation requirements of the customers because going for cars would again mean an added financial burden for the company, tons of competition, traffic, and delays. Therefore, with the simple idea to ease the journey of the customers, they started working initially with 15-20 people, who sowed the seeds for Rapido and made the success of the business possible with hard work, persistence, and dedication.
The basic idea of the three founders was to hire people, especially those who owned two-wheelers. Along with that, the founders wanted to bring up something new, which was very different from Ola and Uber as they invested heavily in vehicles. They believed in making an app like the Rapido captain app, that will help the two-wheeler owners to register themselves and verify their details with the company.
They thought Ola and Uber could never be affordable to all daily and the traffic in big cities is increasing every day. So they thought to dodge some of the obvious problems and plan for successful motorbike rides.
Rishabh Rathi
Rapido - Business Model
The app allows its users to book a ride after which a rider, known as captain, would arrive at the user's location. The fare of each ride depends upon how many kilometers the user has to go. One's those who want to perform as captains, have to register themselves through the Rapido captain app and get validated by submitting the required documents as mentioned above. Captains can use anything like scooters or motorcycles. However, there is a condition, which is that the vehicles have to be two-wheelers and can't be much older than 2010.
Krishna kumar
travellers
Rapido - Revenue Model
The revenue model of Rapido has two main aspects. It claimed that in the year 2019, the company had a 13X jump in its revenue.
- One is commission-based. The company makes wealth by performing as a bridge between the two - captains and the ride seekers. The company charges 20% of the total fare as its commission.
- The other one is a B2C commission. The company earns here via B2C logistics, especially by helping logistics companies in delivering their commodities.
Brand advertisement is a must in all cases. It's a vital thing that not only helps the brands magnify their reputation but it also helps them to grow.
Rapido - Tagline, Slogan And Logo
The tagline of the company is Ride Solo. Aravind Sanka says here that 60% of the working public changes three modes of vehicle while commuting daily. The founders wanted something reliable, convenient, and affordable for the common people to travel short distances so they came out with the tagline written above.
The colors included in the logo are white, yellow, and black. It was designed by Shoby cc on Dribbble.
Rapido - Funding And Investors
Rapido has raised $629.8 million in funding over 12 funding rounds as of September 5, 2024. In the last, Series E fundraising round in September 2024, the company raised $200 million from Westbridge Capital as a leading investor along with Think Investments, Nexus Venture Partners, and Invus Group at a valuation of $1.1 billion. In the previous Series E round in July 2024, led by the same investors, the company was funded by $120 million at a valuation of $1 billion making it a unicorn. Before that, the Series D round held on July 15, 2022, the company received funds worth $180 million from a clutch of investors including Westbridge Capital, TVS Motors, Shell Ventures, and Nexus Ventures, which was led by Swiggy.
| Date | Amount | Series | Investors |
|---|---|---|---|
| September 5, 2024 | $200 million | Series E | Westbridge Capital, Think Investments, Nexus Venture Partners, and Invus Group |
| July 29, 2024 | $120 million | Series E | Westbridge Capital |
| April 15, 2022 | $180 million | Series D | Swiggy, Westbridge Capital, TVS Motors, Shell and more |
| August 16, 2021 | $52 million | Series C | Westbridge Capital, Nexus, Yamaha |
| August 18, 2019 | $55 million | Series B | Westbridge Capital |
| April 23, 2019 | $11.2 million | Series A | Nexus Venture Partners |
| January 24, 2019 | $7.09 million | Series A | Astarc Ventures, India Technology Fund, Integrated Capital, Ka Wing Kevin Kwong, Skycatcher |
| March 1, 2018 | $4 million | Series A | Skycatcher |
| November 21, 2017 | $288.09K | Venture Round | Skycatcher, Thompson Taraz Managers |
| September 25, 2017 | $370.2K | Venture Round | - |
| October 19, 2016 | - | Seed Round | AdvantEdge Founders |
| May 1, 2015 | $22.2k | Seed Round | - |
Rishabh Rathi
Rapido - Growth and Revenue
Rapido is now a unicorn, meaning its value has reached $1 billion. The 8-year-old company recently raised $120 million in a new funding round led by WestBridge Capital, according to a regulatory filing.
Rapido was valued at around $800 million in 2022, after it saw the fundraising round led by Swiggy, which infused $175 million dated April 15th, 2022. This was quite an increase in the valuation of the company, which was previously valued at $235 million during the past funding round.
The unicorn startup is growing rapidly. The growth is reflected in its financials. The company earned interest income and capital gain on the sale of mutual funds. It aims to cross the million mark a day but already boasts of having 5,00,000 captains, who have served 10 million customers across 90 locations. Some other prominent growth highlights of the brand are:
- Rapido is present currently in over 100 cities in India.
- The company boasts of having 20 million+ customers in FY23.
- It also has 1.5 million+ driver partners.
Rishabh Rathi
Rapido Financials
In the financial year FY23, Rapido reported an operating revenue of INR 443 crore, a significant increase from INR 144.8 crore in FY22, a 205.94% growth. However, the company's total expenses also rose by 96.33%, reaching INR 1172.1 crore, up from INR 597 crore in the previous year. This included advertising and promotional expenses of INR 240.3 crore and employee benefit expenses of INR 206.8 crore. Despite the increase in revenue, Rapido's total loss widened to INR 674.5 crore in FY23, compared to a loss of INR 439 crore in FY22.
| Rapido Financials FY23 | FY22 | FY23 |
|---|---|---|
| Operating Revenue | INR 144.8 crore | INR 443 crore |
| Total Expenses | INR 597 crore | INR 1172.1 crore |
| Advertising Promotional Expenses | INR 176.7 crore | INR 240.3 crore |
| Employee Benefit Expenses | INR 107 crore | INR 206.8 crore |
| Total Loss | INR -439 crore | INR -674.5 crore |
Rapido - Product And Service
Bike Pink
Rapido introduced the 'Bike Pink' service in Chennai on September 4, 2023, specifically designed to address the transportation needs of women riders by offering female captains a safer and more comfortable commuting experience.
Cab service
On November 8, 2023, Rapido entered the Bengaluru cab ride-hailing sector, which is now dominated by companies like Ola, Uber, BluSmart, and QuickRide. Rapido first offered cab services in Hyderabad.
Rapido - Challenges
The Belief in the Two-Wheeler Mobility Service
Rapido has faced one too many challenges to date. The first and the most prominent challenge that Rapido had to battle since the company was established was the notion that the two-wheelers were not safe. This was ingeniously tackled by Rapido by launching insurance from day zero. "The app was built with a mechanism to track the speed of the captain. He would be deactivated if he went beyond a particular speed,” said Aravind.
The Drug Bust
In the Bengaluru drug bust case, two agents from Dunzo and Rapido were arrested for delivering huge amounts of drugs. This was a part of the nationwide crackdown on narcotics.
While Dunzo doing good job of door delivery of essentials during the lockdown,some misusing it & doing illegal things. CCB arrest 2 accused who used the cover of DUNZO delivery boys & procured & tried to sell two headed snake (SAND BOA) prohibited under Wildlife Protection Act.. pic.twitter.com/PwHOwelog2
— Sandeep Patil IPS (@ips_patil) April 23, 2020
Rapido - Competitors
The competitors of Rapido are RideAmigos, GoKid, Vollo, and GrabTaxi.
- RideAmigos specializes in transportation solutions and provides trip planners, trip-tracking, and gamification. Transportation is their main priority
- GoKid's slogan is 'greener way to go'. It's the App for Kids CarPooling. It drastically reduces traffic and emissions to organize kid's carpools.
- Vollo is a startup company for bus searches, fast and easy travel, and booking. Especially it's a comparison tool for timetables and routes of various buses. Its mission is to serve the best to its users and make planning easier.
Rapido - Future Plans
The primary goal of the company is to keep its app updated along with adding newer and more interesting features that would make it more convenient for both the captains and the users. The founders are also thinking about reducing the rates. Moreover, they are looking to add fuel to their rides with something unique, which will allow the users to travel faster. Furthermore, they are also planning to include a subscription-based power pass for its regular customers. The intention is to make his/her rides more affordable.
Rapido, the two- and three-wheeler ride-hailing platform with the quickest growth, is getting ready to introduce the taxi service on a wide network shortly. According to reports from October 28, 2023. Rapido's planned facility will offer a service comparable to that of Ola and Uber.
FAQs
What is Rapido?
Rapido is a bike taxi aggregator online, which provides mobility solutions for its users. Founded in 2015, Rapido is headquartered in Bengaluru.
Who is Rapido owner?
The parent organization of Rapido is Roppen Transportation Services and the company was founded by Aravind Sanka, Pavan Guntupalli, and Rishikesh SR.
Who is Rapido founder?
The founders of Rapido are Aravind Sanka, Pavan Guntupalli, and Rishikesh SR.
Who are the Rapido competitors?
Rapido competitors are Ola, Uber, Bounce, Vogo, and more.
How to start Rapido business?
If you are looking to start Rapido business, then you must be looking to start with being a captain on Rapido's fleets. Here are some of the primary requisites for becoming a Rapido Captain:
- Android phone with at least a 3G mobile data connection
- A motorbike at least of 2009 or any newer model
- A valid driving license
- Registration certificate of the vehicle
- Valid bike insurance
- PAN card
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