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Rapido Business Model: The Beginning
The rise in traffic levels in the city has become an inevitable problem. Being stuck in a traffic snarl is an impeccable situation you cannot avoid. More often than not, you are stuck and unable to reach your destination on time.
During such times, you are frustrated and wait for a miracle. Thanks to innovative minds and technological advancements, companies like Rapido have come to the rescue. You just need to install the app, and you can travel anywhere in the city.
The idea of Rapido business model emerges from the personalized experiences of Rapido founders. They had a harrowing time commuting in Bangalore, one of India’s most congested cities.
In November 2015, they launched their services in Bangalore with a few captains. The benefit gained popularity, and by the end of the year, Rapido had 1,000 registered captains.
What is Rapido Business Model?
With a mission to provide easy access to bike services, Rapido bike taxi business model is a B2C (business-to-customer) model. This means they offer their services directly to the customers as business entities.
In addition, they have leveraged vehicle storage options to provide carriage services. The end users of the services and products are customers like us.
The business model of Rapido allows consumers to book a bike ride through the app. After downloading the app, customers must create a profile and zero in on pick-up and drop-off locations.
Upon successful booking, a driver known as the captain will be assigned their details, like name, photo, and other information. This gives assurance to customers regarding the driver with whom they are going to commute.
Infographic of Rapido Business Model
Rapido Marketing Strategy
Rapido marketing strategy operates on a peer-to-peer business model, connecting customers who require a drive with an independent driver.
The driver is willing to offer the ride. A few of the marketing strategies of the company to enhance Rapido target audience are as follows:
1. Referral programs: the company has run several referral programs where users can invite friends to sign up on the app. In return, they are offered free rides or discounts.
2. Targeted advertising: Rapido has targeted advertisements on platforms like Google or Facebook to search for users exploring rides. This helps the companies reach out to potential customers interested in availing themselves of their services.
3. Outdoor opportunities: Rapido has used billboards and outdoor advertising to promote its services in various markets. Displaying their ads in high-traffic areas enhances brand visibility and reaches potential customers who may not be actively searching for ride-hailing services.
The essence of Rapido business model is to have a strong presence in the market. Using a mix of online and offline marketing tactics, Rapido can reach potential customers at various touchpoints, building brand awareness and developing loyalty.
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Competitors of Rapido
The competitors of Rapido are
1. Vollo is a startup for bus searches and easy and fast travel booking. It is a timetable for comparing the routes and schedules of various buses. Their mission is to serve customers best and make planning easier.
2. Ride Amigos provides trip planners and specializes in transport solutions, gamification, and trip tracking. Their main priority is transportation.
3. Go Kids is a greener way to go, as it is an app for kids carpooling. It reduces emissions and traffic by organizing kids’ carpools.
How Rapido makes money
Rapido makes money through its bike and rental services. Understanding how much commission Rapido takes is split into modules.
⇒ The commission-based model means the company generates money as an intermediary between the captains and the customer. They levy a charge of 20% on the total fee.
⇒ The B2C commission-based model is the other way Rapido’s profit is achieved through B2C logistics services. This is a significant source of revenue for the company, as they focus on delivering goods from logistics companies to their preferred location.
Benefits of the Rapido Business Model
The benefits of the Rapido business model are as follows:
⇒ The commuter ride can be 40–60% cheaper, depending on the time of day. For the captains, it also provides the feature of a speed track that enables them to keep tabs on the speed of the bike. The company makes money by acting as a bridge between the captains and the rider, charging 20% of the total fare as commission.
⇒ Rapido earns money via B2C logistics by assisting logistics companies in delivering products to the last mile.
⇒ In all cases, brand advertising is a must. It is an important thing that not only helps the brands magnify their reputation but also helps them grow.
Future Plans for Rapido
Rapido has established itself as one of the leading players in the Indian hail market, with a strong presence in 100 cities nationwide.
The company has expanded its services beyond bikes to include other forms of transportation, like autos and cars, which would enable them to capture a large share of the market.
In the coming days, Rapido is keen to expand its operations into new markets in India and other regional countries. A series of strategies would ensure that Rapido net worth in rupees could scale new heights.
They aim to diversify their portfolio of services and provide customers with greater convenience. The company is keen to explore new technologies like self-driving cars to stay ahead of the competition.
Frequently Asked Questions (FAQs) about Rapido Business Model
Wrap up on Rapido Business Model
It is pretty clear that by going through the business model of Rapido, the drivers and consumers benefit immensely.
By always making constant app updates and improving the system, they wish to make the app friendly for every walk of life.
Rapido’s startup story is inspirational, and they will launch simplified and special services for visually challenged people.
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