NammaYatri: The Underdog Rivaling Uber and Ola
5 reasons why can disrupt the auto-hailing industry
When it comes to ride-hailing services in India, Uber and Ola have long dominated the market.
However, a new player has made its presence known among the established giants: NammaYatri.
A product of Bengaluru's Auto Rickshaw Drivers' Union (ARDU) built by Juspay Technologies, NammaYatri is backed by the Beckn Foundation of Nandan Nilekani.
In a short time, this platform has gained significant traction and carved a niche for itself in the fiercely competitive ride-hailing industry.
Let's have a look at how the duopoly of Uber and Ola is crumbling!
High Commission came to bite back!
The high commissions charged by Ola and Uber frustrated the auto drivers and led to the inception of NammaYatri.
It is not a platform-based app like Ola and Uber and doesn't control all aspects, such as pricing, commission, and driver management.
Instead, it gives auto drivers the flexibility to add 10% of the base fare decided by the state government.
NammaYatri has quickly gained popularity among drivers and has become a force to be reckoned with. These numbers reflect their rapid growth and increasing trust among the users.
It took a leaf out of Ola and Uber’s book and has learned to place great importance on safety and convenience for its riders. It aims to address such concerns by offering a platform for drivers and riders to connect without intermediaries.
Unlike other apps that use referral codes to get new users, NammaYatri uses it to incentivize auto drivers and drive them to stick to the app in the long run.
Now, what’s the catch?
It’s a no-brainer that the ‘no commission’ proposition worked well during the first few months of its launch. But now that the business has set off, running the app on increased magnitude requires money!
To cover the costs for R&D, Marketing, building a better user experience, and even map usage (since Google Maps is free for individuals and not businesses), NammaYatri plans to use a subscription-based model and collect a small fee for using the app, disposing of the very hook that got them 99k registered drivers onboard.
It will be a choppy ride, trying to scale the business to become a multi-modal transport platform while simultaneously reducing expenses.
The tie-up with India's Open Network for Digital Commerce (ONDC) might increase its reach significantly by integrating with other platforms like Paytm and PhonePe.
Despite challenges like fierce competition from established ride-hailing giants and the need to focus on app development, user experience, and reducing cancellation rates, the company has achieved around 20% market share in Bangalore and launched the app in Dehli, Chennai, Hyderabad, and Pune, with plans to expand its operations even further.
Namma Yatri's journey to disrupt Ola and Uber is still unfolding, with the launch of MetroMitra to provide the last mile connectivity.
The ARDU has collaborated with the Bangalore Metro Rail Corporation Limited (BMRCL) to utilize its Whatsapp chatbot to reach customers. Users and industry observers alike are closely watching the evolution of this app.
To sum it up, here are 5 reasons why NammaYatri can disrupt the auto-hailing industry.
No Commission Policy
Flexible Base Pay
Referrals
Launching MetroMitra
100% Open Source
Now, could NammaYatri become the next big thing in the Indian ride-hailing industry? Only time will tell, but for now, it's clear that the underdog is making some impressive moves.
With determination, innovation, and commitment to its mission, NammaYatri might become a formidable rival to Uber, Ola, and Rapido in the Indian market.
Have you experienced NammaYatri’s service? What do you have to say about it? Share your thoughts on how you think it is faring against Uber and Ola!
Write us in the comments below!