Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Bike Taxi in India - Future Opportunity


Published on

India is witnessing rapid growth in the registration of two-wheeler. Owing to mobility demand, the concept of bike taxi is gaining popularity in India.

Published in: Business

Bike Taxi in India - Future Opportunity

  1. 1. Bike Taxi Service in India Prepared by Valoriser Consultants Email:| Website: Photo © thebetterindia
  2. 2. 2© 2015 Valoriser Consultants – Confidential Global Bike Taxi Market • According to World Moto, the global auto taxi market generates $500 billion, including auto rickshaws • There are 20 million moto taxis, globally, including: – 2 million in Brazil – 1 million in Lagos, Nigeria – 200,000 in Bangkok, Thailand • Thailand introduced the law in 2005 to regulate Two-wheelers taxi and become the first country in the world to do so. Fare Structure is – First 2 Kms - 25 Bhat – For 2-5 kms - 5 Bhat per km – Above 5 kms - Fare is negotiable
  3. 3. 3© 2015 Valoriser Consultants – Confidential Sale Growth of two-wheelers in India Number of two-wheelers sold in last 7 years has doubled from 7.44 million in 2008-09 to 16.00 million in 2014-15
  4. 4. 4© 2015 Valoriser Consultants – Confidential Motorcycle Vs. Scooters July 2015 August 2015 September 2015 October 2015 November2 015 December 2015 January 2016 Motorcycles 808332 823,053 962323 1036884 826736 780280 853230 Scooters 492125 482,297 574814 619351 493825 466076 509651 Total 1,300,457 1,305,350 1,537,137 1,656,235 1,320,561 1,246,356 1,362,881 Motorcycles will continue to dominate urban mobility market in India in future
  5. 5. 5© 2015 Valoriser Consultants – Confidential Demand of Vehicles in India Future Demand of Automobiles - 2013, 2015 and 2020 (Figures in Million) The world’s largest manufacturer of tractors 2nd largest producer of two wheelers and buses 8th largest commercial vehicle manufacturer 6th biggest passenger car manufacturer Source: National Fuel Vision and Policy 2025 Two-wheelers will continue to dominate urban mobility market in India in future
  6. 6. 6© 2015 Valoriser Consultants – Confidential Numbers of Bikes – Key Cities Delhi has more than 5.5 million two-wheelers as on 31 March 2015 Numbers of registered two wheelers (Scooters and Motorbike), 2015-15 (Figures in Million)
  7. 7. 7© 2015 Valoriser Consultants – Confidential Rent-A-Motor Cycle Scheme 1997 • Rent a Motor Cycle scheme is governed under Section 75 of the Motor Vehicles Act, 1988 (59 of 1988), regulating the business of renting of Motor Cycles to persons desiring to drive the motor cycles for their own use. • “Licence” means a licence granted or renewed to engage in the business of renting of motor cycles to persons desiring to drive the motor cycles themselves for their own use. • The operator should have necessary facilities for the housing, maintenance and repair of his vehicles, sanitary block and reception room, as well as, telephone line. • A license should be granted for the period of five (5) years. However, the authority may suspend or cancel the license, if the operator failed to maintain the motor cycle in compliance with the provisions of the Act and rules. The Rent-a-motor cycle scheme is allow renting the bike to users for their personal use, but silent about providing the bike service with driver.
  8. 8. 8© 2015 Valoriser Consultants – Confidential Motor Cycle Taxi in Goa • Transport Department in Goa issues Contract Carriage Permit to Motor Cycle to two wheelers • Two-wheelers can be registered as Commercial vehicle with black & yellow number plate. Permit fee is just INR 70 • Driver should be 20 years of age. There is no fare meter and the driver charges as per pre-agreed rate • The government also launched Subsidy Scheme of Yellow/Black Motor Cycle, i.e. 25% of the cost or INR12,000, whichever is lower Goa is the only state in India, which allow Motor Cycle Taxi in India and issue permits to individual owners
  9. 9. 9© 2015 Valoriser Consultants – Confidential Delhi Rent-A-Motor Cycle Scheme 2015 • Delhi government is preparing the scheme for Rent-a-Motor Cycle 2015. The policy document will be based on "Rent-a-Motorcycle Scheme" under Motor Vehicles Act 1988. • The government will not make any changes in the scheme document. They will just add vehicle profile and various fees for the registration / permit / fitness. – motorcycle should be new and should be 100 CC and more – The vehicle can be of any colour – Life of the vehicle will be 10 years – Vehicle will need to go for Annual Fitness • The vehicle will have commercial registration and have distinct registration number, registered in the name of the company. The company will need to pay INR 60 per bike (Permit) and INR 3,000 per bike (Road Tax) for lifetime. Delhi Government announced Rent-a-Motor Cycle shortly, based on Central Government scheme along with vehicle specification and taxes
  10. 10. 10© 2015 Valoriser Consultants – Confidential Motorcycle Taxi in Gurgaon (Haryana) • Transport Department has issued new policy for the registration of companies to offer bike taxi service in the city and become the first city in the country to issue license to corporate • The department allows individual owners to register two-wheelers / bike with commercial registration number and allows them to register with licensed players • Currently, Transport Department has registered 5 players and registered around 600 vehicles under this scheme Haryana Government has launched the new scheme to allow motorcycle taxi in the city More Information is available on Request
  11. 11. 11© 2015 Valoriser Consultants – Confidential Emerging Ventures in Motorcycle Taxi • Baxi is one of the leading bike taxi company in India. It has raised $1.5 million till date. The company follows aggregator model and charges a 10% commission on the total fare • It has 400 bikes on its platform and do 1,500 rides a day in Gurgaon and Faridabad where it operates • M-Taxi launched its service in Gurgaon and initially limits rides to 10km. The company has raised angel funding from private investors Mandeep Singh and Jairaj Singh. The company completes around 500 rides per day with 25 bikes • Bikxie has launched their services at select metro stations, shopping malls and corporate parks. The company is also the first one to launch women-only service - ‘Bikxie Pink’. It has also launched cashless payment with MoboMoney
  12. 12. 12© 2015 Valoriser Consultants – Confidential Emerging Ventures in Motorcycle Taxi • Launched the service in Mumbai in the first week of June 2015 with 100 bikes. The company was using private two- wheelers. Currently operates as a ridesharing platform and also offers on-demand parcel delivery, allowing customers to arrange parcel, package and envelope deliveries up to five kg within a vicinity of 10 km Other Players: • Rapido was among the first few players in Bangalore to offer bike taxi service. The company is registering existing two- wheelers owners in the city to offer the service, as there is no regulation in the city.
  13. 13. 13© 2015 Valoriser Consultants – Confidential UberMoto launched in Bangkok…
  14. 14. 14© 2015 Valoriser Consultants – Confidential Competition is getting Hot !! • uberMOTO is a new service launched by Uber as a pilot in Bangalore. uberMOTO enables riders to tap a button and get a motorbike ride in minutes • At launch uberMOTO will be available in the below areas between 7AM and 9PM, with fares of INR 3/KM • Ola launched pilot initiative of Bike Taxis in Bangalore at an introductory fare of Rs 2 per km and Re. 1 per minute of trip time • The commuters will get same experience including driver details displayed upfront, SOS, live tracking and seamless payment using Ola Money Both Uber and Ola launched Bike Taxi service in Bangalore on 03 March 2016 and the next city will be Gurgaon.. Bike
  15. 15. 15© 2015 Valoriser Consultants – Confidential Funding Funding Investors US$1.5 million HT Media Manish Kheterpal, WaterBridge Ventures Alok Mittal, Indifi Technologies Puneet Dalmia, MD - Dalmia Bharat Group Undisclosed Mandeep Singh Jairaj Singh US$500,000 Ruchirans Jaipuria, MD - Jaipuria Group Anuj Sanghi, Director, Supreme Motors
  16. 16. 16© 2015 Valoriser Consultants – Confidential Fare Comparison – 10 kms ride Start Kms 2 0 0 0 0 0 0 Base Fare (INR) 10 10 10 30 15 15 10 Kms Rate (INR) 5 4 7 2 3 5 5 Per Minute (INR) 0 1 0 1 1 0 0 Minimum Fare 0 0 0 30 15 0 0
  17. 17. 17© 2015 Valoriser Consultants – Confidential Market Opportunity • As per the latest census data 2011, around 25.5 million (7.5% of total trips) people use two-wheelers to reach their workplace. This is huge numbers. • If we extrapolate the number for 2015 based on vehicle registration, then it is estimated that 35 millions trips are being performed by two-wheelers to reach to workplace (excluding personal trips) on daily basis. • There is huge market opportunity for new companies. If the 10% of the market is captured then it will translate into 3.5 million trips daily.
  18. 18. 18© 2015 Valoriser Consultants – Confidential Why Motorcycle Taxi is required??? • To reduce the sale of two-wheelers in India • To provide economical and cost effective transport solution • To provide point-to-point connectivity and covering shorter distances • To address parking and traffic congestion issues • To complement existing mass transport system Photo © gqindia
  19. 19. 19© 2011 Valoriser Consultants – Confidential Thank You!!