Ola Cab is an Indian transportation network company operating under ANI Technologies private limited. Booking a cab for a customer and connecting to a customer for a driver has never been more easier than today. By not owning a single cab, they built an entrepreneurship at the driver level by enabling him to own the car and grow his business. It is India’s most popular mobile application for booking a cab, changing the way we travel in our city. They bring together cab drivers and customers using technology to make transportation easy for every single person.
About the Founder(s)
Ola Cabs was started in Dec 2010 by 2 IIT Bombay graduates. Bhavish graduated from IIT Bombay with B. Tech in Computer Science in the year 2008. He worked for Microsoft research, Bangalore for two years right after college. There, he passed two years with filing 2 patents and 3 research publishing in international journals. While trying to chase his dream of entrepreneurship, he started an online company to sell short duration tours and holidays online before changing that into Ola Cabs.
Ankit Bhati heads the technical aspects of Olacabs, ensuring a quick, convenient and instinctive experience for our customers and partners. He joined IIT Bombay in 2004 for Btech in Mechanical Engineering and MTech in CAD and Automation. By 2009 he had already worked on several freelance projects and startups like Wilcom, QED42, etc. and finally decided to give up his nomadic professional life for a start-up of his own. He joined the Olacabs journey in November 2010.
One day Bhavish had to travel from Bangalore to bandipur, for which he rented out a car, which ended in a very bad experience. The driver stopped the car in the middle of the journey and demanded a renegotiation of what Bhavish was paying. After being refused, he proceeded to abandon him en route his destination. This is when he realized how his plight was probably similar to a lot of customers across the country who were looking for a quality cab service. For the first time, he saw the amount of potential that an extraordinary cab booking service could have, and hence, he changed his business from his earlier start-up to the one we today know as “OlaCabs”.
Ola serves as an efficient taxi aggregator and bridges the gap between cab owners and bookers. Instead of buying and renting out their own cars, Ola partners with a number of taxi drivers and owners, add a touch of modern technology to the whole set up, where people could book cars at short notice through their app. Ola is India’s largest ride hailing app with about 60% market share in India.
The app is enbled with options such as Share – you can share your ride with different passengers which leads to low fare rides. Micro, Mini and Prime – depending upon the size of the cab fare varies. Rental – you can hire the cab depending on you need and number of days.
Today, Ola has raised a total of $1.38 Billion in 8 rounds from 20 investors. Top investors include likes of SoftBank, ABG Capital, Accel Partners, Mauritius Investments, Tiger Global Management, Matrix Partners, Steadview Capital, Sequoia Capital and DST Global. Their current valuation is somewhere between $3billion to $4 billion. However, in Nov 2015 it was valued more than $5 billion. Today, it competes with Uber, world’s most well-financed startup having raised $15 billion in equity and debt.
Ola cabs are building up the strategy of expanding their operations and gaining customer base in various cities in India. The motive is to gain market share and achieve economies of scale all the while providing a delightful customer experience to gain trust. They are not looking to be profitable but to be a household name in taxi service in India. All the discounts/referrals/coupons offered are aimed at exposing the customers to a new mode of transport in cities at affordable prices. Like Ola pays driver per km more than it charges the user while commission is a mere ₹100 only if driver makes more than ₹2000 a day, otherwise it pays them the difference so they at least earn ₹2000 daily. Ola has already received $676.8 Million through six rounds of funding while Google Ventures backed Uber has received over $8.8 billion for its worldwide operations. The last funding rounds for Uber totaled $2 billion and were aimed for expansions in Indian and Chinese Markets.
I think the growth of Ola can be seen by its popularity in day to day life as people don’t want to waste time. Leveraging the time factor, Ola provides its services from door-to-door, letting the users get to places within time and without much hassle.