OLA Cab android application based taxi aggregator has raised USD (United States Dollar) 400 Million (approx. INR 2500 Crore) from investors led by Russian billionaire Yuri Milner’s DST Global, aims to expand its services.
OLA firm which is worth $2.5 Billion or Rs.15,000 Crore will invest $100 Million or Rs.624 Crore in Technology base. Implementing cab service in smaller cities and towns will give benefits to the customers who live in deeper areas, said by Bhavish Aggarwal, co-founder & CEO, Ola. The company is planning to implement in building technology that suit needs of drivers and customers. Now OLA is one of the most valued internet companies after Flipkart and Snapdeal. OLA plans to be in 200 more cities by the end of this year. They will spend USD 100 Million on building “TaxiForSure” to get the service in deeper cities and towns.
The driver partners in OLA gets benefit from various better-structured financing options offered by financial institutions and banks also getting discounts from car manufacturers. It offers “OLA Pragati” which is launched in partnership with State Bank of India, where drivers can avail daily loan repayment facility and a lower down to buy a car of their own choice. They are aiming to avail this offer for at least 1,00,000 driver entrepreneurs all over India within next few years.
Other than Cab service, OLA is also experimenting with Food On-Demand, which is instant food delivery service with OLACafe, currently implemented in four cities so far and still in “Beta” process. Some of the investors other than DST Global includes Tiger Global, Matrix Partners India, Sequoia Capital, Steadview Capital. Still OLA cabs are riding to collect more funds in future.
OLA cab service is getting a positive response from different customers from different part of India. Let us see how big this will come and how long they can take this firm.
Feel free to comment your thoughts about OLA’s TaxiForSure, whether it is possible in real life to implement cab service in India’s every nook and corner?