The future is electric: how bike-sharing and rentals startups are trying to crack unit economics
11 March 2019 10:24 PM GMT
For every rupee earned, bike-sharing companies are spending Rs 3 just to stay afloat. Some are now turning to electric to drop beat the petrol engine that is guzzling their profits.
- While bike rentals – a $300 million market in India - seem to be working, the point-A-to-point-B solutions or last-mile mobility, a $5 billion market, is a cash burner for most two-wheeler mobility companies.
- A to B solution,” a source in a top mobility company told YourStory on condition of anonymity.
- Bike taxi startup Rapido has become popular with younger commuters, but the company is still waiting for regulations to change in several states where it operates.
- He adds that while the company has done very well with gasoline vehicles, the operational structure was not sustainable for the industry in the long run: “With electric vehicles, the investments are low and the returns are high.
- So, at Mobycy, we are driven by the vision of turning India into a greener city via smart, mobility solutions.
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