Bike Taxi Unicorn Rapido Aims to Enlarge Footprint, Plans to Operate in 500 Cities

Manvendra HadaJanuary 20, 2025

Travel Service

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Three points you will get to know in this article:

Rapido stated that the expansion plan will be gradually rolled out in numerous phases, beginning February.
In the early phases, it will launch services in Karnataka, Gujarat, Tamil Nadu, West Bengal, and Rajasthan.
The development comes months after Rapido entered the unicorn club by raising $200 million in its Series E fundraising round.

Taxi Ride Provider Rapido Plans to Operate in 500 cities

Rapido has announced ambitions to expand its footprint to 500 cities across the country, up from 120 today.

Rapido was founded in 2015 by Guntupalli, Rishikesh SR, and Aravind Sanka. Its primary business is bike taxi and auto transportation. It entered the taxi services market in December 2023 and established a subscription model. In addition, it provides peer-to-peer delivery through Rapido Local.

In a statement, the firm stated that the growth plan will be implemented gradually in numerous phases beginning in February, with the goal of catering to its consumers’ diverse transportation needs.

States Where Rapido Will Expand First

The business will initially focus on states like Karnataka, Gujarat, Tamil Nadu, West Bengal, and Rajasthan for its rollout. Following that, it will expand its services to states including Punjab, Haryana, Uttar Pradesh, and Uttarakhand, among others.

The announcement came on the sidelines of the Bharat Mobility Expo 2025. However, there is no clarity on the timing for carrying out the growth plans.

“… With over 1.3 Cr captains (riders) earning over INR 15,000 Cr on the platform, our expansion to 500 cities is a testament to our commitment to empowering individuals and building a more connected India…,” says Pavan Guntupalli, cofounder of Rapido.

Recent Developments at Rapido, Cities Rapido Operates, Rapido Monthly Journeys

The growth plan comes six months after Rapido joined the unicorn club by obtaining $200 million in a Series E investment round headed by current investor WestBridge Capital, boosting the ride-hailing startup’s valuation to $1.1 billion. At the time, Rapido stated that the funding will help company expand its operations throughout India.

The business claims to have facilitated over 200 crore rides in 120 cities and is witnessing 3.6 million journeys every day.

Rapido Revenue, Losses, Competitors

Rapido’s operating revenue increased 46% year on year (YoY) to INR 648 Cr in the fiscal year 2023-24 (FY24), while its net loss decreased 45% YoY to INR 371 Cr.

The startup competes with Uber, Ola, and new entrants such as Google-backed Namma Yatri.