In a strategic move to diversify its offerings, Rapido, a well-known player in the two-wheeler and auto-rickshaw services, has announced its foray into the cab business. This expansion marks a significant step forward in Rapido's mission to provide a comprehensive intra-city solution for all commuting needs.

Rapido, already boasting a substantial 60% market share in the bike taxi segment, now introduces "Rapido Cabs," with an initial fleet of 1 lakh vehicles, competing directly with industry giants Uber and Ola. Pavan Guntupalli, co-founder of Rapido, expressed his enthusiasm for this new venture, stating, "We are incredibly excited to introduce Rapido Cabs pan India following the immense success of our bike taxi and auto services across the country."

The distinguishing factor for Rapido Cabs lies in its innovative SaaS-based platform, offering a zero-commission model for cab captains. This unique approach aims to revolutionize the conventional commission system, addressing the persistent challenge of commission sharing with aggregators. According to Guntupalli, "Our SaaS-based platform serves as a seamless mediator, exclusively connecting drivers and customers without exerting control over the marketplace."

Within the Rapido ecosystem, drivers benefit from direct payments from customers, free from any interference by Rapido. To sustain this model and uphold exceptional service standards, drivers are required to pay a nominal subscription fee. For instance, after reaching earnings of Rs 10,000 from the Rapido app, drivers will be subject to a modest subscription fee of Rs 500. This groundbreaking approach ensures that drivers receive the entirety of their service value, empowering them to maximize their earning potential.

With Rapido Cabs, the platform aims to become the preferred choice for a wide spectrum of commuting needs, providing an affordable and efficient solution for both commuters and captains alike. This move is poised to intensify competition in India's ride-hailing industry, offering consumers more choices and drivers a fairer and more lucrative platform for their services.