Overview of Ola
Ola has transformed cab booking with its user-friendly app, wide car selection, and unique services. Ola provides a comfortable travel for passengers by providing easy payment alternatives and ‘Ola Play’ for in-cab entertainment. Ola has expanded beyond cab-hailing to include self-drive cars, allowing users to choose from a variety of vehicles based on their needs, price, and preferences. In addition to cabs, Ola offers shared taxis, automobiles, bikes, and e-rickshaws for intra-city transportation. For intercity travel, ‘Ola Outstation’ provides simple options, whereas ‘Ola Rentals’ allows customers to rent cabs by the hour. The ‘Ola Select’ subscription provides additional perks, including ‘Ola Pedal’, a bicycle-sharing program, is popular at IIT Kanpur and IIT Madras, with over 500 cycles.
Ola Corporate
Launched in 2016, ‘Ola Corporate’ simplifies travel expense management for businesses by deducting fares straight from the company’s prepaid account, ensuring easy tracking and employee safety. India’s taxi-hailing business, valued at more than $40 billion, is expected to rise at a CAGR of 6.3% between 2022 and 2024, owing to changing lifestyles and rising disposable incomes in Tier-I and Tier-II cities.
Founders and Team
Bhavish Aggarwal and Ankit Bhati established Ola in 2010. Bhavish Aggarwal, an IIT Bombay graduate, had previously worked at Microsoft Research, where he filed two patents and published three articles. He switched from an internet tour business to Ola Cabs after a terrible cab ride. Bhavish is now concentrating on new business ideas within Ola, while Arun GR handles day-to-day operations. Ankit Bhati, an IIT Bombay alumni, is in charge of Ola’s technological components, ensuring that consumers and partners have a seamless experience.
Initial Team and Development
Interns Ajinkya Potdar (Android) and Khushal Bokadey (iOS) created the initial version of the Ola app, with Neeti Birla developing the backend APIs. The focus has always been on improving the customer experience while retaining the simplicity of one-touch cab booking.
Business Model and Revenue
Ola serves as a mediator, connecting clients with taxi drivers via its app. Drivers, who have been vetted by Ola, accept ride requests using an app designed for drivers. Ola makes a 15% commission on bookings. The ultimate fare for users includes the base fare, distance fare, riding time fare, peak pricing, service tax, Swachh Bharat tax, and toll fees.
Funding and Valuation
Ola has raised nearly $5 billion in 29 fundraising rounds, and its valuation is $1.9 billion as of February 2024. Temasek, Warburg Pincus, and SoftBank Group are among the company’s top investors. Ola operates in over 250 cities across India and has expanded to Australia, the United Kingdom, and New Zealand, with 40,000 drivers registered in Australia alone.
Certainly! Here’s the rewritten table with the funding details of Ola:
| Date | Stage | Amount | Investors/Shareholders |
|---|---|---|---|
| February 22, 2022 | Series J | $20.11 million | Arrow Capital, Axis Growth Avenues and more |
| December 16, 2021 | TLB Round | $500 million | – |
| December 8, 2021 | Series J | $139 million | Edelweiss and others |
| July 9, 2021 | Pre-IPO Round | $500 million | Temasek, Warburg Pincus’s Plum Wood, Bhavish Aggarwal |
| September 2019 | Series J | $5.1 Million | ARK Ola Pre IPO Private Investment Trust |
| July 2019 | Series J | $11.4 Million | Deshe Holdings, DIG Investment |
| March 2019 | Corporate Round | $300 Million | Hyundai Motor Co. & Kia Motors Corp |
| February 2019 | Series J | $92 Million | Sachin Bansal |
| February 2019 | Series J | $14 Million | – |
| January 2019 | Series J | $88 Million | Steadview Capital |
| January 2019 | Corporate Round | $1.8 Million | Eternal Yield International |
| September 2018 | Series I | $50 Million | China Eurasian Economic Cooperation Fund, Sailing Capital |
| August 2018 | Secondary Market | $225 Million | Temasek Holdings |
| October 2017 | Series G | $1.1 Billion | Tencents Holdings, SoftBank Group |
| August 2017 | Private Equity | $36 Million | Tekne Capital |
| May 2017 | Private Equity | $104 Million | RNT Capital Advisors, Falcon Edge Capital |
| April 2017 | Series G | $260 Million | SoftBank Capital |
| February 2017 | – | $330 Million | SoftBank |
| November 2015 | Series F | $500 Million | Baillie Gifford, Falcon Edge Capital, Tiger Global, SoftBank Group, DST Global |
| April 2015 | Series E | $403 Million | DST Global, GIC, Softbank, Falcon Edge Capital |
| October 2014 | Series D | $210 Million | SoftBank Group, Tiger Global, Matrix Partners India |
| July 2014 | Series C | $41 Million | Steadview Capital, Sequoia Capital |
| November 2013 | Series B | $20 Million | Matrix Partners, Tiger Global Management |
| April 2012 | Series A | $5 Million | Tiger Global Management |
| April 2011 | Angel | $330K | Kunal Bahl, Anupam Mittal, Rehan Yar Khan |
Growth and Revenue
Ola began with only 10 bookings per day in 2011 and increased to 700,000 daily rides by October 2015. Despite the epidemic, Ola has demonstrated tremendous recovery and growth, capitalizing on opportunities in the used car market with ‘Ola Cars’ and increasing its electric vehicle services with ‘Ola Electric’. Ola’s rise from startup to big player in the transportation business demonstrates its dedication to innovation and customer happiness. Ola continues to expand and diversify, positioning itself as a crucial player in determining the future of mobility in India and beyond.
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