Rapido Expands Airport Cab Services Amid Growing Air Passenger Traffic

Ride-hailing startup Rapido is expanding its business with low-cost airport cab services. The company expects this segment to contribute 20% of its revenue. Rapido started an airport cab service in Surat last week and will launch it in all metro cities in the current quarter. According to Arvind Sanka, co-founder and CEO of Rapido, there is a huge potential for cab services on airport routes as the number of air passengers is increasing and there are only a few transport options available.

Arvind Sanka said, "With the rapid increase in traffic at the airport, we expect the airport business to contribute more than 20% to our total revenue in the coming years. According to Mint, an expert said that the availability of cabs late at night and early in the morning remains a big challenge for passengers. He said that Rapido's presence in the airport market can also increase by setting up booking kiosks in or around the airport with Ola, Uber and BlueSmart.

The expert said that in some cities, the large fleet of Ola, Uber and BlueSmart will pose a challenge for Rapido. According to another expert, the price of airport ride is usually almost double that of urban ride. In such a situation, this segment becomes a favorite option for companies in terms of revenue. Arvind Sanka said that with the increase in airport traffic, better customer experience and cheaper fares will be very important.

Arvind Sanka said, "The lowest fare guarantee for cab rides will set us apart from others. Along with this, there will also be well-maintained vehicles and additional features." According to ICRA, India's air passenger traffic is expected to grow by 8 to 11% year-on-year and reach a record 407 to 418 million passengers by the end of FY 2025, indicating tremendous growth for ride-hailing companies.