Bike-taxi services expected to create over two million livelihoods: Ola

Bike-taxi are expected to create over two million livelihood opportunities, a report released by Ola Mobility Institute said, adding that the sector has the potential to generate revenue in the range of $4 million to $5 million.

After conducting a study in Gurugram and Jaipur, Ola claims that about 60 percent of the bike-taxi rides occur in two peak periods of the day - from 8 AM to 12 PM, and 4 PM to 8 PM. These correspond to typical office timings in India.

The study has found that around 85 percent of the users prefer to use bike-taxis to travel distances less than seven kilometres. Besides, in Gurugram, it has been observed that one in every three trips are made to commute to and from the metro stations.

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India is the world’s largest two-wheeler market, and as per data released by the Society of Indian Automobile Manufacturers (SIAM), nearly 63,000 two-wheelers were sold in India every day in 2019. Approximately one in three Indians use a two-wheeler for their daily commute.

Speaking on the scope of bike-taxis in India, Anand Shah, Head of Ola Mobility Institute, said, “Shared mobility and hyperlocal delivery are witnessing strong uptake, and bikes have emerged as the preferred choice for both passenger and goods movement.”

Ola believes that the full potential of the sector can only be achieved by effectively by governing bike-taxis as a mobility category with a coherent legal clarity. These vehicles need to be integrated with the public transit systems, it added.

Moreover, Ola said that formal credit should be made available to driver-entrepreneurs helping create a level-playing field for all stakeholders.

“India needs to create 55-60 lakh new jobs annually over the next decade. Bike-taxis will be key in achieving this target, democratising access to mobility, and building an inclusive mobility ecosystem,” added Anand.

Countries like Indonesia, Brazil, Vietnam, and several African nations see bike-taxis as a quick, affordable, easily accessible mode of transportation, and a catalyst for employment.

Currently, Ola has over three lakh partners running bike-taxi services in 200 cities. Rapido, one of Ola’s key competitors in the bike-taxi sector, is operational in 90 cities and has five lakh partners, which cater to 10 million customers.

(Edited by Suman Singh)