OLA CABS, which is better known by the name Ola, is an Indian startup company which provides online cab services to the greater population of the country. It was founded on December 3rd, 2010 by Ankit Bhati (current CTO) and Bhavish Aggarwal (current CEO). The startup cab company initiated its operations and services from Mumbai and now the headquarters of this startup company is based in Bangalore. Within a span of few years, the Ola cabs have expanded its base to as many as 85 cities across the country with around 2lakh cars operational in its online cab services. In 2014, the startup company also went forward to provide auto-rickshaw services to the middle-class clan of the Indian families through its mobile app in few selected cities like Mumbai, Bangalore and so more.
Ola’s Business Objective:
Ola over some years into operations and services across the country has planned to lay focus on and expand the cab services in the Indian market. To achieve the same, the startup company is aimed at customizing the range of services provided by it to enhance the image of the company in the local market and also to develop a strong customer base in the country amongst all of its competitors like Uber being the topmost competitor of Ola. Ola also operates as a marketplace for the businesses and organizations with similar business models and has coordinated with the biggest e-commerce players like the Flipkart, Amazon, and Snapdeal. The Ola online cab service provider aims to target around one million driver partners in the forthcoming year. It also aims to make use of the innovative technology to dominate the Indian online cab market.
Ola’s Business Strategy:
Ola Cabs is amongst the fastest growing online cab service providers in India and aims to dominate the Indian market with its innovative and customer-oriented business strategy which includes:
- Mobile App awareness to the common people through the launch of a customized mobile-specific technique named as “App Analytics” with the help of which the app can track and measure the overall performance of the services in particular city or through the particular drivers.
- Ad campaigns on various social media platforms.
- Targeting the right audience which as per a recent study has confirmed that the average customers were of 20-25 years of age who were working in the corporate companies and needed cab services to pick them up and drop them to their office premises.
- Ola’s initiative named “Chalo Niklo” and to take it to the next level.
Ola’s Business Model:
Some of the key points of the business model or the working model of India’s leading online cab service provider include:
- X% commission from the total fare of the trip which usually ranges from around 15-20 percent depending on the type of vehicle and the city.
- Ola started out as a Taxi Rental Fleet Business. But later on, they altered their attention to an app-based cab aggregation service which is similar to Uber.