Snap-E Cabs plans to allocate funds for talent acquisition, tech upgrades, and expanding operations into new geographies
Currently operating with 600 EVs in Kolkata, Snap-E plans to expand its fleet by adding 300-400 EVs by the end of FY 24
Snap-E achieved a GMV of INR 2.45 Cr in September alone, contributing to a total GMV of INR 11 Cr over the past six months
EV ride-hailing platform Snap-E Cabs has secured Pre-Series A funding of $2.5 Mn (INR 20.7 Cr) from Inflection Point Ventures.
The startup plans to deploy the fresh proceeds for expansion, invest in technological enhancements, introduce new tech-enabled services and scale up its operational footprint into additional regions.
Kolkata-based Snap-E Cabs, a subsidiary of Steelman Telecom Limited, was founded in 2022. The platform offers an eco-friendly and affordable commuting service with zero emissions.
Besides, the company claims to provide distinct value propositions such as no-cancellation policies and no-surge fees to passengers.
Currently operating with 600 EVs, the company plans to expand its fleet by adding 300-400 EVs by the end of FY24. Looking ahead to FY25, it aims to extend services to 2-3 more cities, adding up to 2,000 EVs.
Mayank Bindal, founder and chief executive, Snap-E Cabs, said, “India’s transition to electric vehicles not only disrupts global oil markets but also positions the country, with its 1.4 Bn population and rapidly growing economy, as a key player in the global EV market, marking a substantial step toward sustainable development.”
“The global focus on decarbonising transportation has intensified, with governments worldwide adopting policies to phase out internal combustion engines (ICE) in favour of zero-emission EVs. Enabling policies both, at a national and state level Indian government has made the environment conducive for e-mobility in India, helping drive towards its goal of achieving 30% electrification of the country’s vehicle fleet by 2030,” said Rahul Wagh, managing director, Inflection Point Ventures.
Snap-E competes with players like BluSmart, Uber, Ola, and others, making significant strides in the EV ride-hailing space.
Positioned in a market dominated by Ola and Uber, Snap-E achieved a gross merchandise value (GMV) of INR 2.45 Cr in September alone, contributing to a total GMV of INR 11 Cr over the past six months.
The pricing structure involves a flat fee of INR 150 for journeys up to 5 km, with an additional charge of INR 22.5 per km beyond this initial distance.
Meanwhile, Snap-E aims to deploy 2,000-3,000 more cars in Kolkata in the next 18-24 months. Moving forward, the startup aims to expand to other cities that have less access to ride-hailing platforms.
With sustainability becoming one of the top priorities for countries and businesses alike, the narrative around increasing the usage of electric vehicles (EVs) has taken centre stage in the past few years. Though the electrification of vehicles started a bit late in India compared to some European countries, the US, China, and Japan, the country’s EV adoption has grown exponentially on the back of more startups joining the segment and government policies.
Many Indian EV startups such as Ather Energy, Altigreen, BluSmart, and Exponent Energy have now come up with sustainable solutions for mobility.
As per Mordor Intelligence, the India EV market is forecasted to grow, with an estimated size of $34.80 Bn in 2024, projected to reach $110.74 Bn by 2029. The market is expected to achieve a CAGR of 26.05% during the forecast period from 2024 to 2029.
Indian EV startups offer services such as sustainable mobility, energy infrastructure, commercial mobility and battery management system, among others, to the general masses and enterprises. Besides, they are also helping reduce carbon emissions and offering a cheaper alternative to fossil fuels.