The cab aggregation industry is all charged up, evident from the amount of venture money that has flown to the sector. Organized players account for only 10 per cent of the $ 15 Bn taxi market in India. The new sets of players have come up with hybrid model which is a combination of fleet ownership and fleet aggregation. This helps them have better control on cab availability and service quality, at the same time keeping costs low.
Some of the emerging players in this space are now targeting niche segments to get a larger share of the taxi aggregation pie.
NCR-based Instacab for example is a cab aggregator for outstation travels. The Vecto Technologies promoted firm has been started by Abhishek Negi, Ashish Rajput and Siddhant Matre alumni from IIT Kharagpur who felt that there was a gap in taxi services space in India.The venture kicked off in August 2014 as a marketplace for cabs.
The trio however, soon realized that there was a larger opportunity waiting to be tapped in the outstation travel space.
“Over the past decade, the consumer base in India is moving from a price sensitive mindset to a convenience-first mindset. The travel industry has been no exception to this. Although many consumers are using taxi services for local travel, they barely use cabs for outstation travels and have to resort to inconvenient modes”, says Abhishek Negi, one of the co-founders.
What is unique about Instacab?
Instacab has a range of cars to choose from- Hatchback, Sedan and SUV which can be taken for outstation travels – one way or round trip. While most cab operators charge a return fare even though the customer does not intend to return after one way drop, Instacab plans to change this. It is doing away of “the return fare concept” by optimizing resources so that customer only pays for the distance travelled.