Namma Yatri, the zero-commission ride-hailing service, has gone live with rentals across different categories as it looks to expand its offerings and take on rivals Ola and Uber, Moneycontrol has learnt.
The service is piloting auto and cab rentals with select Android users in Bengaluru, while it is testing cab rentals in Chennai, sources aware of the development told Moneycontrol. Namma Yatri plans to expand the test to Delhi- NCR in about a fortnight, sources said.
With this move, Namma Yatri will probably become the first ride-hailing service to pilot auto rentals in the country. Ola and Uber have been offering cab rentals in the country for a few years.
The service, built on the Open Network for Digital Commerce (ONDC) network, offers passengers packages starting at Rs 190 for a 10-kilometer, one-hour auto rental. For the same distance and duration, the rates are Rs 250 for non-AC mini cabs, Rs 285 for AC mini cabs, Rs 320 for sedans, and Rs 390 for XL cabs, Moneycontrol has learnt.
For distances above 10 kilometers and an hour, Namma Yatri will charge an additional distance fare ranging from Rs 10-21 per kilometer depending on the vehicle type along with a flat usage fare of Rs 3 per minute. The service will also levy pickup charges ranging from Rs 20-30 based on the vehicle type.
For night rides, Namma Yatri will charge a flat fee of Rs 250 if the ride starts or ends anytime between 10pm and 5am. Toll charges and other surcharges will be separate. Moneycontrol has reached out to Namma Yatri for comments on this pilot and will update once a response is received.
Namma Yatri was launched by SoftBank-backed fintech firm JusPay in collaboration with Nandan Nilekani's BECKN Foundation and with the support of Bengaluru’s Auto Rickshaw Driver’s Union (ARDU) in November 2022. A key attraction is zero commission levied from drivers as compared to Ola and Uber which take a 30-40 percent commission.
Initially an auto-only service, the company launched cab services in Bengaluru in April this year.
Namma Yatri makes money by collecting a subscription fee from drivers to sustain its no-commission. Drivers have two options under the plan: Rs 25 for unlimited trips per day or Rs 3.50 per ride (no charges after 10 trips).
The service was spun out of JusPay earlier this year into a separate firm called Moving Tech Innovations Limited. Shan M S and Magizhan Selvan, who were part of JusPay, are currently leading the spun-off mobility business.
Moneycontrol reported in April that the firm is in final talks to raise $10-$15 million in its maiden funding round. The firm is in talks with investors such as Blume Ventures, Singapore-based Antler and Google, sources told Moneycontrol at the time. JusPay continues to be the majority investor in the ride-hailing firm.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
