Rapido was founded in 2015 in Bengaluru, entering a market dominated by Uber and Ola—companies valued at $60 billion and $5 billion, respectively. Instead of going head-to-head with cabs, Rapido focused on bike taxis, leveraging an asset-light model. This allowed them to scale quickly by collaborating with independent bike owners ("Captains") and sidestepping many infrastructure hurdles that troubled traditional car aggregators.
Rapido didn't compete directly with Uber and Ola in the cab segment initially. Its sharp focus on two- and three-wheelers gave it traction among price-sensitive commuters, especially post-pandemic. Today, Rapido commands about 20% of India’s cab market, with Uber and Ola at 50% and 30%, respectively. Uber’s CEO Dara Khosrowshahi even stated that “Rapido is now Uber’s toughest rival in India, not Ola”.
Rapido’s model is simple but powerful. The company earns commission from Captains for each ride and also works with logistics and e-commerce firms for deliveries. Advertising and partnering with brands within the app adds to its revenue stream. For example, their expansion into food delivery utilizes the existing network of riders, keeping operational costs low and efficiency high.
Rapido started as a bike taxi service and quickly expanded into other vehicle categories like auto-rickshaws and cabs to cover a wider range of commuter needs. By 2022, it also launched food and package delivery services, leveraging its large rider network for logistics. This makes Rapido a full-spectrum urban mobility platform, offering affordable and convenient transport as well as delivery options across over 100 cities in India.
Rapido's numbers showcase explosive growth. In FY2023, revenue tripled from ₹158 crore to ₹497 crore, and gross merchandise value (GMV) jumped to ₹2,520 crore from ₹674 crore the previous year. Rapido has completed over 75 million rides, spread to more than 100 cities, and raised multiple funding rounds, including $180 million led by Swiggy in 2022. While growth has been robust, rising cash burn remains a challenge, with the company doubling its gross order value to $1.25 billion in FY25 but seeing losses push it further from profitability.
| Fiscal Year | Revenue (₹ Cr) | GMV (₹ Cr) | Net Loss (₹ Cr) | Daily Orders (Millions) | Users (Millions) | Captains (Millions) |
|---|---|---|---|---|---|---|
| FY21 | 75.6 | 674 | -166.4 | Not available | Not available | Not available |
| FY22 | 144.8 | 2419 | -439.0 | Not available | Not available | Not available |
| FY23 | 443.0 | 2419 | -675.0 | 1.3 | 20 | 2+ |
| FY24 | 648.1 | 4257 | -370.7 | 2.6 | 17 | ~2 |
A blanket ban on bike taxis hit Rapido hard in Karnataka, starting June 16, 2025. The ban forced a halt in services and left many commuters stranded or forced to pay higher rickshaw fares. Rapido and Uber challenged the ruling in court. The Karnataka High Court judged the ban “arbitrary, unreasonable, and unconstitutional,” asserting that bike taxis are a legitimate business. By August, both platforms resumed services in Bengaluru as the government was given a month to finalize policy guidelines.
Rapido’s journey illustrates the power of sharp market targeting, efficient business models, and resilience in the face of regulatory and competitive pressures. By focusing on affordability and leveraging India's appetite for two- and three-wheeler mobility, Rapido swiftly broke the duopoly of Uber and Ola—emerging as a key innovator in India's rapidly evolving urban transportation sector.
