‘Aapli ST’ is a new mobile application that the Maharashtra State Road Transport Corporation (MSRTC) has released to let people commute more conveniently and easily. The software helps commuters avoid lengthy waits at bus stops by providing real-time bus location information.
The app’s Passenger Information System (PIS) now allows users to view real-time bus changes. By displaying each bus’s scheduled departure time (STD) and estimated arrival time (ETA), passengers can more precisely plan when to arrive at the bus stop.
Key Highlights of Aapli ST
By entering the bus number or ticket number, users may track buses, check schedules between two locations, and locate the closest bus stop with the app. Passengers who purchase their tickets in advance will find this extremely helpful. Because passengers can get to the stop right before the bus arrives, this technique will help cut down on needless waiting periods, according to an MSRTC spokesperson.
The ‘Aapli ST’ app is accessible to users of both Android and iPhone. Currently available for download from the Play Store as the “MSRTC Commuter App”, it will soon be available on app stores as “Aapli ST”. The software has scheduling and monitoring capabilities as well as an emergency contact list. With just one click, passengers can dial these numbers, adding an extra degree of security to their trip.
MSRTC Planning to Add More Features to Aapli ST
In order to facilitate bus tracking for passengers who reserve seats, MSRTC is also planning to integrate live tracking with its ticket booking system. More dependable and transparent service will be possible with this update. On the festival of Dussehra, State Transport Minister and MSRTC Chairman Pratap Sarnaik formally unveiled the app.
The software was created with assistance from Rozmalta Autotech Ltd and presently tracks more than 12,000 buses on more than 1 lakh routes throughout Maharashtra. In the near future, MSRTC intends to add all of its buses to the app’s coverage. Passengers were encouraged by Minister Sarnaik to provide comments and report any technical difficulties with the app. According to him, the software will be improved based on user feedback to increase its efficacy.
Quick Shots
•Aapli ST provides live bus locations, STD
(scheduled departure), and ETA (estimated arrival) to help plan travel.
•Aapli shows real-time updates and route details to
reduce waiting times at bus stops.
•MSRTC plans to connect live tracking with the
booking system for smoother travel experience.
•Available on Android and iOS (currently listed as
“MSRTC Commuter App”, soon as “Aapli ST”).
•More features to be added based on passenger
feedback to improve functionality and reliability.
Transportation is one of the oldest businesses in the world, and it can never go extinct because as long as the world continues, people will always need to move around from place to place. The transport business is also one business in which you can make cool cash. If you are looking to start a transportation business, you have come to the right place. The transportation industry is vast and offers a wide range of opportunities for entrepreneurs who are willing to put in the work to build a successful business.
Large transportation companies enjoy economies of scale when it comes to purchasing power and the ability to provide a broader range of services. However, small transportation businesses can compete better in local and regional areas by offering personalized services that larger companies may not be able to provide. The industry is largely fragmented, with 40% of revenue generated by the 50 largest firms. This means that there is a significant opportunity for small and mid-sized transportation businesses to carve out a niche in the market and compete effectively against larger players.
In this blog, we will explore some of the most profitable transportation business ideas, including car hire, trucking, bus transport, shipping service, air cargo, and more. We will also provide tips on how to start a transportation business so you can be on your way to building a successful venture in this exciting industry. So, whether you’re a seasoned entrepreneur or just starting out, let’s dive in and explore some of the best, most profitable transportation business ideas that can help you achieve financial success.
How to Start a Transportation Business?
Starting a transportation business requires careful planning and research to ensure that you have a solid foundation for success. Here are some general steps to follow when starting a transportation business:
Develop a Business Plan: Start by creating a business plan that outlines your transportation business idea, target market, competition, financial projections, and marketing strategy. This will help you organize your thoughts and ensure that you have a clear understanding of your business goals.
Choose a Legal Structure: Determine the legal structure of your business, such as a sole proprietorship, partnership, LLC, or corporation. Each has its own benefits and drawbacks, so it’s important to research and choose the structure that best suits your needs.
Register Your Business: Register your business with the appropriate government agencies, obtain any necessary licenses and permits, and comply with all applicable regulations and laws.
Acquire Vehicles: Depending on the type of transportation business you want to start, you may need to acquire vehicles. This could involve purchasing or leasing vehicles or even partnering with other transportation providers to create a fleet.
Hire Staff: Determine the number and type of employees you need to operate your business, such as drivers, dispatchers, and administrative staff. Develop a recruitment strategy and create job descriptions to attract the right candidates.
Set Prices: Determine the pricing structure for your transportation services based on your costs, competition, and market demand. Be sure to factor in all costs associated with operating your business, such as fuel, maintenance, insurance, and wages.
Develop a Marketing Plan: Create a marketing plan to promote your transportation services to potential customers. This may involve traditional advertising methods, such as print or radio ads, as well as online marketing strategies, such as social media and search engine optimization.
Starting a transportation business can be a challenging endeavor, but with the right planning and execution, it can be a profitable and rewarding venture. It’s important to conduct thorough research, seek advice from industry experts, and be prepared to adapt to changes in the market.
Most Profitable Transport Business Ideas
The following are some of the most profitable transport business ideas in Indiathat can prove to be successful and lucrative:
One of the most profitable transportation business ideas is a towing business, as you can start with just one towing truck. Your job will be to help move broken-down or illegally parked vehicles to a designated place.
To open a transportation company, you need to obtain a license or operate an automotive towing business, which can be a frustrating task since auto-towing licenses are heavily regulated.
Some operators of towing companies forego the license entirely and don’t provide towing services to the general public; instead, they only subcontract their services exclusively to car dealers and property managers. The alternative to waiting to be awarded a towing license is to purchase one from an existing towing operator or company.
Car Towing Service Market Size (2021-2030)
2. Taxi Cab Business
Best Transport Business Ideas – Taxi Cab Business
The cab business is preferred by those who want to have a chauffeur drive them. While taxi cabs are known to pick up customers from the road, private hire taxi cars serve customers who make a prior booking. One of the most profitable driving business ideas is that of a driver who can use their vehicle, so startup costs are relatively low.
Depending on the brand and condition of the car (new or second-hand), a suitable vehicle for a taxi or cab business can cost between INR 10,000 and INR 45,000. The cab business is the most successful transport business idea because taxi cabs are often regulated in most cities; they must be registered with the relevant city council authorities. This is why Uber and Ola have become successful unicorn companies.
3. Trucking
Transport Business Ideas – Truck Business
The truck transport business is another profitable business idea in India, as large chunks of imported goods need to be transported to several towns and cities until they reach the small retailers and final consumers. Trucking and haulage are the vital links that connect imported, manufactured, and cultivated goods to final consumers like us. Lorry businesses, like hiring heavy-duty trucks and tankers, may be at a standstill. Truck transport business ideas play a crucial role in facilitating the smooth flow of goods and ensuring commerce continuity, and can help you earn a good profit. Trucking can be one of the most profitable truck business ideas.
4. Car Rental
Transport Business Ideas – Car Rental
The car rental transport business is a lucrative career option that is similar to cab business ideas. It can be especially profitable when located in strategic locations such as busy cities with large populations, commercial centers, and entertainment districts. However, unlike the cab business, car rental companies have stricter safety standards that they must adhere to before they can provide vehicles for hire.
If you are considering starting a car rental business, your first step should be to purchase vehicles that meet these safety standards and also have features that can help reduce their impact on the environment. This is especially important since many modern consumers prioritize sustainability and eco-friendliness when making purchasing decisions.
Car rental services are also popular amongst tourists and people visiting a new location for a short period of time. By offering quality vehicles at competitive prices, you can attract a broad range of customers and establish a loyal customer base, making it an ideal venture for a transport business startup.
To succeed in the car rental business, it is essential to have excellent customer service, maintain your vehicles regularly, and stay up to date with changing market trends. By staying ahead of the curve and offering innovative services, you can build a profitable and sustainable transport business that meets the needs of your customers.
Best Transport Business in India – ZoomCar Business Model
5. Bus Transport Services
ITransport Business Ideas – Bus Transport Services
For many travelers, air travel is not always a feasible option due to cost or other factors. As a result, ground travel via buses or trains remains a popular alternative. If you are interested in starting a bus transportation business, it can be a lucrative opportunity to explore.
To start a bus transportation business and explore the bus business ideas, you will need to purchase a vehicle that can accommodate your target market’s needs. Once you have your vehicle, you can hire a driver or learn to drive it yourself if you have the required license and expertise.
Another option is to affiliate with an established transportation company, which can provide you with access to a larger customer base and an existing network of support services. This can be especially useful for those who are just starting out and may not have the resources to invest in their own infrastructure.
Regardless of the approach you choose, customer service is crucial to success in the transportation business.
With the increasing demand for shipping services that offer reasonable prices and promise convenience, speed, and reliability, no other time could be better than now for taking a plunge into the shipping business. The shipping industry is growing and rapidly changing, thanks to the increasing dependence on online shopping. The shipping business ideas are highly capital-intensive and competitive. However, it is one of the most profitable businesses in the transportation sector.
7. Driving School Service
Transport Business Ideas – Driving School Service
If you are very good behind the wheel, you can start a driving school and teach people how to drive. Every year, anxious teens who have attained the driving age requirements and even adults who don’t know how to drive approach driving schools to learn how to drive.
If you are looking for a steady source of income in the automotive industry, driving school is a lucrative business where you can teach people how to drive.
It is important to state that before starting a driving school, you will be required to obtain the required license, permits, and approval from the appropriate authority in your country. But apart from the little stress involved in securing approval, a permit, and a license for a driving school, it could be fun teaching people how to drive, especially if driving is one of your hobbies. By providing top-notch instruction and exceptional customer service, you can establish a reputable driving school that attracts a steady stream of customers and generates a healthy profit.
8. Limousine Services
Transport Business Ideas – Limousine Business
Limousine is a profitable transport idea; you could provide limo service to celebrities or regular people. Whenever anyone entrusts you to drive them, a clean reputation is important. But in the case of the personal limo service, typically you’ll be driving a group of people who aren’t paying attention to where you’re going or how you’re driving but are enjoying the ride.
In order to start a limousine transport company, the driver needs to be supremely trustworthy, and the vehicle needs to be safe and well-maintained. For this, you can provide all the services yourself, from scheduling to driving. If you want to expand, just add vehicles and drivers and keep expanding your marketing to keep business flowing.
Boats are more than a source of transportation or a fishing aid. They are now used as a recreational facility. It is not uncommon to see people take boat trips during the holidays. Some people even hold events onboard boats.
If you have sufficient funds, you can have a boat made for you or buy one that you can start renting to people. For businesses like boat charters, a transportation business license is a must.
10. Air Cargo Business
Transport Business Ideas – Air Cargo Business
The sea is not the only means through which cargo can be brought in; starting a transportation business like air cargo is also profitable as the air can also be utilized in transporting containers. In 2014, airlines transported 51.3 million metric tons of goods, representing more than 35% of global trade by value but less than 1% of world trade by volume.
With the right tools and equipment, even though very costly, you can start an air cargo transport business by helping businessmen transport their goods faster and in a safer way.
Worldwide Revenue of Cargo Airlines (FY2008 – FY2022)
11. Livestock Transportation
Transport Business Ideas – Livestock Transportation
Livestock is a key part of many industries and plays an important role in their supply chains. However, transporting livestock is more challenging than moving other types of goods, requiring specialized transport services. This need creates opportunities for new entrepreneurs in the transport business.
Transporting livestock can be one of the best business ideas for small-scale investors in India. The agricultural sector frequently needs to move poultry, cattle, and pigs. Not only is it important to transport livestock safely, but by doing so, you can also meet the essential needs of farmers and tap into a high-demand market. Overall, livestock transportation is a highly promising transport business idea in India.
Best Transport Business Ideas – Healthcare Transportation
Healthcare transportation includes ambulances for emergencies and help for road accident victims. With more older people starting a medical transportation business can be a good idea. This service helps seniors, people with disabilities, and patients get to medical appointments.
To start, you’ll need wheelchair-accessible vehicles, trained drivers, proper certifications, and marketing to healthcare providers and community groups. Profit depends on your rates, the number of clients, insurance payments, and how well you run the business. Medical transportation services can make a profit of 10 to 20%.
13. Moving Company
Many entrepreneurs are exploring logistics business ideas due to the rising eCommerce and supply chain needs. You can start a moving business with just one truck and a few strong team members. Advanced logistics technology isn’t necessary, but experience in handling household and office items is essential.
Moving companies help relocate belongings, offering services like packing, shipping, and transporting household items. They handle both local and long-distance moves.
Charges are usually based on hourly rates or the specific job, so pricing must be planned carefully. Starting also requires investing in essential moving equipment, such as trucks and dollies.
14. Delivery Service
With the rise of e-commerce, last-mile delivery services are in high demand. You can work directly with local businesses or join platforms like Amazon and Flipkart. A clean driving record, a smartphone, and regular vehicle maintenance are essential. This role suits punctual drivers who enjoy problem-solving but require managing fuel costs and demand fluctuations.
15. Airport Shuttle Business
Transport Business Ideas – Airport Shuttle Business
Airport shuttle services are a great business idea in tourist cities, helping people travel to and from airports. Use spacious vehicles, partner with hotels and travel agencies for bookings, and focus on being punctual and affordable to attract customers. Airport shuttle services can be one of the best bus business ideas.
Cycle rental shops are becoming more popular in cities and tourist places because people are now more aware of the environment and want to stay healthy. This business can do really well in areas where bicycle-sharing services are already available and where many tourists visit.
As more people prefer eco-friendly transport, bicycles are a good option instead of using cars. This attracts many customers. Starting this business doesn’t cost much, and it can give steady income, especially if it’s connected to mobile apps that make renting easy and allow regular payments instead of one-time charges.
Conclusion
The transportation industry is a lucrative and constantly evolving sector that offers numerous opportunities for entrepreneurs to start profitable businesses. Starting a transportation business requires careful planning, market research, and a significant investment of time and money. However, with the right approach, dedication, and hard work, individuals can establish successful transportation businesses that provide a valuable service to customers while generating a healthy profit.
Whether you are interested in starting a ride-sharing service or a driving school, the key to success in the transportation industry is to offer high-quality services, prioritize safety, and remain adaptable to changing industry trends and regulations. With these principles in mind, anyone can turn their transportation business idea into a thriving venture.
FAQs
How to start a transportation business?
To start transport business, you need to conduct market research, create a solid business plan, obtain necessary licenses and permits, secure funding, and invest in equipment and facilities. You should also prioritize safety and customer satisfaction and remain adaptable to changing industry trends and regulations to ensure the long-term success of your business.
Is transport business profitable in India?
Yes, the transportation business can be highly profitable, as it provides essential services to individuals, businesses, and governments. The industry is constantly evolving and presents many opportunities for entrepreneurs to establish successful businesses and generate significant profits.
What are the top transportation business ideas?
The top transportation business ideas are
Air Cargo Business
Boat Charters
Limousine Services
Driving School Services
Shipping Services
Bus Transport Services
Car Hire
Trucking
Taxi Cab Business
Towing Service
What are the other transport business ideas?
Some of the other transport business ideas are:
Interstate Commuting
Ferry Transport
Car Storage
Car Wash
Courier Services
Motorcycle Sales
Transport Blogging
Kids Taxi Service
Airport Shuttle Business
Medical Transportation
How much does it cost to start a transportation business?
The cost of starting a transportation business can vary significantly depending on the type of business and the location. However, entrepreneurs should be prepared to invest in equipment, facilities, licenses and permits, and marketing expenses.
Is it difficult to obtain licenses and permits for a transportation business?
The process of obtaining licenses and permits for a transportation business can be complex and time-consuming, as different jurisdictions may have different regulations and requirements. However, entrepreneurs can consult with industry experts or government agencies to ensure that they meet all the necessary standards.
What is profit margin in transport business in India?
The profit margin of a transport business in India can vary depending on various factors, such as the type of business, the size of the fleet, the market demand, and the operating costs. However, on average, the profit margin in the transport industry in India ranges from 5% to 25%. It is important to note that profitability can also depend on effective management, cost control, and efficient operations.
What are small transport business ideas?
Airport Shuttle Services
Last-Mile Delivery
Moving Services
Car Rental
Food Delivery
Bike Courier
School Transportation
How to start a transportation business with one van?
To start a transportation business with one van, plan your service (like delivery, moving, or shuttle), obtain the necessary licenses and insurance, and ensure your van is in good condition. Market your services locally, set competitive pricing, and keep track of finances. Start small and focus on a specific service to build your business and reputation.
What are commercial vehicle business ideas?
Commercial vehicle business ideas include delivery services, moving companies, food trucks, shuttle services, parcel couriers, towing, waste collection, and construction hauling. These businesses can serve various needs, from local deliveries to transporting materials and providing roadside assistance.
What is transport business income in India?
Income from a transport business in India varies based on the service type. Delivery services can earn INR 30,000 to INR 80,000 monthly, while moving services may bring in INR 50,000 to INR 1,00,000. Ride-hailing drivers can make INR 25,000 to INR 60,000, and logistics companies can earn INR 1,00,000 to INR 5,00,000 per month, depending on demand and scale.
How to start a passenger transportation business?
To start a passenger transportation business, choose your service type (e.g., taxi, shuttle, or bus), get necessary licenses and permits, buy or lease vehicles, hire trained drivers, and get insurance. Set routes or on-demand options, and promote your service through online and local channels. Ensure safety, punctuality, and customer service for growth.
What is the bus business profit in India?
In India, the private bus business profit can range from INR 30,000 to INR 1.5 lakh per month per bus, depending on route, usage, fuel cost, and ticket pricing. Profits are higher on busy routes and with well-managed operations.
Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Shuttl.
Public transportation provides a good deal of mobility, safety, and economic benefit to people and businesses. Beyond those key benefits, it also offers the most significant environmental advantages that contribute to a better quality of life. Public transportation reduces the number of cars in the street, and thus helps improve air quality, alleviate traffic congestion, and noise.
Shuttl is an app-based office bus service that provides buses for intra-city commute by allowing users to search and book AC bus-rides for travel.
Shuttl being India’s largest bus aggregator platform, provides office goers an easy and stress-free mode of travel to their workplace and back. Shuttl offers its services via their mobile application, which is available on both Google Play store and App Store. The company was founded in 2015 and is headquartered in Gurgaon.
The company started operating first in Delhi-NCR. By now, Shuttl has extended its services to other cities of India such as Mumbai, Pune, Hyderabad, Kolkata and Chennai.
Shuttle provides reserved seats in AC buses, real-time bus tracking, affordable single day and monthly plans, guaranteed safety via advanced technology integrations, and robust identity checks of drivers and co-passengers.
“India isn’t as evolved a market where a passenger would feel safe in a stranger’s personal vehicle. That same person would be perfectly fine sitting next to a stranger in a public vehicle, like a bus. Commuting is the worst part of the day, and we wanted to come out with a solution to take the pain away from people of daily commuting and buses are the most efficient and cost-effective. Shuttl was the credible alternative to these people,” said the CEO.
You can explore bus routes between two locations and the app assists you in finding the best possible route to reach there. Once the booking process is done you need to browse your bus route on the Map. The application helps you navigate to your pickup point. The tech sourced app facilitates user to keep track of your Shuttl on the app to plan the journey. A user receives the vehicle’s details within 30 minutes before the scheduled boarding time. User can cancel or reschedule the booking before Shuttl reaches your pick-up point.
Therefore, Commuting with Shuttl reduces congestion, pollution, stress on city infrastructures (toll plaza, parking spaces), and gives back precious travel time that was lost earlier in driving/standing.
Shuttl – Logo and its Meaning
Shuttl’s company logo consisting of a bus in light blue colour, depicts how the company leverages on technology and focuses on comfort, and time-saving process of travelling through buses. All one has to do is install Shuttl app for easy commute.
Shuttl’s company logo
Shuttle – Recent News
Shuttl begins testing international market with Thailand
Amidst dealing pandemic, Shuttl expands its ESOP pool
Bus aggregator startup Shuttl raises INR 57 Crore from SIG Global India Fund
Shuttl raises $8m from SIG Global and more updates
Amazon backed Shuttl raises $36 Million from Toyota, others for expansion
Shuttl – Founder and History
The company was founded by Amit Singh and Deepanshu Malviya in 2015.
Founders of Shuttl
With buses, it was possible to offer a service at around one-eighth the price of a cab.
The Shuttl startup began intra-city bus fleet operations in 2015 within Delhi-NCR. The story of Shuttl dates back to 2014 when IIT-graduates Amit Singh and Deepanshu Malviya used to work for e-commerce company Jabong. They wanted to start their own venture, which led them to quit their jobs at Jabong. They started with a mobile content platform and later tried their hands at inter-city cab services. However, both these projects failed to take off. Nonetheless, neither Amit nor Deepanshu lost hope and kept looking for new opportunities.
When the founders noticed the huge challenges faced by commuters every day in Delhi-NCR and how people were usually forced to travel in crowded buses. The entire experience was quite stressful, they started with a pilot project wherein they hired two Toyota Innova cars and launched a basic app for the Shuttl service. With reserved seats, reliability and comfortable rides, the word soon spread and Shuttl started getting more requests from office goers. As of now, Shuttl operates hundreds of buses across various cities it serves.
With a mission of solving the pain of commute, Shuttl offers a space-efficient, safe, and cost-effective solution for urban India. Shuttl has demonstrated the ability to simultaneously address the dual challenge of congestion and pollution.
Shuttl – Business Model
Since the startup’s inception, the bus sharing commute offered more than 8 lakh rides and clocking about unimaginable rides a day. Apart from Delhi the company operates in the cities like Hyderabad, Kolkata, Gurgaon, Faridabad, Noida, and Pune and expanding to other cities as well.
The Shuttl business model is simple. They are an online aggregator and works with multiple service providers to sell their services under the Shuttl branding. The service providers in this case are Bus Operators with a valid licence to ply their buses on particular routes. Shuttl does not own any of the vehicles that are operated under its branding. It merely enters into service contracts (often at a fixed price) with bus service providers for the use of their vehicles under the Shuttl branding.
The responsibility to provide the actual transportation service lies with the bus service operators. It is also the operator’s responsibility to hire drivers and other crew necessary to ply the vehicles.
The fare that individual users pay to avail the shuttle bus services is collected and retained by Shuttl.
Shuttl – Revenue and Growth
App-based bus aggregator Shuttl surpassed INR 100 Crore in revenue in the financial year ended March 2019, clocking a 123% year-on-year growth compared with INR 44.8 Crore revenue reported in FY18, according to the company’s unaudited financial results released. Shuttl claims to have a rider ship of over 1 lakh rides per day across the six cities. Shuttl which raised over $50 million since its inception in 2015, currently has a network of over 350 shuttle routes operating 1,800 buses across different locations in India. Shuttl also claims to have completed over 33 million rides till date. Around 38% of Shuttl users are women.
“We attribute our sustained growth to our riders and uniquely designed services that we are offering them. Our endeavor is to deliver a safe, reliable and environmentally sustainable mobility for urban India, and by attaining one lakh daily ridership, we are confident that our constant efforts to enhance asset utilization, lowering transportation costs and improving rider convenience will help us transform the mobility landscape of cities in future,” Amit Singh, Co-chief executive of Shuttl said.
The Shuttl funding has raised a total of $122.3 Million in funding over 13 rounds. Their latest funding was raised on Feb 18, 2020 from a Corporate Round round. Shuttl is funded by 22 investors. Sojitz and SIG Global India Fund are the most recent investors.
Date
Round
Amount
Lead Investors
Feb 18, 2020
Corporate Round
$3M
Sojitz
Feb 14, 2020
Series C
₹570M
SIG Global India Fund
Dec 17, 2019
Series C
$2.5M
Moving Capital
Nov 25, 2019
Series C
$18M
SPARX Group, Toyota Tsusho
Oct 29, 2019
Series C
$42M
SMBC Trust Bank, Toyota Tsusho
Apr 17, 2019
Venture Round
₹350M
NAV.VC
Mar 28, 2019
Series B
₹499.9M
Lightspeed India Partners, SCI investments, Sequoia Capital India, Times Internet
Jan 17, 2019
Debt Financing
₹100M
Trifecta Capital Advisors
Oct 23, 2018
Debt Fiancing
$1M
Trifecta Capital Advisors
Jul 30, 2018
Series B
$11M
Amazon, Amazon Alexa Fund, Dentsu Ventures
Shuttl – Awards and Recognition
In June 2018, Shuttl was felicitated in the sustainable mobility category at the International Ashden Awards held in London.
In November 2017, in the FICCI Road Safety Awards, the firm had won the Special Jury Award in the category of Road Safety Product and Solution.
Shuttl – Competitors
ZipGo, WhistleDrive VProtect India, VAJOR.COM, EazyDiner, The Man Company Cityflo, and Commut are the leading contenders to Shuttl.
Shuttl, an app-based on-demand shuttle service has suffered a loss of $8.21 million in fiscal year 2015-2016.
In a media interview, co-founder Amit Singh said the company plans to scale its fleet to at least 700 by the end of the ongoing financial year. It is also expected to hit a monthly sales run-rate of INR 10 Crore after that.
However, for Shuttl, the path to growth was not going easy as the company was facing various regulatory issues with state governments.
The transport department of Delhi government impounded over 50 Shuttl buses for permit violations. Besides, the department also threatened the two co-founders of Shuttl for ‘illegally’ plying buses in the national capital. In defence of the impounding, a senior official in the State Transport Ministry stated that these private buses are contract carriers and cannot act as stage carriers to pick up individual passengers as it leads to safety concerns, besides congestion and pollution.
India’s largest bus aggregator Shuttl has entered the highly contested food delivery space by launching meals on buses for daily commuters, as it looks to further monetize its captive customer base.
“Our customers are demanding food to be served on buses. The metric we track, ie Items sold per ride, show that about 90% of the people are buying something which validates that there is a consumer demand for it….we are working with cloud kitchens and building an ordering product to scale this offering,” Amit Singh, cofounder of Shuttl, said, adding that the service would target commuters who on average use the Shuttl service 22 times a month.
The company expects to break even at an operating level on the back of an increase in prices, bigger buses, and improved occupancy levels. Selling daily essentials on buses like bread, butter, curd, eggs and milk would be the next step for the startup, Singh said. The Shuttl startup also aims to expand their franchise in other cities of India.
Shuttl – FAQs
When was Shuttl founded?
Shuttl was founded in 2015.
Who is Shuttl’s CEO?
Shuttl’s CEO is Amit Singh.
Who are the Shuttl Founders?
The company was founded by Amit Singh and Deepanshu Malviya in 2015.
Who are Shuttl’s competitors?
Shuttl’s top competitors are ZipGo, Easy Commute, and Cityflo.
