Latest news with #Guntupalli
Economic Times
14-07-2025
- Business
- Economic Times
IITian still remembers each of 75 rejections but went on to build a Rs 9,500 crore business. Who is Pavan Guntupalli, founder of Rapido?
Synopsis Pavan Guntupalli, an IIT Kharagpur alumnus, transformed a simple concept into Rapido, a bike-taxi service valued at ₹6,700 crore. Overcoming initial setbacks with his logistics startup and investor skepticism, Guntupalli secured funding from Hero MotoCorp's Pawan Munjal. Agencies How this IITian Turned Startup Failure Into India's Largest Bike-Taxi Platform While it's common to hear tales of Indian Institute of Technology (IIT) alumni achieving stellar positions in global corporations, one particular journey stands out for breaking the mold—a tale of entrepreneurship, resilience, and remarkable brand-building worth Rs 6,700 crore in under ten years. This narrative has become a beacon of motivation for many aspiring Indian the many successful IITians, Pavan Guntupalli's story shines as a standout example. Originating from Telangana, Guntupalli cracked the demanding IIT-JEE entrance exam and completed his degree at IIT Kharagpur. He began his professional journey at tech giant Samsung before venturing into the startup world. His initial business effort was a logistics venture named 'theKarrier,' which he co-founded with a friend. Despite their dedication, the company didn't take off and eventually shut down. Yet, Guntupalli remained undeterred. Using his learning from that setback, he launched Rapido—a bike-taxi and auto-rickshaw service aimed at offering quick and inexpensive commuting options to everyday his vision to life wasn't easy. Convincing investors of Rapido's potential was a daunting challenge. Over 75 potential funders rejected the proposal, largely due to fears that the startup couldn't compete with dominant players. But Pavan's determination never wavered. In an interview with NDTV Profit, he said that he still remembers the 75 rejections but acknowledges that some of them were valid. "We learnt from it," he said. What gave Rapido an edge was its unconventional growth strategy. While most ride-hailing services zeroed in on India's metro cities, Rapido turned its focus to tier-1 and tier-2 towns, where mobility issues were widespread and solutions limited. Initially, the company offered highly competitive rates—a base fare of Rs 15 and Rs 3 per kilometer—prioritizing affordability even at the cost of grassroots-level thinking paid off. Rapido gradually expanded across India and today operates in over 100 cities. Its mobile app has recorded over 5 crore downloads, and it boasts a dedicated network of 50,000 riders, referred to as 'captains,' serving a growing user base of around 7 lakh active of 2025, Rapido has grown into a solid brand valued at Rs 9,350 crore, as per a report. According to a report by Inc42 , the company's annual revenue has crossed Rs 1,000 crore, solidifying its position in India's fast-growing mobility sector—all born from one man's refusal to quit after failure.
Time of India
14-07-2025
- Business
- Time of India
IITian still remembers each of 75 rejections but went on to build a Rs 9,500 crore business. Who is Pavan Guntupalli, founder of Rapido?
While it's common to hear tales of Indian Institute of Technology (IIT) alumni achieving stellar positions in global corporations, one particular journey stands out for breaking the mold—a tale of entrepreneurship, resilience, and remarkable brand-building worth Rs 6,700 crore in under ten years. This narrative has become a beacon of motivation for many aspiring Indian entrepreneurs. Pavan Guntupalli: The Visionary Behind Rapido Among the many successful IITians, Pavan Guntupalli's story shines as a standout example. Originating from Telangana, Guntupalli cracked the demanding IIT-JEE entrance exam and completed his degree at IIT Kharagpur. He began his professional journey at tech giant Samsung before venturing into the startup world. His initial business effort was a logistics venture named 'theKarrier,' which he co-founded with a friend. Despite their dedication, the company didn't take off and eventually shut down. Yet, Guntupalli remained undeterred. Using his learning from that setback, he launched Rapido —a bike-taxi and auto-rickshaw service aimed at offering quick and inexpensive commuting options to everyday riders. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 10년 발톱무좀, 정확히 6개월 걸렸습니다! (사실주의) 홈시네라이프 더 알아보기 Undo Overcoming Investor Rejections Bringing his vision to life wasn't easy. Convincing investors of Rapido's potential was a daunting challenge. Over 75 potential funders rejected the proposal, largely due to fears that the startup couldn't compete with dominant players. But Pavan's determination never wavered. In an interview with NDTV Profit, he said that he still remembers the 75 rejections but acknowledges that some of them were valid. "We learnt from it," he said. The Strategy That Made Rapido Unique What gave Rapido an edge was its unconventional growth strategy. While most ride-hailing services zeroed in on India's metro cities, Rapido turned its focus to tier-1 and tier-2 towns, where mobility issues were widespread and solutions limited. Initially, the company offered highly competitive rates—a base fare of Rs 15 and Rs 3 per kilometer—prioritizing affordability even at the cost of profitability. This grassroots-level thinking paid off. Rapido gradually expanded across India and today operates in over 100 cities. Its mobile app has recorded over 5 crore downloads, and it boasts a dedicated network of 50,000 riders, referred to as 'captains,' serving a growing user base of around 7 lakh active customers. A Billion-Rupee Brand As of 2025, Rapido has grown into a solid brand valued at Rs 9,350 crore, as per a report. According to a report by Inc42 , the company's annual revenue has crossed Rs 1,000 crore, solidifying its position in India's fast-growing mobility sector—all born from one man's refusal to quit after failure.
News18
13-07-2025
- Business
- News18
IITian Faced 75 Rejections But Went On To Build A Billion-Dollar Empire. His Company Is...
Last Updated: An IITian who faced 75 rejections in securing financial backing for his startup idea, today owns multibillion-dollar company. Success stories of various IIT graduates come to the fore, about them working in top multinational companies. However, one success story of building a brand value worth 6,700 crore within a decade has inspired numerous youths. One such example is that of Pavan Guntupalli, who co-founded the bike-taxi platform Rapido. Once finding financial backing for his innovative idea, Guntupalli's Rapido now operates in over 100 cities in the country and has crossed 5 crore app downloads. Who Is Pavan Guntupalli? He hails from Telangana and cleared the highly competitive IIT-JEE exam and pursued BTech from IIT Kharagpur. After his graduation, he started his career at Samsung. He went on to become co-founder of 'theKarrier", a logistics startup, with his friend. However, he got a setback when his startup did not succeed and was shut down. Not discouraged by this failure, Guntupalli started Rapido, a bike-taxi service meant to offer affordable and easy travel options like bike rides and auto-rickshaws for people who needed quick and low-cost transport. But getting investors to support the idea was very difficult. Pavan faced many rejections — 75 investors turned him down, doubting whether Rapido could stand up to big companies like Uber and Ola. What Turned Things Around For Guntupalli? Pavan Munjal, Chairman of Hero MotoCorp, saw potential in the IITian's vision and extended financial backing to Rapido, further paving the way for other investors. This resulted in the official launch of Rapido in 2016. Unlike Ola and Uber, which mainly focused on big cities in India, Rapido took a different approach. Pavan and his team targeted tier 1 and tier 2 cities, where daily travel problems were common. In the beginning, Rapido offered a low pricing model — a base fare of Rs 15 and Rs 3 per kilometer — which made it affordable but hard to make profits. Despite challenges, Rapido grew steadily. Today, it operates in over 100 cities across India. The Rapido app has around 7 lakh active users and a team of 50,000 riders, whom the company calls 'captains." Rapido is currently valued at a strong Rs 6,700 crore. Swiggy, the popular food delivery company, is one of its major investors. Rapido now earns over Rs 1,370 crore in annual revenue. view comments First Published: July 13, 2025, 15:08 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
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Business Standard
09-07-2025
- Automotive
- Business Standard
No option for states to reject bike taxi norms: Rapido cofounder Guntupalli
Rapido — one of the largest players in the bike taxi commute business — says the new guidelines released by the central government on July 1, permitting 'non-transport motorcycles' for aggregators, no longer give states the option of rejecting the revised policy. Says Pavan Guntupalli, co-founder of Rapido: 'The guidelines permit states to have an additive policy but not the option to accept or reject the guidelines.' He adds that Rapido has always operated bike taxis with the understanding that there is already a provision in the Central Motor Vehicles Act for bikes to function as transport vehicles. 'The second clarification by the Centre reinforces this. They've now clarified that white plate motorcycles can also be used to support commute services.' The move is a major step forward and comes just days after the Karnataka High Court banned bike taxi services in the state, disrupting public transport, especially in Bengaluru. It also opens the door for many more states beyond the 17 that have already legalised bike taxi services to join in. The Motor Vehicle Aggregator Guidelines state: 'The state government may allow aggregation of non-transport motorcycles for passenger journeys as shared mobility through aggregators.' Guntupalli says the company's approach has always been to work with state governments. 'Each state is different, and we're aware of that. Depending on the state and city infrastructure or constraints, there may be a need for policy customisation or additional requirements. Now that the central government is being more vocal and direct in guiding states, our immediate step would be to ramp up efforts to collaborate with states where things are moving slowly, or not at all,' he pointed out. To put the business in perspective, estimates by Rapido and the industry say there are 9 million bike taxi riders across the country. Karnataka has around 600,000 of them across 17 cities, most of whom are local, accounting for under 7 per cent of the total bike taxi gig workforce. Of those, 150,000 gig workers are based in Bengaluru. Their daily earnings range from ₹90 to ₹120, with over 80–85 per cent coming from passenger commutes and the rest from delivery services, making this the largest gig employment category in the country. However, in terms of actual rides, Karnataka is a big player, clocking 15-20 million rides a month compared to 80–100 million nationwide. That gives it a 15–20 per cent share of all rides in the country.
The Hindu
06-06-2025
- Automotive
- The Hindu
Rapido eyes Goa expansion, lauds state's bike taxi rules
Bike taxi and auto aggregator Rapido is gearing up to launch its services in Goa, actively reviewing the state's newly introduced Transport Aggregator Guidelines, 2025. With operations already spanning over 215 cities and ambitious plans to reach 500 by year-end, the company sees significant potential in the tourism-driven state. In an exclusive conversation with The Hindu, Pavan Guntupalli, Co-founder of Rapido, shared his insights on Goa's regulatory framework and the company's vision for the region. He lauded the state's proactive approach, stating, 'Goa's move to formalise bike taxi operations is very progressive. Interestingly, Goa had the concept of bike taxis as early as 1991, making it one of the most forward-thinking states in this regard.' Mr. Guntupalli believes 'the new aggregator guidelines will enable the digital transportation economy, which aligns well' with the company's mission. While Rapido is not yet operational in Goa, the company is poised for a swift rollout. 'We are waiting for the formalisation of the guidelines. Once that happens, we will enter the market,' Mr. Guntupalli confirmed, adding, 'While we don't have a specific timeline yet, we are ready to launch as soon as the framework is finalised.' He highlighted the strong existing preference for two-wheelers, noting, 'For a population of 1.5 million, there are approximately 8 lakh bikes.' (For top technology news of the day, subscribe to our tech newsletter Today's Cache) The Goa Transport Aggregator Guidelines, 2025, stipulate several requirements, including a branch office in Goa, local data storage (or on Indian servers) for three years, and a ₹10 lakh health insurance for drivers (extending to parents and children for female drivers). Aggregators are also barred from preventing drivers from joining multiple platforms and must settle payments to vehicle owners within 72 hours without deductions. Regarding these regulations, such as the ₹5 lakh fee and data storage, Mr. Guntupalli emphasised a collaborative approach. 'We see these regulations as part of a collaborative process. Rapido has completed over two billion rides in the past decade and operates in multiple states, so we bring a wealth of experience to the table.' On data specifically, he affirmed, 'Rapido is an Indian company with deep local roots. We are fully aligned with storing data locally and ensuring compliance with government policies.' Safety remains a cornerstone of Rapido's operations. 'For tourists unfamiliar with Goa's roads, we offer features like real-time ride tracking, driver verification, and proactive alerts if something seems off during the ride,' he detailed. The company plans a comprehensive rollout, aiming 'to provide transportation solutions not just in urban areas but also in smaller towns.' Mr. Guntupalli is optimistic about existing taxi unions in the state. 'Unlike 2013, when platforms like ours were new, today we have data-backed evidence showing that joining Rapido improves earnings by at least 30%,' he said. 'Moreover, Rapido operates on a zero-commission model, which directly benefits captains.' A key initiative for Goa will be 'Rapido Pink,' a service by women captains for women riders. 'Yes, we see great potential for Rapido the limited job opportunities for women in Goa, especially in tourism, Rapido Pink can create meaningful employment while ensuring safety and convenience for female riders,' Guntupalli highlighted, noting its success in cities like Chennai. Differentiating itself from competitors, Rapido will lean on its 'zero-commission model and focus on affordability, safety, and convenience,' coupled with its 'extensive experience in Tier-2 and Tier-3 cities.' As Goa moves towards finalising its guidelines, Rapido stands ready. 'We are excited about the opportunity to contribute to Goa's transportation ecosystem,' Guntupalli concluded. 'Our goal is to collaborate with the government and ensure that the new policies benefit all stakeholders—tourists, locals, and captains alike.'
