The Bangalore-based startup Bounce is a smart mobility solutions provider whose two-wheeler rental services are very well received. Bangalore is the densely populated centre of India’s tech industry where daily commuting is often very time-consuming and problematic. Bounce services are effectively alleviating the city’s serious traffic congestion problem and inconvenience public transport.
Bounce aims to help people free up more time so they can do the things they have always wanted to. It’s also budget-friendly at only Rs. 5 per km and Rs. 0.5 per minute. Along with its high convenience, it’s one of the most efficient travel options in the city. The service is very accessible and user-friendly as you only need the Bounce app on your phone and an OTP to begin your ride.
In only five years, the startup has grown immensely and has recently raised 92 million USD to further its expansion. It’s now planning to roll out 100,000 more electric scooters across 10 new Indian cities in 12-18 months.
Two Big Challenges for Bounce: High Competition and Careless Users
There are, however, two big challenges to the business. Firstly, Bounce faces competition from similar vehicle service providers such as Vogo, Ola, Uber, Rapido and Yulu. Although Bounce is a specialist in the two-wheeler niche and is expanding its presence nation-wide, its competition is working hard as well. For instance, Vogo is its biggest rival and is also working to expand its two-wheeler sharing service throughout India. Bounce and Vogo provide similar services but deliver them via contrasting models.
Secondly, the idea of the self-renting vehicle through an app is new to Indian customers. Many users are not responsible enough to maintain proper parking and take care of the vehicles. For instance, recently a rented scooter belonging to a two-wheeler renting company was dumped in a garbage disposal site in the city. Incidents like this can cost a lot to vehicle-renting service providers and even discourage investors in the market.
An Efficient Marketing Strategy Will Help Bounce Meet its Business Goals
The Economic Times has reported that Bounce will be investing the biggest chunk of its funds into research and development especially for IoT based services through the best tech professionals. It’s also strengthening its lean business model by building a central command centre and decrease employees on the roads. Vivekananda H. R., the co-founder and CEO has stated that Bounce recently crossed the two million rides milestone, putting the startup on par with similar services globally. They are now aiming to roll out 50,000 electric scooters by the end of 2019 and 100,000 by the next 12-18 months.
These initiatives can be most fruitful when coupled with an efficient marketing strategy. A very good way to ensure that Bounce and similar startups thrive is through influencers outside its own company. As more citizens as well as business partners endorse its services, the business can organically grow. It’s also very important for Bounce to see India’s developing market as needing continual support. Its smart mobility sector is fairly young and there is still a lot of room of growth.