Moneycontrol Startup Conclave: Rapido looks beyond ride-hailing, sees big opportunity in food delivery,…

New business data points to the fact that Rapido is looking to reach the next 100 million users at scale, with a focus on affordability and expanding into more cities across India, according to co-founder and CEO Aravind Sanka.

Speaking at the third edition of the Moneycontrol Startup Conclave, Sanka stated Rapido spent 11 years building under the radar and focused on strengthening its supply side.

"For 11 years, we built under the radar. We always try to optimise for supply. The compinding impact is larger if you solve for supply. But that never comes with the limelight," he stated. "We want to solve for the next 100 million at scale. We want to prioritise segments that make the highest impact," Sanka stated.

He stated the firm has consistently built its business with limited capital and constraints.

"We have always built with constraints and less capital," he stated.

As Rapido expands deeper into India, the firm plans to launch in 100-200 cities every year, with affordability remaining a key focus.

"As we go deeper into India, we are rolling out 100-200 cities every year. Afforability is the key for us. That is how we are going deeper into India," Sanka stated.

On the food delivery market, Sanka stated Rapido does not approach new categories assuming that there is already a duopoly.

"We don't enter the category thinking there is a duopoly. We have not noted the same penetration as ride sharing in food delivery. Even though there are enough people dining out, it is not reflecting in the food delivery industry," he stated.

"We believe this will become a 100-150 million user market. It is all around affordability. We are not saying we have the answer. But we believe the opportunity is there," Sanka stated.

Sanka stated Rapido received its first venture capital round only after five years, giving the firm time to understand the impact it was creating and how to compete in the market.

"We got our first VC round after five years. It took a lot of time to realise the impact we are creating, and how to take on the competitive pressure," he stated.

He stated building with constraints helped shape the firm's culture around creating impact, while much of its talent has been developed internally.

"We were super fortunate to build with constraints. The culture in the firm is how to bring rhe biggest impact. We never celebrated a fundraise. Hence a lot of our talent is additionally homegrown," Sanka stated.

On the role of artificial intelligence, Sanka stated it has helped Rapido accelerate the pace at which it launches products and services.

"The pace of our launches are now a lot faster because of AI," he stated.