The archive · Consumer Apps · Product decision · 2022–2024
Namma Yatri's zero-commission bet: drivers keep 100%, $11M pre-Series A
A Bengaluru ride-hailing app that charges drivers no commission — funded by flat fees — passed 46 million trips and raised from Blume, Antler and Google
Namma Yatri (Moving Tech)
What the business is
Zero-commission ride-hailing apps for auto rickshaws and cabs in Indian cities, built on open-source technology and the ONDC network
How it started
Built by fintech Juspay with Nandan Nilekani's BECKN Foundation and Bengaluru's auto drivers' union, Namma Yatri launched in Bengaluru in 2022 on the government-backed ONDC network, as a direct answer to driver anger over Ola and Uber taking 30–40% commission.
What happened
By July 2024 the Namma Yatri family of apps had 2.1 lakh+ drivers and 50 lakh+ customers across eight cities, with 46 million trips completed. It expanded from autos into cabs and rentals — first in Bengaluru and Chennai, with Delhi planned — and Moving Tech, the Juspay spin-off running the apps, raised an $11M pre-Series A led by Blume Ventures and Antler with Google participating.
How it ended up
Still live and scaling as of mid-2024: the zero-commission model was being replicated across cities via open-source apps (Yatri Sathi, Mana Yatri, Yatri), and the new capital was earmarked for technology and product innovation.
Background
Namma Yatri is a Bengaluru ride-hailing app that charges drivers zero commission: riders pay the fare and drivers keep it all, funding the platform with a small subscription instead. It was built by fintech Juspay with Nandan Nilekani's BECKN Foundation and Bengaluru's auto drivers' union, launching in 2022 on the government-backed ONDC network.
The contrast with incumbents is the whole bet: Ola and Uber take a 30–40% commission, while Namma Yatri charges drivers ₹25 for unlimited trips or ₹3.50 per ride (free after 10). The app is open source, and by July 2024 the Namma Yatri family of apps had 2.1 lakh+ drivers and 50 lakh+ customers across eight cities, having completed 46 million trips.
In 2024 Moving Tech, the Juspay spin-off running the apps, raised an $11M pre-Series A led by Blume Ventures and Antler with Google participating, and expanded from autos into cabs and rentals — first in Bengaluru and Chennai, with Delhi planned. Co-founders Magizhan Selvan and Shan M S framed the ambition as an impact like UPI in India and Linux worldwide.
What has to be true
- Zero commission flips the economics for drivers, who previously lost 30–40% of each fare to Ola and Uber
- A flat subscription (₹25 unlimited / ₹3.50 per ride) covers technology costs without controlling pricing or surge
- Open source plus ONDC makes the model replicable across cities, so Moving Tech runs the same stack in multiple markets
- Backing from Juspay, BECKN and Google gave it credibility and capital without a big marketing war chest
What can be applied
When incumbents take 30–40% of every fare, the wedge is a better deal for drivers, not a better app: full fare plus a flat fee flips supply to your side — but you must cover costs at low volume.
Aftermath
As of 15 July 2024, Namma Yatri is live and scaling: the family of zero-commission apps spans eight cities with 2.1 lakh+ drivers, 50 lakh+ customers and 46 million trips, and Moving Tech has $11M to invest in technology and product innovation. Expansion into cabs and rentals was underway in Bengaluru and Chennai, with Delhi planned.
Sources
- Moving Tech lands $11M for ride hailing apps from investors including Google
- Namma Yatri Kicks off with Auto and Cab Rental Services
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