TVS Motors signs strategic partnership with Rapido
Chennai based TVS Motor Company, led by Venu Srinivasan of the TVS Iyengar group, has announced a strategic partnership with Rapido. Incidentally, Rapido is one of the fastest growing on-demand delivery and mobility platform.
The collaboration between TVS Motors Company and Rapido will entail the collaboration in areas of mutual interest as well as in the aera of commercial mobility ecosystem, where both have a key role to play.
The MOU factors in the reality that both TVS Motors and Rapido are integral and indispensable parts of the fast moving mobility market in India. TVS Motor and Rapido will therefore look to collaborate by leveraging synergies of their respective businesses.
They will combine their strength in mobility and seamless technology platform and the partnership will cover both two-wheeler and three-wheeler vehicles.
Check - TVS Motors Share Price
How will the synergy pan out for both the companies? Let us look at Rapido first. With a strong user base of “Captains and 'Riders”, Rapido has emerged as the leading bike-taxi platform in India today.
With this collaboration, Rapido will look to expand its reach in the mobility and hyper-local segments with the application of high-quality, connected products from the TVS Electric portfolio. TVS Finance will also provide the financing for the activity.
For Rapido, which offers micro connectivity to last mile touch points using low cost transport, this alliance will help them to substantially strengthen their capabilities and expand their fleet of electric bikes, which are greener and a lot more environment friendly.
The ultimate objective of Rapido has always been to empower crores of Indians to commute using an alternate mode of transport that is affordable, comfortable, convenient and safe.
Rapido has aggressive plans not only for the large cities but also for the smaller Tier-2 and Tier 3 cities. Rapido is looking to plug the first and last-mile commuting gaps in India with the use of its fleet, offering an economical and greener solution.
Also, the reduced use of private vehicles on the roads, will automatically address the problems of traffic congestion in a big way. That would be the real value booster emanating from this alliance.
What is in the collaboration for the TVS Motor Company? According to TVS Motors, its partnership with Rapido is in sync with its elaborate plans of expanding electric product portfolio and enrich the fleet with more customer friendly offerings.
The current offering of TVS Motor in the green vehicle space actually spreads across 5-25kW two- and three-wheelers. In terms of timelines, TVS Motors will launch all these models by Mid-2023.
For TVS Motors, this is a smart way of forward integrating its business and allying with an aggregator that becomes a customer too.
TVS Motors eventually plans to expand its EV fleet to cover all the user segments and includes delivery, commuter premium, high-performance sports and electric three-wheelers.
TVS Motors plans to expand the presence of its TVS iQube electric scooter across all major cities in India, including Tier-2 and Tier-3 towns too.
Start Investing Now!
Open Free Demat Account in 5 mins