Expansion Plans of Namma Yatri in Tier-2 and Tier-3 Towns

Namma Yatri, a ride-hailing service backed by Juspay, is gearing up for a major expansion in tier-2 and tier-3 towns across India. With a fresh capital infusion on the horizon, the company is looking to raise funds to invest in product development, research, and expansion plans. Chief Growth Officer Shan MS shared with Mint that the firm’s focus is on enabling convenience for customers and maximizing earnings for drivers through its open-network model.

In the coming months, Namma Yatri aims to strengthen its presence in over 15 tier-2 cities in South India, including Mangalore, Kottayam, Madurai, and Salem. This move marks a natural progression for the mobility company as it ventures beyond metro cities to capture a significant portion of India’s ride-hailing market with its no-commission business model.

Founded in November 2022 on the Beckn Protocol, Namma Yatri has already made significant strides in the industry. The company’s leadership, led by Shan and Chief Product Officer Magizhan Selvan, is committed to realizing their vision by maintaining independence through a recent divestment as a separate entity under the name Moving Tech Innovations Private Limited.

Juspay, the largest shareholder of Namma Yatri, has shown faith in India’s digital public infrastructure, which has been a driving force behind the company’s entry into the mobility space. By leveraging synergies with Juspay’s core products, Namma Yatri aims to create population-scale impact and solve transportation challenges with the help of technology.

With a unique subscription-based model for drivers, Namma Yatri has completed millions of trips since its inception. However, the company is open to rethinking its approach in non-metro cities to cater to the specific needs of drivers and consumers in those regions. Specialized features, such as the option to ‘favourite’ drivers and shared auto rides, are being considered to enhance reliability and trust in smaller towns.

Overall, Namma Yatri’s expansion plans and innovative business model are set to disrupt the ride-hailing industry in India, offering a fresh perspective on how mobility services can be delivered in tier-2 and tier-3 cities.