Both Vogo and Yulu, new-age startups, are branches with the same root — rental transportation. They both came up with ideas to minimize the need to rent high price ranging cab renting services and to make the “last mile” journey more efficient and faster. But the similarities do not end there certainly.
A. Similarities between Vogo & Yulu
1. Both the companies work with a base of dockless two-wheeler rental system. This means that the vehicle that is booked and picked up, can be picked up from any stand and left at any stand for the particular company.
2. The user interface of both the companies is quite similar. They require similar steps of creation of the account, booking of rental service and locating of the vehicle. The location is possibly an embedded IOT technique common in both.
3. Revenue strategy of both the startups is mostly comprised of similar factors which are:
- Penalty/Security deposit
4. The funding strategy applied for both of these startups, much like all startups nowadays, is similar — Venture Capital Funding or VC. Multiple rounds of funding lead to both of these companies being heavily invested, in the current market.
5. The companies share a few investors namely Ola and Kalaari Capital, Ola being the biggest investor in Vogo with about 100 million USD invested in the company.
B. Difference Between Vogo & Yulu Business Operation
However, with every similarity, there come differences. These companies are similar but not identical. A few differences in application and working aspects make them unique as well as different from each other.
Additional revenue strategy
No additional revenue openings in the revenue collection.
They charge extra for “pauses”. There are fixed rates for every halt that is taken on the vehicles.
Vogo offers scooters, most commonly used two-wheeler. Most cities are given access to Honda Activa.
Yulu offers two options.
Firstly, bicycles which are mostly used for shorter distances.
Secondly, miracle bikes or e-bikes. They run on rechargeable batteries which are very easily changed.
On arrival to the scooter, OTP received by the user has to be entered.
On arrival to the vehicle, a QR code available on the bike or bicycle has to be scanned.
Although the rates vary with weekends and weekdays due to the change in crowds, the charge is mostly 5 INR for every kilometer.
The bicycle is rented for 10 INR for the first 30 minutes and an additional 5 INR for every additional 30 minutes.
The miracle bikes cost 10 INR for unlocking, 10 INR for every 10 minutes.
Vogo designed this working model because they wanted the commute of the last stretch of the distance to the destination to be easier and efficient. Since most people use two-wheelers, they provided with rental service for the same. The vision of the founders was to make an efficient last-mile traveling system.
Yulu has taken a more eco-friendly approach. Bicycles and e-bikes both are emission less vehicles that very efficiently manage for the user to reach his or her destination on time. The vision of the Yulu founders was to create a safer, cleaner and greener alternative to last-mile traveling.
What’s next, let’s differentiate Rapido & Bounce Working Operation: How Rapido’s business model different from Bounce?