Radio Cabs Market in India 2013

Date: October 21, 2013
Pages: 93
US$ 1,995.00
Publisher: Netscribes (India) Pvt. Ltd.
Report type: Brief Review
Delivery: E-mail Delivery (PDF), Hard Copy Mail Delivery, CD-ROM Mail Delivery

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Radio Cabs Market in India 2013
Netscribes’ latest market research report titled Radio Cabs Market in India 2013 identifies the transport scenario, wherein radio cabs are being hailed as one of the fastest growing business segments within the transport sector. Some of the factors that have driven the growth in awareness about the concept of radio cabs in India include ease of booking, accurate meter readings, trained and polite staff, competitive rates and GPS tracking, aided by the huge demand-supply gap within the segment. Although initial off-take was restricted only to corporate use owing to the myth of exceedingly high fares compared to ordinary cabs, recent trends suggest that individual users are gradually notching up the difference riding on increased disposable income and propensity towards safe and hassle-free communication.

The business model deliberates on the varied forms prevalent, with the ‘franchise’ model being the newest entrant into the market. With recent price hikes in fuel, radio cabs have followed suit and hiked their fares as well. Although fares comprise a primary source of revenue for radio cabs, advertising and subscription fees also account for a significant share of the overall revenue. With new players entering the segment, radio cabs as a proposition has come up with new technological add-ons and unique facilities that makes it more convenient and exclusive. As the country reels under deteriorated safety issues especially for women, features in radio cabs such as SMS trip trackers, vehicle trackers and associated mobile apps help in positioning the service as a more safe and convenient means of transport. Radio cabs, as a business concept, is poised for greater success not just in leading cities but also lesser known cities in India, as is evident from the expansion plans for tier II and tier III cities by leading operators.

Slide 1: Introduction – Radio Cabs
Slide 2: Radio Cab Architecture
Slide 3: Demand-supply Aggregation
Slide 4-5: Advantages of radio cabs over normal cabs


Slide 6: Radio Cab Market in India – Overview, Market Size & Growth (2012-2017e)
Slide 7-8: Segmentation – Organized-unorganized Split (2012), Corporate-Individual Split (2012)
Slide 9: Radio Cab Market Share (2012)
Slide 10: Fleet Expansion Slated for FY 2014


Slide 11: Business Model – Overview
Slide 12: Summary
Slide 13-16: Types of Business Models
Slide 17: Bidding System


Slide 18: Summary
Slide 19: Components of Revenue, Revenue Break-up (2012)
Slide 20-25: Types of Revenue


Slide 26: Components of Cost
Slide 27: Indirect Costs


Slide 28: Summary
Slide 29-33: Drivers
Slide 34-36: Challenges


Slide 37-40: Government Policies


Slide 41: Summary
Slide 42-55: Analysis of Mark ups on Medicine Price (Originator Brand and Generics)


Slide 56: Porter’s Five Forces Analysis
Slide 57: Major Private Companies – Summary
Slide 58-89: Reimbursement – Discount Card in Pharmacies


Slide 90-91: Key Recommendations


Slide 92: Appendix
Slide 93: Sources of Information


  • Radio cab market is growing at a1% CAGR and is slated to grow at a CAGR of a2% annually in future
  • Business model can be differentiated into 2 different fleet categories – company‐owned and franchised fleet
  • Revenues are garnered for this particular sector through 2 significant heads namely fares and advertisements


  • Increase in disposable income and transportation related expenses
  • Influx of tourists
  • Demand from corporate sector
  • Change in consumer mindset
  • Economic slowdown acts as an indirect stimulant


  • High fares
  • TRAI regulation on SMS cap
  • Unavailability of parking space


  • Hard and soft skills' training for cab drivers
  • Increased entertainment options inside radio cabs
  • Radio cabs with Wi-Fi services
  • Collaborations with other service providers marking the sector
  • PE investments in the sector
  • Technological advancements in radio cabs
  • Exclusive radio cabs for women
  • Loyalty programs launched by radio cab operators
  • Advent of mobile apps

The material was prepared in February, 2014.

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