With an increase of 300% per year, GetTaxi “reduced the price” of travel by 40%

Virtual dispatching taxi service GetTaxi appeared 5 years ago. Now, Gett works in 54 cities around the world, including New York, London, Tel Aviv, Moscow and St. Petersburg, and its service is used by more than 10 million people.

This week, GetTaxi has introduced a new, extra-budgetary class of service. Now the minimum price for a taxi service will be reduced by 40%.

Now Gett is developing new service niches for consumers - from food delivery and manicure to major repairs.
The founder of Gett, Shahar Weiser, told Vedomosti about the work of the service on the world market, about the earnings of drivers, about investors, about new services and future plans for the company.
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"Megamind" leads the most interesting quotes from the interview .

About Gett Services Concept

We implemented an idea that excited the minds of our team. The technology and operational skills that we tested on taxi orders can eventually be applied in other niches that relate to the service sector. These are all services that accompany your life, such as buying groceries, ordering lunch, or services for your home — everything that you spend time on. Now there is one trend all over the world - a person seeks to maximize the delegation of authority. After all, there is no value in the fact that you personally will clean your apartment. Maybe it's better that with the help of our company you can free up time and make the most of it for what you like to do better?

About work plans

Naturally, there are more potential categories than we are able to do now. But to release a new segment of services once a month is a good plan, I assure you. First of all it concerns transport. Our goal is to be an alternative means of transportation for your personal car. Transport will remain the fundamental direction of the company's business: we are talking about expanding the range of car classes, optimizing prices and maintaining high earnings from drivers.

With food - the idea to ensure that the delivery of pizza or sushi took 10 minutes. Some do not believe that this is possible. But the same thing used to be said about our taxi services. When we said that we could serve the car in less than 15 minutes and the minimum cost would be 100 rubles, for many people it would be impossible to simultaneously perform both tasks. But today it is. And today, the fulfillment of both conditions seems trivial: we now serve the car in 5–7 minutes, and the minimum ride now costs only 49 rubles. This week, Gett launches a new tariff "Economy +", which reduced the cost of a taxi service by 40%.

On the demand for taxi services

One of the most interesting moments is that the format of using a taxi has changed fundamentally. A person who registered with Gett first makes X trips per month, after three months - 2X, after 12 months - 4X trips. Just think: when a person understands the benefits of the Gett service, discovers this service for himself, understands the comfort that it provides, he begins to use the service more often and this eventually expands the taxi market. The number of jobs increased in proportion to all these factors.

About competitors in the global market

Our transport service is used in Russia, the UK and New York. But the service is, in fact, local, and if the company does not have 10,000 cars, such as Gett in Moscow, but only 1,000 cars, it is impossible to provide the market with its services, no matter how beautiful the idea may be: with a small number of cars, any delivery of the car will still take another time. If there are no machines, no concept will work in a large market - it will be just a company that works only within the Garden Ring.

All markets are important and equivalent. Two markets - Russia and the UK - the largest in Europe.
Israel, however, also turned out to be a large market, and this is surprising. There, people use a lot of taxis, the market value is about $ 2 billion, It was a big surprise for us.

Due to a large turnover Gett can offer more favorable prices, and after today's launch of new tariffs even more so.

On launch in New York

The New York taxi market makes up half of America's taxi market, but it is not competitive. Only one company works there, and the monopolist, as is known, usually maximizes profits and does not think about the quality or competitiveness of its services. Entering such a market is usually easy by offering a more profitable service.

At the same time, half of New York's taxi market is demanded by corporations. Gett is known there precisely because of the best product for corporations (b2b). Half of the Fortune 500 are our customers, and we have achieved this in three years. In the spring, we launched the b2b segment in New York. We lower the cost of services, increase the efficiency and transparency of transport services, and companies really appreciate it. Believe, 2500 b2b clients in the corporate world is a good result.

On the earnings of drivers service

An interesting trend is observed on the supply side. We noticed that in fact we give the opportunity to 20,000 drivers to earn and support their family. Of course, we don’t pay salaries - this is what the market does, but we create the foundations for the market. And as a result, 20,000 driver families live off this sector. This in itself is surprising, and by the end of the year there will be more than 100,000 such families.

The driver in Gett can earn about 120,000 rubles, but you have to take into account that this is very hard work.

About investors

Yes, the best funds working in Russia invested in us. The last $ 150 million was invested by the funds Baring Vostok and Vostok Nafta. Among investors there is Kreos - the London Venture Fund. Leonard Blavatnik's Access Industries was also among the investors.
[Total investment] $ 207 million, this is actually a fantastic amount.

On the possibility of entering the public market and spreading in Russia

No, this is [a public market] accessible road. But while we continue to grow at a rate of 300% per year, we are focused on growth.
Just this summer, the company announced it would enter the million-plus cities across Russia. Our service has already been launched in St. Petersburg, Novosibirsk and Nizhny Novgorod, and also launches are being prepared in several new cities.

About new ideas and services

Since July, using the Gett app, you can order sushi, and later you can order any food - burgers, pizza or basic products from the supermarket. We are talking about basic products. At this stage, our company is not going to replace 100% of what you need to do, but 80% for sure - this is transport, and food, and cleaning, and dry cleaning, and minor household tasks around the house.

Our goal is to launch a new vertical of services every month. This is the ideal. And by the way, after we released the magic genie - we made an announcement about new services, the number of potential contractors grew unusually. It seemed to us that we made a universal map of business development in services, but it turned out that there were a lot of ideas that we didn’t even think about.