Ride-hailing platform Ola has extended its Prime Plus premium service to Mumbai, Pune, and Hyderabad, shortly after expanding the no-cancellation service to all customers in Bengaluru on July 10. The Prime Plus service is introduced to address the issue of ride cancellations by drivers, providing complete ride assurance and eliminating operational hassles for customers.
Full-Scale Rollout Following Successful Pilot
The Prime Plus service was initially piloted in Bengaluru, and after witnessing overwhelming success during the pilot phase. Ola is now expanding it to select customers in Mumbai, Pune, and Hyderabad. A full-scale rollout will soon follow, according to a statement by a spokesperson.
Bhavish Aggarwal Announces Expansion on X (Twitter)
Ola’s co-founder and CEO, Bhavish Aggarwal, announced the expansion of the Prime Plus service on X (erstwhile Twitter). He expressed excitement about introducing the service in new cities and mentioned the positive response to the trial run in Bengaluru.
Ola’s Diverse Services and Premium EV Category Entry
Ola currently offers cab, auto, and bike services. With Prime Plus, users can book a prime sedan or prime SUV, ensuring a car for rent through the Ola app. Earlier this year, Ola also entered the premium electric vehicle (EV) category with a fleet of 10,000 cars.
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Expansion Amidst Valuation Cut and Controversies
The expansion of the Prime Plus service occurs amidst challenges for Ola. US-based investment firm Vanguard reportedly marked down the valuation of its stake in Ola by 51.6% to $25 million at the end of May 2023, significantly lower than the $7.3 billion peak valuation in 2021.
The company has faced various controversies, including regulatory challenges, delayed financials, and fierce competition from rivals like Uber and BluSmart. Additionally, Ola has undergone layoffs and a restructuring drive to cut costs and streamline its operations. Despite these challenges, Ola continues to focus on expanding and improving its services for customers across different cities.
