redBus Collaborates with ONDC to Provide Metro and Auto Rickshaw Booking Services

• ByStartupStory     |    February 12, 2024

Online bus ticketing platform redBus has partnered with Open Network for Digital Commerce (ONDC) to enhance first and last-mile connectivity for travelers. This collaboration enables redBus to offer multi-modal transport booking services in various cities.

As part of this integration, redBus now provides metro ticket booking services in Kochi and Chennai. Additionally, users can book auto-rickshaws through the app in Bengaluru, Delhi, Chennai, and Hyderabad. This development follows a technical collaboration with Juspay, facilitating integration with ONDC APIs.

Chennai and Kochi-based redBus app users can now easily book metro tickets, benefiting from the convenience provided by this new feature. Chennai and Kochi have approximately 2.6 Lakh and 90,000 daily metro travelers, respectively.

Prakash Sangam, chief executive at redBus, expressed enthusiasm about working with ONDC, stating, “ONDC is a multi-force enabler in India, and we are pleased to be working with them to provide user convenience while promoting a diverse range of choices. ONDC’s commitment to transforming the e-commerce network aligns seamlessly with redBus’ vision of a digital India.”

T Koshy, MD and CEO at ONDC, highlighted the broader goal of promoting e-commerce adoption and boosting the growth of startups. He said, “Our work with redBus will not only reinforce our dedication to this ethos but also bring forth a shared vision of mobility that transcends traditional mobility solutions.”

ONDC had previously entered the mobility segment by onboarding Bengaluru-based auto booking app ‘Namma Yatri’ on its network.

redBus, founded in 2006 by Phanindra Sama, Sudhakar Pasupunuri, and Charan Padmaraju, has become one of the largest online bus ticketing platforms. In June 2013, ibibo Group acquired a controlling stake in redBus, valuing it at about $140 Mn (INR 800 Cr). Now part of the MakeMyTrip group, redBus has a 75% market share of the overall bus ticketing business in India, according to Sangam.

In addition to its presence in India, redBus launched operations in Singapore, Indonesia, and Malaysia in 2015. It also acquired a majority stake in Peru-based bus ticketing platform Busportal (now redBus.Pe) in 2016, expanding its operations into Latin America.

The ONDC platform, launched in the latter half of 2022 and backed by the Department for Promotion of Industry and Internal Trade (DPIIT), aims to unbundling the existing closed network of digital commerce and enabling small businesses to participate in the space. Several companies, including Delhivery, Paytm, PhonePe, IDFC Bank, Kotak, Shiprocket, Dunzo, and Tata Neu, have integrated some of their services with the ONDC.

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