 "Bikes image via Shutterstock")
Vivekananda H studies his customers' profiles carefully. He has rules and turns people away if they don't match his criteria. The 28-year-old is tightfisted when it comes to spending the money, $790,000, he raised in July. Venture capitalists don't take kindly to renegade entrepreneurs turning away customers but he has their support. Vivekananda, along with Varun Agni (30) and Anil G (28), runs Wickedride.in.
The Bengaluru-based company rents high-end touring motorcycles to enthusiasts in Jaipur and Jodhpur, beside the city in which it operates. The start-up has 40 drool-worthy bikes, such as the Iron 883, in its garage. This Harley Davidson bike can be bought for Rs 7.5 lakh but if you want to ride it for the weekend, it will set you back by only Rs 12,000.
"Only those who are over the age of 21 and have a valid driving licence can get the bikes. We don't turn anyone away, as long as they comply with our documentation," Vivekananda said. "We only give bikes to trustworthy and experienced customers, especially when they plan to ride to Goa and Pondicherry. We know younger people will drive under the influence of alcohol," the former KPMG analyst added. The company insists riders give their bikes a whirl before long rides.
Ask him about the bottom line, and the chartered accountant says he is confident of always having customers. "We have 80 per cent occupancy in the week and 100 per cent over the weekend," he added. From 40 bikes, it is in the process of expanding the number to 100 soon.
He is excited about the way customers have adopted to the model. "Without any marketing, organically, we get 1,500 hits a day. We are in the top 16,000 websites in the country," he added.
He admits that the company does run a capital heavy model and is trying to find a way around it. "We are India's first authorised motorcycle rental company operating with 'black and yellow' style number plates. They also come with insurance cover."
Their plans to add customers are ambitious. "We will be in Pune and Gujarat soon. Delhi will happen in the near future. We have applied for licences," he added.
The company is considering aggregation. It has developed a back-end management system for these rental agencies, which will help them manage inventory and keep track of their books. Roll out of the technology will fall into place once the aggregation takes off. The company also rents and sells gear (marketplace model) to bikers.
Wickedride.in, he claims, has no competition in the market. On the face of it, they have a few young upstarts who are doing something similar in Delhi-Wheelstreet.in. "We have a different model because we are aggregators. We liaise with bike rental operators with valid licences and help them reach customers," said Pranay Shrivastava, founder, Wheelstreet.in.
"The focus is on basic, everyday bikes. We have 900 bookings a month and only 15 per cent of them are super bikes," he added.
The company plans to open shop in Bengaluru by the end of the month and then at Pune and Hyderabad. "Our studies state Hyderabad has the highest number of bike riders and that means a higher number of vendors," he said. Wheelstreet also caters to companies who want bikes on rent "to enhance corporate culture".
Ola Cabs, for example, has rented 20-30 bikes for a few months. Adventure companies, such as Iamadventure.in, frequently lease bikes from Wheelstreet to conduct expeditions.
Experts believe both models have potential. While Wheelstreet is a slow burner, Wickedride has potential to grow faster.
"Wickedride has a very unique model. Most companies prefer to not own their own inventory. Investors prefer an aggregation-leaning model because when it gets big it helps them say: we got there first. But with fuel, Wickedride will grow fast. It is almost like driving a car or sitting in a rocket launcher," said Anil Talreja, partner, Deloitte.
