Mumbai-based Bus aggregator startup CityFlo has raised a seed round of $750,000 (approximately INR 5 cr.) from IDG Ventures. The amount will be used to enhance technology, expand the team and for greater penetration in Mumbai.
Cityflo was founded in August this year by Jerin, Subhash Sundaravadivelu, Rushabh Shah, Advaith Vishwanath, Ankit Agrawal and Sankalp Kelshikar – all alumni of the prestigious Indian Institute of Technology.
On this round of investment Jerin Venad, CEO and Co-founder, Cityflo, says,
“Urban transportation is a billion-dollar problem to solve. In just nine weeks since our launch, we’ve received an overwhelming response from our customers with a customer repeat rate of over 75 per cent.”
“While tier-one cities like Delhi have a huge population and, therefore, great potential, tier-two cities like Ahmedabad too hold a lot of promise because they simply don’t have adequate public transport. We are still evaluating the market,” He adds.
CityFlo is currently having over 85 buses plying 14 routes in the city. Tickets on Cityflo cost about INR 3 per km, with an average ticket size of INR 60 per commute booked. The platform sees an average of about 2,200 seats booked on a daily basis. The Cityflo’s app has crossed 8000 downloads so far. Currently the company is doing 2200 customer rides every day.
Venkatesh Peddi, executive director at IDG Ventures India, said, “We believe the company is solving a large problem, which can disrupt the office commute transportation system in the country”. Advitiya Sharma, co-founder at Housing.com, is also one of the mentors at CityFlo.