Buses make sense. Global warming has you down? Run a high class public bus system and you have the answer. Need jobs? Buses need conductors and drivers as well as white collar workers in the transit authority. Cars are expensive? Just take a bus! Crumbling infrastructure? Reduce cars through buses and go easy on the roads.
But somehow or the other, even though they make all of this sense, buses also face great flak. The speedo buses in the Punjab, for example, caused murmurs and discontents after
The reality is that buses are an important mode of public transport, and a subsidised provision of the government. A general misconception seems to be that public projects should be profitable. Quite to the contrary, they are loss making machines from the get go. The iconic
The good that a solid system of public transport does cannot be understated. But with jangla bus narratives abound and subsidies being removed from metro systems, there seems little urgency in
In
The master plan
If you do not know who you are looking for, you could walk in and out of the Airlift offices without giving a second thought to
Upon his return to
With the exception of one person,
'This startup is Made in
Going back to the origins of Airlift, Haider is quick to refuse any credit for the beginnings of the startup. 'This is not my idea. I am part of the team. The company began six to eight months ago when
'Initially when the company started, it was getting very nominal number of rides per day. But then in only a matter of days, the trajectory got so good that the number of rides increased to 500 and then to 1,500. The growth was insane,' Haider says.
The hook(s)
In fact, it was the sort of growth that normally has companies scrambling to keep up with demand and follow a trajectory without losing their heads along the way. But Airlift seems to have kept a steady head. In the first round of funding, they raised
The second round, however, really put them on the block with a mammoth
'The numbers that we had for the business project were so amazing that we landed investment for our business' says Haider. 'The question is how to look at this investment and what benefits it holds. For one, we have set a great example for the startup ecosystem in
'Secondly our user base is 47% women, and that is another thing we are proud of. Usually women are not comfortable with mass transport systems, primarily because of security issues. We have a strong tracking system for the drivers and buses, and are especially happy to see women's trust being built in our service.'
But the real attraction is the money. You can get on an Airlift bus at any of their stops, and get off on the other end of the city, all in
While almost all new ride-hailing services entrants in
'When you ask me where this cleaner and greener
The latest Memorandum of Understanding (MoU) that the company signed with the
The feasibility
The promises and principles Airlift is championing are well and good, but it would be unwise to get side-tracked by the image a company is trying to build. Besides, there are only so many windmills one can tilt at, and in the modern world of business, you need to roll your sleeves up and ask how you are going to make money, while staying true to the message you are preaching.
Haider believes that even with traditional buses, traffic congestion will see a massive decrease. 'That will not only solve traffic congestion but also carbon emission, the two major issues in
Airlift is not yet decided on the approximate ETA of battery powered buses at the moment, but they do know how they are going to navigate the market in the meantime. Their starting point is not those who already travel on the scantily available and overcrowded public transport, but those with means of either their own vehicles or other available services like
'The top 20% of the market in
Airlift seems intent on an almost scientific business model. At least according to Haider, the percentages he gave here were not shots in the dark, but actual, hard data that Airlift has stored in detailed reports on
If the target market is 'middle and upper-middle socio economic strata', then the fare of
However, if you consider that it is only payable by cards at the moment, or bank cash deposit options, and that Airlift customers either need to have a debit or credit card or at their disposal or deposit cash in the Airlift Account which is then accordingly updated on their accounts, things get into perspective. These payment methods, at least for the time being cater only to the banked population or those with the know how of how bank accounts may operate, and not necessarily those who work on daily wages. In addition to this, they also need smartphones and stable internet. This fare is also not likely to stay at a blanket rate of
'For now we are using cards system, debit cards and credit cards. But we are also exploring other opportunities and down the line we will introduce more. For now the price is also only
On the drivers' side, the company is not willing to divulge much at the moment, except that their communication takes place with transport managers instead of directly with the drivers, and that they are offering a uniform rate to these managers and then leaving them with the job of finding the required resources. Airlift General Manager Hurrieyeh Iftikhar said, 'We ensure that the transport managers are following pilot on-boarding protocol. This helps us ensure due diligence in the process.'
Haider added, 'The numbers are confidential at the moment but down the line I will be happy to share. For now I can tell you that we deal with suppliers and customers, our suppliers being the transport managers. We have a uniform package, I cannot share that with the media at the moment, but these transport managers follow our detailed questioning and screening process themselves and then for the drivers. We question people before we make them transport managers and then they follow our guidelines for drivers. They also fulfill our insurance and other quality demands and we also make sure that they follow those. But the model and money matters, we will hold on to that for now'.
There is also another factor, that with fewer vehicles out there, there are also far fewer captains. And with buses, you do not have the problem of people feeling like their cars are being overworked or misused. Set routes and a simpler app platform makes things much simpler on the captains end, and lower numbers indicates a difficulty for captains to organise. There is also no near-draconian 'incentive' system that would make those driving the buses work inhumane hours.
With all the good and the positive that team Airlift plans to bring to
Profit interviewed CEO of
Each of these questions were posed to
'First of all,
'Within a short span, our technology has improved massively and it is still constantly improving. The numbers that we have in such a short span of time are proof of that. But to answer her claim exactly, I would say that our company's formula is based on customer feedback. I and other team partners also sit in our on buses and talk to customers to get their responses. Then there is also the rating system on our app. We take feedback very seriously. There is also the helpline people can call. We can also send us direct email and we have a team that is following that very vigilantly. So whatever your concerns are, please share them with us and we are more than happy to try and improve upon them.'
On the question of whether Airlift is more suited to male customers, Haider reiterated that half their customer body was already comprised of women, and that their tracking and security protocol is geared to constantly make the service more safe and comfortable for female passengers.
'I believe that our services are as much for women as they are for men because in
'I will give you an example. If there is a lady working in Gulberg, and she gets off from work at 5:00, previously she might go to the bus station and wait for the bus which might or might not come at all. That is a huge concern. With our app, she can track the bus and know when it will arrive. Her seat will also be booked and confirmed. So there is also no chance of the bus being already filled without any seat available. All of this lends a higher comfort level for women, making Airlift as good an option for them as it is for men.'
Responding to Roshni's jibe that brand presence was more important to Airlift than financial efficiency, Haider was candid.
'We do have the funds now to explore several avenues and to cater to different customers. Both [operational efficiency and brand presence] go hand in hand. You need to have an efficiently run business and brand presence at the same time. However, with us it is not like we are only focusing on just being there. In
What about the public sector?
But it is not just the competition that has something to say or cause to worry because of Airlift. Their brand presence and forward thinking in the EV department means that there is apprehension among certain circles that are questioning whether or not this should exclusively be the government's responsibility, and the dangers of allowing the private sector to take the lead on this. While Airlift's MoU with the federal government has done little to ease these fears, Haider's response to Profit might.
He dismissed the fears related to a private company taking up a public service with regards to Airlift, clarifying that the only way a private company would be able to take this responsibility is to privatize the entire sector. 'We are working hand in hand with the government, complimenting their transport services and not as a replacement. Our goal is to revolutionize the mass transit system in
But can a company funded externally and not dependent on their revenues for their continuity or profits be trusted to provide an efficient service?
'The ultimate goal and objective for any business is profit, and it is for us too. But the question is how to approach that? We are still exploring it,' Haider says.
'For now, our primary focus is on growth, and now that we have the required funding, our growth and profit targets can go hand in hand. Plus, expansion does not mean losses or inefficiency if you are getting positive results from the market. I cannot disclose the exact financial details, or even whether we are breaking even yet or not, but I will be able to do so in a short while once we have streamlined our processes, business model and matters related to fare and revenues.'
© Pakistan Press International, source