Bengaluru-based vehicle road assistance start-up, ReadyAssist, is working on a 'super app' that will allow end consumers to order aftermarket accessories and components, and get them equipped to their vehicles at their homes.
Vimal Singh, Founder & CEO, ReadyAssist, told Mobility Outlook that this transition and foray was natural for the start-up. “We already have a large team of partners offering mechanical services to car, motorcycle, scooter, and three-wheeler owners,” he said.
ReadyAssist will leverage the same partner network for helping end-consumers in getting components and accessories installed in their vehicles “from the comfort of their homes or offices”.
According to a Grand View Research report, the global automotive aftermarket was valued at $408.5 billion in 2021 and expected to register a compound annual growth rate (CAGR) of 3.4% from 2022 to 2030.
The first version of the ‘super app' is already available on the Android Play Store. However, it does not offer these services and is not available on the iOS store. “Our idea is to make this app a one-stop destination for car and two-wheeler owners in India. We want to build an ecosystem of vehicle owners where they can get answers to all their queries under one roof,” explained Singh.
600,000 Subscriptions Sold
ReadyAssist says it has sold 600,000 road assistance subscriptions so far. This number is “equally divided” between two-and four-wheeler owners. The company has also joined hands with some OEMs who offer ReadyAssist as an add-on or standard with every vehicle they retail.
“One of the biggest OEMs we are working with is Hero Electric. There are others as well but we cannot divulge their names due to non-disclosure agreements signed with them,” said Singh.
Most of ReadyAssist's road assistance subscriptions — over 65% — have come through the B2C route. With a team of 200 on-roll employees and over 5,000 on-ground partners, the start-up is also targeting second-hand car and bike dealerships.
The idea, as the founder explained, is to educate end users about the benefits of road assistance programmes. Consumers in the two-wheelers space are usually from the electric vehicle domain and internal combustion engine in the case of cars.
He said, “Majority 80% of our roadside assistance subscriptions are from tier-1 cities. We will target tier-II cities as well as expand in existing markets.”
Aiming For The Sky
The average ticket size for two-wheeler road assistance offered by ReadyAssist is INR 999 and INR 1,800 for cars. It also retails premium road assistance packages at INR 5,000 and more.
Singh is hopeful of selling over 400,000 more road assistance subscriptions before the end of this fiscal. “Many new subscribers have been added to the system during the last eight months and we aim to continue the good run for the remainder of this fiscal and the next,” he said.
ReadyAssist has so far raised $7 million in funding with the founder still owning a majority stake. Its revenue channel includes road assistance subscriptions, telematics, aftermarket accessories and components fitment, and annual maintenance contracts with B2B fleet operators.
“Whether we sell accessories and components using the app and our website, or we go heavy on aftermarket fitments of the already bought ones is something we are working on. It will be decided early next fiscal when we come out with the exact details,” declared Singh.
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