Bangaluru-based cab hailing service, Ola, launched Ola Money PostPaid today, which is an expansion of the existing Ola Money, a cashless system for paying for rides and third-party services.
The new Ola Money PostPaid will allow users to avail of cab services on credit for a 15-day cycle at no additional cost. It also has a simplified transaction process and can be accessed with a click without requiring an OTP. Last year, the service was launched for trial for 10% of the 150 million users Ola currently has in India. A 90% repeat rate during the trial period has encouraged Ola to extend the service to its entire consumer base, besides reaching the decision to expand the billing cycle to 30-days in the months to come.
In the coming months, it shall also add support for third-party service payments like those made for food, entertainment, and utilities. Besides enrolling other merchants to create a faster and more convenient payment base for its customers to boost Ola Money, a standalone app since 2015, used to pay bills, etc.
Users can avail of the service by logging into the Ola app and clicking on the ‘Payments’ option. This, followed by a tap on the ‘Ola Money Postpaid invite’ button, will allow customers to select the ‘Get Started button.
This credit-based service comes in a bid to encourage customers to go cashless, a feat that most of the Indian consumer base has yet to achieve. Although Ola Money turned the loyalties of a few customers, most of them still use cash to make payments, so much so that even Uber, known for its cashless cab-hailing services, was compelled to introduce the cash payment option to its app a few years ago.
At Ola, we are focused on innovating and building solutions that ensure a seamless digital experience for millions of users across the country. Ola Money Postpaid is an innovative, world’s first offering that was launched post taking into account learnings and user experience of other modes of payment. The response has been phenomenal, and more and more Ola customers are already making Ola Money Postpaid, their preferred choice of payment. – Nitin Gupta, Chief Executive Officer of Ola Financial Services.
Currently, Ola is in the midst of an attempt to raise more than $1 billion in funding, with reports suggesting cash infusion from investors. Regulatory filings from the previous week show that besides new investors, existing ones are also making significant investments, with Steadview Capital already has invested $75 million towards the cause. Among new investors, Ola is expecting the likes of SoftBank and Temasek.
Ola currently provides its services, which include hailing, making payments, and delivering food, in more than 100 locations in India. It has also recently invested in an electric scooter start-up and has taken flight internationally, with making launches in Australia, New Zealand, and the U.K. last year.