In an attempt to further strengthen its position in the Indian market, Mahindra, a popular name in the utility vehicle segment has announced a strategic tie-up with Ola, a well known cab aggregator in the country. Mahindra aims at increasing the Ola fleet strength by about 40,000 cars in about a two year period.
As revealed by Anand Mahindra, chairman, Mahindra Group, the collaboration is not limited to Mahindra Auto and it expands to the entire group’s services. This means that Ola drivers are also eligible to receive up to 100 per cent financing on the new and pre-owned vehicles. Moreover, the company’s insurance division will offer schemes at a lower premiums for their convenience. Additionally, Mahindra’s CSR scheme also allows Ola drivers to receive insurance of about Rs 15 lakh, scholarship benefits to kids and also offers discount on spares.
Mahindra has not entered into an exclusive collaboration with Ola, thereby they are keeping the collaboration option open with other taxi aggregators. However, the financial incentives are exclusive to Ola this time around. The fleet addition will begin with the regular Verito sedan, while at a later date Mahindra might also introduce its electric vehicles.
Mahindra has also noted the importance of connecting with the digital ride-sharing platform as recently Reliance has introduced the Jio smartphones which offer low cost internet benefit to users thereby seeing a potential to see more users on this online ride-sharing fleet aggregator. Last year, Nissan Motors had announced its tie up with Ola for buying and lending of cars to its drivers. Recently, Tata Motors also announced its association with Uber.
