BlaBlaCar's Return to India: Now Its Biggest Market

BlaBlaCar's Remarkable Comeback in India

A student named Lavanya Jain, aged 21, frequently utilizes the BlaBlaCar application every other weekend. He seeks transportation from Noida, near New Delhi, to his hometown of Kandhla in Uttar Pradesh, India.

This 120-kilometer journey costs approximately ₹500, which equates to about $6. This represents a significant saving compared to the ₹1,500–₹2,000, or $17–$23, he would spend on a private taxi.

A Popular Choice for Indian Travelers

Jain shared with TechCrunch that BlaBlaCar is an excellent option for those desiring a travel method that is quick, efficient, affordable, and sociable. He reports having used the app around 40 to 50 times in the last two years.

Millions of Indians are now embracing long-distance carpooling as a cost-effective and more engaging alternative for intercity travel. This trend has propelled India to become BlaBlaCar’s largest global market.

The company anticipates approximately 20 million passengers in the current year, marking a nearly 50% increase from the previous year. This projection suggests India will surpass both Brazil and France in passenger numbers, with estimated figures of 18 million and 18 million respectively.

From Exit to Explosive Growth

This resurgence is particularly noteworthy considering BlaBlaCar previously closed its India office in 2017 due to limited success.

The growth has been primarily organic, fueled by word-of-mouth referrals, increased access to mobile internet, and the expanding use of digital payments alongside rising car ownership among India’s growing middle class.

The Rise of Digital Infrastructure

India boasts over 700 million smartphone users and has experienced a substantial increase in digital payment adoption. These transactions now constitute over 99% of all financial exchanges within the country.

The government-supported Unified Payments Interface (UPI) system is central to this transformation. In September alone, it processed approximately 19.6 billion transactions, totaling around ₹24.9 trillion (roughly $284 billion).

Simultaneously, car sales have increased, reaching 4.73 million vehicles in 2024, a 5.2% year-over-year increase from 3.87 million, representing an all-time high.

Factors Contributing to Success

Several factors contribute to BlaBlaCar’s success in India. These include the country’s limited public transportation capacity relative to its population exceeding 1.4 billion, and the ongoing improvements to road infrastructure, enhancing connectivity between towns and cities.

According to Nicolas Brusson, co-founder and CEO of BlaBlaCar, many users report that the service enables travel that was previously impossible, offering a convenient and enjoyable alternative to flying or train travel.

A Brief History and Re-emergence

BlaBlaCar initially entered the Indian market in early 2015, establishing a local office in New Delhi. However, the company encountered strong competition from Uber and Ola, both of which were experimenting with carpooling services.

Facing challenges in gaining market share, BlaBlaCar withdrew its local team in 2017. Despite this, the application remained operational, and usage began to increase significantly in 2022.

Since then, the platform has experienced rapid growth, increasing from 4.3 million users in 2022 to a projected 20 million this year.

Current User Statistics

BlaBlaCar currently averages around 1.1 million monthly active users in India, peaking at approximately 1.5 million in August. Approximately three-quarters of these users are passengers, while the remaining 25% are drivers.

India now accounts for about 33% of BlaBlaCar’s total global carpool passengers.

Trip Growth and Market Shift

As of September 30, BlaBlaCar recorded 13.5 million completed trips in India, up from 9.1 million during the same period last year. Brazil remains slightly ahead with 14 million trips, while France ranks third with 5.6 million trips.

Brusson stated that the company’s focus is shifting from its original markets in Western Europe to regions like Latin America, Turkey, and increasingly, India.

Financial Impact and Earnings

While BlaBlaCar does not currently generate revenue from India, drivers on the platform earned approximately ₹713 million (about $8 million) in August alone.

Drivers in India earn an average of ₹390 (roughly $4) per seat, with an average trip distance of 180 kilometers (about 112 miles). This is lower than the average earnings in France (€15 or $17) and Brazil (€6.5 or $7), despite similar trip distances, reflecting local economic factors.

Demographics and Route Popularity

Nearly 70% of BlaBlaCar’s Indian users are between 18 and 34 years old, and approximately 95% access the service through its mobile app.

Around half of all rides in India occur on the country’s 15 busiest intercity routes, while the other half originate from outside the top 150 corridors, indicating growing adoption in smaller cities. Popular routes include Pune–Thane and Bengaluru–Chittoor.

Strategic Patience with Monetization in India

Despite experiencing substantial growth within the Indian market, BlaBlaCar currently has no immediate plans to implement monetization strategies.

According to Olivier Brusson, the company is prioritizing user engagement and platform adoption over revenue generation at this stage. He stated to TechCrunch that they are concentrating on increasing usage, leveraging successful strategies employed in other markets.

Establishing a Local Presence

Plans are underway to establish a physical office in India. The first employee is anticipated to be hired before the end of the current year or in early next year, as confirmed by Brusson.

Competitive Landscape

BlaBlaCar differentiates itself from ride-hailing services like Uber and Ola in the Indian context.

Brusson characterizes ride-hailing as “demand-led” services, while BlaBlaCar operates on a “supply-led” model. The company identifies personal car travel, as well as existing train and bus networks, as its primary competition.

Instead of directly competing with these platforms, BlaBlaCar focuses on providing an alternative for individuals already inclined to travel by car.

• Key Focus: Increasing user base and platform utilization.
• Competition: Private vehicle travel and public transportation.
• Future Plans: Establishment of a local Indian office.

The company’s approach emphasizes building a robust network of carpoolers before introducing financial transactions.

This strategy reflects a long-term vision for sustainable growth within the Indian transportation sector.

Obstacles Encountered on the Path to Achievement

Despite its progress, BlaBlaCar continues to navigate several challenges within the Indian market.

The regulatory landscape surrounding carpooling remains unclear across various Indian states, leading to increased scrutiny of the service in certain urban centers. Concerns have been voiced by some users, including Jain, regarding the accessibility of BlaBlaCar’s customer support, often characterized by responses consisting primarily of automated messages. The company has communicated to TechCrunch that it employs a “blended model” for support, utilizing a locally outsourced team for routine inquiries and a smaller team based in Paris to address more complex issues and ensure quality control.

In India, BlaBlaCar implemented an ID Check system to authenticate users through official government-issued identification – a feature subsequently extended to a global scale. However, investigations by TechCrunch revealed that users are still able to book or offer rides even with an incomplete ID verification status.

The company explained this as a conscious decision intended to facilitate easier engagement with the platform for new members. According to their statement, ID verification represents only one component of a comprehensive trust and safety system, relying instead on a multi-layered approach to foster confidence within the user community.

Furthermore, the company reports that over 70% of trips completed in India involve drivers who have successfully undergone government ID verification. BlaBlaCar also incorporates user reviews and ratings, alongside account verification via phone numbers and email addresses.

The company emphasizes the importance of completing all verification steps, stating that fully verified profiles – including photo and ID – significantly improve a user’s prospects of securing carpool arrangements. Conversely, profiles lacking these elements often experience lower booking rates.

Several BlaBlaCar users in India have expressed dissatisfaction with last-minute cancellations by drivers or passengers, sometimes occurring even after arriving at the designated meeting location. Additionally, the application currently lacks a real-time location-sharing capability, a feature Jain highlighted as limiting the platform’s utility for individuals arranging rides for relatives or friends.

BlaBlaCar has proactively modified its product to better align with the needs of Indian users, introducing features like “meeting-point logic” to streamline coordination. Unlike countries such as France, which have established carpooling zones, India lacks standardized pickup locations. Drivers and passengers typically arrange meetings at convenient points along the route – such as gas stations or highway exits. The app now leverages machine-learning algorithms and user-provided data to suggest and display these locations, minimizing detours and adapting to India’s existing infrastructure, as the company explained.

On a global scale, BlaBlaCar anticipates serving approximately 150 million passengers this year, encompassing users of its bus services, which are currently operational in markets like France but not yet available in India. As BlaBlaCar expands its international presence, India’s unexpected growth has positioned it as a central element in the company’s future development.