Bolt has significantly increased its South African operations in 2019 by launching ride-hailing services in up to 34 secondary towns and cities across all nine provinces and doubling its operational footprint across the country.
The expansion means the ride-hailing service is now available in the Free State, Northern Cape, Eastern Cape and North West for the first time, and that Bolt services can be hailed in new secondary cities and towns across all provinces.
Having started operations in South Africa in 2016 in Johannesburg, Bolt has grown year on year, and is now available in more South African urban centres than any other ride-hailing platform. This includes locations previously unserviced by ride-hailing platforms, such as eMalahleni, Mthatha, Vereeniging, Richard’s Bay, Thohoyandou, Mahikeng and Potchefstroom.
Gareth Taylor, country manager for Bolt in South Africa, says that pilot services were rolled out across several new provincial cities and towns throughout the year, adding that the service will be operational in approximately 40 South African cities and towns once the 2020 roll-out has been completed.
“Bolt’s 2019 strategy focused on launching ride-hailing services in more towns and cities outside of the main centres,” he explains. “Expansion into provincial urban centres gives consumers in smaller cities the opportunity to experience the convenience and affordability of on-demand transport for the first time, and provides significant work opportunities for drivers.”
Bolt employs more than 150 permanent staff in South Africa, who provide a variety of support services to drivers and riders using its ride-hailing platform. This staff complement is set to increase in 2020, in support of the service’s continued expansion strategy.
Bolt co-founder and CEO Markus Villig announced in 2018 that Bolt had completed an investment round of 200-million Euro, which it intended to use to expand its services worldwide – particularly across Africa.
“Bolt’s focus on Europe and Africa sets us apart from our competitors, and the success of this strategy is clear, with South Africa now one of our top markets globally,” says Villig.
“Bolt now operates in seven countries across the African continent. South Africa is our largest country market in Africa, and Johannesburg is our largest city of operations in Africa,” he adds.
Bolt also announced its intention to launch a food delivery service worldwide earlier this year, with South Africa one of the first three countries in which the service will be offered. Bolt Food successfully launched in Estonia in August 2019, in Lithuania in November 2019, and is planned to launch in South Africa, Latvia and Finland in the coming months.
According to Taylor, one of Bolt’s key success factors in its rapid expansion in South Africa has been the fact that drivers using its platform receive a higher percentage of fares than they would if they were using other similar ride-hailing platforms.
“Bolt’s growth is based on offering the best prices for passengers and the lowest commissions for drivers, and this combination has enabled us to grow more quickly and cost-efficiently than any other ride-hailing platform,” he says.
Taylor adds that ride-hailing has become a significant part of transforming and building a competitive and consumer-focused transportation environment in South Africa, and that it has stimulated innovation, growth and job creation in a new industry that is just six years old in South Africa.
“Ride-hailing makes it possible for more people to enjoy the convenience of getting from one place to another, without the costs of car ownership or the inconvenience of public transport,” he says.
“It has also facilitated entrepreneurship and small business development opportunities for thousands of South Africans, with over 10 000 drivers now using the Bolt platform to start their own businesses, earn an income, and support their families on a flexible schedule.”