“We’re the backbone of quick commerce business in India,” Yulu’s Amit Gupta on empowering gig workers and shaping the future of electric mobility

Amit Gupta, the co-founder and CEO of Yulu, has been at the forefront of revolutionizing electric mobility in India. As the head of India’s largest shared electric mobility company, he is driving efforts to create sustainable, inclusive, and equitable urban transportation solutions. Founded in 2017 by Amit and his co-founders, Yulu was born out of a desire to solve traffic congestion, reduce pollution, and create a better future for generations to come. Before founding Yulu, Amit co-founded InMobi in 2006, India’s first profitable internet unicorn. In this exclusive interview with evo India, Gupta shares how Yulu has become an essential player in the gig economy, providing electric vehicles to delivery workers and leading India’s electric mobility charge. He also discusses the company’s future plans, new product launches, and their vision for a cleaner, smarter India.

As told to Mohit Vashisth

Yulu e-scooters come with swappable batteries.

Q: How did the brand come into play, and why did you decide to enter an industry that was relatively new at the time? What were some of the initial challenges you faced?

A: It’s a bit of a personal story, but not just for me – for anyone living in big cities right now. Before this, I was running InMobi which is headquartered in Bangalore, and as we joke, if you ask anyone what their biggest problem is besides relationship issues, they’ll say traffic. I was no different. When I started InMobi, I thought that by the time I turned 40, I should be retiring. That didn’t happen. But I kept thinking about how the problem of traffic, and its effect on air pollution, could be solved. That’s what sparked my interest in pursuing another entrepreneurial journey. I didn’t have a background in mobility; all I’d done was mobile advertising. But because of the issues with traffic and pollution, I started looking at how other countries and large cities tackled them. The common theme was that everyone was pushing for public transportation and sustainable solutions. I thought if we could combine those concepts, we might be able to create a solution for India. Our first product was a bicycle, which we thought people would use to commute from home to the office. We designed it, had it manufactured by a company from the Hero Group, and launched it. People loved it, but they weren’t using it for daily commutes – they were using it for fun and fitness. In Pune, for example, in a place called Magarpatta, people were using bikes at 2200 in the night to go to ice cream shops. But no one was using them to commute to nearby offices. When we dug deeper, we found out why. People said commuting to the office on a bicycle wasn’t practical due to sweat and other factors. They suggested adding some form of power to the bike. We then had two options: use petrol scooters which were popular with models like the Honda Activa and TVS Scooty or go for something electric. Some companies had chosen petrol scooters, but we were convinced that the business model wouldn’t work with them. We needed an electric scooter, and we wanted a uniquely designed product. A bulky 200-kilogram scooter wasn’t going to cut it. We were also mindful of regulations like licenses, helmets, and vehicle registration. And when we launched the electric scooter, people loved it, and they used it as we’d intended – ditching their Uber and Ola rides to commute to work or the metro station. That’s how we started building the business.

Q: How did Yulu’s name come into the picture?

A: Yulu means “simple” in one of the Chinese languages. We felt that we were solving a complex problem with a simple solution, so the name resonated well with us. Plus, it’s a fun, short name with its appeal. Even if we took this product outside of India, the name would still stand on its own. One of the lessons I learned when I started InMobi was that our original name, mKhoj, caused a lot of confusion when we expanded to Southeast Asia, Europe, and Africa. People pronounced it however they wanted, and it didn’t make sense to them. So, when building Yulu, we knew that if we wanted it to be a global brand, the name had to be simple.

Q: What were your initial challenges, and how did you overcome them?

A: We faced many challenges, or you could say there were several missing pieces. When you're talking about creating a unique electric bike, we had issues with finding a manufacturer, sourcing parts, designing the battery pack, and developing the charging system. There were also challenges with parking, policies and customer habits. Nothing was in place – we were essentially building something new from scratch, like creating a metro system, where you need someone to build the trains, construct the stations, get approvals, and build customer habits. So, it wasn’t just one problem; we had plenty. Thankfully, our team’s capabilities and credibility in the market helped us align a lot of stakeholders. We were able to connect with a tier-one supplier who agreed to make the product for us. That’s how we started building things, but it took time. We’ve been in the market for almost seven years now. When you’re solving such a big problem with no existing infrastructure, it takes time, as you’ve seen with companies like BookMyShow, Zomato, or Flipkart. They all went through tough building phases because India’s infrastructure wasn’t fully developed. Today, we enjoy market leadership, not just because we were the first movers, but because we’ve created significant barriers to entry. Seven years ago, there was no business model like Yulu, and even today, we have no direct competition. We’re unique in what we do, and that gives us a strong strategic advantage. As the opportunity grows 100 times bigger, we’ll continue to innovate and scale. We’re on our way to becoming a large and valuable company.

Q: What were the factors leading to the EBITDA+ achievement, and how do you plan to continue this in the future?

A: Our milestone of achieving profitability is tied to scale and operational efficiency. To explain it simply, EBITDA is what’s left after you make money, spend on operating expenses (Opex), and pay employee costs. We designed our team size for a larger scale, so even when we had only 10,000 vehicles running, our engineering team remained the same because they were responsible for creating the same app experience. We still had HR, admin, and finance teams, even on a smaller scale. But when we hit the 40,000-vehicle mark, we generated enough margin to cover those indirect expenses, contributing to our EBITDA profitability.

It was all linked to the size and scale of the business. Thanks to our growth rate, especially in quick commerce, our revenue has increased significantly. We’ve grown seven times in the last two years, and with that growth, we’ve also unlocked more operational efficiencies. For example, take a location like Koregaon Park in Pune – whether we have 500 or 2,000 vehicles there, the infrastructure cost remains the same. We still need one service centre and one workshop. But with more vehicles, the per-vehicle cost goes down, improving profitability.

Instead of expanding to multiple new cities, we focused on increasing density in our existing three cities: Delhi, Mumbai, and Bangalore. This higher fleet density contributed to better profitability. Scale, high density, and quick commerce-led growth are the three key elements that helped us achieve EBITDA profitability. We expect these numbers to continue improving as we grow, either by adding more places or increasing density in the cities we’re already in.

Q: When do you decide that it’s time to start operations in a new city?

A: When we decide to expand to a new city, it’s based on profitability milestones. Initially, the decision to enter cities like Bangalore was straightforward since we were based there. After that, we received invitations, such as from the Pune Municipal Corporation (PMC) to launch bicycles or from the Delhi Metro to establish Yulu zones at metro stations. Similar opportunities arose with the MMRDA in Mumbai. We knew we wanted to limit our operations to tier-one cities like Delhi, Mumbai, and Bangalore. One of our advantages is that we don’t need to launch city-wide. We can target specific areas, like Pune’s Viman Nagar or Koregaon Park, without having to worry about covering the entire city. This playbook has been effective for us.

For example, we were planning to launch in Hyderabad, but we postponed it until we were closer to achieving EBITDA profitability, as opening a new city involves an initial investment phase. Now, we’re looking at expanding into other cities like Pune, and we have milestones in place for when we’ll open in those areas. We’ve already done our research and know the opportunities, the fleet size needed, and the revenue potential. The execution planning is ready, and we’ll launch once we hit the right revenue milestones.

Q: Are you able to share any numbers regarding profits?

A: I can’t give exact numbers since they’re not public, but I can share some general figures that are in the public domain. We are a company with over $30 million (~ ₹259 crore) in revenue and have more than 45,000 vehicles on the road. Additionally, we are EBITDA profitable, so those are the key numbers I can share.

Q: How many people work permanently at Yulu Mobility?

A: At Yulu Mobility, we have approximately 250 people working on the business side at the headquarters. These include teams for engineering, business execution, and other core functions. On the field side, we have about 900 full-time employees who handle operations like vehicle repairs and maintenance. While most of them are blue-collar workers, they are all on our payroll.

Q: How are you supporting last-mile delivery workers and businesses? If I am a gig worker, why should I join Yulu?

A: Our primary customers aren’t businesses but gig workers, often from marginalised backgrounds. These workers typically come from smaller towns and migrate to big cities in search of jobs. Many of them are unskilled or not well-educated, so they usually take up entry-level jobs like housekeeping, construction, or security work. However, with the rise of the new economy – food delivery, instant commerce, etc. – there are now opportunities for delivery jobs where all you need is a phone and a vehicle. For someone who might have earned ₹15,000 – 16,000 as a housekeeping worker, they can now make ₹28,000 – 30,000 as a delivery person, boosting their income by 35-50 per cent. But here’s the challenge: while many of them have phones, most don’t own a bike, don’t have a driving license or necessary documents, and can’t get a loan due to a poor credit score. That’s where Yulu comes in. We offer a solution where they don’t need anything upfront – just a phone. They can rent a bike from us by paying for a day or two, allowing them to start working immediately. Today, Yulu contributes to about one-third of all quick commerce deliveries in the cities where we operate. We’ve become an essential part of the quick commerce ecosystem, and we like to say we’re the backbone of it. Our mobility service is reliable and priced to ensure gig workers can maximize their earnings. We claim that if someone is using their petrol scooter, they could save an extra ₹3,000 – 5,000 per month by switching to Yulu. That’s the value we offer, and it’s why so many delivery workers are choosing us.

Q: Can you walk me through your lineup of electric vehicles?

A: From a use-case perspective, we have two main types of bikes: Yulu Miracle and Yulu Dex. These are our core models. Yulu Miracle, which is blue, is a low-speed vehicle with a maximum speed of 25kmph. It’s primarily used for daily commutes. This service is mainly active in Bangalore, with small pockets in Delhi and Mumbai. It was our original business model, but during Covid, we discovered another customer segment – gig workers who use our bikes to transport goods. That led to the launch of Yulu Dex, which is designed for delivery purposes. We made some tweaks, like adding a carrier at the back, a mobile holder, better seats, and more durable components. Dex is widely used by delivery workers, particularly for quick commerce. Both models have multiple versions. For example, Yulu Dex has a second and third generation, with the third generation being manufactured by Bajaj in India. We also launched a product called Yulu Wynn, which is aimed at end consumers, but that’s a smaller part of our business right now. Most of our focus is on Yulu Miracle and Dex. All of our vehicles are electric and use swappable batteries. We’ve set up battery-swapping stations every two kilometres, where users can quickly swap out a battery in less than a minute.

Q: What kind of range do we get from Yulu vehicles?

A: With Yulu Dex, you can get around 50 to 55 kilometres per battery swap. However, since battery swap stations are practically everywhere, you essentially have an infinite range. You don’t need to worry about charging since you can easily swap the battery as needed.

Q: How does it work in terms of cost? If I’m a potential customer, how do I get started with Yulu, and how do I use the bike daily?

A: Most of our users hear about Yulu through friends or delivery workers from platforms like Swiggy or Zomato. Many also see our bikes on the road, so the brand presence is there. Once they’re interested, they download the Yulu app, which shows them the nearest bike pickup point, called a Yulu Centre. From there, it’s really simple. They just go to the Yulu Centre, pick up a bike, and start riding. There’s no bureaucracy – anyone can get a bike without any hassle.

Q: How does it work in terms of cost?

A: We have created two or three pricing plans based on usage patterns. Some people use the bikes part-time, while others are full-time delivery workers. Our average daily price is around ₹200, ranging from ₹170 to ₹230. For this fee, they get access to the bike, battery swapping, insurance for themselves, and free repairs and maintenance. When the battery runs low, they simply swap it at one of our stations. If there’s a minor issue, like a brake not working, they can take it to our centre, where it’ll be fixed within 10 minutes. For bigger problems, they can exchange the bike for a new one. We offer a zero downtime product, meaning all the time they spend is used for delivering goods, not for waiting on repairs. This is critical because, with major e-commerce companies, if a delivery worker is unavailable for more than 20 minutes, they get logged out and lose incentives for the day. To log back in, they have to wait up to an hour, which affects their earnings.

Our service promise ensures that battery swaps take less than two minutes, and bike swaps take less than 10 minutes, meaning no time is wasted. This helps our users avoid penalties and make the maximum possible earnings.

Q: How many batteries can you store at these centres, and how many delivery guys can they accommodate?

A: Every location is different depending on the demand we anticipate. We secure spaces that not only accommodate parking but also repair and maintenance. These spaces typically range from 10,000 to 20,000 square feet, depending on the area. Since our delivery partners keep the bikes with them, we don’t need parking for the full fleet. For example, if we have 3,000 vehicles operating in one area, we only need parking for about 100 to 200 vehicles because most bikes are out with the delivery partners. They only return them for maintenance or repairs.

Q: How long do delivery partners typically rent the bikes for?

A: Our system operates on a prepaid model. Most delivery partners prepay for seven days. After this period, they get paid by the food and grocery platforms they work with, and they renew for another seven days. After two to three weeks, they usually take a day or two off to rest. Over the course of a year, we notice they also take longer breaks, typically lasting three to four weeks. This usually happens during festivals like Ganesh Chaturthi, Chhath, Diwali, or Durga Puja, or during the harvest season if they have farms back home.

Q: Do they buy the vehicles, or is it purely a rental model?

A: We primarily offer rentals because it’s a better fit for our users. While we do have a sales model, it makes up a very small portion of our business. For renting, we are the only major option available in this market.

Q: Let’s talk about battery swaps. How does the process work? And what are your expansion plans for battery swaps?

A: We’ve modelled our battery swap centres similarly to petrol stations. These small centres allow customers to stop by and quickly swap their batteries. Currently, there’s an attendant at each centre, just like at a petrol pump, who opens the seat and does the battery swap for you. This service is included in the rental plan, so there’s no extra cost.

We determine where to place these centres by analyzing a heat map of where our users typically move around. Based on this data, we place centres in high-traffic areas, like near convenience stores or popular food spots that delivery workers often visit. Some of our centres operate 20 hours a day, while others run 24/7.

Regarding expansion, we’re adding new locations. Today, we have over 200 battery swap spots across four cities, and we plan to expand to more than 500 in the next three to four quarters. This includes opening new areas in cities like Bangalore, where we currently have a limited presence in places like Hebbal or Yelahanka. We’re also planning to enter new cities, which will add entirely new nodes to our network. So, our expansion strategy has three levels: increasing density in current areas, opening new locations within existing cities, and expanding into new cities.

Q: Have you seen the same kind of growth before?

A: Our number of stations grows alongside the number of bikes we deploy. We’ve more than doubled our touchpoints in the last 12 months, and business demand continues to grow, so the energy ecosystem has to evolve in parallel. For commercial use cases, relying on home charging isn’t practical because charging a bike can take four to five hours. Setting up a fast-charging network is expensive and requires costly real estate for parking, which is not viable.

On the other hand, battery swapping takes up very little space, making it much more efficient, especially for commercial use. We’re very bullish on swappable batteries, particularly for these types of applications. For personal use, if you're driving 10, 20, or 30 kilometres a day, you can charge your scooter overnight, just like you charge your phone. But for commercial use, where people are driving 80, 90, 100, or even 120 kilometres a day, you can’t afford to waste four hours charging. Swapping the battery allows you to keep going with zero downtime.

In China, companies like NIO are even doing battery swapping for cars, but again, this is mainly for commercial use, not personal. We’re very optimistic about the future of battery swapping because it helps us maintain a great customer experience and keeps our zero-downtime promise.

Q: Can you walk me through the manufacturing process?

A: Our bikes and battery packs are designed by us, and the vehicles are manufactured by Bajaj in Pune. Bajaj uses tier-one component makers who have been working with them for their motorcycle business for a long time. These are all prestigious names in the industry. Our battery packs are also designed by Bajaj and manufactured by Tata Motors. So, we are equipped with very high-quality tier-one OEMs for both our vehicle and battery needs.

Q: What is your production capacity? How much can you produce in a month or a year?

A: Our production is pretty scalable. Currently, the assembly line can produce around 6,000 to 7,000 vehicles per month. If we need to double that, we just have to give one month's notice. Bajaj, as you know, produces millions of vehicles per year, so supply is never an issue for them. Whatever we need, there’s no problem.

Q: Who are your main investors and backers in this business?

A: Our two largest investors are Bajaj and a company called Magna, which is an automobile component manufacturer from North America. Beyond them, we have institutional investors such as Bloom Capital, 314, Wavemaker from Singapore, Incubate from Japan, and Rocket Ship from the US. These are the major investors on our cap table.

Q: Is everything managed by Yulu?

A: Yes, most of the cities are managed by Yulu, but there’s a small explanation. About three quarters ago, we launched a franchise business model. Some city-based businesses or entrepreneurs are running Yulu services in their cities. For example, Indore, Kochi, Varanasi, and Kolkata are managed by franchisees. They buy scooters from Yulu, use our technology and playbook, and we get a small revenue share from this arrangement.

Q: Do they have the same capability as you in terms of handling the volume, like battery swapping and managing all those customers?

A: We help them build those capabilities.

Q: Where do you see the most competition?

A: As I mentioned earlier, we don't have direct competition because we are category creators and the only one of our kind. However, we do face indirect competition. For instance, for people's movement, we compete with auto rickshaws and bike taxis. For goods movement, there’s competition from small fleet owners or companies offering electric scooters for personal use, which people can charge at home.

The good part is that most of these competitors are small players without a technology advantage or vehicles specifically designed for this use case. They also lack credible OEM partners like Bajaj. These factors make our business model far more scalable. While it’s easy for someone to try replicating what Yulu does, scaling beyond 1,000 units becomes a challenge due to the need for advanced technology, processes, and a strong team. Running a large-scale operation across multiple cities is not the same as running a small business, and that's where Yulu’s strength lies.

Q: Is the Yulu service available for private customers as well?

A: We did create a product called Yulu Wynn, but it was only available in two pin codes in Bangalore. We’ll evaluate next year if we can expand it. However, our primary focus right now is on Yulu Dex, which is tailored more toward quick commerce.

Q: How do you envision the future of legislation regarding EVs in India, particularly about battery swapping?

A: On the battery-swapping front, the government took a progressive stance. They aimed to unify all standards for battery swapping, but the proposal didn’t succeed because every OEM had different requirements for their applications – like varying chemistry, dimensions, and power ratings. Eventually, the government cleared us saying not to worry about unification, just follow the safety standard AIS-756.

The government has seen the advantages of both battery swapping and charging, and they've introduced incentives and policy changes to support this. For instance, they offer us spaces at discounted rates, and we get cheaper electricity – about 30-40 per cent less.

Regarding mobility policies, the government has also been progressive. They’ve supported us by providing spaces in public areas like metro stations, bus stations, and high-traffic areas. In Bangalore, we have access to around 3,000 parking spaces, and for most of them, we don’t have to pay rent, thanks to the government or private allocations.

Some recent policy changes also reflect this progress. For instance, e-rickshaws weren’t legal a while ago, but the government legalized them after recognizing the problems they solved. Karnataka, initially against bike taxis, allowed them as long as the bikes were electric. Additionally, electric vehicles don’t require specific permits, and registration fees are either waived or very minimal.

So, overall, the government has been doing a lot to support EVs, offering subsidies for purchasing and manufacturing them. While there are areas where improvements can be made, the intent is there, and we see real execution on the ground, which is promising.

Q: What challenges are you facing right now, and what would you like to see happen in the future?

A: While the government has done a lot, I think there are still opportunities for more incentives and disincentives to promote clean mobility. Although this isn’t directly related to Yulu, I believe the government should induct more electric buses into the public fleet. For example, cities like Bangalore, Mumbai, and Delhi could benefit from more electric buses on their routes.

Globally, we’ve seen special privileges for electric vehicles. In Dubai, charging is free, and parking is either free or deeply subsidized. In the U.S., electric cars get access to carpool lanes, and places like China impose heavy taxes on petrol cars but offer more favourable conditions for electric vehicles. Each country has its way of incentivizing clean energy, and I believe India could do more on this front.

On the product side, I see room for innovation, particularly with form factors. Yulu has introduced a unique form factor, but our mobility needs as a country have evolved. We’ve seen technological advancements with phones, moving from landlines to smartphones, and I expect similar advancements in EVs. Whether it's two-wheelers, three-wheelers, or four-wheelers, there's plenty of room for innovation, especially in the commercial segment. We need more creative form factors. For example, in China, I see a wide variety of electric vehicles that we don't have here yet.

From a consumer perspective, we should have more incentives or penalties to encourage the use of electric vehicles. Changing the mindset is key, alongside government policies, infrastructure development, and innovation from OEMs.

Looking ahead to 2025, I’m optimistic. We've seen a lot of progress in 2024, and I expect even bigger advancements in 2025. Indian OEMs are now putting serious effort into EVs. Tata, Mahindra, Ather, Bajaj, TVS, and Ola have all launched or announced exciting new vehicles. These new form factors will not only look beautiful but also meet evolving consumer needs, expanding the market and driving more people to adopt EVs. That's the future I’m hoping for, and based on the data we have, I believe it’s achievable.

Q: Going forward, what new products and services can we expect from Yulu?

A: We have an exciting new product coming soon called Yulu Express. This mid-speed vehicle is designed for larger e-commerce deliveries that current Yulu Dex vehicles can't handle. Additionally, we’re exploring bike taxis, so the new vehicle will have two seats instead of one to accommodate that use case. In cities with hilly terrains, like Hyderabad’s Jubilee Hills and Banjara Hills, our current vehicles aren’t the most optimal. This new vehicle will be better suited for those areas. We’re very close to a commercial launch, and some alpha users are already testing it with positive feedback. Expect to see this in a big way soon.