Success is not the destination; it is a journey. This proverb stands true for Bangladesh Company Pathao. Let’s read the story of Pathao success which initially started as a Delivery services and now operate as a Ride Sharing App.
What is Pathao ?
Pathao is a Bangladeshi transportation network company founded in 2015 . Its headquarter is in Dhaka, Bangladesh. It operates in three major cities of Bangladesh: Dhaka, Chittagong, and Sylhet. And now it is looking to expand its business in other Asian Countries.
Pathao Started in Bangladesh as a delivery services in 2015 with their own Convoy of motorcycles and cycles. Pathao acted as a delivery service for several e-commerce services of Bangladesh, including Daraz of Alibaba group.
How Pathao became successful?
In mid-2016 Pathao decided to shift its business operation from Delivery Services to Ride Sharing App. After only two years of its operation, Pathao successfully managed to Sign up more than 100,000 drivers and around 1 million users across the country.
Pathao follows “One App for All” model, providing all of their services through one app. Pathao provides many other services other than ride sharing app such as: Parcel, Merchant Delivery, Food Delivery and Pathao Pay.
Despite all the success Pathao has not been able to avoid controversies. In November 2018, Pathao admitted the claim of deliberately coping sensitive information including SMS and Contact list of customers. It also faced legal issues when the Bangladeshi government decided to declare Ride Sharing App illegal due to conflicts with Bangladesh Motor Vehicle Act.
Pathao Valuation and Expansion
Pathao received initial funding from Battery Road Digital Holdings LLC. on 2015 and 2016. In the early 2017, Pathao received $2 million from Go-Jek in a Series A round. Further $10 million was added in Series B round from Go-Jek in 2018. Pathao currently has 5 investors in total along with 3 lead investors from Series funding round.
In 2018 Pathao entered Nepal. In Nepal, Pathao faced competition from local ride sharing app Tootle and Eddy Cabs. Pathao current valuation is over $100 million. Also it is looking to expand its business in other Asian Countries in near future.