Denis Opudo
Yego Moto startup launched its first 18-month survey in September 2017 in Kigali Rwanda. The initiative is an extension of Kommlabs which has been operating in more than seventy countries for over 23 years. The Kommlabs is a Singapore project which provides home security on the continent. After series of market research, the company diversified into cashless transportation projects. The diversification idea generated many other projects including Yego innovation in Kigali. During the incubation period, the Yego officials conducted an in-depth market research for a period of eighteen months. The startup focuses on the fare metering device to moto taxi in the city.
According to Karanvir Singh, the Yego Moto CEO, motor taxi is the most convenient means of transport in Sub Saharan Africa. During the eighteen months research, the company found out several market opportunities in the city. The findings included unregulated motor industry, accidents, and casualties, cash means of payment, lack of fixed prices per trip among others. In order to address these issues, Yego Moto established an Internet of Things (IoT) initiative. The platform provides connection to the Intelligent Connected Fare Meters (ICFMs) technology. The ICBMs is usually installed inside the motorcycle having fixed fare prices depending on the distance traveled. It also enables the use of cashless payment mechanisms in the moto-taxi industry in Rwanda.
The startup has also encountered a number of challenges for the entire period. Some of the include educating motor taxi drivers to use the new technology, damaging of metering devices among others.
Kommlabs which is the chief sponsor of the Yego startup has invested approximately US$5.35 million so far. Given the progress the company has realized in the region, there will be US$14 million additional funds requirement in the future. The funds are proposed to be obtained from foreign investors and promoter in the near future. Since the technology was enabled in the city, about 425,000 trips or 2 million kilometers have been made. The cashless payment platform was effected in January this year in partnership with the 425,000 trips. The moto taxi users are making fare payments via NFC tag as from February this year.
The Rwanda government through the ministry of transport has ordered all motorcycle taxi to use the ICFMs technology latest April this year. The company has registered 700 motorcycles including the owners and the driver security and transparency purposes. It is expected that national project will assist in streamlining the motor taxi industry in the country. The startup has projected about 800,000 trips on a daily basis before the end of this year. The other future plans include an extension of the project in other towns and cities in Rwanda as well as other countries in Africa and beyond. The startup has been receiving appreciation all over the country and from 19 other African countries.
