BluSmart’s decision to choose Dubai as its first international market for expansion is driven by the UAE’s remarkable progress in mobility and sustainable solutions. The region’s forward-looking approach to urban development aligns perfectly with BluSmart’s core principles of quality, reliability, and sustainability. The Dubai market, with its strong emphasis on sustainability and innovation, presents a unique and attractive opportunity, offering potential for significantly higher margins and profitability compared to India. By identifying a gap in the premium limousine segment, BluSmart aims to replicate its success in India by offering premium electric ride-hailing services, particularly in rental and airport categories, which already account for a substantial portion of its revenue.
In this interview with Anmol Singh Jaggi, the co-founder of the company, we address the market presents both opportunities and challenges within the Dubai market that exhibit promising growth.
BluSmart’s operations in Dubai are already showing success, with over 2000 electric trips completed and a fleet of premium Audi e-tron EVs contributing to significant CO2 savings. This expansion not only aligns with BluSmart’s broader sustainability goals but also supports Dubai’s ambitious environmental targets, reinforcing the company’s commitment to driving the future of sustainable mobility in the region.
What motivated BluSmart to choose Dubai as the first international market for expansion?
The UAE has truly been a game changer for mobility and sustainable solutions, setting a remarkable precedent for innovative urban development. We are thrilled to bring BluSmart’s unique business model and customer-centric offerings to the UAE’s mobility market.
The Dubai market presents a highly attractive opportunity for BluSmart due to its potential for significantly higher margins and profitability compared to India. We identified a market gap in the premium limousine segment and an opportunity to tap into it through our core tenets of Quality, Reliability and Sustainability. Leveraging insights from our successful premium offerings in India, particularly in rental and airport categories which account for over 50% of our revenue, we aim to replicate this success in Dubai, our first international foray.
How does the Dubai market compare to the Indian market in terms of demand for electric ride-hailing services?
The Dubai market presents unique opportunities and challenges compared to the Indian market when it comes to demand for electric ride-hailing services. In Dubai, there is a strong emphasis on sustainability and innovation, supported by government initiatives that promote green transportation. This has led to a growing awareness and acceptance of electric vehicles (EVs) among consumers. The city’s modern infrastructure, coupled with a tech-savvy population, aligns well with our mission to provide clean, reliable, and efficient transportation solutions.
In India, the demand for electric ride-hailing is rapidly expanding, driven by increasing environmental awareness, government incentives, and a need for cost-effective urban mobility solutions. BluSmart has strategically chosen its Indian markets as Delhi NCR and Bengaluru, mega cities that not only face higher congestion and air quality challenges but in total capture more than 50% of the ride-sharing market. Awareness and adoption of EVs are also the highest in these two markets making it ideal for offering BluSmart’s services.Overall, while both markets show promising growth, Dubai’s market is more mature in terms of EV infrastructure and consumer readiness, which complements BluSmart’s goal of delivering sustainable mobility solutions with keeping luxury in mind and premium offering.
Can you share more details about the pilot phase of BluSmart’s operations in Dubai? What metrics are you using to evaluate its success?
BluSmart achieved a significant milestone completing over 2000 electric trips in a short span since its launch in the UAE. Since June 1, BluSmart has rapidly gained traction, underscoring its commitment to providing sustainable, efficient, and high-quality transportation solutions.
BluSmart is decarbonising, electrifying & revolutionising mobility at scale. The premium BluSmart Audi e-tron EV fleet has completed a remarkable 35,000 clean kilometres and saved over 3.3 tonnes of CO2 emissions since its launch, reinforcing its mission to reduce the carbon footprint and promote green mobility in the UAE.It has significantly elevated the customer experience and has been rated 4.95/5 on iOS & android.
How many electric vehicles (EVs) do you plan to deploy in Dubai, and what is the timeline for scaling up operations?
BluSmart is building on its India success story and is already seeing it in the Dubai market known for premium services focusing on service quality and premium service. The Dubai fleet consists of ultra premium EVs – Audi e-trons and will expand to other premium EVs as operations expand.
BluSmart’s chauffeur driven luxury service in Dubai has a fleet of premium Audi e-tron cars. The industry-first features include zero driver cancellations, flat & transparent upfront pricing, on-time arrivals and a CO2 tracker that shows the amount of CO2 saved after every ride taken by the user. The diverse services cater to Dubai’s cosmopolitan population, offering city rides, airport rides, hourly rental bookings within the city as well as drop-off to other Emirates. To book a BluSmart experience in Dubai, including for corporate employee transportation needs, customers can easily download BluSmart App from Apple App Store and Android Play Store.
Are there specific challenges you anticipate in operating in Dubai that differ from your experience in India?
Every market has its own set of challenges. Dubai’s forward looking regulations have been an added factor for BluSmart’s all electric fleet to launch in the region. Our approach has been to tailor our services to meet local preferences, maintaining high service quality with rigorous driver training and vehicle maintenance, while still providing high quality, safe, reliable and superior service.
How does BluSmart’s expansion to Dubai align with your broader sustainability goals?
BluSmart’s expansion to Dubai is a significant step in advancing our broader sustainability goals. Dubai’s commitment to becoming a global leader in sustainability and its focus on reducing carbon emissions align perfectly with our mission to decarbonise mobility at scale. By entering the Dubai market, we are not only expanding our footprint but also contributing to the city’s ambitious environmental targets.
Our all-electric fleet in Dubai operates with zero tailpipe emissions, directly supporting the city’s vision for a cleaner, greener future. Additionally, Dubai’s advanced infrastructure and strong governmental support for sustainable initiatives enable us to implement our technology-driven solutions more effectively, ensuring that our services are both environmentally friendly and reliable.
This expansion allows us to demonstrate how sustainable transportation can be both efficient and scalable in a rapidly growing urban environment, reinforcing BluSmart’s commitment to driving the future of mobility with a focus on the environment.
Are there any region-specific sustainability initiatives or goals that you have set for your operations in Dubai?
BluSmart is committed to promoting sustainability in its operations in Dubai and partnering with UAE’s efforts towards transitioning to clean mobility. As UAE’s first all-electric mobility service, BluSmart plans to build on strategic partnerships to promote sustainability to customers and other partners that are keen towards environmental sustainability. Most BluSmart customers experience electric vehicles for the first time and it is a great way to promote the use of EVs in mega cities like Dubai. Additionally, the application consists of a CO2 tracker that provides awareness to customers on the amount of CO2 saved on every ride taken. Such initiatives are designed with the aim to promote sustainable urban transportation. When it comes to electricity production, BluSmart has already invested in renewable energy in India making it one of the first mobility companies in India to have clean energy power up it’s charging stations. Such initiatives go a long way in promoting 100% clean transportation.
What do they think the market for EVs in the MENA region looks like?
The market for electric vehicles (EVs) in the MENA region is on the cusp of significant growth, driven by increasing environmental awareness and government initiatives. According to recent reports, the EV market in the MENA region is expected to grow at a compound annual growth rate (CAGR) of around 28.5% during the forecast period, i.e., 2024-30. The UAE, in particular, is leading the charge, with plans to have 42,000 EVs on its roads by 2030 as part of its ambitious Net Zero by 2050 strategy.
Governments across the region are investing heavily in EV infrastructure, with the number of public charging stations in the UAE alone expected to triple by 2025. The regional push towards sustainability is further evidenced by Saudi Arabia’s Vision 2030, which includes goals to increase the use of EVs and renewable energy sources.
