Iranian Startup Snapp Joining Motorbike Delivery Service

EghtesadOnline: Snapp, Iran’s biggest ride-hailing app, is aiming to expand its market by launching a motorbike delivery service in Tehran.

News ID: ۷۴۲۲۴۰

19 June 2017

Dubbed “Snapp Box” the company is set to compete with other delivery applications, like Hamloo and Alopeyk, according to ILNA.

Like the already established apps, the service locates the closest driver in the vicinity of the customer thus reducing waiting time significantly.

Snapp claims to offer both ride-hailing and motorbike delivery services in three cities -- Tehran, Karaj, and Isfahan, Financial Tribune reported.

Snapp, co-owned by Germany’s Rocket Internet and MTN-Irancell through its holding company, Iran Internet Group, has emerged as one of the leaders on the domestic startup scene.

The biggest motorbike delivery service Alopeyk was created in 2016, with several thousand motorbike riders.

The government has backed the disruptive new services, noting that thousands of new jobs have been created in the gig economy with the introduction of the apps.

A so-called disruptive innovation is an innovation that creates a new market and value network and eventually disrupts an existing market and value network, displacing established market leading firms, products and alliances.

The rollout of 4G mobile connections and high-speed landline Internet service over the past few years has fueled Iran’s tech boom.

Ride-hailing application companies like Snapp, TAP30 and Caprino, which have more than 100,000 employees in Tehran alone, are visible examples of penetration of technology in daily life.