Truckola, an asset-free, full-solution, tech-enabled interstate FTL transportation service provider, has posted a 23% month-on-month revenue growth in December 2016. Post demonetisation companies have been looking for cashless transaction tools and Truckola introduced FASTags and diesel cards enabling cashless toll payments for truck drivers. Prior to demonetisation the company recorded an average of 21% of cashless toll payments, however, after the announcement on November 8 it accounted for more than 98%.
Truckola’s move to go cash-free has enabled massive savings on capital expenses for truck owners associated with its platform. Users get 10% cashback on FASTags transactions and more than 1% cashback on diesel card payments currently being offered by the government and the fuel companies.
As FASTags operate on radio frequency identification (RFID) technology and automatically debit the toll amount from prepaid bank accounts linked to them, fleet owners have greater transparency over toll payments made for their trucks and can avoid the unnecessary hassle of keeping track of toll receipts from every vehicle. Another benefit comes from the fact that the time spent idling has been drastically reduced as well.
Raghav Himatsingka, Founder & CEO, Truckola, said, “Toll taxes and fuel costs are two of the biggest expenses for truck owners; toll charges alone account for 15-20% of the overall direct running costs. Cashback offered on the use of FASTags and diesel cards gives truckers associated with our platform an opportunity to significantly cut down on their overall costs and make decent savings on their operational expenses. This financial incentive is the reason why almost 92% vehicles on Truckola now use diesel cards and 60-65% of our vendors have moved onto FASTags for toll payments.”
Truckola uses proprietary technology to deliver transparency, reliability, and cost efficiency for all transportation requirements of its clients, who are mainly manufacturers and traders. The company operates out of 15 locations across India with a partner network in an additional 40+ region in the country.
