Taxibeat’s Busy Funding Meter Ticks Off Another $4 million Series A Round

Press Release:

Taxibeat, a Greek-based mobile start-up leveraging mobile technology to simplify and improve the taxi-hailing experience, is again revving its engines with a new $4 million (USD) funding round.

The funding from venture capital fund Hummingbird Ventures will be used to
continue the company’s fast expansion and growth in major international markets
from Paris to Sao Paolo.

Founded in Athens in May, 2011, Taxibeat previously raised $3 million (USD)
from private investors while expanding its services across urban centers in Europe,
including Athens and Paris. The 2-year-old mobile tool also launched across the
pond, in major cities including Mexico City, Rio de Janeiro and, most recently, Sao
Paulo.

Taxibeat’s work stands out amid the ranks of apps-developers trying to digitize
how people hail taxis (e.g. Easy Taxi, Hailo, myTaxi) as the only app to bring the
wisdom of the masses to the world of taxis. Its unique rating system enables
passengers to make an informed choice when looking for a ride from the airport or
a night out in the city, while putting drivers in control of their brand and business.

The ratings provided by customers rank drivers so that passengers can better assess
their options.

In addition, the application gives taxi drivers, who pay a small commission on
rides they earn through Taxibeat, the tools to better understand and serve
customers. In turn, Taxibeat makes vying for customers competitive in the
healthiest of ways, said Nikos Drandakis, Taxibeat founder and CEO.

“We don’t just strip out the tedious call to the taxi operator, nor do we service a
‘blind date’ between passengers and drivers,” Drandakis said. “Instead, we provide
at-a-glance info to help you choose which car and driver you want to hail, and then
rate them afterwards.”

Taxibeat’s application also provides driver profiles (i.e. spoken languages, types of
cars and interior amenities). Because taxi drivers have typically worked as
anonymous service providers, building a repeat customer base has been difficult, if
not impossible. In the old system, courteous drivers rarely were rewarded for their
efforts while unruly drivers prowled the streets unchecked.

By providing transparency for both drivers and riders, Taxibeat is changing the
game and helping revolutionize the taxi market.

The proceeds of this Series A round from Hummingbird, an investment capital
fund which focuses on high growth software and digital media companies, will
further accelerate Taxibeat’s growth in its current markets. It will also help
Taxibeat expand to new markets in South America and Southern Europe,
Drandakis explained.

“We are very excited at becoming partners with Hummingbird Ventures,” he said.
“We’ll take advantage of their funding, expertise and connections to further
accelerate our growth and take our company to the next level, becoming a truly
efficient global company. We’re well on our way.”

The company’s expansion strategy involves launching in large taxi markets that are
hard to manage and therefore challenged by quality of service (and even safety).
It’s these two problems which the Taxibeat application solves most efficiently and
effectively.

By comparison, Mexico City licenses 100,000 taxis, while Sao Paulo and Rio de
Janeiro license 31,000 and 28,000 taxis, respectively. In addition to Central and
South America, the application is available in the European city of Athens and
Paris.

Taxibeat currently serves $40 million (USD) in taxi cab transactions annually. It’s
growing at a rate of 18 percent month over month, with those numbers rising
steadily as its new markets mature.

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