BlaBlaCar wants to jump out of the car and offer train rides

BlaBlaCar wants to be the reference in land transport.

Oliver Thansan
Oliver Thansan
25 July 2023 Tuesday 10:29
4 Reads
BlaBlaCar wants to jump out of the car and offer train rides

BlaBlaCar wants to be the reference in land transport. The French company, in Spain synonymous with shared trips by private car, sets its sights on buses and trains to create an intermodal platform and cover more means of transport. The idea is that in the future carpooling and the train or bus can be combined to complete routes, which is easier than jumping from car to car.

It is something that touches the schemes of the company itself. "It's a paradigm shift for us, in the way we operate, of using the application," says Adrien Tahon, BlaBlaCar's vice president for Western Europe, in a recent meeting with La Vanguardia. In this mission, she will seek to be aseptic. “In the future we do not want to favor the car, the bus or the train. We want people to choose what is best for them." Tahon is aware that depending on the route, one or the other may be more appropriate, leaving the power of choice to the user. He reiterates that of becoming a platform with all the options for ground transportation: "So that people can have all the transportation," he says. Although he doesn't look like it, the jump looks natural. “If you want to play a role in mobility, it is obvious that you have to look at the train. In Europe, more and more investment is being made and the market is growing”, says the manager.

It will be another script twist. "15 years ago, getting into a stranger's car was unthinkable." The platform has 8 million records in Spain. A fact that stands out in the country is its capillarity, with trips reaching towns with fewer than 10 inhabitants. Andalusia, with 2 million users, is the one that uses the platform the most, followed by Madrid, Valencia and Castilla y León. Catalonia is somewhat behind, something that surprises Tahon himself, who does not see the main cause, although the greater use of private cars or alternative transport may weigh.

Inflation has also been noted in its activity. The company has had to raise the recommended prices by 10%, which guide users who put the car. It is a base, because then the prices vary depending on the route. For example, one from Barcelona to Madrid for today Sunday was achieved during the week for between 34 and 68 euros. BlaBlaCar sets a management and reservation fee of 20%. There is also a variant, BlaBlaCar Daily, to share trips to work with fixed groups of people. It is growing strongly in France, but at the moment it is not in Spain. Tahon asks the Government to give a clear definition of shared rides, to operate in a well-defined legal framework and that local authorities can subsidize shared rides to work.

Last year, activity was 34% higher than in 2019. “It is a very positive situation and we still have room for growth. There is a lot of potential,” says Tahon. The company, which does not share billing or profit data, is not profitable globally due to strong investments, but it is in Spain in the car-sharing business. According to Crunchbase, he has raised just over $500 million in rounds and the latest rounds have pushed his valuation above $2 billion. With 22 markets, Brazil, Mexico or India are the ones that are growing the most.

The bus is another leg. It operates with its BlaBlaBus brand (after acquiring Ouibus in France), with alliances or simply selling third-party tickets on its platform (as in Brazil). In Spain, it offers cross-border routes to France and Portugal, connecting with Barcelona, ​​Madrid, Valencia or A Coruña, among others. “We want to play a role in the sector,” says Tahon.

The Spanish bet has been there from the start. BlaBlaCar began operating in France in 2009 and a year later in Spain, the first foreign destination. Now, looking at the trains, the next step, the dynamic seems to have been traced. It plans to operate on the French roads in 2024 and in Spain in a couple of years. “She's next on our list. The liberalization of the train in the country is impressive”. The company today is developing the train branch for France "and we are seeing how we will do it in Spain", although it will be without marrying a single operator. “We want to have everything for people to compare,” he insists.

The forecast for 2023 is to grow between 20%-30% in our country. Rule out purchases, although opportunities are always watched. In addition to activity, it has an office: in Madrid it concentrates those responsible for marketing, communication, institutional relations and other areas. Likewise, it is home to positions of global responsibility such as the vice president of platform engineering or the global director of trust and security. They have been joined by those responsible for the Ukrainian team that chose the country to continue working after the Russian invasion. Thus, about 20 people work for Spain.

The transformation will come to numbers. The weight of passengers by car can drop, as trains or buses move more volume. The idea is to combine transport on the journeys, jump from the car to the train and vice versa. The same with the bus. The company says it's better for the planet. “The more we grow, the more impact we have in reducing CO2”. It also seeks to incorporate the wave of electrification, for example, promoting drivers with electric with cheaper routes.