Rappi

From Wikipedia, the free encyclopedia
Jump to navigation Jump to search

Rappi
TypePrivately held company
Industry
  • Transportation,
  • On-demand delivery (e-commerce)
Founded2015; 7 years ago (2015)
HeadquartersBogotá, Colombia
Area served
ProductsMobile app
Services
RevenueUS$ 220 million (October 2018)[1]
Number of employees
1,500 employees (October 2018)
25,000 delivery persons (October 2018)[2] c.20.000 couriers (October 2018)
Websiterappi.com

Rappi is a Colombian technology and on-demand delivery company headquartered in Bogotá, Colombia with main offices in São Paulo (Brazil) and Mexico City, (Mexico). The app connects users with restaurants, supermarkets, and other retailers, whose products are transported to users’ homes by delivery drivers registered on the platform It also provides other services such as RappiTravel, Rappi Bank, and Paga con Rappi.[3] Rappi was founded in 2015 by Simón Borrero, Sebastian Mejía, Felipe Villamarín. Rappi is present in 9 countries (Colombia, Mexico, Costa Rica, Peru, Ecuador, Chile, Argentina, Uruguay and Brazil).[4][5]

History[edit]

Rappi was founded in 2015 by three Colombian entrepreneurs - Simón Borrero, Felipe Villamarin and Sebastián Mejía.

Rappi entered Y Combinator's Winter 2016 batch, generating additional investment.[6][7] In August 2018, the company raised another $200 million in funding.[8] SoftBank became a major stakeholder in Rappi in April 2019 with a $1 billion investment that valued Rappi at $3.5 billion.[9][10]

In June 2020, during the COVID-19 pandemic in Latin America, Rappi announced in a live event within the application, in simultaneous for 9 countries, that from that moment on, live events could be held in the application as well as announcing the creation of 3 additional divisions in this category such as games, live sales and music.[11]

In January 2019, Simon, Sebastián, and Felipe Villamarin were listed as part of Bloomberg’s most influential people and Rappi was highlighted as a company that is “transforming Latin America”.[12]

In February 2019, Simon Borrero was awarded the "Empresario del año" (Businessman of the year) award from the Colombian President.[13] Simon Borrero and Rappi et al. are currently being sued in U.S. federal court for misappropriation of trade secrets.[14]

As of August 2020, Rappi had more than 200,000 independent couriers actively connecting to the app in Latin America. Rappi also worked with over 250,000 different businesses including groceries shops, pharmacies, kiosks, and office supply stores.[1]

In 2021, Rappi was valued at $5.25 billion following their $500 million Series F financing round.[15]

Rappi Bank[edit]

In March 2019, Rappi partnered with Visa Inc. to offer prepaid cards in Mexico, Colombia and Brazil, together with a QR-Code based digital wallet called RappiPay. In Colombia, it reaches an alliance with Davivienda. [16] Rappi's Country Manager in Brazil said it was the first of many financial services the company planned to expand beyond delivery.[17]

In 2021, RappiBank launched in Mexico as a fintech solution made after an alliance with Banorte, providing digital financial services.[18]

In 2022 Rappi got approval to become a bank in Colombia.[19] Rappi offers working capital credit lines to restaurant owners and merchants it partners with. In Colombia, RappiPay has around 750,000 users, distributed more than 120,000 credit cards, and made an alliance with Davivienda.[20][21]

In 2022, as part of the portfolio of Financial Services, Rappi announced the launching of payments using Crypto.[22]

Working conditions[edit]

In October 2018, some delivery couriers of Rappi took to the streets. The company has been criticized for its working conditions, from the employee side and for a lack of customer care from their clientele.[23][24][25] Rappi has allegedly failed to follow regulations regarding customer support and faces possible fines from government regulators.[26] The [Colombian] Superintendency of Industry and Commerce has formulated an investigation against Rappi S.A.S. "Not having a complaints channel for their customers, the fact that there is still confusion in the terms and conditions ... the final price for the consumer still being unknown and variable, the fact they are still not giving full attention to the complaints ... calls our attention, " Superintendency head Andres Barreto told journalists.[27]

The success of the company has been boosted by the Venezuelan refugee crisis,[28] with more than 1.3 million Venezuelans having fled to Colombia as of July 2019.[28] As many new migrants struggle to find regular jobs, apps like Rappi allow quick access to first moderate revenue.[28]

See also[edit]

References[edit]

  1. ^ a b "Colombian 'Super App' Is a Unicorn. It Wants to Be a Tech Giant". Bloomberg.com. 3 October 2018.
  2. ^ Boris Miranda, Rappi, el "Amazon de Colombia" que se convirtió en el emprendimiento más exitoso del país (y que genera protestas en algunas ciudades de América Latina) (in Spanish), Bbc.com, 26 October 2018
  3. ^ Caparroso, Joseph. "ENTREPRENEURSThe 15 Colombian companies that have managed to enter YCombinator". Forbes. Retrieved 9 August 2022.
  4. ^ "Rappi: The $7B Meituan of Latin America". Sacra.
  5. ^ "Colombian startup unicorn Rappi: why the company wants to be the first Latin American super app". Labs News.
  6. ^ "Rappi, la revolución del e-commerce viene de Colombia". Forbes. 17 April 2017.
  7. ^ Kokalitcheva, Kia (8 November 2016). "Colombian Startup Rappi Wants to Deliver 'Everything'". Forbes.
  8. ^ José Orozco, Rappi se convierte en "unicornio" gracias a una nueva ronda de financiamiento (in Spanish), Developerz.software, 7 September 2018
  9. ^ "Rappi Raises Up to $1 Billion from SoftBank Group Corp. and SoftBank Vision Fund". Business Wire. 30 April 2019. Retrieved 1 March 2020.
  10. ^ "Rappi Reaches $5.25 Billion Valuation With Series F Round". mondaq.
  11. ^ "Latin American Delivery App Rappi Launches Livestream Offer With Manuel Medrano". Billboard. Retrieved 18 November 2020.
  12. ^ "The Brains Behind Rappi, Latin America's Super App". Bloomberg. Bloomberg US Edition. Retrieved 29 September 2022.
  13. ^ "En la distinción a los fundadores de Rappi como 'Empresario del Año 2018', del diario La República, el Presidente elogió el poder del emprendimiento de los jóvenes". id.presidencia.gov.co.
  14. ^ "SoftBank-Backed Rappi Hit by Cuts, Trade-Secret Theft Claims". Bloomberg.com. 14 January 2020. Retrieved 26 June 2022.
  15. ^ "Rappi lives a good 2020: its growth plans accelerated with the pandemic". Forbes.
  16. ^ "Rappi wants to change banking". 13 March 2019. Retrieved 9 March 2022.
  17. ^ "Delivery startup Rappi partners with Visa to offer pre-paid cards in Brazil". Reuters. 19 June 2019. Retrieved 20 October 2019.
  18. ^ "Rappi lives a good 2020: its growth plans accelerated with the pandemic". Forbes.
  19. ^ "RappiPay se convierte en entidad financiera: contratará 400 jóvenes". El Tiempo.
  20. ^ "Delivery app Rappi partners with Visa to launch credit cards in Brazil". Reuters.
  21. ^ "Rappi hopes to be operating as digital bank in Colombia by early 2022, executive says". Reuters.
  22. ^ "Delivery app Rappi begins accepting cryptocurrency in Mexico". Reuters.
  23. ^ ¿Por qué protestan los trabajadores de Rappi? (in Spanish), Wradio.com.co, 20 October 2018
  24. ^ Testimonios que explican la protesta de los 'rappitenderos' en Bogotá (in Spanish), Semana.com, 20 October 2018
  25. ^ El infierno de trabajar en Rappi (in Spanish), Las2orillas.co, 15 October 2018
  26. ^ Cobb, Julia Symmes (13 November 2019). "Rappi failed to comply with regulatory orders, Colombia says". Reuters. Retrieved 1 March 2020.
  27. ^ Editorial, Reuters. "Business & Financial News, U.S & International Breaking News | Reuters". U.S. Retrieved 4 March 2020.
  28. ^ a b c Rueda, Manuel (29 July 2019). "Venezuela migrants propel billion-dollar delivery app". AP NEWS. Retrieved 29 July 2019.

External links[edit]