Gokada resumes ride-hailing services in Ibadan after Lagos ban

Following the ban by the Lagos State government on tricycles and motorcycles, Nigeria-based last mile delivery, logistics and transportation start-up, Gokada has expanded services to Ibadan with aim to resume ride-hailing operations.

Indeed, in January 2020, Lagos State Government had proscribed operations of the motorcyclists and keke riders in six Local Government Areas (LGAs), nine Local Council Development Areas (LCDAs) and 10 major highways across the state with effect from February 1, 2020.

Following the action, security operatives embarked on total enforcement of the State’s Transport Sector Reform Law of 2018. The aim was to address the chaos and disorderliness created by illegal operations of Okada and tricycle riders in restricted areas. Besides, the government also banned okada and tricycles from plying 40 bridges and flyovers across the state.

Since the ban, bike-hailing startups like ORide (a subsidiary of Chinese-backed OPay superapp), Max.ng, Gokada among others, had switched to logistics and delivery services.

To this end, Gokada is expanding services to Ibadan following the recent successful launch of its Super App and as part of its expansion strategy. The company is rolling out operations in Ibadan across its food delivery (GFood) and logistics services (GSend), with plans to resume ride-hailing (GRide) and e-commerce (GShop) later in the year.

As one of Nigeria’s crucial commercial centres with a close proximity to Lagos, Gokada says Ibadan offers significant demand for its last mile delivery services.

The move, according to Gokada, will generate thousands of jobs for riders who can now serve the thousands of businesses that require access to a seamless last-mile logistics network in the city.

The expansion into Ibadan will also allow Gokada to build on its surging numbers of G-partners, which is a popular initiative to bring additional riders onboard, who already own their own bikes, in addition to Gokada’s existing G-pilots.

The company has boarded more than 100 restaurants that can now offer delivery to their customers through the Gokada GFood menu in its Super App. Once the Super App is successfully deployed in a second city, Gokada will begin planning for further hubs in Abuja, Port Harcourt and Ogun. This additional growth is being driven by Nigeria’s e-commerce and last-mile logistics sector, which is growing at 11 per cent per year, boosted by recent changes in shopper behaviour and demand for last-mile delivery.

Speaking on the launch, Chief Executive Officer, Gokada, Nikhil Goel, said, “Since launching just a few months ago, the Super App has connected thousands of customers and businesses in Lagos and we are excited to bring our unparalleled service to Ibadan. We want to continue catalysing the transformation of Nigeria’s transport infrastructure through our ultra reliable last-mile delivery solutions; and it is essential to have a solid foundation, particularly with our ever-improving technology, before deploying in a new location.”

In the coming months, Gokada’s license with NIPOST will enable its fleet to fulfill a cross-country logistics service, linking delivery between Lagos and Ibadan via a Super App for the first time. This opens up opportunities for merchants in both cities to expand their customer bases and tap into new areas of growth.

“We built the largest fleet of delivery riders in Lagos, and we want to do the same here in Ibadan, and offer so much more,” Goel added.