Kenyan startup BuuPass, a B2B2C mobility marketplace platform digitizing intercity bus and transport operations in Africa, plans to operate in eight more markets, bringing the total to 12, by 2025, following its recent acquisition of peer QuickBus.
Founded in 2016 by Sonia Kabra and Wyclife Omondi, BuuPass is a B2B2C mobility marketplace that allows users to search, compare and book travel tickets via web, app or USSD, while its SaaS platform helps bus operators manage their operations, inventory and sales.
So far, the startup has sold over 16 million travel tickets and generated over $100 million in total value of goods sold, while also taking part in Google for Startups Accelerator Africa and it was with support from the Google for Startups Black Founders Fund.
“We found that 95 percent of the African long-distance transport market is still undigitalized. Bus operators lack tools for digitization, which leads to inefficiencies and poor customer experience. On the consumer side, there was no ticket comparison and booking platform. Our main competitors are traditional offline operators and local e-ticketing players,” Kabra told Disrupt Africa.
BuuPass announced a $1.3 million pre-seed round in February 2023 and last month got QuickPass, a fellow Kenyan bus ticketing venture. Started in 2019, QuickBus aggregates long-distance bus tickets into one marketplace, making it easier for users to compare prices and book trips and helping bus companies run their businesses more efficiently.
The QuickBus acquisition means BuuPass is now live in South Africa and Nigeria, in addition to Kenya and Uganda, but that’s just the beginning of the story when it comes to African expansion.
“We have aggressive expansion plans to enter eight new markets by 2025, with Tanzania being our next target,” said Kabra.
In the markets where it is already active, BuuPass has a strong presence. It currently lives in over 650 locations in Kenya and over 80 in Uganda, with plans for rapid expansion.
“Our book includes B2B sales for bus digitization, B2C marketing and partnerships with telcos and banks,” Kabra said. “We generate revenue through commissions on bus, train and flight tickets.”
BuuPass’ main challenges, he said, were slow digitization by bus operators, building the two-way market, the impact of COVID-19 on travel and expanding into new markets.
“However, we are overcoming these challenges through a focused expansion pipeline, strengthening our team and sharpening our go-to-market models,” said Kabra.