Borzo introduces Advanced Dynamic Pricing algorithm for 2-Wheeler Deliveries in Metro cities

25th February 2025, Mumbai: Borzo (formerly WeFast) a global intracity delivery company has announced the introduction of its upgraded dynamic pricing algorithm for 2 wheelers, optimizing payment structures for faster allocation of delivery partners for orders. This continuous effort by Borzo is part of its ongoing commitment to enhancing customer satisfaction and delivery partner efficiency, ensuring a seamless delivery experience.

Borzo has been enhancing its algorithms, and the dynamic pricing update is a result of its ongoing efforts to optimize pricing—striving to offer the lowest possible cost for clients while ensuring fair compensation for gig delivery partners.

The new algorithm addresses a key challenge within Borzo’s technology: varying assignment times for short-distance and long-distance orders, which significantly impact completion rates. Previously, short-distance orders often experienced delays in partner assignment compared to long-distance orders. This was because, despite fair pricing per kilometer and fixed payments per pickup and drop-off, the total earnings for partners were lower on short-distance trips. Recognizing the need for a more balanced approach, Borzo implemented dynamic pricing algorithms to adjust courier payments, making short-distance orders more lucrative to partners in terms of earnings per unit of time.

Furthermore, a supply-centric approach in Borzo’s logistics model will help balance supply and demand, enhancing delivery partner satisfaction and optimizing service reliability. The integration of the new algorithm into core operations will greatly enhance Borzo’s app performance by reducing the time required to assign orders to gig delivery partners, increasing acceptance rates for both short and long-distance deliveries, boosting earning potential for gig delivery partners, and improving order completion rates.

The new algorithm ensures that clients receive a consistent experience, whether they place an order for a nearby building or another district. MSMEs, D2C brands, and other business customers will benefit from faster courier assignment and pickup times across all order types. By optimizing delivery speed and efficiency, this update provides a competitive edge, making Borzo the ideal choice for businesses that rely on quick and reliable deliveries.

The pricing algorithm has already been rolled out successfully in Mumbai and Delhi, with plans to expand to other major cities in the coming months.

The enhanced algorithm updates are already in place for two-wheeler operations and therefore allow for quick and affordable delivery solutions. The algorithm plays a crucial role in meeting Service-Level Agreements (SLA) with businesses, thereby enhancing the quality-of-service Borzo delivers.

Alina Kisina, CEO, Borzo said “Our goal was to provide a fast, consistent, and efficient experience for businesses and individual customers, regardless of delivery distance. Improved short-distance delivery metrics and dynamic pricing are creating a balanced system that benefits all stakeholders. At the same time, we are committed to supporting our delivery partners by ensuring they have the most efficient way to earn through our service, along with competitive compensation for their efforts. The algorithm aligns with our vision of enhancing operational efficiency and equalizing service levels across different types of orders while delivering superior value to both our customers and partners.”

Borzo recently began operations of 3-Wheeler, Mini Trucks and Tempo deliveries aiming to onboard 1500 delivery partners for the segment.

In India, Borzo has a fleet of over 60,000 delivery partners who serve the Hyperlocal and SME segments.