Android Century
  • Home
  • Android Zone
    • Android Apps
    • Android Games
    • Apps APk Files
    • Games Apk Files
    • Apps Hack Tricks
  • Reviews
  • Fantasy Zone
    • Entertainment
    • Quotes and Status
    • Life Style
    • Home Made Tips
    • Hair Care
    • Skin Care
    • Fantasy Tips
  • Tricks
    • Free Recharge
    • Free Internet
    • shopping Cashback
    • Recharge Cashback
  • Tech
  • Mobiles
  • Gadgets
  • News
  • How To's
  • Software
Breaking
Loading...

Featured post

How to Take Great Photos With Apple's iPhone X

Recent Posts

Labels

  • Android Apk Files
  • Android Apps
  • Android Games
  • Apps Apk Files
  • Entertainment
  • Fantasy Tips
  • Gadgets
  • Hair Care
  • HomeMade Tips
  • How To's
  • News
  • Quotes
  • Quotes & Status
  • Recharge Cashback
  • Recharge Promo Codes
  • Shopping Cashback
  • Technology
  • skin care
Home / News / Bengaluru, brace for higher cab fares and longer waits

Bengaluru, brace for higher cab fares and longer waits

Latest Govt. Jobs 16:18:00 News Edit
Bengaluru, brace for higher cab fares and longer waitsIt's not difficult to understand why Uber and Ola drivers across India are angry .Like in many other parts of the world, in India too, the cab aggregators are trying to rein in the massive splurge that they have been indulging in to attract customers and drivers.While on the consumer side, the changes have so far been limited, on the driver side, the changes are all too visible.



Cab aggregators are wary about discussing discounts and incentives, saying competitors could take advantage of it. But based on conversations with drivers and industry experts, TOI estimates that the daily driver incentives have come down from an average of Rs 2,000 to Rs 600 in the past few weeks. In other words, from the Rs 75,000-90,000 a month that drivers earned in 2015, this has come down to Rs 40,000-50,000.

“The drivers had adjusted to a new lifestyle and taken on commitments in line with the higher income levels. This has now gone for a toss," said Siddhartha Pahwa, former chief executive of Meru Cabs, which started as an airport cab service and which now competes partially with aggregators.

One of the biggest expenses is the EMI on the car loan, which in many cases is about Rs 15,000 a month. The promise of high incomes had persuaded many to buy new cars and join Ola or Uber, sometimes both. The drivers also had to work much harder to get those higher incomes. Where they previously did five trips a day , the incentives encouraged them to do as many as 12 to 15.This was important for cab aggregators because it helped to drastically reduce the ETA (expected time of arrival) of a cab for a customer to 4-5 minutes.

If customers have to wait longer, they may prefer to take an autorickshaw. But the incentives pushed the aggregators' bottomlines deep into the red.The correction was anticipated, but clearly, when they onboarded drivers, the aggregators do not appear to have done anything to keep driver expectations modest. Based on the views of several analysts, TOI estimates that under the efficient appbased cab hailing system, a cab in Bengaluru can break even at Rs 15km (including the aggregator's commis sion).

That's approximately the rate at which an Ola Micro today operates, assuming that an average trip is 10 km (the fare includes the base fare, the per km charge and the time taken charge). So a Micro driver's entire profits come from the incentives that he gets.

Now that the incentives are coming down, drivers want the fares to rise. Even a Rs 2km increase in fares will add a substantial sum to their daily earnings.

Some are demanding that the incentives be done away with and that fares be fixed at Rs 19.50, the upper limit laid down by the state government.“This will ensure that our income is not affected badly and the drivers can take home a decent amount every day ," says Tanveer Pasha, president of the Uber, TaxiForSure and Ola (UTO) Drivers and Owners Association.

He also said that an over-supply of cabs has resulted in fewer rides for drivers and wanted Uber and Ola to stop adding more cabs on their platforms. But this won't be an easy decision for the aggregators. “If they increase the fare, the trips will go down and will further exacerbate the revenue crisis of the drivers," said Pahwa.

And not adding cabs runs the risk of raising ETAs. Mrigank Gutgutia, engagement manager at online commerce consultancy RedSeer, said shorter ETAs are key to people keeping their private cars at home, and therefore also key to the aggregators' success.He sees around 10% of the existing users dropping off from the system if the fares rise, but he thinks the drop off could be a lot more if the average ETA goes beyond 15 minutes.

Pranav Sisodia (24) takes Uber every day to travel between his home in Ghaziabad and his workplace in Noida, incurring Rs 400 to Rs 450 daily. The digital marketer said he will start using his own car if the aggregators raise the fare. “It will cost me only around Rs 260," he said.

Meanwhile, the strikes have taken autorickshaw drivers back to their heydays.“The number of short-haul trips have increased as people are not willing to wait for 15-20 minutes for a cab to reach you," said Manjunatha, an auto driver in Bengaluru.
Share on Facebook Share on Twitter Share on Google Plus

RELATED POSTS


Vivo V9 with dual rear cameras

Xiaomi Redmi 5 launch

Vodafone partners with Tecno to off...
Bengaluru, brace for higher cab fares and longer waits Bengaluru, brace for higher cab fares and longer waits Reviewed by Latest Govt. Jobs on 16:18:00 Rating: 5

0 comments:

Post a Comment

Newer Post Older Post Home
Subscribe to: Post Comments ( Atom )

Search This Blog

TEST BOOK FOR GOVT ENTRANCE TEST

TEST BOOK FOR GOVT ENTRANCE TEST
Find All Latest book for preparation of SSC,RAILWAYBANK PO,RBI,BANK CLERK,GATE ME,GATE CE are available here in less prices, to check out the books click here

Translate

  • Popular Post
  • Random posts
  • Category

Popular Posts

  • Teen Patti Offer 2018: Refer and Earn Flipkart Vouchers Free
    Teen Patti Offer 2018: Refer and Earn Flipkart Vouchers Free
    Teen Patti Refer & Earn Offer:  Hey Guys! Today I make an article about Teen Patti Referral ...
  • Hands-on with the home windows 10 Creators update for the Xbox One: Beam recreation streaming arrives
    The Windows 10 Creators Update is here, now—yes,  now —but not (officially) on the PC. The ...
  • Taotronics TT-BH22 Headphones Review
    We make it a addiction to now not look up pricing of a product sooner than reviewing and if ...
  • Pentagon strongly condemns North Korea missile test
    The Pentagon on Monday strongly condemned North Korea’s latest missile test, adding that the ...
  • Reliance Jio to offer sharp tariff discounts for customers signing up by March-end
    Reliance Industries' Jio unit will charge a tariff for its services from April, but will offer ...
  • Bank wallets growing faster than e-wallets
    In the  bank  versus  e-wallets  sweepstakes,  lenders  have now gained lost ground. As of ...

Random Posts

  • How to run Windows 10 from USB using WinToUSB
    How to run Windows 10 from USB using WinToUSB
    08.12.2016 - 0 Comments
    After quite a long while, WhatsApp has finally rolled out video calling functionality to all its…
  • LG G7 not delayed after all
    LG G7 not delayed after all
    28.01.2018 - 0 Comments
    LG has denied reports that its G7 flagship has been delayed. Instead, the company says the launch is on…
  • 30 Best Now TV shows: great Now TV shows available on Sky's streaming box
    30 Best Now TV shows: great Now TV shows available on Sky's streaming box
    15.02.2017 - 0 Comments
    Now TV has been a revelation for Sky. Its arrival in 2012 meant a whole host of programmes that…
  • OnePlus 5T gets Android 8.0 Oreo
    OnePlus 5T gets Android 8.0 Oreo
    01.02.2018 - 0 Comments
    OnePlus 5T Android 8.0 Oreo update with OxygenOS 5.0.2 is now ready for download: Here’s how to check for…
  • Majority of Jio high subscribers predicted to opt for Rs 303 plan, says Moody
    Majority of Jio high subscribers predicted to opt for Rs 303 plan, says Moody
    26.04.2017 - 0 Comments
    Newcomer Jio's 72 million paid customers are "credit positive" for parent Reliance Industries as…

Labels

Android Apk Files Android Apps Android Games Apps Apk Files Apps Hack Tricks Entertainment Free Internet Freecharge Gadgets Games Apk Files How To's Laptops Guide Mobiles Reviews Technology Viral's android zone free recharge

Entertainment

Tricks

Popular Posts

  • Teen Patti Offer 2018: Refer and Earn Flipkart Vouchers Free
    Teen Patti Offer 2018: Refer and Earn Flipkart Vouchers Free
    Teen Patti Refer & ...
  • Hands-on with the home windows 10 Creators update for the Xbox One: Beam recreation streaming arrives
    The Windows ...
  • Facebook co-founder learned programming language in 2 days www.goandroidapps.in
    Facebook co-founder learned programming language in 2 days www.goandroidapps.in
    Facebook co-founder ...
  • Meet Bat Bot, the new flying batlike drone
    Holy drone ...
  • Xiaomi Mi LED Smart TV 4 Review
    As a brand in ...
  • Thanks to Bitcoin, Buying a PC Is Better Than Building One (for Now)
    High-end ...
  • Lenovo Yoga Book launched in India at Rs 49,990: First Impressions
    Lenovo  has ...

Random Posts

  • Ebay – Get Rs 100 Off On Purchase Of Rs 500 [Ultimatez Tricks]
    Ebay – Get Rs 100 Off On Purchase Of Rs 500 [Ultimatez Tricks]
    23.03.2016 - 0 Comments
    Ebay is back again with new offer. Now get Rs 100 off on purchase of Rs 500 from Ebay. This is an amazing…
  • A culprit for financial site glitches
    A culprit for financial site glitches
    13.02.2018 - 0 Comments
    BOSTON: Jittery investors and their smartphones stressed out leading US online financial sites last week…
  • New Sennheiser Momentum Wireless (2017) review
    New Sennheiser Momentum Wireless (2017) review
    04.03.2017 - 0 Comments
    Sennheiser VERDICT These no-holds-barred wireless headphones are oozing with positive qualities, but,…
  • Xiaomi Redmi Note 4 sale on Mi.com over, all versions out of stock
    Xiaomi Redmi Note 4 sale on Mi.com over, all versions out of stock
    04.02.2017 - 0 Comments
    Update: Xiaomi Redmi Note 4 sale is now over on Mi.com with all versions of the phone showing…
  • 1More iBFree earphones review
    1More iBFree earphones review
    22.01.2018 - 0 Comments
    The headphone jack has been in a bit of a limbo as a a few smartphone makers have ditched it. However, with…

Most Popular

  • Teen Patti Offer 2018: Refer and Earn Flipkart Vouchers Free
    Teen Patti Offer 2018: Refer and Earn Flipkart Vouchers Free
    Teen Patti Refer & ...
  • SAMSUNG GALAXY J7 (2016) REVIEWS
    SAMSUNG GALAXY J7 (2016) REVIEWS
    SAMSUNG GALAXY J ...
  • Top 5 Best SmartPhones under 7000 Rs (March 2017)
    Looking for the ...
  • Apple, IBM, Cisco are huge because of Indians, do not deny them H-1B visa: RBI Governor Urjit Patel
    ...
  • SAMSUNG GALAXY J7 (2016) Specifications
    SAMSUNG GALAXY J ...
  • BlackBerry Teases Marshmallow Beta Testing for Priv by Next Week
    Blackberry ...
  • LG Q6 Review
    LG Q6 Review
    2017 is ...

Contact Form

Name

Email *

Message *

Offers Zone

Created By Android Century Distributed by Android Century
  • Home
  • About us
  • Contact us
  • Privacy policy
  • Terms of use
  • Advertise here
Subscribe Via Email Subscribe To Android Century By Email And Get Free Updates. ;-)


Your email address is safe with us!