Latest News – Uber and Ola are promoting ride-sharing services to keep customers on their platforms and offset the dip in rides seen in their regular services due to both companies cutting costs in their search for profitability.
In the past six months, Uber and Ola have cut incentives to drivers and have increased fares for riders, which for the first time caused degrowth in the industry.
According to a report by RedSeer Consulting, India’s ride-hailing market saw degrowth of 5 per cent in the first quarter of 2017.
Both companies are looking to counter the shift by retaining customers with offers on their shared ride services — Uber has capped uberPOOL rides to Rs 49 while Ola allows customers to prepay for a shared ride at Rs 40.
Industry watchers say ride sharing is quickly becoming the largest category for Uber as well as Ola.
Yesterday, Ola announced that its ride-sharing service had witnessed a five-fold growth over the past one year. Further, through the company’s share pass offering that allows customers to prepay for shared rides, Ola sold over 20 million trips since the service’s launch in November last year.
Customers are beginning to look for alternatives to Uber and Ola due to (Read More)