Ola and Uber, ride-hailing platforms, have decided to offer subscription-based plans to auto drivers. This is against the conventional way that platforms used to charge some commission for every ride or take a booking. As reported by the Economic Times, this is something that’s in line with other rival platforms like Rapido and Namma Yatri.
Ride-hailing platforms such as Namma Yatri, Myn, and Yaary have attracted drivers with their zero-commission model. For example, in November 2022, Namma Yatri was launched with the incentive of zero commission. The app, which goes by the tagline ‘App by the drivers for the people, 100% direct payment to drivers,’ has 58,13,672 registered users.
Following in the footsteps of these apps, Rapido also decided to charge zero commission to drivers. Instead, it decided to charge a login fee of Rs. 5 per day. In a statement, Rapido said, “Rapido shifts from the aggregator commission-led model to a lifetime zero commission for auto captains, reducing the burden of exorbitant commission rates and empowering them to take control of their earnings.”
Ola has launched its subscription-based model in some places, including Delhi-NCR, Mumbai, Bengaluru, and Hyderabad. While Uber has also rolled out the model in places including Chennai, Kochi, and Vishakapatnam, according to the Economic Times,
An Uber spokesperson, while confirming the launch of subscription-based models, told the Economic Times that they “wants to give the option to its riders since many companies are already operating on this model.”.
