Digital ride-hailing firm Uber has seen a 150 per cent increase in the number of low cost uberCHAPCHAP vehicles since February.
The number of UberCHAPCHAP cars has shot up to 500 from just about 200 eight months ago, Uber said on Wednesday.
UberCHAPCHAP drivers purchase the fuel efficient Suzuki Altos financed through loans from Stanbic Bank
and then pay off the cars while driving on the platform. For 95 per
cent of the drivers enrolled, the Suzuki Alto will be the first car that
they own.
“The demand for Chapchap is much higher and drivers are doing
many more trips on a daily basis. Now because of Chapchap’s relative
appeal, you see many more riders trying to take it at any specific point
in time,” said Regional General Manager for Uber Middle East and Africa
Anthony le Roux.
On Wednesday Uber signed an MoU with
car manufacturer Suzuki that will guide both the continued expansion of
uberCHAPCHAP in Nairobi and their launch in other African countries.
“We
still have an incredible amount of work to do to scale this product in
Nairobi and that is our focus for the next 12 months or so and depending
on how quickly we will do it that will then determine how quickly we
will take this product to launch in Dar or Kampala,” said Mr le Roux.
Uber
is targeting some of its 6,000 drivers. The firm says currently many of
them drive rented cars, reducing their profit margins.
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