Do individuals in this business make good margins?



Am talking about individuals with cars registered with taxi hailing apps- Uber, Littlecabs etc.

I have received a memo that starting tomorrow Little cabs are going to charge 20 bob per KM in Nairobi, Mombasa and Kisumu for the basic service category only. Basic service ni zile taxi mzee. The equivalent in Uber known as Uber X charges 35 bob per KM.

The prices are way below the AA rates per KM. Driver huwachwa na ngapi kama they charge this low?

Anyway, am a customer. let me enjoy the reduced prices.

PS: That memo has advised me to share this good news to my friends,and let you also help them build Kenya.



Village Elder
The only way it will make sense is if you(the owner of the car) drives the car, that was the original idea behind these taxi hailing apps like their dad Uber.


Village Sponsor
Just imagine getting a loan to buy the car for taxi hailing...
Ni kama zile 14 seater with a driver and makanga. The owner gets nothing. Kila biz kuna the number of people it can feed na hii ya taxi hukuwa driver pekee na kampuni. Ya matatu 14 seater inafeed mwenyewe na just the driver, so ukiweka conductor you are out of business. etc etc


Village Elder
Siku hizi nduthi iko na faida kuliko taxi. They actually make loss when you factor in the cost of car depreciation. Taxify is messing up the market by allowing any taxi (even private cars with no psv insuarance) and charging low rates. As a result, other apps are losing their clients to taxify and have no choice but lower their price also. All drivers now need to strike regardless of which app they are using.