Competition is very good and it breeds healthy competition. This is exactly what is happening between Taxify and Uber.

Yesterday, 3rd May 2017, Taxify lowered its fares. Perhaps, in a swift response to the price reduction by Taxify, Uber reduced its fares by 40%.

Before After
Base Fare N 400 N 200
Minimum Fare N 400 N 300
Per Minute N 9 N 5.50
Per KM N 90 N 55
Cancellation Fee N 1000 N 1000

 

Speaking about the increase, Alon Lits, General Manager at Uber Sub-Saharan Africa said: “We always consider driver economics in each city that they operate in and after years of experience, what we‘ve seen in cities across the world is that lower fares mean greater demand, lower pickup times and more trips per hour — increasing earning potential and creating better economics for drivers.”

He continued: “We believe these changes will help, but while the city adjusts to the new prices, we are temporarily putting in place minimum earnings guarantees for driver-partners to ensure they don’t lose out. Should those drivers, who put in the time, make less than they usually would during this time, we will provide them with the difference. However, these lower prices are not always permanent and operational expenses and partner economies are closely monitored. In the unlikely event that the lower prices don’t result in driver-partners making the same or more, Uber will rethink the fare reductions.”