Uber drivers from Nairobi went on strike to oppose the comapny’s July fare cuts. The move comes amidst higher competition in Kenya’s ride-hail market as local telecoms company Safaricom went into with its own Little Cab app.
Collaborating with Kenya’s Craft Silicon, Safaricom released the new service to strongly compete Uber– instantly offering less expensive prices and much better drivers terms.
Along with the lower fares, Little Cab debuted with a variety of unique services, starting with complimentary Wi-Fi in its taxis accessed through an interface that provides other Safaricom products. Little Cab likewise has a “female friendly” alternative called Lady Bug, where females can request female drivers, and a business choice for company to combine all their taxi services digitally through one account.
The very first move was Uber’s 35 percent price reduction (post Little Cab launch), which triggered some Uber drivers to strike. Uber Kenya will likely find a resolution.
Exactly what happens in Kenya’s ride-hail market might have ripples throughout Africa’s relatively nascent online transit services market. Among the continent’s most acknowledged (and capitalized) telecom firms, Safaricom, has actually set up a homegrown app to compete Uber, the world’s highest valued start-up.
