Driver incentives of Uber, Ola in Q2 plummet as profitability remains key focus
Driver incentives continued to plummet during the last few quarters as online cab players look for profitability in the country.
Key highlights:
- Driver incentives of online cab aggregators have seen a large decline from Q1 2017 to Q2 2017
- Driver incentives have plummeted from nearly 80% in Q2 2016 to nearly 20% in Q2 2017
- Driver cab supply continues to be a worry for online cab aggregators
Despite several driver strikes during the year, online cab aggregators seem focused on key profitability by way of reducing driver incentives. Driver incentives of online cab aggregators, such as Uber and Ola, have seen a large decline from Q1 2017 to Q2 2017.
Despite strong opposition by drivers, cab aggregators continued to reduce expenditure on incentives with Bengaluru and Delhi seeing the biggest incentive drop in Q2 2017, said a RedSeer Consulting report.
It further said that profitability remains the key focus of cab aggregators with the dropping driver incentives.
Cab supply of Uber, Ola drop as drivers continue to leave over unfulfilled demands
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.