Global ride-hailing service provider inDrive on Friday announced a sharply divergent and superior commission charge than the 23 percent levied by its rivals against their driver partners in Metro Manila and its environs at the moment.
inDrive’s zero to 10 percent commission charge, while only temporary, forms part of its inaugural commitments now that the Mountain View, California-headquartered service provider has successfully addressed the issues that forced the Land Transportation and Franchising Regulatory Board (LTFRB) to suspend its franchise five months earlier.
“We are excited to resume operations here in the Philippines,” Afanasii Petrov, inDrive’s business development manager for Southeast Asia macroregion, told reporters in a briefing on Friday.
According to Petrov, the commission fee it charges will allow their driver partners to generate more earnings than their rivals in the first two to six months of their contract with the company.
“Our members will benefit from the partnership, especially since inDrive has the lowest service charge in the market. Now, our partner drivers can take home more of their earnings to their families,” Laban TNVS president Jun de Leon said.
The ride hailing company has tapped this alliance of transport group operators and drivers as partners in the venture.
De Leon said rival service providers charge their driver partners as high as 23 percent as commission fee for each passenger that book rides through their respective mobile app.
Petrov said inDrive has done away with the old system where its passengers may haggle over the price of its service that led the LTFRB to temporarily suspend its franchise. But he said inDrive has kept the algorithm that allows it to charge more under a surge mechanism when demand is elevated.
He also acknowledged having attracted only “a few thousand partner drivers” at the moment but is confident of more participation down the line as the service gathers momentum.
“inDrive’s P2P business model remains the same, promoting the freedom of choice among its users. inDrive allows passengers to choose their driver and vice versa. Here, passengers can peruse through the driver’s rating, car model and history on the road before accepting the ride. As for drivers, they may choose their passengers by checking their profiles and desired routes to their destination,” Petrov said.
The service has prioritized Metro Manila as its focus of operations for now although there are plans to tap the potential of other large cities across the country such as Cebu, Davao and Cagayan de Oro, among others, at some point forward, Petrov said.
