Kenya: Uber bows to pressure as fare hike takes effect

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August 28, 2019
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1 min read

On Monday, August 26 2019, Uber Kenya effected a fare hike and some new regulations for drivers on its platform.

The move to increase its fare was as a result of strike actions in July 2019 by drivers on both Uber and Bolt (formerly Taxify) demanding for an increase in cab fares.

Bolt discontinued its budget option -- Bolt Go -- in July leaving only the more expensive premium option for its riders.

Uber also announced last week that it would be enforcing a 29% increase in fare rates alongside a number of new regulations for the drivers, including the discontinuation of UberSelect -- its premium option.

Riders on Uber are currently experiencing up to 85% fare hike according to new reports.

Also, Uber ChapChap drivers are now expected to pay 25% commission on the first 15 trips every week and remit 3% on the remaining trips completed, while UberX drivers would remit 25% on all trips which are moves that didn't sit well with the drivers.

Uber has also prevented switching between UberX and ChapChap as vehicles with an engine power of more than 1300cc were locked at UberX, while those below were locked at ChapChap.

Customers have also been taken aback by the price increase which some claim wasn’t followed by an increase in value.

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Evidently, this is already affecting Uber riders in Kenya which other taxi-hailing services could leverage.

I help Nigerian fintech companies understand consumers, acquire and retain paying users | Telling stories at Moniepoint, Techpoint Africa.
I help Nigerian fintech companies understand consumers, acquire and retain paying users | Telling stories at Moniepoint, Techpoint Africa.
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I help Nigerian fintech companies understand consumers, acquire and retain paying users | Telling stories at Moniepoint, Techpoint Africa.

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