Mombasa, KENYA: US based taxi firm Uber has announced a slash of it’s prices in Mombasa, as a way to increase its customer base in the region.
The technology-based modern taxi service, which connects drivers and passengers in real-time, announced a 40% reduction of prices after being in the city for only 9 months.
Uber’s base fare will now cost Sh. 50 from the old Sh. 80. They have also slashed their minimum fares from Sh. 250 to Sh.150.
The move comes a few weeks after Uber’s competitor Safaricom owned Little, made an entrance in the county which has been considered cheaper by residents in the area.
Speaking during the launch on Thursday in Mombasa, Head of Operations Uber Kenya Ms Kagure Wamunyu said the move is aimed at increasing customer demand in the area.
” By lowering the fare this means more demand and thus Uber drivers get more trips.” Said Wamunyu.
With the new changes routes such as City Mall -Bamburi which used to go for sh.300 will now go for sh. 200; while Moi International Airport – Bamburi will now cost about sh.900 going by the estimates.
Earlier in July , following the launch of Little in Nairobi, Uber slashed its prices by 35%, a move aimed at combating Little’s entry.
The price cut led to protests by Uber driver partners who were to bear the burden as Uber still maintained their driver earnings cut at 25%.
According to Ms Kagure Uber has had over 70 nationalities use the product in Mombasa since it’s inception.
With the rise of other similar Mobile taxi services such as MondoRide and TeksiPoa, the industry is set for more competition in the near future.