Taxi-hailing app Uber slashed the fares of its low-cost UberGO service to Rs 6/km in Delhi NCR, thereby responding to Ola’s price war and matching Ola’s fare for its low-cost service cab, Micro.
“Starting today, we are bringing down prices of UberGO to Rs 6/km in Delhi NCR. You can now get the same comfort and reliability at a more affordable price,” Uber said in a post on its website.
The move will align UberGo and Ola Micro prices in the region which can currently be booked at a base fare of Rs 40 and Rs 6 per km with a per minute ride time of Rs 1.
On comparing the tariff in major cities that include New Delhi, Mumbai, Bangalore, Pune, Chennai, Hyderabad and Kolkata, UberGO charges Rs 6-8 per km with a base fare of 25-45 and a per minute ride time (Rs 1). While, Ola Micro charges Rs 6 per km across all the seven aforementioned cities at a base fare in the range of Rs 35-45, with Hyderabad and Kolkata at the lowest price point (Rs 35) and Mumbai at the highest price point (Rs 45).
The competition is intensifying between cab aggregator companies in the rapidly developing urban transport space as commuters demand more affordable options for their daily commute.
It is reported that Ola recently launched its luxury cab service in Delhi, offering a fleet of high-end luxury sedans and SUVs such as Jaguar, Mercedes, Audi, BMW, Toyota Camry and Fortuner among others at an affordable tariff of Rs 19/km with minimum fare of Rs 200 and Rs 2 per minute ride time charge.