Does Taxify Uganda have a clear pricing strategy? One would wonder– since they launched in October, the ride sharing service has revised its fares thrice. Of course, with a big competition from giants like Uber, it is no surprise that they have to chose a low cost-leadership strategy if they are to see any success in Uganda. A few months back after their inaugural launch, they reduced fares by 50% and they have once again revised the fares as shown below.
The offer starting today will see the fares reduced to the following;
- Base fare: 900
- Per kilometer: 600
- Per minute: 100
- Minimum fare: 4000
Using the comparison below, there has been an increase in the base rate from UGX 650 to UGX 900 and also and increase and other fares have been increased as well as detailed in the table below.
| Launch Pricing (Ugx) | Post Launch Pricing (Ugx) | Current Pricing (Ugx) | |
|---|---|---|---|
| Base Rate | 950 | 650 | 900 |
| Fare Per Km | 600 | 350 | 600 |
| Time (per minute) | 150 | 80 | 100 |
| Minimum Fare | 4,500 | 3,000 | 4,000 |
| Ride Cancellation | N/A | N/A | N/A |
Drivers still lacking
The price revision might be a welcome mostly the drivers given, however it still remains a hassle to locate Taxify drivers in Kampala with many of them opting to do Uber, Friendship and Quick Taxi. Some drivers of the latter two actually do both their regular cab services on top of Uber.
Therefore Taxify still needs to do a lot of homework on how to recruit drivers. The new price changes are viable owing to their affordable nature but having attractive rates minus vehicles to ferry people around is almost good for nothing.
We hope they hear our plea as interest in the service keeps growing that now it is amongst the top 50 apps in both the App and Playstore.
