Thursday, April 26, 2018

TO OPERATE TILL MAY 7

Jugnoo eyes Singapore as Uber readies to leave

Singapore: 26.04.2018  times of india


Indian ride-hailing firm Jugnoo plans to enter the Singapore market next month, its chief executive said on Wednesday, joining other companies eyeing the city state as Uber Technologies prepares to leave. Uber’s app will continue to operate in Singapore until May 7, although the US company has shut down in the rest of Southeast Asia after selling its regional operations to local competitor Grab. Jugnoo and other ride-hailing companies are looking to fill the gap left by Uber, which analysts say may help ease regulatory concerns about the sale to Grab.

The Competition and Consumer Commission of Singapore (CCCS) outlined this month a set of measures to ensure an open market, while it examined their merger. Jugnoo, which uses autorickshaws in India, will offer a private car-based service in Singapore with an app that will allow riders to choose from drivers’ competing bids on fares. Drivers will not have to pay commission to Jugnoo for the first six months, the company has said. After that, Jugnoo will take a 10% commission, which it hopes will lure drivers when compared to Grab’s commission of up to 20%. “We are hoping that even if we are able to get a 10% market share in a year, we will be a profitable company (in Singapore),” Samar Singla, Jugnoo’sCEO said. Last month, Singapore-based Ryde Technologies said it would launch an app offering a private-hire car service and charge drivers a commission rate of 10%. The barriers to entry in the ride-hailing sector are relatively low in Southeast Asia, but new entrants will need to scale up quickly to compete with Grab, which is backed by Japan’s SoftBank. REUTERS

No comments:

Post a Comment

NEWS TODAY 28.12.2024