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Didi Kuaidi: Uber's Enemy in China

forbes.com

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Re: Didi Kuaidi: Uber's Enemy in China

#3
post #2

It's worth pointing out that Uber has already become massive in China; whenever I'm in Guangzhou there are a ridiculous amount of rides available and you're rarely waiting more than a few minutes.

I think that is only because black cabs already existed and were so popular in those areas. Uber legitimizes them, whereas before you would have had to worry about getting ripped off.

Suffice it to say, most of those drivers are probably on didi zhuanche and get more business from them than Uber. Its not that Uber is massive, but drivers have no concept of exclusivity so just monitor all the networks they can (even taxi drivers might have used multiple taxing hailing apps before the consolidation).

Didi kuaidi (and Uber) have done the impossible and made black taxis semi legal, since they were a fact of life already. They didn't have to build these markets from scratch, they already existed and were just poorly organized.

Re: Didi Kuaidi: Uber's Enemy in China

#5
post #2

It's worth pointing out that Uber has already become massive in China; whenever I'm in Guangzhou there are a ridiculous amount of rides available and you're rarely waiting more than a few minutes.

I think that is only because black cabs already existed and were so popular in those areas. Uber legitimizes them, whereas before you would have had to worry about getting ripped off. Suffice it to say, most of those drivers are probably on didi zhuanche and get more business from them than Uber. Its not that Uber is massive, but drivers have no concept of exclusivity so just monitor all the networks they can (even t…

To me, this is the best point I've ever heard about uber.

Before I've in San Francisco I used to have a number of black cab drivers in my contacts.

We had set, agreed on prices for trips like "home to restaurant and back"

The prices agreed to were "low" by actual taxi rate standards and had the convenience of just calling the Lincoln car directly to come get me...

I thought it was a win!! (I lived where cabs would NEVER come to get me [i was banned by multiple cab companies] -- but then uber arrived...

Same black car service, no relationship building... And I paid a fucking fraction of what I was before.

Uber is the best thing to hit transport prior to tesla.

Give me an uber based self driving tesla and I'll commit some % of each paycheck to that.

Re: Didi Kuaidi: Uber's Enemy in China

#6
post #5

Earlier quoted context omitted.

I think that is only because black cabs already existed and were so popular in those areas. Uber legitimizes them, whereas before you would have had to worry about getting ripped off. Suffice it to say, most of those drivers are probably on didi zhuanche and get more business from them than Uber. Its not that Uber is massive, but drivers have no concept of exclusivity so just monitor all the networks they can (even t…

To me, this is the best point I've ever heard about uber. Before I've in San Francisco I used to have a number of black cab drivers in my contacts. We had set, agreed on prices for trips like "home to restaurant and back" The prices agreed to were "low" by actual taxi rate standards and had the convenience of just calling the Lincoln car directly to come get me... I thought it was a win!! (I lived where cabs would NE…

Note when I say black cab, I actually mean 黑车 whose direct English translation probably isn't very precise. Essentially, these are illegal taxis that would have wandered the streets looking for fares when they can get away with it. They don't mean a legal black livery car as in say...NYC.

You didn't see them so much in the first tier cities (though they are still around) where there were enough taxis, but they were everywhere in 2nd/3rd tier cities, and often were your only private transport option.

Re: Didi Kuaidi: Uber's Enemy in China

#7
The article talks about subsidies. Does anyone know how much Uber and friends are subsidising their rides?

As in if I pay on average 10 USD to Uber, then the driver gets what? 5 USD, 10 USD, 15 USD?

Re: Didi Kuaidi: Uber's Enemy in China

#8
post #7

The article talks about subsidies. Does anyone know how much Uber and friends are subsidising their rides? As in if I pay on average 10 USD to Uber, then the driver gets what? 5 USD, 10 USD, 15 USD?

When Didi kuaiche does a subsidy for a taxi ride (never use zhuanche, which is non-taxi), they send a message to your phone telling you that they added a bonus to help you get a taxi. It is usually 5 kuai, which is just less than a dollar.

My wife uses zhuanche, and they don't necessarily subsidize rides, but they give riders coupons to "try" the service (say 15 kuai or so). It is a bit more expensive than a taxi, so in a way this is a subsidy also.

Have no idea about Uber specifically.

Re: Didi Kuaidi: Uber's Enemy in China

#9
post #7

The article talks about subsidies. Does anyone know how much Uber and friends are subsidising their rides? As in if I pay on average 10 USD to Uber, then the driver gets what? 5 USD, 10 USD, 15 USD?

The brokers (Uber and friends) are clearly fighting over what they believe will become a future monopoly. Subsidies are going to leave the impression of higher demand to the drivers and ultimately you will have too many drivers in the market and only one broker (the other will be out of money). This is where the price paid to the driver will drop and the broker can yank up their fees.

Re: Didi Kuaidi: Uber's Enemy in China

#10
post #7

The article talks about subsidies. Does anyone know how much Uber and friends are subsidising their rides? As in if I pay on average 10 USD to Uber, then the driver gets what? 5 USD, 10 USD, 15 USD?

I have old information, hopefully you still find it relevant.

Around April in Beijing, for 10rmb paid by us Uber driver was paid 40rmb - at least that's what he told us.

We asked only one though.

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