Cabs cheaper than autorickshaw

Premium cab service Uber is taking the price war with other cab services to an all-new level by launching uberGO. According to the company, this new low-cost service that uses hatchbacks to zip you around a city is cheaper than an autorickshaw ride.

The company has roped in hatchbacks like the Toyota Etios Liva, Maruti Suzuki Ritz, Tata Indica Vista and the Maruti Suzuki Swift among others for the low-cost uberGO service. The minimum fare for this service is Rs 75.

The base fare is set at Rs 40, rate per kilometer is Rs 11, and you will be charged Rs 1 for every minute the driver has to wait. To give an idea of just how cheap this new service is, Uber has compared rides with autorickshaws between destinations.

For example, a ride from Safdarjung Enclave to Khan Market will cost you Rs 85 in an uberGO, but Rs 90 if you take an autorickshaw. Similarly a ride from Vasant Vihar to Cyber City costs Rs 183, as compared to Rs 215. In Bangalore, it will cost you Rs 69 in an autorickshaw from MG Road to 100 Feet Road, Indiranagar. In comparison, uberGO will cost you Rs 94, while other taxis will cost you Rs 114.

As an introductory offer, Uber is offering 25 percent off on regular fares, as well as Rs 400 off on your first uberGO ride. Enter the promo code “UBERGO-INDIA” to avail the latter. Uber has also revealed that it has partnered Huawei to provide Android smartphones in the cab, replacing the iPhones.

With this new service Uber is competing in three different price segments — ultra-affordable uberGO, the mid-rage uberX, and the more luxurious UberBlack. It would be interesting to see how the autorickshaw and cab unions react to these pricing, which clearly intrude into their pricing territories. Apart from Hyderabad, Uber offers its services in cities including Mumbai, Delhi, Bangalore, Chennai, Pune, Jaipur, Ahmedabad, Chandigarh, and Kolkata.