Estonian start-up Taxify has officially opened for business in the streets of Paris. To compete with Uber, the company is offering to lower its fare prices per ride. This will allow customers to pay less, while still giving drivers the potential to make roughly the same amount of money.
Taxify is facing a lot of competition in Paris, as there are many transportation companies that have already made their mark on the city. With Uber and Chauffeur-Privé as the primary competitors, Taxify must be unique in their approach if they have any desire to keep up. Uber is currently taking a 25% cut per ride, and Taxify is aiming to combat that by only taking a 15% cut. This will allow for an overall 10% decrease in prices per ride for users, which is very attractive for those who are looking for the best economic choice. According to TechCrunch, the company claims to be working with 5,000 drivers to promote professionalism, and Taxify relies on drivers who a VTC driver’s license.
The interface for Taxify is quite similar to Uber’s previous model. Their app provides users the ability to enter their card information and request rides. You’re also able to rate the driver afterward, which is very similar to Uber and Lyft’s current interface. It’s obvious they are trying to compete with Uber, but competition is healthy for both companies, as it causes them to improve competitively. Taxify is also running a promotion for the month of October where all rides are 50% off. It’s an effective strategy to increase the number of rides, but it is also a good way to highlight the brand name.
Taxify is anticipating an interesting battle with Uber in Paris, but it is also facing complications in other cities like London. It’s currently fighting to keep its presence in the British capital due to London transportation operatives claiming the company does not have the proper license to operate in the city.