This is the financial proof that Uber is destroying taxi com

last SG · 2015-03-06T19:29:03+00:00

Startups disrupt traditional industries and Uber is a living proof of that

luckycabby SG

The writing is on the wall - Uber & Uber clones will murder the taxi industry here..

Now we are at the first stage where Uber and copycat Grabtaxi tries to get as many customers as possible to try their taxi matching service. To do that, they also need to get taxi drivers and give them incentives.

Later when the customers get used to their platform, they will slowly shift them to the uber car service. They can do that by removing the TD incentives so customers will find it easier to use the car service instead. Why do they want to do that? 20% comm is a lot more than 30ct booking fee lah.

They will tweak the uber car pricing so that it can compete with taxi fares. But on the other hand, the drivers will get less earnings, right? That's why they are promoting to car owners who already have cars and any extra earnings they can make is good enough for them. Of course TDs won't be interested but they won't care less.

So it is a little like crowd funding - get lots & lots of part time car owners to be drivers. Each individual car owner might do only a few trips but when added together, it is a tremendous force.

So Uber & its clones will win (20% or maybe 10-15% also good), customers win with cheaper rides, pte car owners win with extra cash.... the loser? TDs lah.

It is a scary scenario to think that TDs may only have street hails to makan and then again, these street hails will also get smaller & smaller if the uber cars can be cheaper and more convenient.....

Think about it....

foolsh_2000 SG

Now the uber taxi has become the pirate taxis of yesteryear. But it’s legal . government can’t do anything.any body with a car can be uber taxi driver.no need tdvl.no age limit. No rental to pay. Best foreigners also can do.

bowah SG

Then u throw key and go be one lor. Just ask yourself, is your daily profit taking affected? if yes, throw key, if not, drive on and let see how it turn out

Taxilim88 SG

Government can always change the law to make it illegal or more difficult. They are adopting a wait and see attitude. Not because they care about TDs' livelihood, but because of lost tax revenue from undeclared income.

luckycabby SG

Then u throw key and go be one lor. Just ask yourself, is your daily profit taking affected? if yes, throw key, if not, drive on and let see how it turn out

Said earlier already lah, joining the other side is not a solution also. Why? Because there are/will be lots of part time drivers (those agents, salesmen, etc) who already own cars and just need to earn a bit extra cash to cover costs. So they don't mind earning peanuts, how to compete with them? There are potentially thousands os such people around and that's the beauty of Uber's evil plot - making use of underutilised cars to make a killing for themselves.

Of course drive on lah and see how. That's what I said, enjoy this golden period while it lasts but be prepared for shocks ahead.

bowah SG

Many years ago, I already wrote to many cabbies….to save for raining days, hopefully they did.

luckycabby SG

I disagree that it is about lost tax revenue. Simply too small for them to bother. It is about public safety and backlash if anything goes wrong. But they are already embracing these mobile apps so very likely UberX and clones will prosper here, IMHO.

bowah SG

Govt no need so troublesome to go tax on individual, as long as Uber get taxed under corporation taxation, that is more than enough. More companies, more tax mah

Singapore resident companies are taxed on profits derived in Singapore, as well as on foreign soil, which are then remitted to Singapore. The corporate income tax rate since 2010 has been fixed at 17%. This one cannot run one hor

« Previous Page