
Guwahati, Sept. 4: A price battle is brewing on the city streets with app-based cab services such as Uber and Ola and a host of local radio taxi operators offering comfortable rides at value-for-money rates.
Uber, a technology company, forayed into the Northeast last month at a tempting Rs 7 per kilometre.
"We launched a singular product UberGO here, through which we offer rides at just Rs 7 per km in air-conditioned comfort. The base fare is Rs 40 and the ride time charge is Re 1 per minute. That's all. We believe our offering is the cheapest in Guwahati at present," Varun Mundkur, a spokesperson for Uber told The Telegraph .
Uber connects riders with drivers at the tap of a button through its smartphone application.
"We are a technology intermediary with vehicles owned and operated by other parties. Safety is a priority for us before, during and after a ride. The backgrounds of our partners are thoroughly scrutinised. Besides, the safety features on our app ensure a reliable ride," Mundkur said.
"The rock-bottom rates are part of our promotional pricing policy during the launch in a new market," he said.
The Uber rates are apparently pushing OlaCabs, another app-based aggregator launched here in December last year, to second place in the "price game".
Ola charges Rs 49 for the first 2km plus Rs 12 per km for a mini (hatchback) ride and Rs 14 per km for a sedan ride plus Re 1 per minute for ride time.
The radio cabs business in the Northeast, just about six years old, has zoomed into fast lane for sure. The bulk of the 800-plus cabs ply in the Kamrup (metro) alone and given the population boom and an ever-growing floating clientele in Guwahati, the demand for such services has always overshot supply.
"The cab services have come as a reprieve for commuters who were earlier at the receiving end of overcharging autorickshaws," said Sunil Borah, a senior citizen.
City-based Green Cab, which launched its GPS (global positioning system)-based taxi services through its fleet of Nanos in early-2014, charges a base fare of Rs 30 for the first 2km and Rs 15 per km thereafter.
There is a nominal service charge but no ride time charges if one hops into a Green Cab, a service primarily preferred for short trips.
In May this year, another local radio taxi operator, Prime Cabs, came up with an inviting scheme called True Fare, comprising a base fare of Rs 100 for the first 4km and Rs 18 per km thereafter for short distance travel within the city.
"With True Fare, we have reinforced our commitment towards affordable and transparent pricing," chief operating officer of Prime Cabs, Dhimmant Bansal, said.
Others such as Pristine Cabs and Swiss Cabs are focusing on value-for-money luxury on long-distance trips. Pristine charges a flat rate of Rs 160 for the first 8km and Rs 17 per km thereafter while Swiss Cabs takes Rs 150 for the initial 8km and Rs 17 per km thereafter.
There is more options for commuters here with new entrants tweaking fares to grab the cab services pie.