The auto rickshaw aggregator, Jugnoo brought a good news for the agitated Ola and Uber taxi drivers who are on strike on Sunday as it announced its expansion in the taxi aggregation business. The decision to expand and diversify its offerings couldn’t have come at a better time as many cab drivers are looking for an alternate solution to resolve their earnings and incentive issues.
The taxi drivers are currently on an indefinite strike against Ola and Uber’s decreasing incentives. The drivers are not happy with the taxi fares and have demanded to increase them as it will allow them to earn more. Jugnoo’s step is a bod to address the issues of these drivers.
The company will start its operations from Gurugram and will soon expand it to other cities as well. The rates offered by Jugnoo to drivers is also expected to be higher than that offered by other cab aggregators.
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Even though Jugnoo started off as an auto rickshaw aggregator, it has expanded into other hyper local segments like food and grocery delivery recently. It had been contemplating to start the taxi aggregation business and was awaiting the right opportunity to launch the service.
“We at Jugnoo saw a vacuum in the taxi aggregation business. We analysed the issues faced by taxi drivers off late and have come up with a strategy to provide taxi services at prices where drivers do not work at artificially lower rates than their costs. It’s a capitalist world where we have to manage expectations of both the customers and drivers together. At the moment, the existing players have not been able to balance this and therefore, we intend to fill in the gaps,” said Chinmay Agarwal, Co-Founder and COO, Jugnoo.