Ola looking to expand to the Netherlands

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Bengaluru | Published: September 22, 2018 1:48:42 AM

Ola, which launched its operations in the UK in February, used the country as a platform to launch itself in Europe.

Ola looking to expand to the Netherlands

Cab aggregator Ola is looking to expand into the Netherlands as part of its strategy to expand its international footprint, say sources.

Ola, which launched its operations in the UK in February, used the country as a platform to launch itself in Europe. One of the sources commented that the Netherlands was chosen as the next logical destination for the company in Europe, as the other two big economies in Europe, France and Spain, have several regulations and strong taxi unions.

Ola’s rival Uber has faced many regulatory hurdles in Spain and the Netherlands but has been able to continue to operate in both the regions.

In the Netherlands, Uber had its Uberpop service declared illegal by a judge and the transport ministry in the country raised the fine for Uber for breaking taxi rules, Dutch News reported. Uberpop allowed unlicensed drivers to use their cars as taxis.

In Spain, Uber had faced a complete ban in December 2014 and was only allowed to resume services more than a year later, with strict restrictions.

Ola, for now, is building a team and shaping up its product portfolio in the Netherlands and also working with government officials. The exact date of its launch in the country is still uncertain but could be done by the end of this year. Also, Ola is still working out the commission rate it will charge in the country.

Commission rates charged by can aggregators depend on a wide variety of factors that include the cost of operations in the country, cost of living, the population’s paying propensity, etc.

The company will most likely rein in existing cabs operators in the country on to its platform like it did with the black cabs and private taxis in the UK.

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