A price war between cab and autorickshaw services seems imminent with TaxiForSure, a leading taxi aggregator, launching a new service on Thursday.
The Nano Taxi Service will have a fleet of 100 cars. The fares are Rs 25 for the first two kilometres and Rs 10 per km after that, which is comparable to autorickshaw tariff. The service is exclusively for customers who use the company’s mobile app and mobile site.
The company believes the low fares will encourage more commuters to use the service for short-distance travel.
Raghunandan G, co-founder and CEO, TaxiForSure, said, “We are not taking customers from the autorickshaw segment. We are catering to customers who are not getting an appropriate mode of travel. Autos will continue to exist and there will be a section of people who will continue to use them.”
Rudramurthy, General Secretary, Auto Rickshaw Drivers Union, said: “We have already complained to the Transport Minister, Transport Commissioner and District Commissioner about cabs lowering their fares. We are also planning to organise a protest in front of the DC’s office on Friday against the Nano taxis.”
In November, the company had launched a scheme wherein it offered a base fare of Rs 49 for 4 km in all cities it operates in for travel in an AC hatchback. After 4 km, the rate was fixed at Rs 14 a km.
