OPay Now In Competition With Uber, Bolt In Nigeria As OCar Is Introduced – Faqontech

OPay Now in Competition with Uber, Bolt in Nigeria as OCar is introduced

by Ayorinde Ayodeji

Opay is becoming the largest fintech firm in Africa and not just that they have been introducing different means of helping and beating competitors. OPay has launched yet another vertical; a car-hailing service called OCar. This is coming just a day after it announced a $120m Series B funding round led by Chinese investors.

 OCar, which can be accessed via OPay’s mobile app, will operate both as a ride-hailing and ride-sharing service in eight major Nigerian cities including Lagos, Owerri, Port Harcourt, Abuja, Benin, Kaduna, Abeokuta, and Ibadan. So far, only Lagos has been activated, according to OPay.

OCar’s choice of launch locations hints at an attempt to compete with Estonia-owned ride-hailing company Bolt (formerly Taxify) which also has a presence in the same states (excluding Kaduna and Abeokuta, where locally-founded first-mover, Pickup operates) and more recently Calabar and Akwa Ibom capital, Uyo.

American-owned Uber, however, has presence in only Lagos, Benin and Abuja.

OPay is offering massive discounts to its prospective O Car customers to drive patronage. For as low as 200 Naira, you go anywhere in the aforementioned cities.

✓ Also Read:  Introducing Algorand - Algorand Strategic Partnerships in 2020

As is industry standard practice, intending OCar drivers is to sign up with their cars on the platform, get verified and accredited before onboarding.

OCar charges drivers a 15% commission, unlike UBER that maintains a 25% flat rate. OPay claims that the 15% commission reduces to 3% after drivers have done 20 trips within the same week.

OPay Now in Competition with Uber, Bolt in Nigeria as OCar is introduced 2

A competitive face-off with first-comer Uber and Bolt in terms of pricing and commission cannot be overlooked.

But how long this remains is not assured.

Recently, an OPay agent confirmed a complaint of high fare charges, that the startup has halted bonuses for ORide on the platform.

Although OPay’s plans to deploy its recently acquired funds into scaling, expansion and improvement of frequently used services on the platform, it is not certain if OPay intends to fit OCar into the same space with the likes ORide, OFood, airtime and utility payments.

The latter is more of everyday touchpoints for the average Nigerian, as opposed to cars that are perceived a luxury.

✓ Also Read:  Customers React as OPay introduces a 1% transaction fee

OCar is definitely going to compete with UBER and Bolt (formerly known has Taxify).

Faqontech and its contents are protected by COPYRIGHT LAW (DMCA) with high-priority response rate. Reproduction without permission or due credit link back will cause your article(s) to be removed from search engines and disappearance of Ads on that page if monetized with Adsense.

NOTE that Your Adverts can be placed here on Faqontech either Banner, Link or Text ADS We got you covered, We have different advert space waiting for you. Want to know more about our advert placement click HERE

You may also like

Leave a Comment