The objective is to disrupt traditional taxi business and tear away the current pricing structure and put their own pricing in place.
Taxi drivers are in for a hard time. More competition, lower fares.
Originally posted by bowah:Wrong, the objectives is remove the age limit and replacing the old drivers,
During my general meeting with NTA, LTA, WDA, EDB and many other govt institution and of cos, taxi companies CEOs, the govt produced a trend of dwindling and aging taxi driving in our ever increasing population.
If age is to remain at 30years to qualify to drive taxi, and that only Singaporean can drive, in 10 years times, we will see taxis driver retired more and more, with no youngs taking up taxi driving, it will be a huge problem for the govt, as taxis is an essential transport as it is classified as Public Transport.
Therefore, the decision to invest in Grab and Uber by our Govt is critical to bring back a corhort of young drivers who prefer pte car than driving a taxis, and as young as 21 or 23yo, you can drive, that will make up for the shortage, as many, by the time they reach 30yo, might have find another stable job.
So, it is not so simple as you think, you need deep thinking and a holistic approach to understand why UG is allow to do almost whatever they like, why they allow so young driver, why got so many new rental cars at low prices…why still got incentives, there are reason for everything, not just by what you see at face value.
...shhhh…please keep all these to yourself. thanks
i agree with this view but i feel sorry for older TD, those old uncles dare not do grab booking at all.
Following approval granted by the authorities last week, five taxi operators — SMRT Taxis, Prime Taxi, Premier Taxis, Trans-Cab and HDT Singapore Taxi — will implement dynamic pricing from next Wednesday for trips booked through the Grab mobile application, under a collaboration between the operators and the ride-hailing company.
The new JustGrab service will be trialled from today among Grab employees and commuters on its rewards programme, using cabs from SMRT Taxis, Trans-Cab, HDT Singapore Taxi, as well as private-hire cars.
Announcing the roll-out date yesterday, GrabTaxi Singapore head Melvin Vu also sought to allay fears that dynamic pricing — or surge pricing — would not only lead to higher taxi booking fares during periods of high demand, but also the likelihood of cabs ignoring street commuters during peak hours.
The fare system for JustGrab will be similar to the system for Grab’s private-hire car service GrabCar, which charges a fixed fare, subject to dynamic pricing. Grab said that based on data from January and last month, average fares for GrabCar, in some instances, were a few dollars cheaper than fares for its GrabTaxi service, which uses a metered fare system.
Given the larger supply of vehicles under the new JustGrab service, the company said it expects fares to be even lower (at least a dollar cheaper than fares for GrabCar).
Speaking to TODAY, Mr Vu reiterated that a “measured and calibrated” approach would be taken for dynamic pricing, and with a “huge supply pool” right from the start, “prices will be cheaper and fluctuate less”.
Grab declined to reveal the number of taxi drivers who will be part of the new service. Nevertheless, the five operators have a combined fleet size of around 10,700 vehicles.
Grab said that fares for JustGrab will range between S$4 and S$100, depending on travel time, distance, booking fees, and real-time demand and supply for taxis. Based on last year’s figures, only 1 per cent of private-hire car rides were over S$60, and of these, only one trip on New Year’s Eve crossed the S$100 mark, Grab said in response to TODAY’s queries.
The new service will also do away with current taxi surcharges, which apply to midnight fares or rides in the Central Business District. Trip prices will be reflected on the booking screen, although these do not include Electronic Road Pricing charges.
Based on past data, for instance, a trip between Tampines to Choa Chu Kang during peak hours would cost an average of S$29 for a metered taxi and S$25 for a fixed fare private-hire car. During off-peak hours, metered taxi fares could fall to S$26, whereas private-hire car rides could dip to S$24.
JustGrab will provide commuters with an added option: Those who wish to take metered taxis can continue to hire them through the Standard Taxi icon on Grab’s app. Likewise, commuters who wish to book a private-hire car can still do so via the GrabCar icon.
On concerns that surge pricing could result in cabbies shunning passengers on the streets, Mr Vu acknowledged that while this may happen for a “handful” of taxi drivers, the majority of cabbies have told him that it is “not economical” to cruise without any passengers in the hope of getting higher fares through bookings.
He added that taxi drivers have also told him that they prefer picking passengers off the streets to accepting a call booking.
“Because it’s a confirmed job. Because they put a bum on the seat of the taxi faster and they cruise less,” he said. Grab would be taking a cut of 10 per cent for each JustGrab ride. In comparison, it charges a 50-cent commission for each metered taxi fare booking now.
Last week, Singapore’s biggest taxi operator ComfortDelGro, with close to 17,000 cabs under its Comfort and CityCab brands, said it will strike out on its own with a flat-fare structure similar to metered taxi fares for trips booked via its in-house mobile application. Based on the timeline provided earlier by ComfortDelgro, this could be rolled out around the same time as JustGrab’s launch. Mr Vu said the “devil was in the details” of the rival service.
“I don’t know how they will match demand and supply effectively. We’ve been doing this for three years and we’re a firm believer in matching accurately — at the time of booking — demand and supply,” he said. Grab claims that it expects rides to increase by a fifth for taxi and private-hire car drivers who use JustGrab.
Meanwhile, as competition within the industry looks set to intensify, Grab also announced enhanced perks for its taxi drivers, with a monthly 8 per cent Medisave contribution based on their earned incentives. Private-hire car drivers receive higher Medisave contribution rates at 10 to 15 per cent, depending on their performance.
Cheaper rides and shorter waiting time.
This is the promise of ride-hailing platform Grab, which announced its dynamic pricing model for taxi fares yesterday.
A new option called JustGrab, which combines taxis and private hire cars on the Grab platform, will be beta-tested from today and progressively rolled out before its public launch on March 29.
Those who choose the JustGrab button on the Grab app will get either a taxi or private hire car at the same price quoted.
Current options such as GrabCar and the metered Grabtaxi will still be available, but offer different and probably higher fares than JustGrab.
Mr Melvin Vu, the head of Grabtaxi Singapore, told The New Paper yesterday that the larger pool of drivers on JustGrab will mean that its prices will not fluctuate as much.
It also expects this new option to cut waiting time for rides by up to five minutes.
Dynamic pricing, also known as surge pricing, adjusts fares according to demand.
Last week, the Land Transport Authority and Public Transport Council gave taxi companies the go-ahead to implement this pricing model.
As used by Grab and ride-hailing rival Uber, it is meant to encourage drivers to get out on the road when demand is high.
But when taxi companies, including ComfortDelgro which controls about 60 per cent of the taxi fleet here, announced plans to introduce dynamic pricing earlier this month, several commuters expressed fears about higher fares and the availability of taxis on the streets, especially during peak periods when some cabbies might chose to rely solely on bookings to get higher fares.
Addressing these concerns, Mr Vu said surge pricing for taxis will be introduced in a "measured and calibrated" way and stressed that commuters still have the same choices as before, such as metered fares and current options such as GrabCar, GrabHitch and GrabShare.
He said less than 1 per cent of GrabCar fares over the past year were above $60.
And based on figures in January and February, less than 1 per cent of GrabCar fares were above $50.
He said: "Because of the large supply pool for JustGrab, it will most likely be cheaper than GrabCar and commuters will not experience such huge fares."
Dynamic taxi fares will be capped at $100.
Mr Vu also thinks only a "handful" of drivers may "hide" to get bookings during high demand, because current market conditions and heightened competition from ride-hailing companies have made it less profitable to do so.
JustGrab is an assigned system, which means passengers are matched to the nearest vehicle, he said.
"Some of our taxi drivers have told us that it might not make business sense during peak periods to cruise around, waiting for that supposedly high fare that comes their way," he added.
Grab will take a 10 per cent cut from cabbies assigned to JustGrab passengers, while GrabTaxi cabbies will pay a flat commission of 50 cents.
Mr Vu admits some drivers may be uncomfortable with this, but they can be assured of at least 20 per cent more jobs with JustGrab.
He said: "Taxi drivers are very excited because they have been asking us why they can't use fixed fares and take GrabCar jobs.
"So we decided to work with our taxi partners because, increasingly, we are seeing more commuters who prefer the fixed fare model."
Originally posted by Pandanchen:i agree with this view but i feel sorry for older TD, those old uncles dare not do grab booking at all.
Originally posted by Pandanchen:i agree with this view but i feel sorry for older TD, those old uncles dare not do grab booking at all.
Originally posted by Pandanchen:
Justgrab will definitely affect their grabcar drivers income
Originally posted by Pandanchen:i agree with this view but i feel sorry for older TD, those old uncles dare not do grab booking at all.
Is not dun dare. Its dun want.
Originally posted by bowah:Wrong, the objectives is remove the age limit and replacing the old drivers,
During my general meeting with NTA, LTA, WDA, EDB and many other govt institution and of cos, taxi companies CEOs, the govt produced a trend of dwindling and aging taxi driving in our ever increasing population.
If age is to remain at 30years to qualify to drive taxi, and that only Singaporean can drive, in 10 years times, we will see taxis driver retired more and more, with no youngs taking up taxi driving, it will be a huge problem for the govt, as taxis is an essential transport as it is classified as Public Transport.
Therefore, the decision to invest in Grab and Uber by our Govt is critical to bring back a corhort of young drivers who prefer pte car than driving a taxis, and as young as 21 or 23yo, you can drive, that will make up for the shortage, as many, by the time they reach 30yo, might have find another stable job.
So, it is not so simple as you think, you need deep thinking and a holistic approach to understand why UG is allow to do almost whatever they like, why they allow so young driver, why got so many new rental cars at low prices…why still got incentives, there are reason for everything, not just by what you see at face value.
...shhhh…please keep all these to yourself. thanks
You dun talk cock lah. smlj get younger drivers to replace older drivers. Taxi succession is the last thing the gahmen is worried about. If so worried, why not just reduce the age to 20 yo instead of 30yo to get TDVL?
If gahmen can get older people to work longer as taxi drivers, they will. Reduce the burden on the state.
Temasek invest in Grab? You know how much they invested anot? Less than 2% of Grab's total investment income. You know how much Grab lost in 2015? Temasek investment all kena wiped out liao.
Why so many whys and no answer ar ???
anyone already try just grab?
took 1 JustGrab just now abt 4.30pm. From faber crest to lor. kilat
Fixed Fare:$8
haben show in my app yet
Originally posted by FireIce:haben show in my app yet
maybe you can call Grab over the phone and ask them teach you how to use
wow! im sure i dont know how to use it!