HYDERABAD: Taxi operator Meru cabs has slashed fares for Delhi-NCR commuters by almost 30%. The Radio Taxi category is now available at Rs 16/km if booked through the Meru app for Now ride from the existing government approved rates of Rs 23/km for daytime and Rs 28.75/km during night time.
“We saw an opportunity to improve our execution in city services,” said Nilesh Sangoi, chief executive, Meru Cabs, which saw almost 5x growth in their cab bookings during the strike in Delhi. “We saw a lot of customers coming back to use Meru, and we have reduced the prices to provide affordability to our growing customer base.”
The new Meru fare comes with no surge price, no ride time charge, no base fare and no night time charge. However, there is a minimum fare of Rs 48, calculated with Rs 16/km for 3 km.
On the other hand, Uber’s base fare for a Sedan in Delhi is Rs 40, with Rs 6/km up to 20kms and Rs 12/km after 20 kms and Rs 1.5/minute. On similar lines, Ola’s base fare for a Sedan in Delhi is Rs 75 with Rs 10/km up to 20 kms and Rs 14/km after 20 kms and Rs 1/minute.
The slash in prices comes at a time when both Ola and Uber drivers have been protesting against the two major cab-hailing platforms. Delhi-NCR region also saw a 50% price hike in Uber ride-time fare during early January.
“In transportation business, there is not much loyalty to the brand and it all comes down to which service is cheaper,” said a transport analyst tracking this space. “Meru doesn’t follow surge pricing, whereas Ola and Uber have some form of surge pricing, which increases the total fare.”