Oor Cabs Takes on Ola & Uber. Offers Guilt-free Taxi Ride

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43 year old Kadir Velu, an auto owner in Coimbatore is hopeful of increasing his monthly income by ten thousand rupees a month. He has signed up with Oor Cabs, a new auto/cab aggregator that doesn’t take any commision from tariff auto operators receive from customers. “My monthly income could go up by to thirty five thousand rupees as I save on the 30% commision I paid others.”

Oor Cabs, a Tamil Nadu based start up is confident of shaking up established aggregators Uber and Ola by offering what it calls “value for both customers and drivers” and giving what it calls a “guilt-free taxi ride” for its customers and “fair income for drivers.”

Set to launch auto services in Coimbatore on the 29th of this month, customers can order an auto via the app or even on whatsapp. In a first of its kind, customers who book would get a choice of three available autos and three different tariffs by them.

Unlike company fixed tariff by established operators, Oor gives its drivers the choice to fix their tariff within a given range. They can stick to the highest rate or choose to offer rides at a cheaper price. Customers pay the money directly to the driver.

The attractive part for auto/cab owners is they need not pay any commision to the aggregator. Instead the aggregator collects a service fee from customers, a minimum of nine rupees per ride and a maximum of ten percent of the tariff. “By saving on commission alone drivers stand to earn 30% more by switching to us. Our flexible option for drivers to fix tariff ensures minimum profit for them and safeguards customers from predatory pricing” says Mr Maria Antony Issac, Founder of Oor Cabs.

200 autos have already signed up in Coimbatore which has around 12000 autos. “We expect around 500 autos to sign up before the launch. It should cross 4000 in two months. We see a good response. We would then gradually expand to other smaller towns which have bargaining system in place now” Mr Issac added.

Focusing on the welfare of drivers, the company says it would provide a ten lakh accident insurance for drivers, earned leave opportunity, canteen facility and essential supplies at cheaper prices. “We plan to fund this by diverting 10% of our income to our CSR. When we scale up all these are plausible” says Issac.

The bootstrapped start-up has raised 1.5 crore so far from friends and relatives.

An MCA with corporate experience, Mr Issac was earlier part of a local aggregator that suffered a huge hit due to what he calls “predatory pricing” by established players. He had even moved the Competition Commission of India. The idea for a model that would benefit both commuters and operators he says began then.

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