Cash Payments Being Tested By Uber in India
Uber drivers aren’t paid with hard cash but that is about to change in India. The popular company has started taking cash payment in only one city, Hyderabad, in India.
Riders of Uber get to pilot test this new option that must be selected before the cab is called. Only then, riders are allowed to pay their fare with cash. Uber did mention in the past that the company will be flexible when it comes to payments, but only in emerging markets.
Uber wrote in a blog post:
Hyderabad was the only city specifically selected for this experiment because it provides us with the right environment to test a new payment option amongst a sizable and sophisticated rider and driver community.
Testing this new option in India seems like the right call as people in the country tend to use cash for payments rather than plastic money.
Uber is currently providing services in 11 cities in India, while rival Ola has penetrated 110 and is aiming to reach 200 by the end of this year. Uber has a smaller geographical footprint in the region and has so far targeted premium customers in the country.
By offering cash payments, Uber seems to be expanding its targeted customer base. On the other hand, half of payments made to Ola are in the form of cash, so if Uber wants to compete it has to be flexible as well.
Sikander is a gamer at heart and loves to write about the latest technology trends. He does it all in the name of Techfrag!