Ride-Share Services
Ride-Share Services

Hawaii visitors tend to be priced out or unfortunate on car rental services. However, they can get about the islands through Holoholo, a locally-owned and new ride-hailing application.

Launched earlier this year, Holoholo works in an identical way to Lyft and Uber’s applications. Using it requires installing the application on your mobile device, registering there, requesting a new ride and paying through the application. People in Hawaii can also check the pricing and then book rides through Holoholo.

The tourism industry of Hawaii has been on the rise over the past few months. So, the industry is on the verge of getting back to a state of being absolutely normal. It is expected that pre-travel tests would not be needed in July this year or August. On the other hand, Hawaii lifted its interisland travel restrictions in the recent past.

That said, the island has had its fair share of growing pains too. After a restrictive and almost tourism-free year, Hawaii sometimes had difficulty in keeping pace with demand, especially in the transportation industry.

Rental car choices have been in short supply since the industry offloaded many of those to the US mainland in a public health emergency. That has contributed to a scarcity of those cars as well as surge pricing. More people rely on ride-share solutions to get about, so Lyft and Uber’s driver shortages and long waiting periods have frustrated travelers.

Holoholo, which means ‘Let us go’, expects to introduce one more option for natives and Hawaii visitors, thus helping them out. As with the two other ride-share services, it provides numerous options when people book rides, including the following.

  • Holoholo Assist for people with special needs
  • Holoholo Economy
  • Holoholo Luxury
  • Holoholo Green with EVs
  • Holoholo Military for those seeking access to military base
Car Rental Services
Car Rental Services

Holoholo’s creator Cecil Morton said that it would be a more affordable service than its nationwide rivals. Nevertheless, Morton’s claim should be compared with regards to situational factors, including driver availability, demand and time. That is to say, it has not always been less costly than the competition. For instance, a recent ride’s price from the Daniel K. Inouye International Airport to the Kapahulu neighborhood was shown as $25 on Uber but $43 on Holoholo.

Nonetheless, Holoholo is a welcome addition to Hawaii’s shared mobility industry. It adds an alternative to the island’s shared mobility industry, which is suddenly getting more intense regarding competitiveness. It now operates on every island except for Molokai.

Ride-Share Businesses
Ride-Share Businesses

New legislation that regulates ride-share businesses in Seattle is taking effect. A new US dispute resolution center as well as the minimum rates that companies must give their drivers, are part of the rules. There are also question marks on whether the regulatory changes would bring about high prices for users.

As for Francis Kamau, who has been working as an Uber vehicle operator for over five years, there would be a big difference depending on where one drives. Kamau would get less money per mile and per minute in the event of driving beyond Seattle city’s limits.

Ride-share businesses must at least pay their vehicle operators with customers 58 cents per minute as well as $1.33 for each mile when driving within the city’s limits. However, it would be different outside the limits.

For instance, the Driver’s Union’s President Peter Kuel said that it would be 80 cents for every mile to both Everett and Tacoma. Kuel said that the reason why they work in Seattle is that when a vehicle operator goes beyond the limit, the prices would change.

Some vehicle operators put their applications in an inactive state after dropping off customers, and they keep it off up to the time they come back to Seattle. It is a way for them to ensure that they would begin the next drive in the city’s limits.

Kamau feels that local vehicle operators would be out of work if other drivers come to Seattle and increase the operator count too much. Vehicle operators being able to work regionally would be preferable to Kamau.

Alongside the Mayor of Seattle Jenny Durkan, drivers promoted their resolution center’s opening on July 01, 2021, through a recent press event. Seattle would spend $5 million in order to operate the center that would arbitrate future disputes between the so-called ‘deactivated’ drivers and their ride-share companies.

As for Mayor Durkan, it would be the nationwide model. If the companies could deactivate drivers without giving them the right to challenge it, they would deprive families of their livelihood. Nevertheless, some customers now spend $35 on a ride across town as compared to a year before. Describing the phenomenon as interesting, Kamau stated that drivers could not see how much ride-share companies charge customers. Instead, they could know just how much they get paid through their ride-hailing app versions. On the apps, they could not see what ride-hailing service users pay.

Uber is controlling the application of Kamau, so what drivers like him know is the amount they receive.

Regarding the recent high prices, Seattle’s Mayor said that the city should check whether they were increased due to the legislation, which is yet to come into effect.

The minimum rates have been effective for a while now. On the other hand, the aforesaid center will take effect from the first day of July. As for Kuel, in the event of a driver being terminated for no reason, they would have appeal rights.

Ride-Share Businesses
Ride-Share Businesses

With the demand getting back up after COVID-19-induced lows, ride-share businesses are trying to get into public markets. Didi Chuxing applied for an IPO in the United States of America, and even Via Transportation plans to make the same move. On the other hand, Grab is seeking a merger with special-purpose acquisition company Altimeter Growth. Today’s publicly listed technology companies, Lyft, Meituan Dianping, and Uber, could have more competition soon.

Didi’s plan deserves a closer review, considering the service provider’s ambitions and scale. As of this year’s first quarter, Didi’s annual active user count was around 500 million, and daily mobility trip count exceeded 40 million. Didi Chuxing and its subsidiary companies have attracted over $25 billion as financing so far from investors, which include SoftBank. Further, last year, it brought in a revenue of $3.7 billion (after both driver earning and incentive exclusions). The quick growth partly shows why its reported secondary market valuation is $95 billion.

However, as with Lyft and Uber, it has not yet become a profitable ride-share service provider. Didi’s mobility solutions business was profitable last year, but there was $1.6 billion as the company’s net loss. The net loss is attributable to Didi’s global mobility business, plus initiatives such as driverless vehicle development.

The company aims to expand its average number of daily trips to a whopping 100 million, thereby accomplishing its overall profitability. However, as per the recent analysis of BloombergNEF, challenges are in store for Didi. The company’s domestic market share is dominant, but further growth is likely to invite regulatory scrutiny. It faces stiff competition within the 14 foreign markets where it has business operations.

The company’s strategy is unlike Grab or Uber’s strategy, as it is primarily centered on mobility solutions. Didi’s two competitors have moved more aggressively toward meal delivery services amid the pandemic. Conversely, Didi’s food business is limited to just a few global markets. Didi’s continued attention to self-driving vehicles is also its stand-out feature. BloombergNEF estimates that the fourth-biggest autonomous vehicle testing fleet is in China. With its two competitors unloading their expensive internal AV units to concentrate on other domains, the industry will closely observe Didi’s investment in, and commitment to, autonomous vehicle R&D.

As per BNEF’s recent market overview, both autonomous and shared mobility services have strong growth potential in the long run, with demand likely to increase fivefold in the coming twenty years.

Moreover, shared mobility solutions would account for 8% of overall car kilometers completed in 2040, and AV services, through Robotaxis, would deliver 9% more, as per the overview. Much of that growth in the demand for autonomous mobility seems primed to occur in developed nations such as China and the US.

Ride-Share Service
Ride-Share Service

With customer demand for Via, the ride-share service program of Jersey City, increasing, Mayor Steven Fulop stated that he plans on expanding the service. On Facebook, Jersey City’s Mayor shared a report that details Via’s better-than-anticipated increase in demand. Via has offered workers, visitors, and residents the option to travel in the US city for even $2 per ride. Set up in February last year, the program aims to simplify city-wide mobility for people who live in Jersey City’s so-called ‘transit deserts’. For your information, those are areas without much access to mass transit.

Over 340,000 Via rides have already been completed since the service’s launch. From February to May 2021, it helped to complete about 124,000 trips, with a little less than 10,000 one-of-a-kind riders. The greater demand has played a part in a 31% increase in Via wait times to around 17 minutes on average.

Last September, Jersey City had a similar wait time increase, which made the Via program’s fleet increase to 26 automobiles. Since then, the area has recorded three one-day peaks for ridership in November and December 2020 as well as March this year.

In the Facebook post, Jersey City’s Mayor disclosed plans to utilize the idea of adding more automobiles to tackle the greater demand for Via.

The report suggests that New Jersey’s Journal Square Transportation Center and Downtown’s Newport Centre have been Via riders’ go-to destinations. In the New Jersey hub, people can get the state-owned PATH train or a bus. Downtown is home to over half of the ten best Via destinations.

Jersey City set up the program following resident complaints regarding bus ride experiences in the area. The mayor announced it in September two years ago. Then, he said that when NJ Transit kept neglecting Jersey City’s public transport systems, and with no assistance from New Jersey, the city was making its own solutions that would satisfy residents’ needs. He described it as a way to achieve Jersey City’s goal to get cars away from normal roads, while making mobility for the city’s neighborhoods without enough connectivity options to its other parts.

Ride-Share Service Users
Ride-Share Service Users

Wilmington’s economy has opened again as filled restaurants, arts events, and bars testify to their community’s requirement for reconnecting after a long lockdown.

For Wilmington-based Lyft and Uber’s ride-share service users, commuting and/or traveling from their home to social outings and back are becoming pricier than they once were. Many Wilmington users have stated that ride-share service providers see longer waiting periods and higher rates.

One of them, a man named Jamey Stone, is a Downtown Wilmington tour guide. Stone said that it cost him only around $11 to go from Midtown Wilmington to Downtown Wilmington in the evening of a recent Friday.

Anyhow, he had to spend $29 more to return some hours later on the same day. Back then, he used more than 60 minutes downtown to clear out his history and reload. Cars were unavailable in that place for Lyft, and there were hardly any Uber cars, so Stone kept hoping for rates to reduce for the available service. So, Stones ended up spending $40 on it.

Before the epidemic, Stones said that he seldom spent over $12 to $14 on a ride, one way or the other, even on peak weekend times.

Artist James Sardone stated that it was difficult to have a ride between Downtown and Midtown Wilmington on a Saturday night of late. When it became available, the musician had to spend $32 on it.

Chaundra Harris stated that the price for the trip from Midtown Wilmington to West 20th Street jumped from $5 to $20 on a Thursday evening of late. On top of that, there was a waiting period of over 30 minutes, said Harris.

Scott Relan summarized the general impression thus: When ride-sharing services first arrived in town, it felt great to reach everywhere. Of late, Wilmington inhabitants have not been capable of even getting a ride, especially an inexpensive one.

Over the recent weeks, many media outlets have also reported a demand increase and a driver deficit for both Uber and Lyft. Earlier this June, Business Insider reported a 40% increase in fares as compared to pre-epidemic levels.

According to Uber’s April 2021 press release, several people stopped driving last year since they could not bank on having enough rides to make the job worthwhile. This year, there is a greater number of riders seeking trips as compared to the driver count available to offer them the service.

Uber also stated that it would launch a driver stimulus of $250 million with increased incentives and assurances for two objectives.

  1. To make existing workers return to it
  2. To confirm that first-time Uber drivers perform well

A Lyft spokesperson stated that it is having a considerable increase in the demand for its rides as people start to move again when vaccines are available. Lyft is making some moves to meet that demand, which include incentivizing its workers who are earning more and busier as compared to the pre-epidemic period.

The demand for the services is going up, whereas users have to make some adjustments. Some of them have had better luck with regards to taxi service use. Over the last few years, ride-share providers have negatively affected taxi services’ business.

When Carol Pendergrast flew into the port city at night on an April 2021 Wednesday, Uber informed her of the unavailability of cars. To make things worse for Pendergrast, every cab at her airport was also booked. So, she ended up contacting Pyramid Taxi LLC for its service and getting a ride through it.

Ride-Share Providers
Ride-Share Providers

Not all who utilize ride-share solutions have difficult experiences to share with us. Wilmington’s Uber user Caroline Cropp stated that she has noticed longer waiting periods and a bit higher rates than how they were before this epidemic. On the upside, she found all her drivers to be warm, friendly and accommodating.

It is uncertain whether these travel services regain soon with lower rates and shorter wait times for users.

Through a recent email to Wilmington’s Star-News, Lyft stated that it is focusing on raising the driver count to aid in meeting the grown rider demand. Drivers who undergo Lyft’s onboarding process, including background checks, described as ‘driver leads’, increased by over 25% in May from late February.

Uber’s driver count is around 20% less than 2020, but it has started building on gains involved in including more drivers.

Ride-Share Service Providers
Ride-Share Service Providers

It is perhaps not a bad move for Lyft and Uber to bring back surge pricing in the US state. The pricing practice has not been available here since March 2020, when Governor Charlie Baker announced an emergency due to a bill passed way back in 2016. As per the bill, a ride-hailing business and driver cannot increase base fares in a governor- or federal government-declared emergency. On the flipside, that reduces ride-share vehicle driver incentives as well.

Uber’s representative Alix Anfang stated that making surge pricing possible brings about better reliability. Lyft’s and Uber’s services have dropped statewide at the time of the epidemic. Ride-hailing services came down 62% here at the same time as some towns in Western Massachusetts did not have any rides.

Several drivers who used to work for both ride-share service providers stopped operations in 2020 as they could not have enough trips or rides to make a continuation worthwhile.

With vaccines rolling out and individuals starting to move again, Lyft stated that there is a considerable rise in demand. Lyft is also trying to meet it with financial encouragement to its vehicle operators. So, those drivers are not just busier but also earning more money than they used to before the health emergency.

Lyft has included thousands of vehicle operators across the nation, and the company’s service has reduced wait times by over 15% nationally. It keeps being a good time for Lyft’s drivers to operate, as those in top US markets earn considerably more money than in the pre-epidemic period.

Uber also notices that riders in the state are utilizing its application to a greater extent, so it works on satisfying the demand. With a stimulus of $250 million, it would provide drivers with more encouragement and guarantees. It has also communicated with drivers to make them aware of the extra earnings in the near future.

As for Alix Anfang, with more vaccinations and increased mobility, riders in the state and elsewhere are utilizing Uber’s application more. When people keep traveling, he said that Uber expects to have elevated surge levels as it keeps working to get its vehicle operators back behind the wheels.

For people who wish to avoid spending more money on a trip, Lyft introduced an offer that would save them money if they wait longer than usual. Lyft’s offer lets riders choose a longer waiting period while paying a lower price than usual, even as drivers have the same earnings as with a standard trip.

Ride-Share Service
Ride-Share Service

The Oxford Board of Aldermen considers a new order that would make two designated areas for ride-share service vehicles and taxicabs to pick up and drop off people who come to Oxford Square. The spots would be near the parking garage of Downtown Oxford as well as along 14th Street near Tyler Avenue and Harrison Avenue. As for the ordinance, discussion continued recently about ride-share and taxicab service providers as drivers got their chance to talk to the Aldermen. If the order gets approved, it would be applicable to all private ride-hailing companies, including Lyft and Uber, and taxicab companies.

A reading of this order happened in the recent meeting, with a public hearing, where local Uber and taxicab drivers opposed the ordinance, especially the above-mentioned designated spots.

Zoes Taxi’s Alfonso Jordan raised concern about his business’s present parking areas on Oxford Square being deprived of their power, with a move away from local restaurants and bars. As for Jordan, that move would hinder Zoes Taxi’s business. Jordan informed the Aldermen that Zoes Taxi could not do business through a ride-hailing application like Uber. Therefore, being moved farther would damage Zoes Taxi’s business, as it depends on the walk-up establishments, especially given the coming football season.

If approved, this proposal would make Downtown Square pedestrian-friendly to a greater extent than it is, offer safety for passengers, and lessen congestion on Oxford Square. It would require all automobiles for hire to utilize the designated areas for their pick-up and drop-off services from 07:00 pm to 03:00 am throughout the week.

The Mayor of Oxford City, Robyn Tannehill, mentioned attempting to keep ride-share automobiles from stopping amid the street as they await their potential riders to approach them. Tannehill said that making the stop would hold up traffic in busy weekend hours, like when a home game is on for Ole Miss’s football team.

Alongside other taxi drivers, Jordan acknowledged the concern that the board shows for pedestrians’ safety. However, the drivers also cited the chance for more possible harm to intoxicated pedestrians if they have to cover long distances to reach their taxicab or ride-share automobile.

Describing the event as a public hearing rather than a vote, Tannehill stated that the drivers in the meeting gave the authorities much to consider. Another reading and possible vote on the order will happen in the July 06 Board meeting.

Ride-Hailing Applications
Ride-Hailing Applications

It is becoming more and more costly for people to hail a ride. With ride-share services such as Lyft and Uber combating driver deficits, there is a 40% increase in ride prices nationwide, as per Rakuten’s data. The sudden increase is affecting big cities, especially LA, Chicago, and NYC.

As for industry analysts, as the economy bounces back as well as hospitality and travel industries see more demand, more customers are again turning to ride-hailing applications at higher prices. For instance, Rakuten Intelligence’s analyst David Gill said that it is a typical example of the relationship between demand and supply. As for Gill, when events, restaurants, and activities are resuming, individuals are looking for ride-sharing solutions at a level that did not exist before the epidemic.

On the other hand, drivers have looked for other avenues to do temporary work to keep afloat in the slow epidemic period. When this epidemic was at its peak, several drivers faced unstable earnings. Because of demand issues, one of them even made $2.5 per hour, which according to Business Inside is about $198 less than what he was earning before the epidemic.

Many drivers turned their focus to other temporary work in the period to continue to have funds floating in when shared rides were badly affected. Those rides have not gone back to the volume required for them to keep pace with the latest demand. Gill also stated that because ride-sharing service providers are encouraging new drivers with incentives, this would even out, albeit it takes even months to reach there.

Earlier this year, Uber announced its plan to launch a stimulus of $250 million to make driver earnings better to incentivize them amid their deficits. The company stated that the stimulus would go to not just those who start to drive again but also new drivers.

At the same time, Lyft is paying attention to boosting its driver count to satisfy the greater demand. In its recent earnings call, the company also noted that 25% more drivers are undergoing the new recruitment process for it as compared to February this year.

Ride-Sharing Market
Ride-Sharing Market

The ride-hailing sector of China is having more and more grapevines. Some of those complaints come from users feeling an unpleasantness about increasing fees, plus drivers who appear to be getting an ever-reducing portion of ride-sharing revenue. As per experts, the present market in the nation is afflicted with inadequacies that let aggregators take too much commission. So, those experts claim that comprehensive regulation might make it a monopolized industry.

China’s present ride-sharing service providers are not affected by any restriction on the commission rates that they can charge drivers. The rates are likely to range between 20 and 35%, according to the distance, time and where the driver gets riders.

Jia, who works as a ride-sharing company’s driver in Beijing, stated that people like her lack negotiation power about the pricing. She also said that those drivers would not be aware of the amount they would get from accepting an order up to the time a ride completes.

Usually, drivers like Jia lack access to details like what the aggregator takes from ride-sharing revenue unless they ask their customers about their payment. Jia said that while that rate could vary by ride, it is usually high in long-distance drives or rush hours.

As per ride-sharing company Didi Chuxing, those varying commission amounts serve as a way of encouraging drivers to accept orders when their incentive to make that move is less.

Anyhow, with the industry growing, no restriction on the amounts could make drivers uninformed and at risk of being exploited, said Tian Yun. As the Beijing Economic Operation Association’s, Yun was talking to the tabloid newspaper Global Times.

Ride-Hailing Sector
Ride-Hailing Sector

As per a guideline that the government published five years before, the market alone determines ride-sharing service price in China. Anyhow, Yun recommends publishing new guidelines that could better suit the digital age since the economy based on digital technologies has expanded to include most aspects of life.

Unlike in 2016, using applications is turning into the most prevalent way to order taxicabs, said Yun. He also said that ride-sharing aggregators like Didi are unaffected by local regulations since they operate across China. As for him, it is important to introduce nationwide guidelines.

Commission rates that fluctuate have caught the attention of China’s regulators. Earlier this year, eight regulatory authorities in China ordered ten freight and ride-hailing service providers to boost safeguards that protect driver interests. Their goal is to confirm the sustainable and healthy development of web-based transportation businesses.

Didi Chuxing, Gaode, Meituan Chuxing, Huolala are some of the companies that the authorities singled out. For your information, Alibaba backs Gaode, whereas Huolala is a freight company similar to Uber. Those platforms were told to cut down their rates of commission to help confirm that their drivers get paid.

Uber Service In Summer
Uber Service In Summer

Kelowna city’s Mayor Colin G. Basran stated that he feels disappointed that Canada’s transportation department has slowed a choice to let Uber have Okanagan operations. He does not understand why this delay has come from the Passenger Transportation Board. Basran understands the need for more options with regard to getting about in his community.

In its preliminary decision from April, the department adjourned the paperwork that Uber filed to expand its operations throughout the province. The department needs 3 to 6 more months to look into the effects of the coronavirus epidemic in Canada’s passenger transportation sector.

The department noted in its choice that the Investigator would offer it a report about the following.

  • Whether the proposed service comes under the ‘public need’ category.
  • Whether Uber’s application is likely to have any effects on the industry’s economic conditions, given how the coronavirus epidemic affects British Columbia’s economy.

As the world’s biggest ride-sharing service provider, Uber applied to extend its service in August last year. Basran stated that numerous people in British Columbia may visit the Okanagan, since the province no longer bans interprovincial travel. In that case, Basran said that tourists would only have limited transportation choices.

Basran knows that it would be a busy summer season in this part of the world. He reckons that it could record the busiest-ever tourism season in its history. As for him, Kelowna would be the preferred destination for not just western Canadians but also people from the whole nation. Therefore, he feels that a greater number of mobility options is imperative.

Kelowna City Council member Ryan Donn does not feel that the investigation is worthwhile. For your information, Donn has been an advocate of ride-hailing for a long time now. Further delays are uncalled for, said Donn. With regards to getting ride-sharing, Donn felt that Kelowna is many years behind almost all of the world’s major urban areas.

Describing Uber as a brand, the councilor said that people are aware of it as they arrive at Kelowna International Airport. Then, the councilor stated that the travelers could open Uber’s application and access a popular ride system, but they could not.

Donn described the lack of Uber’s service in Kelowna as a frustrating and embarrassing thing. He feels that the delay appears to be political, and that the requirement for transportation is not subject to COVID-19.

British Columbia’s taxi service providers have lobbied against Uber’s arrival in this province. Many of those companies have filed letters that oppose the prospect of Uber expanding its offerings to include the Okanagan. For those companies, it would not be in people’s interest to let Uber do so during the pandemic.

Basran understands the cause of the taxi industry’s opposition or apprehension. Anyhow, he opined that it is ultimately a solution that people would like to have, and that industries should adapt.

Uber said that Okanagan visitors and residents strongly demand ride-sharing solutions. When the province’s Restart Plan progresses, Uber said that it would be prepared to launch its ridesharing application in Kelowna. That move would offer not only flexible opportunity to earn money to drivers but also reliable and convenient travel options to the community.

In its application, Uber persuaded the department to avoid delaying the said expansion, since the coronavirus-related probe would lose practical significance once that investigation is released.

Following the department’s choice, Donn stated that he would like to find Uber’s ride-sharing solutions in a functioning state in the valley by Christmas.

Uber has been offering rides to customers in Greater Vancouver since early 2020, following a long-drawn dispute with the Canadian provincial government.