Ride-hailing giants Ola and Uber have witnessed a sharp slowdown in the growth of rides over the last one year, according to a report by The Economic Times.
The slowdown is a result of the two companies focussing more on operational efficiency, cutting customer discounts, expansion into new spaces such as food delivery and driver incentives, the report said.
As per the report, while the absolute number of daily rides have increased, growth has declined to 20 percent year-on-year on an average to 3.5 million rides in 2018 across all segments: cabs, shared cabs and autorickshaws.
In 2017, the same grew 57 percent to 2.8 million rides. In 2016, Ola and Uber registered a growth of 90 percent to 1.9 million rides, the report said. In July last year, Uber said it achieved 9.4 million trips a week, a 67 percent growth in a span of 11 months.
In April, Uber’s Chief Executive Officer (CEO) Dara Khosrowshahi said the company was clocking 10 million trips per week, a growth of just 7.6 percent in the number of rides in nine months, the report stated.
