Ver Angola


‘Uberization’ in Luanda increases price and commission competitiveness

Competitiveness in tariffs and commissions charged for 'uber' services has intensified with the arrival of new transport platforms in the capital. There has been an 'uberization' of Luanda and the entry of three international operators – Heeth, Ugo and Yango – into the national market has pressured other operators to change their strategy and resort to lower prices to compete with competition.


In the competition for the best prices and commissions are six platforms fighting each other to offer the best rates, with the best price table being led by UGo, while Heetch leads the commissions.

Accounts made by Expansão based on the tariffs of the Kubinga, T'Leva and Ugo platforms, the average price of 250 kwanzas per kilometer charged in 2019 fell, and currently 182 kwanzas per kilometer are charged.

According to the same newspaper, only these three applications show prices per kilometer. The others already provide the total value of the trip, which includes kilometers, travel time and the base fare.

So, if you compare the costs of a trip between Largo das Escolas (Maianga) and Angomart do Benfica (Belas) on all platforms, UGo is the big winner in terms of price: for an economic trip, 3050 kwanzas are charged while for vehicles with more comfort, 4400 kwanzas are charged.

In second place comes Kubinga. For the same route, this platform charges 3832 for the economic trip and 4678 kwanzas for the most comfortable one. Heetche follows, which in economy vehicles charges 4600 kwaznas, while in the comfortable class it charges 5200 kwanzas, writes Expansão.

In terms of commissions charged to owners of cars operating in their applications, according to the same newspaper, multinational companies dominate the podium: Heetch charges, for each trip, 11.4 percent (for example, in a trip of 1000 kwanzas, 114 kwanzas are for the company that holds the application).

Yango charges 13 percent of commissions (10 percent goes to Yango and three percent to local partners) and Ugo and Tirosa charge 20 percent.

In turn, Kubinga charges 25 percent while T'Leva only uses its own cars.

Although this is a service that is still not available to most of the population, as prices are still high and an Internet connection is required to request the service, the arrival of three international platforms (Heetch, UGo and Yango) on the market and, consequently, the increase in the offer of 'ubers', has put the other operators to the test, who are forced to adopt a new attitude and lower their prices.


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