With Uber’s Crisis and 99, is it worth running for smaller apps like InDriver and Maxim?

The crisis faced by individual and private passenger transport applications such as Uber and 99 – amplified by the covid-19 pandemic and the increase in gasoline – is opening the way for other services that started smaller and are now winning the Brazilian urban mobility market . This is the case of InDriver and Maxim apps, for example, which began to show strength in the country.

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The growth has taken place in the vacuum left by the big platforms, which are slow to review the fees and profits charged on top of the gains obtained by partner drivers, causing a sequence of cancellations in short and less profitable races. Not to mention the waiting time resulting from these cancellations, something that was once a basic attribute of the service per app. Losses that have mainly bothered the most demanding customers. Many are even leaving the service and returning to the taxi, for example.

The 99 app will not have the same access as Uber in Olinda.  In Recife, it partners with Expresso da Folia at the RioMar and Plaza shopping malls
While users complain about the difficulties in getting a race due to cancellations and about the quality of vehicles in circulation, partner drivers blame the platforms for the low fares, swallowed up by the sequential increase in fuel – The 99 app will not have the same access as Uber in Olinda. In Recife, it partners with Expresso da Folia at the RioMar and Plaza shopping malls

Uber still leads the user preference ranking, without a doubt. It is so much that it has become a verb to describe a new liberal wave of the market: uberization. The phenomenon caused by the platform, which arrived in Brazil in 2015, consolidated several transport companies. Following it came the 99 and Cabify, the latter never operated in Pernambuco, it is worth mentioning. And, most recently, InDriver. Now, Maxim arrives in the Brazilian market. These last two are Russian platforms.

Among app drivers, there are those who argue that it was the “small” apps that magnified the economic crisis by pushing prices down. This is the case with InDriver, for example. They even claim that these platforms cannot even be called small. They were just less known in Brazil. “InDriver was the one who broke the system, pulling prices down. It arrived with the policy of the race auction and the drivers’ zero rate. Lowered travel by 30%. With that, came the Uber Promo and 99 Poupa. It’s like a travel auction, which happened when apps lowered fares even further on a higher percentage of runs. Uber and 99 created these services to match the values ​​of their races to those of InDriver”, explains application driver Thiago Silva, who presides over the Pernambuco Association of Drivers and Motorfret Drivers for Applications (Amape).

INCREASE COST FOR DRIVERS

While users complain about the difficulties in getting a race due to cancellations and about the quality of vehicles in circulation, partner drivers blame the platforms for the low fares, swallowed up by the sequential increase in fuel. It is already possible to find gas stations charging more than R$7 per liter of gasoline, as happens in the states of Rio de Janeiro and Tocantins. Data from the National Petroleum Agency (ANP) show that the increase in this type of fuel was up to 51%.

ESCAPE TO THE TAXI

A survey of the Vá de Táxi platform shows that passenger demand for taxis has grown every day in the last six months of 2021. Even if in moderation, there is only one reading of this growth: there is a migration of users from individual transport applications due to the drop in the quality of service offered by apps such as Uber and 99. Complaints have been constant across the country.

Many of these customers have even been taxi users and are returning to the platform. In the view of Vá de Táxi, a mobility application founded in 2013, the increase in the number of races is also influenced by the resumption of economic activities and, consequently, the increase in traffic on the roads. But what has really weighed down is the drop in the quality of apps, evidenced during the pandemic. It is estimated that 60% of organic growth can be attributed to the poor quality of service provided by competing applications.

Photo: Disclosure
In the country, the increase in the use of apps by lower incomes reached 36%. In Recife, it was 10% – Photo: Disclosure

Check out private transport apps

99
After Uber, it is the best known. The platform’s services are identical to those of Uber and it is its main competitor. 99 prices are generally cheaper, but the app is not always beneficial because they also use a dynamic pricing type. There are also complaints about the quality of vehicles used by partner drivers. On the other hand, 99 has several social projects. It is run by a Chinese group.

Cabify
The Spanish platform never reached Pernambuco. Operates in Brazil since 2017 and also uses dynamic pricing. But users praise it because it offers more attractive cars and has an easy-to-use platform. In addition, it is very judicious when choosing partner drivers. In 2017, the Spanish platform purchased the Easy Taxi application, expanding the software options and reaching more cities.

BlablaCar
BlablaCar represents the carpool segment. The platform works with long-distance hitchhikers and is the largest in the world. Prices are divided between passengers and/or drivers, offering savings on travel. The application works only with registered people and drivers, making travel safer. For women who prefer to travel only with women, the company offers a filter with the option “Just for them”.

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InDriver – DISCLOSURE

Lady Driver Passenger
Lady Driver is the largest female transport application in the world and the first in Brazil working only with female drivers and passengers. Little known, the alternative is perfect for those looking for greater security when getting around. It only operates with female drivers and passengers.

InDriver
InDriver is a collaborative transport application, a competitor to Uber and 99. The differential of this platform is the possibility of negotiating the price with drivers: when requesting each trip, the user suggests the amount they want to pay. The prices charged by available drivers are then shown, with options to accept or decline the trip. The Russian platform is present in more than 500 cities in 34 different countries, generating 1 billion trips and having more than 100 million users.

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Maxim – DISCLOSURE

Maxim
It’s also a Russian platform. Makes trips and deliveries. It is present in 34 Brazilian cities, seven of which are capitals. In Pernambuco, it operates in Recife, in Caruaru (Agreste do Estado) and in Petrolina (Sertão). It has been in existence since 2003 and was created by ex-professional private car drivers. By 2020, the geography of the service in Russia covered more than 500 points.

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Maxim – DISCLOSURE

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Maxim – PHOTO: DISCLOSURE
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Maxim – PHOTO: DISCLOSURE
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InDriver – PHOTO: DISCLOSURE
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InDriver – PHOTO: DISCLOSURE