Car-hailing’s popularity through the roof
Print Edition
Nearly 500 million people have used China’s online car-hailing services, bringing the industry’s market capacity to 380 billion yuan, according to a recent survey by consulting firm JD Power.
The study found that because of the advantages and disadvantages of different online car-hailing platforms, users choose platforms based on specific demands, cost effectiveness being the most important.
While the market continues to mature and users’ desire for quality has gradually increased, they are also willing to pay more for better services, the survey found.
Users place a premium on providing customized services to different consumer groups in order to reduce costs and improve user satisfaction.
As an example, some users choose a particular car service to take their children to school or take their parents on a trip based on service quality rather than price.
“Car-hailing companies need to focus on quality as the top priority of its service,” said Pei Lin, director of digital customer experience practice at JD Power China. “Users pay attention to service details. Therefore, focusing on user experience and improving service quality will be a decisive force for firms to establish core competitive advantages.”
The survey indicates the top three issues online car-hailing users complain about are distance between driver and customer, slow order-taking process and unheeded requests.
The three types of car-hailing services are Internet platforms such as Didi and Dida; service platforms like Meituan and Autonavi; and automakers and car rental companies.
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