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March 4, 2014

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Kuaidi cuts passenger incentives to 10 yuan

KUAIDI Taxi today lowered its incentive payment to taxi passengers to 10 yuan (US$1.63) from 13 yuan.

People can claim the subsidy for each of the first two rides they make each day as long as the fare is settled via Alipay, the company said yesterday.

The payment structure for taxi drivers remains unchanged at 10 yuan for each of their first 10 fares, it said.

For people who don’t use Kuaidi to make a booking, but settle fares through Alipay by scanning the driver’s QR code, the subsidy policy is also 10 yuan for the first two fares. Drivers in such cases receive 5 yuan for each of their first 10 fares.

Kuaidi said the decision to adjust its incentives was made out of socially responsibility and that it had “put competition aside temporarily.”

Backed by China’s largest e-commerce company Alibaba, Kuaidi Taxi has since last year been locked in a fierce battle for market share with Tencent-backed Didi Taxi. Kuaidi earlier said it will always “give 1 yuan more” than its opponents. Didi currently pays a minimum incentive of 12 yuan.

Meanwhile, the owners of Kuaidi Taxi said from tomorrow it will arrange for five taxis in Beijing to provide a free transport for people aged over 50. The scheme will later be rolled out to other cities.


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