Uber Nigeria has announced an increase in fares between June 3rd and June 6th to assist drivers grappling with the challenges posed by inflation and the recent fuel price hike.
The decision reflects the company’s commitment to providing better earning opportunities for drivers while maintaining an affordable service for riders.
The Country Manager for Uber in Nigeria, Tope Akinwumi, emphasized the company’s dedication to supporting its driver community. He stated, “Drivers are at the heart of everything we do, and we continue to work on initiatives and engage with drivers to help make Uber the app of choice for drivers while maintaining an affordable service for riders.
“Following an in-depth review of the current fuel subsidy removal, Uber updated fares on the 3rd and 9th June on the app to reflect existing economic conditions.
“We believe these changes have helped better support drivers in increasing their earning opportunities. Furthermore, we lowered the service fee in February 2022 from 25% to 20% to help enable better-earning opportunities for drivers.
“We want the best for drivers who operate on the Uber platform and frequently engage with them directly through roundtables, surveys, phone, and in-app channels to better understand and receive feedback on the realities they face in their businesses.”
Uber acknowledged the local dynamics at play and remains vigilant in monitoring what changes can be implemented and when.
The company is committed to maintaining its service fee, which ensures the smooth operation of the Uber App and facilitates continuous investments in technology to meet the needs of both riders and drivers.
Despite the fare increase, Uber affirmed that drivers on its platform continue to earn more compared to other ride-hailing platforms in Nigeria.
This commitment to driver welfare has positioned Uber as one of the leading ride-hailing platforms in the country, offering services such as UberX, Uber Comfort, Uber Greenlight Hubs, and Uber Cash.
The recent fare increase by Uber comes as a response to the macroeconomic reality in Nigeria.
The spike in fuel prices and a staggering inflation rate of 22.41% have necessitated adjustments to help drivers cope with the rising costs of operating their vehicles.
