A ride-hailing service located in Estonia began operations last week in Paris, tackling Uber, the market leader, armed with bigger margins for drivers, support from China’s Didi, and a CEO who is just 23.
Taxify, the service, already has 3 Million users in 19 nations. “Paris is mainly ruled by 1 company of the U.S.,” CEO Markus Villig claimed to the media in an interview. “We want to show that European firms can also make an entry and achieve a noteworthy market share and show some rivalry,” claimed Villig who established Taxify when he was just a student and 19.
Villig claimed that Taxify had been able to capture 20% to 30% of market share within the 1st year of processes in most of the nations and the company hopes that it can have something analogous in France too. “I am proud to claim that we are the largest ride sharing marketplace in Europe now, after Uber, and the largest European platform one actually located in Europe,” he further added while speaking to the media.
Similar to Uber, Taxify works through a smartphone app, permitting consumers to book rides and pay for them without utilizing cash. But the firm claims that it will take just 15% commission from drivers, less as compared to 25% of Uber, and will cost the rides 10% below the U.S. major. And dissimilar to Uber, which faced a loss of $2.8 Billion in 2016 on revenue of $6.5 Billion, Taxify is money-making, its chief claimed to the reporters at an event.
It also takes pleasure of the support of Didi Chuxing, the Chinese major ride-sharing company, which took over Uber China last year, driving its US contestant out of the country. In August, Didi claimed that it had made an entry into a tactical joint venture with Taxify, without giving out any information. But as per Villig, the Chinese major, which has 400 Million consumers, took a share of only below 20% in his firm at the time of the summer.
In a nutshell, Uber will soon be able to see a competitor of his level.