India’s ride-sharing startup Jugnoo has announced the launch of its reverse-bidding system for drivers in Singapore.
With this, freelance drivers with commercial driving licence will be able to bid for commuter requests. This is the opposite of how Grab and Uber work. One can enroll on Jugnoo driver app and give the bids for customer trips. The first round of bid will produce a range of competing price bids, depending on driver availability. Commuter is free to pick the lowest price bid and take the ride.
In simple terms, when a customer make a ride request, drivers in the vicinity can bid for whatever fare they like. Drivers who are bidding later can only bid lower than the last lowest bid.
The app will be available in the city-state from May 1.
According to the company, this will give riders and private-hire drivers a total control over how much their rides cost, and will also bring transparency.
For the first six months, the system will be free. After this, the company will operate on a commission-based revenue model by charging a 10 per cent commission on the ticket size from the drivers and a convenience charge from its customers.
Commenting on the launch, Samar Singla CEO and Founder of Jugnoo, said: “We saw a vacuum and analysed the issues currently being faced in the ride-hailing market of Singapore and many other places across the world. With the launch of reverse bidding model in Singapore, we aim to optimally leverage the already available large pool of taxi owners. Our expansion in the Singapore ride hailing market will scale up the growth of many stakeholders.”
Launched in November 2014, Jugnoo is one of the leading auto-rickshaw aggregators in India. Headquartered in Chandigarh, the company is currently rendering its services in more than 34 cities of India and claims to be clocking 50,000 daily transactions. It has over 15,000 autos empanelled under the brand at present.
Apart from its core business of auto-rickshaw aggregation, the company has a diverse portfolio of offerings including rides, deliveries and B2B SaaS products and services.