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dantoddd

PickMe or Uber Rental

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I have some extra cash lying around was thinking of putting a couple of vehicles for taxi service. Are there any ppl who have done this or doing this? what are the prospects for a decent income?  

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you might need to install gps movement tracker to each vehicle. 

uber is free to register and pick me charges 24000LKR 

Better to go with commission based rental because if you pay a salary to driver they may not try to make more trips. WagonR or Alto would be ideal but Indian alto would be best in terms of repair and maintenance. 

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On 9/16/2018 at 12:58 PM, Nishan.dj said:

you might need to install gps movement tracker to each vehicle. 

uber is free to register and pick me charges 24000LKR 

Better to go with commission based rental because if you pay a salary to driver they may not try to make more trips. WagonR or Alto would be ideal but Indian alto would be best in terms of repair and maintenance. 

So you recommend the indian alto over Wagon R

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Just now, dantoddd said:

So you recommend the indian alto over Wagon R

In terms of maintenance and repair cost. Yes. 

Relatively better second hand market. 

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Hi guys,

I am looking to put 1 or 2 vehicles for Uber or PickMe taxi service. I went the Suzuki dealer and inquired about WagonR but they said an Alto would be a better option. I would like your opinion on how an alto would hold up under the following conditions, which pretty much simulate the usage my business model would require.

Monthly Usage: approximately 8200 KM (City use)

Usage Period: 42 months Approx (340,000 KM)

Service interval: monthly

All repairs and faults will be attended to immediately.

Let's also assume the drivers don't get involved in major accidents during this period. one can always hope :) 

Do you think a Maruti can weather that type of usage and still retain a resale value at approx 70% purchase price. Or should I hope to sell vehicle at 30 months at around 240,000 KM?

All advice would be much appreciated.

thanks in advance

 

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2 hours ago, dantoddd said:

Hi guys,

I am looking to put 1 or 2 vehicles for Uber or PickMe taxi service. I went the Suzuki dealer and inquired about WagonR but they said an Alto would be a better option. I would like your opinion on how an alto would hold up under the following conditions, which pretty much simulate the usage my business model would require.

Monthly Usage: approximately 8200 KM (City use)

Usage Period: 42 months Approx (340,000 KM)

Service interval: monthly

All repairs and faults will be attended to immediately.

Let's also assume the drivers don't get involved in major accidents during this period. one can always hope :) 

Do you think a Maruti can weather that type of usage and still retain a resale value at approx 70% purchase price. Or should I hope to sell vehicle at 30 months at around 240,000 KM?

All advice would be much appreciated.

thanks in advance

 

Dude, you are posting this on the WRONG FORUM!

I don't believe there are any Uber/PickMe taxi drivers here in AL. I don' t think AL has people who have owned and operated an Alto or a Wagon R for 300,000 km so any answer you get from here will be purely speculative. You can probably get the kind of reply you like to see (not necessarily the truth) from joining an FB group or the forum of inbred retards

The last question on yours should be posted in an astrology forum. Not an automotive forum.

 

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4 hours ago, dantoddd said:

Do you think a Maruti can weather that type of usage and still retain a resale value at approx 70% purchase price. Or should I hope to sell vehicle at 30 months at around 240,000 KM?

oookkaay.... it's like this... As crosswind said most of the folk here are probably not into the whole taxi thing so what we cna give you is based on observations, assumptions  and not necessarily experience.

You're buying a Maruti  which is a realtively cheap car and maintnenace on that is going to be rather cheap as well so effectively you really should earn from this. So don't really expect a huge re-sale. When doing your calculations  consider selling your car for 50% of purchase price and evaluate if that's still a viable business idea. 

See if your daughter's a prostitute you cant expect her to walk the streets and feed the family and get married to a nice gentleman . If she does indeed find a sucker that's a bonus. Same logic for your Maruti. 

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@dantoddd, please stop creating duplicate threads about this.

Threads merged. 

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If I may share my genuine experience with you guys. (This is my personal experiences and opinions and I may be wrong. Point out that straight away :) )

As I have a family commitment from next year onward to travel to Colombo early morning which I kind of hate driving in city traffic and have no cost effective vehicle specifically for that, I analyzed both WagonR and Alto (Indian).

Wagon R are not bad vehicles for city traffic but compared to Alto LXI it supposed to be higher in maintenance costs. (Too many electronics and hybrid and so and so) But Alto LXI is very basic unit and has lower maintenance and cheaper to maintain. (But again, Alto is Manual)Finally I bought an Alto from A*W and it costs 1 million lower than WagonR. My main concern was to travel in city traffic and even for that I employ a driver. 

Before going to pay someone straight away, I get registered with Uber (Because it's free) and worked 2 days to see how it goes. I noticed people use Uber are different segment than those who use PickMe. (Some says classy - not my idea though) This is because all the foreigners and those who travel overseas are already using Uber and they have their payment plans merged with the app too. But Uber takes 25% from each trip you make and they charge that amount from the credit hires you get. If you start about 5.30AM and works until 10-11PM, you might go for a daily income of Rs.7000-8000 if the day is good. Uber has more hires than PickeMe because it's relatively cheap for the customer. But for the driver, he gets only Rs.30 per 1km which is worse even tuk tuk charges Rs.40 per 1Km.

With 2 Days experience, I employed a driver and went to PickMe for registration because I wanted to earn at least for the amount that I pay for the car and for the drivers salary. (Not basically to operate on profit basis because I have a different agenda which I mentioned above) PickMe charges about Rs.24000 for registration and their daily commission is 10%. Other than this a daily fix pay of Rs.100 is also included. Now the driver is on PickMe and still he is under the period of studying. Once fueled, a little amount is saved but that would be enough to pay for the driver's salary. (Still few days in operation, so can't come to a conclusion. At least 2 months data is needed to make a conclusion)

I maintain the car at agents to avoid makabaases ( I believe A*W does a good job) and by the time I bought the car, I didn't think the resale value. There is a depreciation and by the time I sell it, I have to bare that. Also, with current SL Auto market conditions, you can't predict what will happen next. May be I have to give the car for nothing. May be I can sell it again in few years with a profit. Who knows? And I don't care as far as I get my works done. But I know, I can sell it more reasonable price than a WagonR. (You know the reason already I guess)

My very basic conclusion is, if you plan to hire the vehicle in taxi service, the vehicle you buy should be easily maintainable with minimum cost and should not have fancy electronics. (Security concern is different thing and if it is city driving, I think both of these cars have enough security already because having additional air bag won't help to avoid major crash). Hope this reply helps you.

 

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So here's a customer point of view (for the UBER vs. PickMe debate). I use both these services regularly.

  • The waiting time for UBER on average, is much higher compared to PickMe. UBER would frequently assign a driver who is already on a hire, so the customer has to wait till the passenger is dropped and the driver finds his way back. I have had waiting times longer than 30 mins even though UBER indicated that the driver will arrive in 10 mins. The funniest part about UBER is it expects you to get in to the taxi within five minutes of the driver's arrival, or the meter starts running.
  • With PickMe, I know the per km charge and the waiting charge. If I stop at a supermarket to pickup some supplies, the PickMe guy would just wait and I know exactly how much the meter has run. With UBER, the cost is displayed up front. UBER drivers get a bit agitated if you stop even for 5 mins to pickup something. Although they 'mention' the rates, you never know exactly how much you get charged if your trip contains stops.
  • Once an UBER driver got late to come and I had to pay a higher fare compared to what was displayed when I booked the cab.
  • PickMe is about 10-20% more expensive than UBER. The PickMe three-wheeler rate is closer to the UBERZip rate. 

So if I need to catch a cab quickly or need a reliable ride, I don't bother opening the UBER app. If I need a cheap ride and reliability is not a concern at that time, UBER is the choice. Having said that, in the past rides I have taken, probably 7 out 10 was on PickMe.

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29 minutes ago, Crosswind said:

 in the past rides I have taken, probably 7 out 10 was on PickMe.

You have a point here. For 2 days I drove for Uber, that was really an amazing experience to get to know the society we live in.

Some passengers do not set actual drop off location and ask the driver to drive more distance may be 2-4kms more. (In this case, passenger is charged more than expected). Sometimes, if a rider cancel a trip after booking, he gets charge a reasonable amount to be paid for the driver for the distance he drove to get the customer's location. (May be riders don't know that and the payment is charged from the next trip he made)

The problem with Uber is, they get 25% commission which is too high (For ZIP car gets Rs.30 per 1Km). So those who drive for Uber are either part time drivers or they do both PickMe and Uber. However these days there are many App based taxi service providers coming up which is good in terms of passenger's point of view but none of those are as good as PickMe or Uber.

Edited by Nishan.dj
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2 hours ago, Crosswind said:

So here's a customer point of view (for the UBER vs. PickMe debate). I use both these services regularly.

  • The waiting time for UBER on average, is much higher compared to PickMe. UBER would frequently assign a driver who is already on a hire, so the customer has to wait till the passenger is dropped and the driver finds his way back. I have had waiting times longer than 30 mins even though UBER indicated that the driver will arrive in 10 mins. The funniest part about UBER is it expects you to get in to the taxi within five minutes of the driver's arrival, or the meter starts running.
  • With PickMe, I know the per km charge and the waiting charge. If I stop at a supermarket to pickup some supplies, the PickMe guy would just wait and I know exactly how much the meter has run. With UBER, the cost is displayed up front. UBER drivers get a bit agitated if you stop even for 5 mins to pickup something. Although they 'mention' the rates, you never know exactly how much you get charged if your trip contains stops.
  • Once an UBER driver got late to come and I had to pay a higher fare compared to what was displayed when I booked the cab.
  • PickMe is about 10-20% more expensive than UBER. The PickMe three-wheeler rate is closer to the UBERZip rate. 

So if I need to catch a cab quickly or need a reliable ride, I don't bother opening the UBER app. If I need a cheap ride and reliability is not a concern at that time, UBER is the choice. Having said that, in the past rides I have taken, probably 7 out 10 was on PickMe.

Ever since I sold my car I've been using both services on a daily basis and my experience is quite different. Mind you I don't do any shopping on the way usually it's from and to work. 

I've found Uber to be more accurate with locations. 

Pick-me drivers on a whole seem to have the habit of asking 'Sir koheda inne' 'Sir koheda yanne? ane kotuwata nam yanna ba sir wena ekak danawada' etc. With Uber I have not experienced none of that.  

So far I've never had to pay a cent more than the upfront payment on Uber. 

Uber is cheaper. 

Once pick-me sent two cabs for the same ride that  my wife booked and one of the drivers ended up shouting at her and me calling up the driver having a go at him and complaining to pick-me. 

From an app perspective the pick-me app is horrible - it's laggy, get's the location wrong and sometimes becomes unresponsive - the Uber app provides a much fluid experience and has a more intuitive UI. I simply hate the pick me app.

If i want to get from A-B without any stops and I want the cab to arrive pronto to the correct location without the guy asking me to cancel the ride and asking me 100 questions I go for Uber. 

If i want to drop friends off, collect something and if the ride is generally complicated I go for Pickme. 

In my case 90% Uber 10% pickme due to my convenience even though I feel bad for Uber Drivers since they get paid dirt-cheap

 

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2 hours ago, matroska said:

 

From an app perspective the pick-me app is horrible - it's laggy, get's the location wrong and sometimes becomes unresponsive - the Uber app provides a much fluid experience and has a more intuitive UI. I simply hate the pick me app.

 

 

Wow.. I had the exact opposite experience when it comes to locations. In fact, I found the PickMe app to be more accurate with the location compared to Uber! Now I wonder it has anything to do with the phone. I am on Android 8.

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30 minutes ago, Crosswind said:

Wow.. I had the exact opposite experience when it comes to locations. In fact, I found the PickMe app to be more accurate with the location compared to Uber! Now I wonder it has anything to do with the phone. I am on Android 8.

😁 Beats me since I'm on Android 8 too on a Nokia...maybe the location itself is the factor. Maybe Uber uses network info and Pickme uses just the GPS signal or vice versa. This evening i tried pickme just for the kick of it... As usual came the call 'sir mata othanata ena hati poddak kiyanna'. When I'm at home ive noticed both are quite accurate. And as you said pickme is 10% expensive than uber which at times quotes lower than tuk tuk prices.

On a related note there are dozens of these taxi apps now but there are very few vehicles for them unfortunately

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21 hours ago, Nishan.dj said:

If I may share my genuine experience with you guys. (This is my personal experiences and opinions and I may be wrong. Point out that straight away :) )

As I have a family commitment from next year onward to travel to Colombo early morning which I kind of hate driving in city traffic and have no cost effective vehicle specifically for that, I analyzed both WagonR and Alto (Indian).

Wagon R are not bad vehicles for city traffic but compared to Alto LXI it supposed to be higher in maintenance costs. (Too many electronics and hybrid and so and so) But Alto LXI is very basic unit and has lower maintenance and cheaper to maintain. (But again, Alto is Manual)Finally I bought an Alto from A*W and it costs 1 million lower than WagonR. My main concern was to travel in city traffic and even for that I employ a driver. 

Before going to pay someone straight away, I get registered with Uber (Because it's free) and worked 2 days to see how it goes. I noticed people use Uber are different segment than those who use PickMe. (Some says classy - not my idea though) This is because all the foreigners and those who travel overseas are already using Uber and they have their payment plans merged with the app too. But Uber takes 25% from each trip you make and they charge that amount from the credit hires you get. If you start about 5.30AM and works until 10-11PM, you might go for a daily income of Rs.7000-8000 if the day is good. Uber has more hires than PickeMe because it's relatively cheap for the customer. But for the driver, he gets only Rs.30 per 1km which is worse even tuk tuk charges Rs.40 per 1Km.

With 2 Days experience, I employed a driver and went to PickMe for registration because I wanted to earn at least for the amount that I pay for the car and for the drivers salary. (Not basically to operate on profit basis because I have a different agenda which I mentioned above) PickMe charges about Rs.24000 for registration and their daily commission is 10%. Other than this a daily fix pay of Rs.100 is also included. Now the driver is on PickMe and still he is under the period of studying. Once fueled, a little amount is saved but that would be enough to pay for the driver's salary. (Still few days in operation, so can't come to a conclusion. At least 2 months data is needed to make a conclusion)

I maintain the car at agents to avoid makabaases ( I believe A*W does a good job) and by the time I bought the car, I didn't think the resale value. There is a depreciation and by the time I sell it, I have to bare that. Also, with current SL Auto market conditions, you can't predict what will happen next. May be I have to give the car for nothing. May be I can sell it again in few years with a profit. Who knows? And I don't care as far as I get my works done. But I know, I can sell it more reasonable price than a WagonR. (You know the reason already I guess)

My very basic conclusion is, if you plan to hire the vehicle in taxi service, the vehicle you buy should be easily maintainable with minimum cost and should not have fancy electronics. (Security concern is different thing and if it is city driving, I think both of these cars have enough security already because having additional air bag won't help to avoid major crash). Hope this reply helps you.

 

thanks a lot that was very informative. where was your car operating? was it running in the city?

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1 hour ago, dantoddd said:

thanks a lot that was very informative. where was your car operating? was it running in the city?

Yes. Everyday it starts from Piliyandala and runs around Colombo. The driver employed is very keen to understand the Apps (He said he hasn't used a single app before. That lead me to send him to PickMe as they provide driver training too).

Still his learning curve is progressing and it's not that much profitable to run a car for a taxi with a driver. But I can't say it directly because I lack at least 2 months data to analyze.

I noticed, during the morning, evening and night are the times it has more hires. During lunch time, the car is idle. So if you are around piliyandala and need a taxi, do let me know. (LOL)

I got to know that, PickMe register avarage 60 vehicles a day (All types) and 16000 active drivers are in operation. So you can imagine the possibility to get a hire during the day. 

However, driver has a major role to play here. He needs to understand the app first and then to see the busy areas and also he must concern the best driving practices to optimize fuel consumption. For past 4 days, The total milage per day to hiring milage ration is around 50%. (Which means if he runs 100Kms he gets 50kms as hiring.) Sometimes, during traffic, it takes too much time to reach to the passenger to pick up. 

Finally, when you get the loss, it's not entirely the driver's fault. You have to train him and provide him necessary equipments to learn and grow. (I hope younger drivers are better in this case.)

These are the some facts I mentioned you to go for a vehicle that is cheap to buy and cheap to maintain. WagonR is good as long as it doesn't give problems. But once it does, the expenses are higher. Yesterday I called A*W to ask for another car to buy (Imagination :) ) and an area manager told me that they have stopped importing Alto car due to the price increased and last 60 cars in at the showroom and after that, no Altos.

If you currently own a kei car, try Uber yourself and see. Go for 2-3 days full time and learn it. That will tell you how you do it.

Look at some graphs below.

image.png.0190379a6a6760bbe4e1a848c214c78c.png

image.png.4b4b2b85d04f6fab94a79cbe0c372d52.png

Hope you get more idea about this. The only pleasure I have if I continue this way is if it does not improve is that,

1. I have created one job for a person and I feed 1 family. 

2. The driver is helpful for the personal commitment that I will have from next year onward to come to Colombo every day in the morning.

If I continue to loss, I will have to make a decision of course but I take these two facts into consideration. In your case, it's different. 

Hope this reply helps you and not bothering others to read a story. :) 

Edited by Nishan.dj
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28 minutes ago, Nishan.dj said:

Yes. Everyday it starts from Piliyandala and runs around Colombo. The driver employed is very keen to understand the Apps (He said he hasn't used a single app before. That lead me to send him to PickMe as they provide driver training too).

Still his learning curve is progressing and it's not that much profitable to run a car for a taxi with a driver. But I can't say it directly because I lack at least 2 months data to analyze.

I noticed, during the morning, evening and night are the times it has more hires. During lunch time, the car is idle. So if you are around piliyandala and need a taxi, do let me know. (LOL)

I got to know that, PickMe register avarage 60 vehicles a day (All types) and 16000 active drivers are in operation. So you can imagine the possibility to get a hire during the day. 

However, driver has a major role to play here. He needs to understand the app first and then to see the busy areas and also he must concern the best driving practices to optimize fuel consumption. For past 4 days, The total milage per day to hiring milage ration is around 50%. (Which means if he runs 100Kms he gets 50kms as hiring.) Sometimes, during traffic, it takes too much time to reach to the passenger to pick up. 

Finally, when you get the loss, it's not entirely the driver's fault. You have to train him and provide him necessary equipments to learn and grow. (I hope younger drivers are better in this case.)

These are the some facts I mentioned you to go for a vehicle that is cheap to buy and cheap to maintain. WagonR is good as long as it doesn't give problems. But once it does, the expenses are higher. Yesterday I called A*W to ask for another car to buy (Imagination :) ) and an area manager told me that they have stopped importing Alto car due to the price increased and last 60 cars in at the showroom and after that, no Altos.

If you currently own a kei car, try Uber yourself and see. Go for 2-3 days full time and learn it. That will tell you how you do it.

Look at some graphs below.

image.png.0190379a6a6760bbe4e1a848c214c78c.png

image.png.4b4b2b85d04f6fab94a79cbe0c372d52.png

Hope you get more idea about this. The only pleasure I have if I continue this way is if it does not improve is that,

1. I have created one job for a person and I feed 1 family. 

2. The driver is helpful for the personal commitment that I will have from next year onward to come to Colombo every day in the morning.

If I continue to loss, I will have to make a decision of course but I take these two facts into consideration. In your case, it's different. 

Hope this reply helps you and not bothering others to read a story. :) 

man this is brilliant. thank you so much. i didn't know that the milage ratio is so low. need to reassess a few things now.

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4 minutes ago, tilvin said:

Will they take 2002 or 2003 registered?...😃

Depends on the category I think. AFAIK, should not be older than 5 years and should have a hiring insurance coverage.

Edited by Nishan.dj

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9 minutes ago, Nishan.dj said:

Depends on the category I think.

Are you sure? If the car is manufactured around 2000 - 2001 and registered around 2002 - 2003 will they take? I have 2 Pug 206 which are mostly idle. Can I put them?....😃

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3 minutes ago, tilvin said:

Are you sure? If the car is manufactured around 2000 - 2001 and registered around 2002 - 2003 will they take? I have 2 Pug 206 which are mostly idle. Can I put them?....😃

Talk to them. You can get details. The operator is very helpful. :D 

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4 minutes ago, Nishan.dj said:

Talk to them. You can get details. The operator is very helpful. :D 

Thanks bro. PM me the number....😃

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