Comfort Delgro to test the ride-hailing market with private-hire cars

Singapore largest taxi-operator Comfort Delgro has announced that they will be running a trial of its new ride-hailing service with private-hire cars.

The trial will begin with 25 private-hire cars and will go live on Comfort’s booking system from February 4 2021. Riders will be able to choose between the taxi or private-hire option on the app. Private-hire cars on Comfort Delgro platform will only be allowed to take app booking and not street hail trips.

In-app cashless payments will be the only payment mode accepted during the trial.

During the trial period, the commission fee that Comfort Delgro will be taking from drivers will be lower than the current market rate. There was no mention if Comfort would charge the platform fee like Grab.

The trial will be expected to run for a month and if successful, it could see Comfort joining in the ride-hailing market that is dominated by Grab and Go-Jek.

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Ride-Hail Service Operator Licence

Comfort Delgro was awarded a ride-hail service operator licence in 2020, the same licence that Grab, Go-Jek and Tada had. It allowed Comfort Delgro to use its existing booking system for commuter bookings.

Comfort also has the Street-hail Service Operator Licence which is used for its 10,000 strong taxi fleet.

The Straits Times reported that demands for rides is hovering at only about 70 per cent of pre-pandemic levels. It has also forced taxi operator HDT Taxi to wind up their taxi operations in November 2020.

If the trial is successful, we might see Comfort giving Grab and Go-Jek a run for their money in the private-hire market.