“Uber vs Grab – Which platform is better to drive for” This is a million dollar question that every new driver ask when they want to start driving.
Fare between the 2 Car sharing Mobile apps
|Per KM Rate||$0.45||$0.50|
|Per Min Rate||$0.20||$0.16|
Things changed in September 2016 when in a move to rival Grabcar in Singapore, Uber launched a fixed price model. Grab, in return, made a move to win back some lost customers by reducing their fares by 15%.
Both Uber and Grabcar have their own algorithms to increase prices during periods of high rider demands . When riders’ demand exceeds the number of available drivers on the road, surge pricing kicks in to encourage more drivers to get on the road. Fare can be increased by multiple times during periods of high demand.
How much can you earn based on the same distance and duration of trip for both UberX and GrabCar Economy?
Pickup – Jurong Point
Dropoff – Ion Orchard
Distance – 23km
|Per KM Rate||23km X $0.45= $10.35||23km X $0.50= $11.50|
|Per Min Rate||25min X $0.20= $5||25min X $0.16 = $4|
|Gross fare||$3+$10.35+$5.00= $18.35||$2.50+$11.50+$4= $18|
|Nett fare||$18.35- 20%= $14.68||$18-20%= $14.40|
Based on the calculations, both fares and earnings are similar between UberX and Grabcar Economy under the same demand conditions.
Incentives and criteria
|Driver Cancellation Rate||N/A||Below 10%|
|Location Applicable||All Areas||All except CBD during Weekday morning peak|
Passenger rating is a 2 way street on Uber. Both passenger and rider are entitled to rate each other on the whole journey experience. Drivers who are consistently rated poorly may be removed from the Uber system. Riders who are poorly rated by drivers may also face difficulty in getting trips as drivers may choose not to accept a lowly rated rider.
On the other hand, Grab only allows passengers to rate the drivers.
There is a downside to the Uber system. Drivers are unable to view the destination before accepting a job. It makes it hard for drivers to plan their route and may affect their incentives target. However, the Uber system does allow for driver to set their destination twice a day. Drivers key in their destination and trips that are along the route are paired with the drivers. Each driver is entitled to use it twice a day.
Grab displays the destination of the passenger and the fare. With these information available to drivers, there can be better planning to achieve the necessary fare and trip requirement for incentives.
UberPool vs GrabShare
UberPool is a low-price ride option that allows drivers to pick-up multiple riders who are travelling in a similar direction. During peak hour incentive periods, UberPool can help the driver hit his trip requirements faster as the driver can pick up multiple rider headed towards the same direction. Each different rider request account for a separate trip count. Uber takes a commission of 10% for any unmatched UberPool trip and 30% for any matched UberPool trip.
GrabShare is Grab’s answer to UberPool. It is generally similar ride option that allows drivers to pick-up multiple riders headed towards the same direction
If you are keen to start driving read more about the driver program for Uber/ Grab and contact us for assistance sign up