I tried Ola ebike service for commuting a short distance ~ 5km. The experience was good and the fare was also cheap(50 Rs.). I spoke to the driver about earnings and whether he has to give EMI for the OE bike. Then he showed me the below table - how his earnings are calculated.
I got shocked at seeing the high earnings amount - upto 4.5K daily which amounts to 1.35 lac monthly! He told me that Ola ebike is for short distances only - Upto 7-8 kms. And he is able to get average 3-4 rides in 1 hour, and he also doesn't have to pay for the vehicle rent. The Charging is also free at Ola Chargers.
I couldn't help but wonder how can Ola sustain with this much spending. If they're giving upto 1lac to every driver and charging the user very less, that's a lot of cash burn.
Very interesting The very cool thing is, in the US gig work is typically part time. You can easily ride an uber for a few hours a day to make extra bucks.
These companies are creating incentive structures to ensure people work at least 10 hours a day with them.
Yeah I asked this to dunzo ex head of product once during an interview, why incentivise long working hours when you have so many ppl in this country, most of whom are jobless, and can work 3-4 hours instead of 10-12 hours of excruciating shifts. He had no answer.
But the reality is it's all about exploitation. You would not attract anyone working 2-3 hours who will just earn 100-200 in that duration. Not are the customers are willing to pay a premium.
So exploit these drivers and keep their incentives in a way that they work 10-12 hours, earn a respecting daily wage(600-700).
With this incentive structure it's not gig work and i seriously hope govt regulaize this and provide basic benefits like paid time off, some insurance to these workers who are literally working for these gig companies.
@Fixing Very interesting share. Didn't think they would not have a good reasoning behind this. Just pure "we can do it so let's do it"
Two Things
I know that this is to boost adoption, but still isn't giving 1lac monthly to bike drivers insane.
In the case that Ola ebike does get popular for short commute distances. I'm not sure if people would want to buy Ola Electric scooter for themselves, as it's no longer as aspirational if it's quite common for Bike taxi.
My views too
Lol people don't buy scooters because it's aspirational. They buy because it's cheap, convienient commute. Only car purchase or high end sports bike is aspirational purchase in India
It all starts like this and reaches a stage where the drivers will not be able.to get decent earnings after a while.
10 years back, ola, Uber earnings used to be like this and people used to compare software job salaries with their earnings
34 trips a day seems like a lot - with a 5km trip in blr there’s no way he can do 4 of those in an hour. They probably know it too hence the very steep tail - 1000rs extra to go from 28-30 trips to 31-33 and another 1000 more for 34+. 15 hour work day easy to have to reach those numbers
That’s how you get the flywheel to spin 😅, more peeps taking Ola e-Bike = more people eventually buying an e-Bike. This will help Ola sell the current scooters and the upcoming premium scooters 🙂. #win-win
I travel regularly, and today prices are 20 rupees higher for 8 kms on all the apps: Uber, Ola, Namma Yatri, and Rapido.
Soneone explain rationale here !
" but ola has innovation" , " kya matlab founder ke IIT se hone se valuation multiple jayada nhi hona chahiye" , " ol...
https://twitter.com/bhash/status/1684955165865213952?t=njFwNN-WfHqYdF-eTfxVcg&s=19
What he is not telling that, at the end of 5-7 years of usage you will need to replace your whole battery which will cost 60% of the scooter value.
