Waenyod Wongtrangan, Bangkok general manager of Uber Technologies, said costs related to traffic congestion in the capital amounted to 2 per cent of gross domestic product. She said that if traffic could be reduced by 10 per cent in the city, it would cut such costs by 30 per cent, or about US$2 billion (Bt65 billion) a year.
She said her company’s UberPool system could help. UberPool is a carpool concept using Uber’s technologies. It allows people heading for the same destination along a similar route to share a ride and split the cost.
In Thailand, the company offers Uber Black, a limousine service, and Uber X, a more affordable service, for both individual and corporate users. Uber drivers share 80 per cent of their revenue with the firm.
Uber Black’s fares start at Bt50 and rise by Bt2.50 per minute of travel and Bt14 per kilometre, while Uber X charges Bt25 plus Bt1 per minute and Bt4.50 per kilometre.
“The advantage for drivers is extra revenue, while for riders it is the ability to get a vehicle within five minutes wherever they are. We utilise technologies to help our partners [drivers] get on the road during rush hours without driving an empty vehicle. As we know where Uber’s potential riders are, we suggest that our partners be there,” Waenyod said. The firm also has Uber for Business, whereby companies can allow their employees to use either Uber Black or Uber X under a corporate contract. Several hundred companies have signed on to this service.
“We continue to expand our service here in Thailand since we have received good feedback from Thais, both drivers and riders. Currently, we have several thousand partners [drivers].
“First launched in Thailand last year, Uber has had more than 1.5 million trip requests. This year we will go into other cities in Thailand,” she said.
The company promises that customers can get a ride within five minutes via the Uber app.
“We are now talking to the authorities to clarify that we are not a commercial service but operate under the concept of carpooling that coincides with the aim of helping reduce traffic congestion in Bangkok,” Waenyod said.
Chan Park, general manager for Southeast Asia at Uber Technologies, said the company now was operating in seven countries in this region. Its business in Thailand is the fast-growing country in Southeast Asia.
The company says its drivers can earn an average of Bt40,000 per month on the basis of 10 trips per day, six days a week.
Of the 1.5 million trips it has supplied so far in Thailand, around 80 per cent were by local residents, and the rest tourists.
The three areas of highest demand for Uber’s service are Ratchaprasong, Sathorn and Sukhumvit.