Ride-hailing company inDrive has been granted a licence to operate in Abuja, Nigeria’s capital city. According to Timothy Oladimeji, a senior business representative for inDrive Nigeria. This comes after the Federal Capital Territory Administration said three months ago that inDrive was operating illegally.
“We look forward to serving the people of Abuja and building strong partnerships within the local community,” Oladimeji said.
inDrive started offering rides in Abuja in March 2023 and quickly became popular, with users averaging 212 rides each in the first few months.
But what truly sets inDrive apart, especially for drivers, is its unique bidding system. “I used to drive for other apps, but inDrive’s ability to negotiate fares directly with passengers makes it much more appealing,” shared Amos Dung*, an Abuja-based inDrive driver, in a recent interview. “With rising fuel costs, negotiating offline on other platforms is a constant battle, but inDrive eliminates that stress.”
Recently, Bolt introduced a similar customer-driver negotiation model, suggesting a potential shift in the Nigerian ride-hailing market.
Beyond the bidding system, drivers like Dung appreciate inDrive’s competitive commission rates. While some competitors charge drivers up to 25%, inDrive keeps its fees low at just 10%, making it a more attractive option for those behind the wheel.
However, some challenges remain. One inDrive driver in Abuja who spoke to Bendada.com acknowledged the need for increased marketing efforts. “The app doesn’t have as many users as established players like Bolt and Uber,” he said. “While drivers know the benefits, attracting more riders is important.”
About inDrive
Previously known as inDriver, is an international ride-hailing service with more than 200 million downloads operating in more that 700 cities in over 45 countries.
Headquartered in Mountain View, California, it is the second largest ridesharing and taxi app worldwide by downloads. The company was officially launched in 2013.
It is one of the fastest growing international passenger transport services operating on the peer-to-peer pricing model. In the inDrive app, all conditions of the trip are determined as a result of an agreement between passengers and drivers.
They work both in small towns with a population of 10 thousand inhabitants, often with weak internet and without maps of the settlement, and in the largest cities with the highest level of competition.
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According to OZY, the fees that inDrive takes from drivers’ receipts average 5–8% of the fare, which is significantly less than other major ride-hailing services. inDrive takes 10% or less of the fare in commission, which is significantly less than other major ride-hailing services.
Passengers make all payments for rides directly to drivers in cash or non-cash settlements.
History
Founded in 2012 by Arsen Tomsky in Yakutsk, one of the coldest cities in the world. The service originated when a group of local students established a collective group of “independent drivers” (i.e. inDrivers) on social media in response to a sharp increase in taxi prices when outside temperatures dropped precipitously.
Members of the group shared where they wanted to go and the prices they were willing to pay, allowing drivers to in turn contact these customers and negotiate prices. One year later, the group moved to the Sinet Company which created a peer-to-peer transportation-based system based on this concept. In 2013, inDrive was officially launched.
Frequently Asked Questions
Is inDrive available in Nigeria?
Yes, they available in Nigeria.
How does inDrive earn?
inDrive takes 10% or less of the fare in commission, which is significantly less than other major ride-hailing services. Passengers make all payments for rides directly to drivers in cash or non-cash settlements. The inDrive mobile app is available on Android and iOS.
What cities are in inDrive in Nigeria?
They operate in Port Harcourt, Abuja, Kano, Kaduna, Benin City, Nnewi, Aba, Onitsha, Jos, Enugu, Warri, Abeokuta, Akure, Owerri, Calabar, Ado Ekiti, and Uyo.
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When did inDrive start in Nigeria?
In 2018, their expansion continued, spanning 14 countries and culminating in their arrival in Nigeria in April 2019. Lagos became one of their homes, followed by other cities like Abuja, Ibadan, PortHarcourt, Benin, Jos, Owerri, and Enugu.
