Drivers Protest They are Paying for Pass-App Fare War

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Drivers Protest They are Paying for Pass-App Fare War

Post by CEOCambodiaNews »

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Cambodia breaking News (Phnom Penh): For a second day, a number of PassApp and Grab tuktuk drivers in Phnom Penh stopped work yesterday to protest against the reduction of fares from 1200 Riel/km to 1000 Riel/Km.

On July 3, at 10:10 am, all the drivers had a meeting to share a petition requesting that the campanies keep the same price arrangement. The deputy Governor of Khan Meanchey, Mr. Dy Roth Khemaron, went to talk to the drivers about their protest and he told them to send a letter to their company to explain their position and then to get back to work.

The drivers are protesting that the companies are exploiting the drivers, because there are now so many of them and competition is fierce. Some drivers say they are earning half as much as they used to, and this is not enough to feed their families and pay off the installments on their vehicles.

However, the Pass-App company says they must reduce fares to compete against the other companies. According to a Phnom Penh Public Work and Transport Department report, there are now 10,091 tuk-tuks and 14,338 auto rickshaws operating.
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Clutch Cargo
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by Clutch Cargo »

The drivers are protesting that the companies are exploiting the drivers, because there are now so many of them and competition is fierce. Some drivers say they are earning half as much as they used to, and this is not enough to feed their families and pay off the installments on their vehicles.

However, the Pass-App company says they must reduce fares to compete against the other companies. According to a Phnom Penh Public Work and Transport Department report, there are now 10,091 tuk-tuks and 14,338 auto rickshaws operating.
Let's not ask how tuk tuk drivers are going....
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by Bubble T »

Many Tuk tuk drivers make a disproportionately high wage compared to other unskilled workers here. They usually claim to be making $600+ per month which is more than many skilled office workers with degrees and relevant experience can make.
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by Clutch Cargo »

Bubble T wrote: Thu Jul 04, 2019 1:16 pm Many Tuk tuk drivers make a disproportionately high wage compared to other unskilled workers here. They usually claim to be making $600+ per month which is more than many skilled office workers with degrees and relevant experience can make.
Is that a stat before or after the Passapp/Grab invasion?
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by Bubble T »

clutchcargo wrote: Thu Jul 04, 2019 1:19 pm
Bubble T wrote: Thu Jul 04, 2019 1:16 pm Many Tuk tuk drivers make a disproportionately high wage compared to other unskilled workers here. They usually claim to be making $600+ per month which is more than many skilled office workers with degrees and relevant experience can make.
Is that a stat before or after the Passapp/Grab invasion?
After, though obviously it's anecdotal.

Edit: I just did the math and it would work out to around 70km-80km per day for them to make $600 per month before expenses (and not including tips), there's no fkn way they are doing that so I guess they are just exaggerating what they make.
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by timmydownawell »

Grab is squeezing prices with all their promo codes and PassApp is playing right into their hands.
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by rogerrabbit »

timmydownawell wrote: Thu Jul 04, 2019 3:38 pm Grab is squeezing prices with all their promo codes and PassApp is playing right into their hands.
Grab also reduced tuktuk prices by 15% just last month. And now PassApp wants to do the same. PassApp is stupid to go in price war with Grab. They will lose that. They should fight with their strengths. Grab has already been able to squeeze couple smaller local business out/tight.. Exnet being one of them. Exnet was the first ride hailing app in Cambodia, if I don't remember totally wrong.
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by fax »

rogerrabbit wrote: Thu Jul 04, 2019 4:40 pm Exnet being one of them. Exnet was the first ride hailing app in Cambodia, if I don't remember totally wrong.
Correct, but they were late to add the bajraj and PassApp totally nuked them on marketing to the point that taking a PassApp quickly became synonymous with riding an LPG style rickshaw.

They are two whitelabels of the same software package offering exactly the same look and functionality. Only price and strategy separated them in the beginning. https://onde.app/
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by CamExpat »

Its (not-so) good to see what drivers have to look forward to in other countries where ride-hailing firms are still competing to keep drivers..... many of them wouldn't drive if the companies (money-losing) incentive schemes didn't richly reward them.
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Re: Drivers Protest They are Paying for Pass-App Fare War

Post by rogerrabbit »

fax wrote: Thu Jul 04, 2019 4:45 pm
rogerrabbit wrote: Thu Jul 04, 2019 4:40 pm Exnet being one of them. Exnet was the first ride hailing app in Cambodia, if I don't remember totally wrong.
Correct, but they were late to add the bajraj and PassApp totally nuked them on marketing to the point that taking a PassApp quickly became synonymous with riding an LPG style rickshaw.

They are two whitelabels of the same software package offering exactly the same look and functionality. Only price and strategy separated them in the beginning. https://onde.app/
Yep, that is true.

And yeah, most local apps use the same software. Which I believe is huge disadvantage to them. To be honest I would have though by this time PassApp would have already brought their own app on the market.
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