Do you think that Uber has only cars? If so, you are wrong! Uber Bus is thriving in Africa.
What do you think when you hear the name UBER. I know - cars, taxis. Of course - this is exactly how the business model which company implemented in developed countries.
But, they have a different strategy for emerging and frontier markets. It makes sense in such crowded cities like Lagos, Nigeria.
Lets came back to the beginning though.
Uber Bus, first launched in Cairo, Egypt, is set for a pan-African expansion this year, starting with Lagos, Nigeria in a move expected to revolutionise Africa’s transport sector and bring competition to the private sector players.
The service will also be Uber consolidation move as well as a deliberate attempt at bolstering its revenues amidst investor angst. Uber Bus is a direct competition to Careem Bus, which is MENA’s Uber subsidiary and former competitor. In Lagos, UberBus will take on SWVL which is eyeing the market, Gona, Opay’s OBus among others. Max and Gokada, two indigenous transport mobility firms will also be part of the competition as well as Little and Bolt.
Both Uber and Bolt have indicated plans to launch their bus hailing services in Kenya, Uganda and Tanazania sometime next year.
Uber’s general manager for sub-Saharan Africa Alon Lits said,
“I think the bus will prove to be a game-changer for Lagos and is obviously very much needed. It is a longer-term engagement but it is something we are willing to do and I think grateful for the willingness on the other side.”
In Lagos, Uber is expected to partner with Lagos Bus Services, a Lagos state government company launched earlier this year by President Muhammad Buhari under the Lagos Bus Reform Project (LBRP).