This archive report was first published on 30 July 2019.
July 30, 2019, marked a significant milestone in the Kenyan taxi industry with the entry of taxi hailing apps, particularly Uber and Bolt. The introduction of these apps has been a double-edged sword, with some hailing it as a disruptor and others viewing it as a poisoned chalice.
According to Business Today, the apps have digitized the taxi business, taking away control from traditional taxi drivers and introducing a middle-man to run point. This has resulted in hundreds of taxi drivers remaining jobless to date, with the Taxi Drivers Association struggling to cope with the loss of profits.
Local taxi drivers have faced numerous challenges since the introduction of the apps, including losing customers and seeing their traditional business lose its investment appeal. The market has evolved significantly, with city residents now able to hail taxis with the click of a button using their smartphones.
The biggest draw for customers has been the pricing formula, which has made it easier for them to leave their cars behind and opt for a relatively cheaper taxi ride. Kenyans have also transitioned seamlessly to the western way of life, with many embracing the convenience of taxi hailing apps.
However, protests from local taxi drivers have not helped the situation, with many finding it harder to conduct business and compete with the online taxis, which boast more numbers and are more trusted.
Some taxi drivers have spoken out about the impact of the apps on their livelihoods, with one driver stating, 'Uber was the final nail in our coffin. Back then, my phone was a busy gadget. I had a flurry of clients who no longer bother to call since they have jumped ship to the taxi hailing frenzy.'
Others have had to quit being taxi drivers altogether and start from scratch, with one driver saying, 'I’ve had to quit being a taxi driver altogether and start from scratch. Initially, I thought it was going to be my big break but one I realised that was not going to be the case, I bolted out and started something else.'
