Connect with us

Logistics

Uber: Four Years of Changing Perspectives, Driving Economic Transformation in Africa

Published

on

Alon Lits, general manager for Uber Sub Saharan Africa

By Alon Lits

 

When Uber was first established in 2009 its mission was to help people everywhere get a ride, safely, quickly and at the push of a button.

 

Eight years later, that mission remains the same and Uber’s innovative, technology-driven business model is still fundamentally changing the way people think about meeting their transport needs.

For the past four years, Uber has been delivering this same level of transformation across sub-Saharan Africa (SSA) and with more than 1.8 million active riders using the app, Uber certainly has reason to celebrate its fourth anniversary on the continent this September.

 

And it’s not just Uber that has benefited from the stellar uptake of its convenient offering in Africa.

The SSA countries in which Uber now has a presence, and the citizens of those countries, are also reaping significant socio-economic rewards thanks to the transformation that the Uber approach has helped to drive.

At an economic level, these benefits take many forms. In many cities, the reliability, immediacy, and convenience that Uber offers to city residents and visitors is having the positive impact of helping to reduce congestion.

 

In most urban parts of sub-Saharan Africa, single occupant vehicles remain the biggest contributors to gridlock. But increasing numbers of city residents are recognising that Uber offers a cost effective way of sharing their daily commute with others, thereby reducing the total number of vehicles on the roads, while at the same time cutting down on the costly wear and tear that regular stop-start driving causes.

 

Repeat Uber usage in South Africa is a prime example of these shifting private transport perceptions. This month, almost 25 000 riders each used Uber more than 10 times a week, which points to the increasing adoption of this tech-driven solution, not just as a leisure transport option, but also for work and business purposes. This demonstrates that Uber is a true alternative to private car ownership.

 

Another significant benefit that Uber is delivering in sub-Saharan Africa is enabling and empowering economic opportunities and offering more choice. The steadily growing number of Uber driver-partners in countries across the region is testament to the appeal of the Uber business model.

 

That’s because it creates real opportunities for local entrepreneurs to create and enjoy the flexibility and enhanced earnings potential – for themselves and, ultimately, for individuals that many of them bring into their thriving and growing transport businesses.

 

And growing demand for trips across the sub-Saharan Africa region leads to a steadily growing need for drivers.

Currently more than 29 000 such driver-partners are taking advantage of the earnings generating opportunities delivered by the Uber app. Importantly, the Uber model allows these individuals to be as flexible as they need to be, which means that they are able to earn what they want, when they want to, either as a full-time entrepreneurs or to supplement other sources of income.

Uber investigates partnerships with businesses that bring benefits to drivers, such as the multiple vehicle financing programmes that have been made available to drivers across South Africa, Kenya and Nigeria, that reduce barriers to credit and capital.

 

The first partnership of this kind was implemented in South Africa with WesBank, offering existing drivers access to vehicles at preferential rates, with a view to establishing their own passenger transport business.

 

This unique model is based on driver ratings and earning potential, as opposed to the norm of credit checks. The model was successfully expanded across sub-Saharan Africa and is being tested in markets across EMEA.

Uber also invests heavily into supporting its driver-partners in their businesses through ongoing technological innovation as well as physical presences in the form of support hubs.

 

Apart from the existing Greenlight Hubs across SSA, five more of these state-of-the-art Greenlight Hubs were opened in Dar Es Salaam, Nairobi, Kampala, Kumasi and Lagos this year and, in addition to offering driver-partners technical and app support, they also offer information sessions and tailored workshops to driver-partners, focusing on training and skills development.

In a region of high unemployment and stagnating economic prospects, Uber’s business partnership approach provides an accessible means for entrepreneurs to not only supplement their own income, but also to become small business owners, thereby helping to improve the lives and futures of individuals, families and communities.

 

Importantly, Uber’s approach to shifting perspectives of how people in sub-Saharan Africa move around their cities is one of partnership with all stakeholders. Uber strives at all times to collaborate closely with local regulators to understand the challenges they are grappling with in their cities and then help them to develop workable and accessible solutions that benefit people and economies. It’s with this in mind that Uber has just launched Uber Movement in Johannesburg, a new website to help urban planners, city leaders, third parties and the public better understand the transportation needs of their cities.

 

This partnership approach has always been at the heart of the business because our global experience has shown us that multi-modal transport powered by technology is the best way to promote entrepreneurship, relieve pressure on infrastructure, and deliver safe and efficient transport that helps people connect with work, business and leisure opportunities.

Continue Reading
Advertisement
Comments

Logistics

Arik Air, Police Pledge Enhanced Cooperation to Boost Aviation Security

Published

on

(L-R) – Arik Air’s Chief Pilot, Captain Abdullahi Mahmud; Assistant Inspector General of Police (AIG), Airport Command, Danjuma Ibrahim; Arik Air Senior Vice President Operations, Captain Adetokunbo Adekunbi; Commissioner of Police, Airport Command, Bolaji Fafowora and Arik Air Chief Finance Officer, Ayodeji Ilesanmi durin the visit of the new AIG to Arik Air head office in Ikeja, Lagos.

The management of Arik Air has pledged to enhance its cooperation with the Nigerian Police in a bid to further boost security at the nation’s airports.

The airline said information sharing was necessary in order to curb criminal acts in the sector, stressing that without the collaboration of all security agencies, it would be difficult for the government to achieve security of lives and equipment in the industry.

Captain Adetokunbo Adekunbi, Senior Vice President Operations, Arik Air, stated this on Monday when the Assistant Inspector-General of Police (AIG), Airport Police Command, Mr Danjuma Ibrahim paid the airline a courtesy visit at its headquarters at Murtala Muhammed Airport, Ikeja, Lagos.

Adekunbi who represented the Chief Executive Officer (CEO) of the airline, Capt. Roy Ilegbodu said the airline had always taken security as a top-notch since its establishment and pledged to continue with the tradition.

He assured the AIG that the airline would continue to cooperate with the airport command and would not hesitate to share security information when the need arises.

Earlier, AIG Ibrahim lauded the management of the airline for its continuous collaboration with the command.

He noted that the report he received when he assumed office indicated that the airline had over the years supported the command and appealed to the management to continue with the collaboration.

Ibrahim also recalled that the Airport Command was previously headed by an Assistant Commissioner of Police and later to Commissioner of Police before the current improvement to Assistant Inspector General of Police.

He explained that his primary responsibility at the airport was to improve on the existing security network, a task he promised to fulfil.

Continue Reading

Logistics

Nigeria to Earn N3.63B From Domestic Tourism By End of 2018, Hospitality Report Says

Published

on

L-R: Christian Iwarah, Corporate Communications Manager - Air Peace; Muda Yusuf, DG, LCCI; Ikechi Uko, Founder & Publisher - Akwaaba Travel Market; Omolara Adagunodo, MD - Jumia Travel Nigeria; Chris Odor, GM - Westwood Hotel; Olukayode Kolawole, Head of PR - Jumia Nigeria at the launch of the 3rd edition of the Nigeria Hospitality Report in Lagos.

Nigerian domestic tourism sector is expected to contribute N3.63 billion to the country’s GDP by the end of 2018.

 

This was contained in a 2018 Nigeria hospitality report released on Tuesday by Jumia Travel.

 

 

According to the report number of international arrivals in the country and employments generated by the sector are expected to grow by 1.5% and 3.4% respectively by end of year, that is 1.8 million international arrivals and 3.4 million jobs.

 

Omolara Adagunodo, managing director, Jumia Travel Nigeria, stated this while overviewing the content of the 2018 Nigeria hospitality report at a press conference in Lagos.

 

The report also provided insight on the two main components of domestic travel: leisure and business travel, and both grew at 2.7% and 2.8%, that is 1.98 billion and 1.92 billion contributions respectively to domestic earnings in 2017.

 

Ikechi Uko, Founder Akwaaba Travel Market and Tourism expert, commended Jumia Travel effort in compiling the report, said “the data and figures featured in the report can massively expand the footprint of the Nigeria travel industry and take it to the next level.”

 

While announcing that Nigeria will soon subscribe to the Tourism Satellite Account (TSA), which is the internationally recognized standard statistical framework for the economic measurement of tourism, Uko urged stakeholders within the sector to support and rely on the data in reports such as Jumia Travel’s.

 

 

Uko also decried the challenges plaguing the sector, as identified in the report, such as insufficient flights.

 

He said: “the number of flight pairs in Nigeria is very low. Lagos and Abuja are already saturated because almost all airlines want to fly there.

 

“As such, we need more flights to cut across the country because the travel industry cannot grow without a functional air transport network.”

 

 

The Nigeria Hospitality Report from the stables of Jumia Travel is fast becoming a primary source of data for the experts and stakeholders in the travel industry as it offers a profound and holistic insight into the industry that accounted for 1.9% of total GDP as a direct contribution, and 5.1% as a total contribution to GDP.

 

 

In monetary terms, the sector contributed approximately N2.3 billion to the GDP as a direct contribution, and N6.2 billion as a total contribution to the GDP.

 

 

 

 

 

 

Continue Reading

Logistics

Turkish Airlines Signs Global Agreement with American Express Global Business Travel

Published

on

Turkish Airlines signed a significant deal with American Express Global Business Travel (Amex GBT), one of the world’s leading agencies for corporate travel.

This agreement which was signed by Turkish Airlines Chairman of the Board and the Executive Committee, M. İlker Aycı, and Amex GBT’s Board Chairman, Greg O’Hara, highlights the expansion of Turkish Airlines’ existing collaboration with AMEX to a global partnership.

The global carrier in addition to other regions has added the South American region, to the new joint service area with Amex GBT.

Turkish Airlines will become one of the airlines to be supported by Amex GBT at the top level, within the scope of this expanded agreement.

The agreement is aimed at determining a common strategy on a global level and increasing the cooperation between the managements of both parts at all levels.

Another goal at this point is to increase the cooperation in product development and sales for “Marine & Offshore”, “Travel and Lifestyle Services” (TLS), and “Meeting & Events” segments.

Other objectives include: promotion of Turkish Airlines’ brand awareness and perception within Amex GBT organization, as well as top level participation in all global events organized by Amex GBT, increasing the visibility of Turkish Airlines in Amex GBT’s communication channels, acquiring new corporate customers through the joint data analysis studies, and also the promotion of sales activities are all the other subjects to be improved within this new business partnership.

Commenting on the agreement M. İlker Aycı, Turkish Airlines Chairman of the Board and the Executive Committee said; “As Turkish Airlines, we are very pleased to enter such an important business partnership with Amex GBT.

With this new agreement, which was existed on a regional scale and now expanded to global, we aim to increase our market share also in the corporate travel segment and to be the most preferred airline for all business travellers worldwide.”

Amex GBT, considered as one of the largest global agencies in the sector, has more than 100 years of experience in corporate travel.

The global agency, which aims to make the business travels much easier, productive and less stressful, both in terms of suppliers and travelers, serves in nearly 140 countries around the world, with 12,000 employees, to 8,000 customers.

Continue Reading

Trending

Copyright © 2017 Communication Week Media Limited.