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Namma Yatri drivers will pay subscription charges from September 1

Namma Yatri had made the news earlier with its zero-commission policy for drivers

What’s the news: Namma Yatri (NY), the ride-hailing app that made the news earlier with its zero-commission policy for drivers, will be implementing subscription fees for drivers on its platform from September 1, 2023. According to the Economic Times (ET), the app announced this decision in a statement on August 22, 2023.

Drivers to pay ₹ 3.5 per trip: The platform will offer two subscription models for auto rickshaw drivers in Bengaluru:

  • Payment of ₹ 3.5 per trip for up to 10 trips per day, after which the trips will be free.
  • Payment of ₹ 25 per day for unlimited trips.

Shan MS, Chief Growth Officer of Juspay Technologies, the fintech company which developed the mobility app, told ET that drivers that take the latter option would not have to pay on days they don’t take more than one ride through the platform. This fee structure will continue for a year, he said.

When Namma Yatri announced its zero-commission policy for drivers, experts raised the question of how the platform planned to make money to run infrastructure and services. At the time, there were talks of a possible subscription fee to the driver. Now, we see a set date for the implementation of this subscription policy. Namma Yatri has been considered a potential threat to other ride-hailing apps like Ola and Uber since the zero-commission policy attracts more drivers to sign in with the app. Now, with this new fee being implemented in September, it will be interesting to see how driver behaviour may change in the coming months.

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I'm interested in the shaping and strengthening of rights in the digital space. I cover cybersecurity, platform regulation, gig worker economy. In my free time, I'm either binge-watching an anime or off on a hike.

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