Uber announced on May 24 that it had crossed the symbolic threshold of one billion trips made in Africa. An important milestone as competition with Bolt intensifies on the African continent. In total, this represents nearly 10 billion kilometers traveled by the company’s drivers.
Uber affirms its presence in Africa
Since setting up shop in Johannesburg, South Africa’s largest city, in 2013, the transport giant has expanded across the African continent. The service is now available in seven other countries: Nigeria, Ghana, Egypt, Kenya, Tanzania, Uganda and Côte d’Ivoire.
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In a sponsored article published by the South African daily Daily MaverickMpho Sebelebele, Uber’s communications manager for South Africa, said that “ since entering the market in 2013, Uber has created more than 6 million economic opportunities in more than 50 sub-Saharan cities where the company has a presence “.
Over the past year, the ride-hailing company expanded into 29 additional cities, including 21 in South Africa, 4 in Kenya and Nigeria, and 2 in Ghana.
From VTC to home delivery
In 2016, Uber launched its Uber Eats home dining service in Africa. In South Africa, the service has nearly 7,500 partner restaurants in 33 cities. When it first started, the service only offered 1,000.
” We have expanded our offerings in the markets where we currently operate, innovating with new business models to meet changing needs. Uber’s goal in Africa is to continue innovating and transforming the way people, food and things move through cities “, explains Mpho Sebelebele.
Between April 2021 and April 2022, orders for groceries and convenience products increased by 68.5%.
Bolt follows Uber
However, Uber faces stiff competition. It and the Estonian company Bolt, its main rival, are engaged in a price war on the African market. The first to be affected by the repercussions caused by this conflict are the drivers, who see their wages reduced. In Kenya, in 2016, Uber reduced its prices by 50% to face its competitor.
Last December, Bolt raised 150 million euros to strengthen its presence in Europe and Africa. The company planned to hire 200,000 additional VTC drivers on the African continent in 2022.