Didi pricing method adjustment: Cancellation of 20% commission for drivers does not affect passengers

  After the merger of Uber China and the completion of the local online ride-hailing management plan, Didi began to make major adjustments to the pricing method.

  Surging News (www.thepaper.cn) learned that starting from August 18, Didi Chuxing platform implemented separate pricing for drivers and passengers.20% of each order charged by the driver before cancellation, 0.5 yuan per order, plus 1.77% management fee.

  Taking Beijing as an example, the order is driven for 10 kilometers and 20 minutes. Before the adjustment, the actual income of the owner = (2 * 10 + 0.5 * 20) * 80% = 24 yuan; after the adjustment, the actual income of the owner = (1.8 * 10 + 0.4 * 20) * 100% = 26 yuan.

  Didi said that after this adjustment, the income of car owners has not changed compared with before. The income of car owners in some cities will also increase with the separation of drivers and passengers, which can increase by about 10% -18%.

  The adjustment of Didi’s pricing method this time is mainly aimed at the driver side, with little impact on the passenger side.

  It is reported that after the driver and passenger are priced separately, the basic fare (km + duration + night fee), other fees, and dynamic price adjustment fees will be 100% owned by the owner. The owner does not need to make any changes in the withdrawal operation, which is the same as before.

  Didi told Surging News that the purpose of making this pricing adjustment is very simple. First, after the division of pricing,Owners can see their income more intuitively, and the details of their income become clearer. Second, owners can also calculate their income directly through the pricing rules on the owner’s side, which is simple and clear.Didi said that after the adjustment of the pricing method, the income of car owners will also be more stable and will not be affected by fluctuations in the passenger side.

  As for why they chose to make this pricing adjustment at this time, Didi said that after Didi merged with Uber China, the media reported a large number of Didi price increases (Didi said it was just a normal price dynamic adjustment, and there was no price increase), which confused Didi drivers about the pricing method. Many drivers expressed their desire for a more transparent pricing method to Didi Chuxing.

  After communicating with a number of Didi drivers in Shanghai recently, Surging News found that there has been a recent phenomenon of Didi drivers leaving the platform. Drivers said that the current subsidy for drivers has decreased compared to before.

  Zhu Wei, deputy director of the Communication Law Research Center of China University of Political Science and Law and an expert member of the Sharing Economy Working Committee of the Internet Association of China, told The Paper.The adjustment of the pricing method made by Didi further illustrates the difference between online car-hailing and traditional taxis. It is not a disguised form of money or a tap, but a manifestation of the sharing economy.This also reflects the requirements of the "differentiated operation" of the new policy on special cars, not only for passengers and owners, but also for the difference in revenue sharing. This will force taxi reform.

  An insider of Volkswagen Chuxing (a ride-hailing platform owned by the mass transportation group) told The Paper that from the recent frequent actions of Didi, including price increases, reduced driver subsidies, and this time drivers charging a fixed proportion, it can be seen that Didi is under increasing pressure in terms of profitability and is working hard to make changes and postures to give confidence to the capital.

  The aforementioned Volkswagen insider also said that in the long run, Didi will surely generate profits on the driver and passenger side.

  It is reported that the new pricing method of Didi Chuxing has been launched in Beijing, Shanghai and other cities, and will be gradually rolled out across the board in the future.