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Grab vs Uber: the ridesharing services battle for supremacy?

I have made it a custom to share articles here on my blog. One reason for me to do this is so I have an archive of sorts for articles that caught my attention that I have either read or not that I want to get back to. Here is another article on ridesharing, this time from a popular magazine:

Grab vs Uber: Who’s getting the riders and making money?

This is relevant material for ongoing studies we are doing about ridesharing. I am also writing a couple of papers on this topic that we intend to present and publish next year.

Uber as a Ponzi scheme?

I came upon this article posted by an acquaintance on his social media account. The article appears to be click-bait given its title but reading through it, the author leads you to other articles of what seems to be a series about Uber’s operations. I won’t give any assessment here as we are also doing research on ridesharing (although for now its mostly about the passengers perspective and characteristics). I will let my readers digest the content and context of the following article:

Excellent, deep series on Uber’s Ponzi-scheme economics

Habal-habal in Metro Manila

I posted about our ongoing research on motorcycle taxis. One of our subject areas are Pasig and Taguig in Metro Manila. These would likely represent the urban motorcycle taxi operations that we wanted to document and assess. One terminal I specifically asked our staff to visit as part of the recon/pre-survey activities is located at Pinagbuhatan, Pasig City near where the Pasig River connects with the Laguna de Bay. It is along Circumferential Road 6 and, based on my observation, has transferred locations several times since C-6 was being widened and paved.

14-nov-2016-11-35-00-amThis is the terminal at Pinagbuhatan, Pasig City along C-6 and near the Napindan Ferry Terminal.

14-nov-2016-11-35-12-amThe current terminal stands along what used to be the older C-6 lane. The newer paved section of the widened C-6 is shown in use. It used to be closer to the bridge that crossed the Pasig River and near the Napindan Ferry Terminal.

14-nov-2016-11-35-26-amThe habal-habal riders and operators have an organization and are generally tolerated by the local government. Unlike their provincial “relatives”, they usually only take one passenger seated at the back of the rider. Two passengers are not unusual or irregular especially if one is a child.

I will post about the characteristics of habal-habal operations soon. However, I don’t want to preempt the research we are doing so I would also prefer that we submit our report first and maybe even submit a paper or two for publication before I post them here. Among the things we have obtained so far are video recordings of what its like to ride these motorcycles. We used an action camera mounted on the rider’s helmet for this purpose. Our staff also did a quick interview of the service providers and will be doing a full survey soon to get substantial information for our research.

Skylab – motorcycle taxi

We are currently doing research on motorcycles and a major part of the research is on motorcycle taxis. Motorcycle taxis are popular in many areas in the Philippines despite national and local government agencies have not sanctioned or legalized their operations. There are two popular versions of the motorcycle taxis – the habal-habal and the Skylab. Both are basically motorcycles with some add-ons to increase passenger capacity or to be able to carry more goods or cargo.

The habal-habal is carries all passengers or cargo on the motorcycle with some variants having a plank for extension to the back or a customized seat over the gas tank that is usually for children. The Skylab owes its name from the US satellite that fell to the earth in the 1970s. The shape of the satellite inspired innovative extensions along each side of the motorcycle. This enabled riders to take in triple the number of passengers they could with the habal-habal set-up.  Both have variants with roofs.

The following video shows a Skylab in Surigao Del Sur care of a very good friend, Dr. Alex Ladaga of Surigao Del Sur State University, whom we are collaborating with in this research:

More on these motorcycle taxis soon!

Mobilizing sustainable transport for development

The United Nations (UN) has recently published a new report on “Mobilizing sustainable transport for development” authored by a High Level Advisory Group on Sustainable Transport formed by the UN. The report and other resources may be found at the following website:

Secretary General’s High Level Advisory Group on Sustainable Transport

This is under the UN’s Sustainable Development Knowledge Platform. You can check out the other materials at the website. The UN has many initiatives on sustainable transport and has been very active in promoting or advocating for sustainable transport for a long time now. It is through the UN Centre for Regional Development (UNCRD), for example, that the Philippines and other ASEAN countries were able to formulate their national EST strategies. The new report continues on the UN’s commitment to promote sustainable transport to improve people’s lives around the world.

Oversupply of vehicles for ridesharing/carsharing – Part 2

This is a follow-up on the recent post on ridesharing/car sharing where I talked about my observation that there seems to be an oversupply of vehicles being used for what is claimed as ride-sharing or car-sharing. In that post, I mentioned an observation by me and my colleagues that popular ride-sharing/car-sharing companies like Uber and Grab have led to more vehicles on the roads. I add to that the findings of our students that:

  • Those shifting to Grab and Uber are mostly those already using taxis (regular users) and those using UV Express, which is a higher capacity vehicle using either vans or AUVs (average passenger capacities between 10 and 18 passengers).
  • GrabCar and Uber function more as premium taxis rather than ride-share or car-share modes.

A friend who’s among the first Uber drivers in the country (He was already an Uber driver before the explosion in the service’s popularity.) shared that Uber earlier had been a real car-share/ride-share. My friend’s full time job was as a musician and he thought of becoming an Uber driver only to have some additional income for when he wasn’t busy with his work or didn’t have gigs. He was not roving around Metro Manila to get fares much like what is now being done by many Uber and GrabCar units.

Later, when Uber and Grab began more aggressive marketing; promoting their services as potentially generating much more income than conventional taxis and perhaps even a person’s full-time job, people started purchasing cars not for their use but to use in business in the form of Uber and Grab cars. I can probably understand those who bought cars and drove the cars themselves. To me, these would still qualify as ride-sharing/car-sharing but on the upper limit of what we can really consider “sharing” since they are supposed to be driving during their free times. Arguably, unemployed people have the entire day as free time compared with employed people or those who run businesses other than being Grab or Uber drivers. These include housewives and even “househusbands” who may have a vehicle at home that they can use for Uber or Grab. Employed people can only share their rides during the time they go to their offices or when they travel home later in the day. Others may have more free time as business people would likely have more flexible schedules.

Following is a series of screenshots I took en route to a meeting. It is, I believe, more systematic in terms of trying to determine the availability of vehicles – in this case GrabCars. Again, correct me if I’m wrong about my assumption that the vehicles displayed represent available cars. If they do not then it means the app is misleading people into thinking there are available cars for them to hire.

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Grab Cars in the vicinity of UP Diliman

random-grab3Grab Cars in the vicinity of Eastwood

random-grab2Grab Cars in the vicinity of Tiendesitas

random-grab1Grab Cars in the vicinity of Cainta Junction

Global Street Design Guide

Here’s another quick post. I just wanted to share this article with a link to a Global Street Design Guide that was developed by the National Association of City Transport Officials (NACTO) in the United States (US). It’s a nice guide that’s based on the experiences of many cities in the US including transformations that have made commuting more efficient, enhanced mobility and, most important of all, improved safety. Following is the link to a more direct link to the guide:

NACTO and the Global Designing Cities Initiative Release Global Street Design Guide

This will be a good reference in the Philippines where many cities are in need of transformation to address current and future challenges in transportation. Planners, engineers and students should read this and use it to make our streets safer and more efficient in terms of mobility for all. It would be nice to see fresh ideas on how we can improve our streets not just in Metro Manila but elsewhere across the country. Of course, it would be nice if city planners of local government units (LGUs) can adopt this design guide parallel with efforts to improve public transport services. It should be understood that simply imposing lane allocations and traffic flow policies (one way?), for example, will not solve problems but may create more. The approach should always be integrated, inclusive. In other words, complete.

Metro Manila public transport – addition is good but we need subtraction, too

The company providing the P2P bus services is very enthusiastic (aggressive?) in promoting their services especially via social media. Satisfied commuters have also shared their experiences and a lot of photos about the buses and their commutes through social and mainstream media. I have read some articles carried by the likes of Rappler and Inquirer as well as blogs relating about the buses features, what people liked about the service and their suggestions on how to further improve and expand services. These have provided commuters with a taste of how good public transport could be in terms of quality of service.

The operations and the operator seems to have the blessings of the Department of Transportation (DoTr) and not just the present administration but from the previous one when the P2P services started. The fact that they have expanded services further these past few months is a testament to their popularity and the demand for high quality public transport services in Metro Manila. I personally believe that the next step is to give these buses exclusive lanes along their routes. Such would allow for buses to travel faster and providing a significant decrease in the travel times of commuters. Current operations, despite having non-stop runs between origin and destination, run in mixed traffic so their impacts in terms of travel times are diminished. Also, with exclusive lanes, they can probably consider adding a few stops between the route ends and be able to simulate bus rapid transit (BRT) services of which there seems to be little appreciation so far in the Philippines.

While the new buses and routes are very welcome and provide attractive options for commuting, there is still a need to address what is perceived as an over-supply of buses, jeepneys and UV express vehicles in Metro Manila. The attractiveness and higher service quality of P2P buses can pave the way for reducing the numbers of buses, for example, along EDSA. A similar strategy of introducing high quality bus services along other corridors and then reducing bus, jeepney and UV express units there can be implemented but will require much in terms of political will. The latter is important when dealing with operators and drivers of displaced vehicles, who may oppose such transport reforms and probably throw in legal impediments including those pertaining to franchising. Whether such opposition can be addressed by emergency powers or not remains to be seen but hopefully, even without such powers, the government can engage the transport sector to effect reforms and improve public transport (and ultimately commuting in general) not just in Metro Manila but in other cities as well.

Oversupply of vehicles for ride-sharing/car-sharing – Part 1

My students recently concluded studies on popular ridesharing/carsharing services Uber and Grab. The studies details how, for example, people have come to prefer Grab Taxi, Grab Car and Uber over regular taxis. One important finding and conclusion in one study is that Uber and Grab in the Philippines cannot be considered as contributing to sustainable transport. Note that this conclusion is just for the Philippine case and perhaps can be further constrained to Metro Manila since all data collected was with the geographical bounds of the metropolis.

There is already a perception that there is an oversupply of vehicles being used for what is being claimed as ride-sharing or car-sharing. This is due to the surge in new vehicle purchases as people joined the Grab/Uber bandwagon. Who can resist the opportunity to earn good money from being a Grab or Uber driver? That is basically the question answered by a lot of people who decided to purchase cars and register these and themselves for Grab or Uber.

To see if there is some truth to this perception of oversupply, we use one ride-sharing app for the information it provides users. One can make a quick check of how many Grab vehicles are moving about and ‘looking’ or waiting for riders/passengers. Following are what’s displayed on my phone in three random instances last Tuesday for GrabCar.  I leave it up to the reader to draw conclusions from these screenshots.

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More in Part 2…

Extreme commutes on a jeepney

I chanced upon this overloaded jeepney along Sumulong Highway. I counted eight people hanging behind the vehicle including the conductor. This is actually illegal and not just at present but always. The practice of hanging behind a jeepney is obviously unsafe and there is a high risk of people falling off. It would be a miracle not to have major injuries if one falls from the vehicle, and there is a high likelihood of fatality especially of a falling passenger gets hit by another vehicle trailing the jeepney.

img_3087

‘Sabit’ or hanging on for a jeepney ride is more a necessity and males usually do this in order to get a ride home or to work. On many occasions, you will see men or boys in their office or school uniforms in the morning, braving it just so they won’t be late for work of school. While it is illegal, authorities seem to apprehend overloaded jeepneys from time to time (or according to some, just for show). I guess they, too, understand how difficult it is to get a ride and how this somehow allows people to get to their destinations. Surprisingly and despite reckless behavior among drivers, there seem to be few untoward incidents reported. Hopefully, public transport will improve so that people will not have to do such extreme commuting.