Bike-Sharing, Ride-Hailing Firms Team Up to Take on Didi
Alibaba-backed bike-sharing startup HelloChuxing has formed an alliance with a minor ride-hailing company, ramping up its challenge to Didi Chuxing, which dominates the latter sector.
The shared-bike specialist, which launched its own cab-hailing service earlier this month, has partnered with Dida Chuxing in an arrangement to allow HelloChuxing users to hail Dida cabs on the HelloChuxing platform, the company announced on Friday. The service will be available in 81 Chinese cities, including Beijing and Guangzhou, on top of the three cities — Shanghai, Nanjing and Chengdu — where HelloChuxing’s own ride-hailing service is already available.
“By partnering with Dida, we hope to better serve our users and meet their transportation demands comprehensively,” CEO Yang Lei said in a statement.
Founded in September 2016, the Shanghai-based company has had its current moniker since last month, when it renamed itself HelloChuxing — Hello TransTech in English — as part of an expansion into other transportation services.
Early this year, the company netted a 1.9 billion yuan ($274 million) investment from e-commerce juggernaut Alibaba Group Holding Ltd., valuing it at around $1.47 billion.
HelloChuxing’s drive into the ride-hailing market comes as the sector faces increasing regulatory scrutiny in the wake of the deaths of two passengers killed by Didi drivers while using the service.
While the incidents have raised question about Didi’s ability to protect passengers’ safety, it is still the undisputed industry leader, with more than 90% of the Chinese ride-hailing market.
Last month, China’s largest online-services company, Meituan Dianping — which launched a high-profile subsidy program to challenge Didi — said it will scale back the expansion of its ride-hailing offerings to Chinese cities other than Shanghai and Nanjing, Jiangsu province.
The market’s other smaller players have adopted differentiated business models to gain market share. For example, Dida also offers a car-pooling service. Beijing-based Shouqi specializes in a high-end chauffeur services.
Also, traditional automakers have jumped on the bandwagon recently, as they are worried that they could be left behind as consumers shift their transportation preference away from ownership.
In July, China’s three big state-owned automakers — FAW Group Corp., Dongfeng Motor Corp. and Changan Automobile Co. Ltd. — teamed up to set up a new company that will offer on-demand services that include car rental and ride-hailing.
Contact reporter Mo Yelin (email@example.com)
Sep 18 06:20 PM
Sep 18 05:21 PM
Sep 18 05:08 PM
Sep 18 05:05 PM
Sep 18 02:58 PM
Sep 18 11:59 AM
Sep 18 09:29 AM
Sep 18 04:29 AM
Sep 17 06:38 PM
Sep 17 05:42 PM
Sep 17 04:58 PM
Sep 17 12:54 PM
Sep 17 09:28 AM
Sep 16 06:07 PM
Sep 16 03:44 PM
- 1Trending in China – Clothing Company Picks Fight With Shaolin Kung Fu Monastery
- 2Cover Story: A Year On, a Quieter Outbreak Still Sickens Thousands in Northwest China
- 3In Depth: China Chip Sector Has the Money, Now It Just Needs the Workers
- 4Video: A Quiet Outbreak Sickens 3,000 in Northwest China
- 5Major Chipmakers Seek U.S. Approval to Supply Huawei
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas