A new firm has entered the ride-hailing market in Singapore. Mass Vehicle Ledger (MVL) Foundation has introduced its new ride-hailing app known as Tada. This was announced at its Ubi office, during a press event on Thursday, July 26.
Uber announced its departure from Singapore earlier this year. The market has since been dominated by the ride-hailing company, Grab. However, other similar companies have been entering the market with Go-Jek preparing to launch soon.
Offering something different
Tada is promising to offer something different in the seemingly saturated market. The application is developed on MVL’s blockchain system. It is specifically engineered to provide service to the motor vehicle industry, adjacent service sectors, as well as their customers.
Tada is a Korean word, which translates to ‘let’s ride’ in English. The founder of MVL, Kay Woo revealed that the firm has already signed up more than 2,000 drivers on its network. He also disclosed that the firm intends to increase the number of drivers to between and or 4,000 in the coming months.
What makes Tada different from the rest of the ride-hailing companies is that its driver-partners will be charged no commission. The move is expected to woo drivers who are usually charged a commission. For example, Grab charges a 20% commission. But in this case, drivers are set to pocket the whole fare they receive from their passengers. The drivers are also allowed to work for other ride-hailing firms if they are authorized by the other services.
Drivers will not be bounded by acceptance or cancellation charges. Passengers are set to enjoy competitive fares in addition to being exempted from cancellation penalties. Since drivers are not charged commission it makes it easier for Tada to charge lower rates. There will be a metered pricing module and a flat fare rate for specific point-to-point trips. However, users will pay a 3.4% transaction fee, if paying through a credit card.
Both drivers and riders are set to benefit from incentives. Riders will earn points by adding data into the system, such as posting their trip’s review. Drivers will earn points by turning on the MVL application while they are driving around. Drivers who drive safely and get better reviews will earn more points.
The earned points can then be converted into MVL’s digital currency, MVL coins. One can also use the points to redeem goods and services from MVL’s partners. Those who go for the MVL coins can cash them out on the Idex crypto exchange.