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In what is perhaps a pre-cursor to a nationwide launch of the option to pay by cash for Uber rides, the taxi hailing aggregator has extended the pay-by-cash feature to four more cities -- Ahmedabad, Chandigarh, Jaipur, and Kochi in addition to Hyderabad.
Bhavik Rathod, general manager of Uber Bangalore, said that cash is still the dominant payment option for millions of Indians, especially in smaller cities since the cash experiment in Hyderabad has been extremely successful for the company. "By giving riders cash payments as an option, we are able to better meet the needs of a rapidly growing and fast-evolving consumer base," Rathod added.
While Hyderabad was selected for a global-first experiment of cash payment in May, the company launched a similar option a few weeks later in Nairobi.
In order to give more choice to its customers in terms of payment options, Uber began accepting credit-card and debit-card payments since mid July. The company has retained the option to pay through Paytm's digital wallet.
The move is perhaps sparked by the fact that Uber's largest rivals Ola and Meru allow customers to pay cash. "Since our experiment began, we've gained tremendous insight into usage patterns, consumer preferences, friction points, and extensive feedback from drivers and riders who've used cash to pay for Uber rides," the company said in a statement.
What remains to be seen is how Uber will deal with cash management on a network that involves hundreds and thousands of driver partners.
