Long-distance taxi operators in the city are bound to feel the heat from the newly inaugurated extension of services by aggregators. Tourist operators, whose revenues took a hit after the arrival of the aggregator companies, were betting on long-distance trips to stay afloat.
Now that Ola Cabs has launched outstation services, it may not be long before other taxi aggregators follow suit, note tourist operators.
While the pricing of outstation services offered by Ola Cabs may not yet be as competitive as the rates offered by tourist operators, the ease of booking through the app would be a factor in favour of the aggregator.
S. Arulanandam, president, Tamil Nadu Tourist Vehicle Owners and Operators Association, admitted that the long-distance tourist transport business would be hit by the recent development.
He said the thousands of taxi owners depending on this business would be affected by the technology-driven aggregator. He also stressed the need to ensure that safety and security norms were adhered to with respect to all the services and said that all these years, residents had been able to travel safely across long distances with traditional tourist operators.
