Shulou(Shulou.com)11/24 Report--

CTOnews.com, June 5, according to China Newsweek, recently, the transportation department of Changsha announced that it would suspend the new business of accepting ride-hailing permits from May 16. Prior to this, Dongguan, Sanya, Wenzhou, Jinan, Suining and other places have issued early warning of ride-hailing saturation, reminding the local ride-hailing bikes to receive less than 10 orders a day.

It is understood that the ride-hailing industry has gradually recovered after the epidemic, but it is followed by the intensification of market competition. On the one hand, the number of ride-hailing platform companies and drivers is increasing. As of March 31, a total of 307 ride-hailing platform companies across the country have obtained permits and issued 522.9 million car-hailing driver certificates and 225.0 million vehicle transport licenses. On the other hand, the number of online car-hailing orders did not increase synchronously, or even showed a downward trend. Data show that in Dongguan, for example, 77.3% of the city's online ride-hailing orders receive less than 10 orders a day, and Guangzhou and other first-tier cities have also seen a decline in daily orders and revenue.

This means that the income level of ride-hailing drivers has dropped sharply, and it is even difficult to maintain normal expenses. Some veteran drivers say they earn less than they used to, while some new drivers say it's hard to get orders. In addition, the ride-hailing industry also faces risks such as violations and accidents, and if there is an accident, it may be in vain for a few months.

CTOnews.com noted that in order to avoid excessive competition and safety risks in the market, many governments have regularized the ride-hailing industry and reminded investors and practitioners to pay attention to market risks and invest cautiously. At the same time, some experts suggest that we should raise the safety threshold of online car-hailing, adhere to the principle that both drivers and vehicles should obtain permits, and achieve "in and out, dynamic regulation and control."

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