Local apps are transport option in smaller cities

New models of applications for passenger transport, subscription systems and the possibility of sharing vehicles are becoming increasingly common in Brazilian cities, expanding urban mobility options.

In small towns or far from large centers, for example, regional companies are already common to borrow and adapt to the local reality the model of the giants Uber and 99 used in larger cities.

Among them is Urbano Norte, which operates in 100 cities in the North region and performs, on average, 2.5 million trips per month. For comparison purposes, 99 serves 1,600 municipalities and has 20 million users. Founded in Porto Velho (RO) in 2018, Urbano Norte plans to expand its operation to larger cities, in addition to the capitals of other states.

According to Pascoal Cahulla, the company’s director of operations, charging a monthly fee is one of the points that differentiates it from competitors.

“We provide drivers with the best cost-benefit ratio on the market. Access to the platform is through payment of a monthly fee, contrary to the work carried out by multinationals.”

The monthly fees paid by drivers vary according to the location of the operation, but, on average, they start between R$ 100 and R$ 500. The value of the rides is passed on in full to the driver.

Operating in the Northeast and Southeast regions, Ubiz Car is present in 26 cities in 7 states, with a monthly average of 200,000 passengers. Its focus is on small and medium-sized municipalities. “Currently we are in cities with populations between 60,000 and 250,000 inhabitants, but our expectation is to expand to larger cities”, said co-CEO, Alécio Cavalcanti.

The company, which was born in Piauí, offers passengers the possibility of ordering a car through a telephone switchboard or through an application.

According to the company, the driver has deducted a value from each ride. The rate varies from city to city and is calculated based on a study that analyzes the cost of the driver on each trip. Passenger can pay directly with the driver, with card, cash or Pix.

Competitors, Uber and 99 accept debit and credit cards and digital wallets as a form of in-app payment, including direct cash payment to the driver. As for municipalities served, Uber is in 100 cities across the country.

In addition to regionalization, the application market presents changes in the payment method. InDrive, for example, emerged in Russia and discreetly arrived in Brazil in 2018 to compete with Uber and 99.

Its differential is the direct relationship between driver and passenger when it comes to closing the cost of the trip — anyone who orders a car from the application makes a “bid”, informing how much they would like to pay for the journey. The driver can make counter-proposals and has more autonomy – he can refuse races that are not advantageous to him. InDrive accepts cash, Pix or card.

Alexandre Donofreo, 42, has been an app driver for six years and has been with InDrive for a year and a half. “I stayed on account of the lower fees charged per trip, around 10%, and the fact that I can choose the trips. At dawn, for example, we can double the amount and it is up to the passenger to choose.”

According to Donofreo, in six hours he receives the amount that would take the whole day in the competition.

In addition to transport applications, the vehicle subscription model presents itself as an alternative to owning a car. A survey by Similarweb, a market data analysis platform, points out that the search for this type of service grew by 56.5% in early 2021 compared to the same period in 2020.

That year, there were 7 million visits to 152 websites specialized in the service and, in 2021, 12 million. With an eye on this demand, Localiza created, in September 2021, Meoo, a subscription service in which the customer chooses the car, the period of stay with the vehicle or even how much it intends to drive per month.

For Glauco Zebral, director of Localiza Meoo, the good acceptance by consumers marks a change in Brazilian habits. “With this model, the customer only needs to sign and the money that would be used in the purchase of the vehicle can be invested in another dream”, he says.

Another model already common in Europe, but which is still starting in Brazil, is vehicle sharing. Velo-City operates in Rio de Janeiro and makes available through the application cars that are parked in condominiums or public roads.

Currently the fleet consists of 20 cars, including Onix, Jeep Renegade, C4 Cactus and an electric Mini Cooper. The vehicles are covered by third-party breakdown and damage insurance, with the driver paying the deductible. To use the car it is necessary to register and, in case of approval, the vehicle is released.

The initial cost of renting the Onix, for example, is R$ 0.15 cents per minute in stand-by or R$ 0.95 with the engine running, including fuel. The electric Mini Cooper is the most expensive, starting at R$2.99 ​​per minute.

If the customer uses Onix for four hours, he will pay BRL 228; if you choose the Mini Cooper, R$ 645, in both cases fuel is included. The company plans to expand its area of ​​operation and also start offering bicycle and motorbike rentals.

The publicist, Eliza Santos, 46, has been using Velo-City since June 2021. “For trips and weekends, I use car rental services, which brings me greater comfort”. She had her own car, but preferred to sell it due to costs.

“Before, I had an expensive car, with high insurance and IPVA. Today, renting, in addition to feeling like I’m contributing to the issue of sustainability, I save a lot”, he concluded. On a daily basis, she, who lives close to work, gets around on an electric scooter.