What signals have been released by issuing online ride hailing saturation warnings and strengthening control in multiple places?
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Online ride hailing, as an emerging mode of transportation, provides more choices and convenience for passengers. However, with the increasing number of ride hailing platforms, vehicles, and drivers, market competition is becoming increasingly fierce, and industry risks are also becoming increasingly apparent
Online ride hailing, as an emerging mode of transportation, provides more choices and convenience for passengers. However, with the increasing number of ride hailing platforms, vehicles, and drivers, market competition is becoming increasingly fierce, and industry risks are also becoming increasingly apparent.

Recently, transportation authorities in Jinan, Dongguan, Wenzhou, Suining and other places have issued warnings, stating that the local ride hailing market is nearing or basically saturated. It is recommended that those who are interested in ride hailing business enter the market with caution. What signal does this actually release? Can I still earn money by driving a ride hailing service online?
Firstly, this indicates that the ride hailing market has entered a mature stage and is no longer a blue ocean market.

Image from the internet
According to data from the Ministry of Transport, as of April 30, 2023, a total of 309 ride hailing platform companies nationwide have obtained ride hailing platform operating licenses, an increase of 2 compared to the previous month; A total of 5.406 million online ride hailing driver certificates and 2.30 million vehicle transportation certificates were issued in various regions, an increase of 3.4% and 2.2% respectively month on month.

Meanwhile, the online ride hailing supervision information exchange system received a total of 706 million order information in April, a decrease of 1.4% compared to the previous month. This means that the supply of ride hailing services has exceeded demand, and the market space has become saturated.

This also reflects some of the problems and challenges faced by the ride hailing industry.On the one hand, the income level of drivers has decreased. Due to intensified market competition, the order volume has decreased, and the daily average order volume of bicycles has decreased, resulting in a decrease in the revenue of drivers.

According to reports, the daily average operating flow of online taxi services in Zhuhai has decreased by about 15% compared to 2020; The daily average number of ride hailing orders in Jinan is less than 10; The daily average order volume of online taxis in Dongguan is about 9.07 units. Such an income level is difficult to meet the living needs of drivers, and may not even be able to cover costs such as rent and fuel.

On the other hand, the security and compliance issues in the industry are prominent. Due to the excessive number of ride hailing services and a large number of market entities, some platforms have not strict requirements for personal and vehicle certificates in order to seize market share, resulting in some unlicensed or unqualified drivers and vehicles mixing in, posing safety hazards to passengers. At the same time, some drivers may also violate traffic rules or have disputes with passengers in order to compete for orders or save time.

This also indicates the government's regulatory attitude and direction towards the ride hailing industry. The release of warning information is a manifestation of the government's normalized regulation of the ride hailing industry, aimed at regulating industry development, safeguarding the legitimate rights and interests of drivers, and ensuring the health and stability of the industry.

Some places have also taken measures to suspend the acceptance of online ride hailing business licenses and transportation license issuance services, in order to control the scale of transportation capacity and avoid vicious competition. These measures are also aimed at protecting the legitimate rights and interests of passengers and other operators, and preventing market chaos.

The government will also establish dynamic monitoring and adjustment mechanisms based on market operation, gradually achieving the goal of market regulation. At the same time, the government will also strengthen the information supervision of ride hailing platforms, vehicles, and drivers, establish a credit system, and improve the compliance and safety of the industry.

In summary, multiple regions have issued warnings of online ride hailing saturation and strengthened control, releasing signals that the online ride hailing market has matured, faces problems and challenges, and requires standardization and guidance.

So can you still make money by driving a ride hailing service online? This depends on the specific city, platform, vehicle, and driver situation. However, regardless, those who intend to engage in ride hailing should rationally evaluate the market, understand policies, invest cautiously, and not blindly follow the trend or take risks. Only in this way can we find our position and advantages in the ride hailing industry and achieve sustainable development# Car # # Buying a Car # # Multiple Places Announce Saturation Warning for the Online Car Hiring Industry # # Automotive Knowledge # # Top New Car#
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