Ola changes India ride-hailing with flat fee

Ola has launched a flat fee model for its cab-hailing service across India, allowing drivers to keep all earnings after paying a daily charge. This replaces the commission structure, a major change in the ride-hailing market. The new model charges drivers a fixed Rs 67 daily fee, a shift from the previous 20-30% commission on each trip. Ola executives cited market pressure and a need to regain driver loyalty as key drivers for the change. This move aims to boost driver earnings, but also shifts financial risk. The success of Ola's flat fee model will depend on high trip volumes and the bundling of additional services for drivers.