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    Competition in chauffeured car industry has only just started

    By Dai Tian (chinadaily.com.cn) Updated: 2015-03-10 07:59

    After thorough market research and analysis, we are preparing to throw huge capital into the new business. The subsidy will continue to customers' heart's content. As the company owns the fleet, the cost is fixed and we don't need to subsidize unlicensed cab drivers. We give all subsidies to our clients. Winning them is crucial to trump the market. There hasn't been a profit timetable for the business segment.

    Q: How is the service UCAR offers different from that of Didi and Kuaidi? What makes the company confident it can become the frontrunner in the chauffeured car service business? Is the industry undergoing a reshuffle?

    Lu: We don't use the word "shuffle" as often as the media. I believe the competition hadn't really started before we entered. UCAR is not just another market player.

    The company will outpace competitors by daily orders in three to six months. It was not until half a year ago that the chauffeured car service took shape. The capacity is obvious. It's too early to say by whom the market is snapped up. I expect the industry to heat up in the coming months. The company is being conservative about the time span we need.

    UCAR will soon surpass Didi in chauffeured car services. We are different in our business model, personnel management and professional support. There's no private cars in UCAR's fleet. The company asks drivers to submit certificates of a non-criminal record and receive regular physical checkups as well as safety training. They have a fixed salary with social welfare included. Each passenger is entitled to an insurance claim of as much as 1 million yuan.

    Q: How do you view the clampdown on private cars' participation in the taxi business?

    Lu: I believe it's normal for regulatory enforcers to supervise the market according to rules. As for whether such a phenomenon will change, it's up to the regulators' determination and enforcement efforts. We don't care about others, but focus on our own business. The more customers we can win over, the better. I'm not saying UCAR will get rid of other players overnight, but I believe our business volume will stand out.

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