Uber Launches Electric Scooter Rental in São Paulo

RIO DE JANEIRO, BRAZIL – On Monday, March 2nd, Uber launched an electric scooter rental service in the city of São Paulo. At this initial stage, trips will cost R$0.90 per minute, with no unlocking fee. The price is lower than that of competitor Grin, which charges R$2.25 for unlocking and an additional R$0.75 per minute.

The initial coverage area extends from Marginal Pinheiros beltway to Ibirapuera Park, and includes Vila Olímpia, Vila Nova Conceição, and part of Brigadeiro Faria Lima Avenue, up to Cidade Jardim Avenue. Oddly enough, the Batata Square, where a subway station is located, is still out of the served area, which should be gradually expanded.

The scooters will be available through the same App used to hire cars. The option already shows up on the screen. A scooter may be booked for up to 15 minutes before rental. When approaching the vehicle, a QR code must be scanned to enable the release.

The onset of Uber scooters occurs weeks after a downturn in this market: the North American company Lime gave up operating in the country, and the Brazilian-Mexican Grow removed its service from 14 Brazilian cities, although maintaining its operations in São Paulo. The high maintenance and vehicle exchange costs and the high price for passengers, in comparison with other means of transport, hinder further expansion.

When asked about the challenges the sector faces in the country, Ruddy Wang, director of New Models at Uber in Latin America, said he had a different opinion. “Uber has a recognized brand that people trust. We don’t only offer scooters, but an integrated solution, with cars, scooters and public transport information within the same App.”

Wang said the goal is to think of ways to further integrate travel in different modes in the future. In the US, there are cases where car trips entitle you to use scooters for free, for instance.

In a hypothetical scenario, a passenger trapped in traffic aboard a car could be advised to continue the trip on a scooter.

Uber started its scooter service in Brazil in Santos, in December, and found the experience quite positive. “We will assess the results in São Paulo before taking the scooters to more cities in the country, but obviously our goal is to expand,” Wang said.

The rental of electric bicycles is another service Uber offers in a number of cities, currently present in Mexico City and Santiago, Chile. Their arrival in Brazil will also depend on the performance of scooters.

Source: Folhapress