Uber is the better choice of ride hailing apps for me, between Uber & Ola, which is the Indian competitor to Uber. Now, I’ve had my fair share of good experiences and bad experiences with both the companies, something I could write a book about someday. Here are a few of my bad experiences with Ola. And recently, it seems, to increase the up take of the Ola Select program, Ola has dumbed down the customer service to zilch! Read these tweets for more details:
@Olacabs second time in two weeks your driver is taking me a longer way to the airport. Who is paying for this? cc:@bhash
— Ajay Awtaney (@LiveFromALounge) September 15, 2016
However, this is not even about my own experience. But more about how Ola, which is a well-funded company from private investors, is perhaps looking the other way when malpractices are coming through left right and center on their platform. Seems the only metric to look out for is the number of rides and cars on the platform, and hence they won’t move a finger when wrong practices happen. I chanced upon this narration on Twitter today, and it is alarming. I’d first request you to go through the Tweets if you have time:
Customary small talk with my Uber cabbie this morning led to him revealing details of an Ola scam that he was a part of, leaving me stunned.
— Neha Garg (@gargneha) September 21, 2016
Starting with, “Aise passengaro ko sabak seekhaane ke liye toh inki ride cancel kar deni chahiye. Unke ghar ke aagey aakar. Kya kar lenge?!”
— Neha Garg (@gargneha) September 21, 2016
When I expressed the futility of it, he said, “Uber mein toh phir bhi mushkil hai, Ola mein toh hum jaate hi nahin the location pe.”
— Neha Garg (@gargneha) September 21, 2016
I was perplexed. Asked him to explain. He goes, “Ek software aata hai. Ussey kahin bhi baithe-baithe aap apni location change kar sakte ho..
— Neha Garg (@gargneha) September 21, 2016
…Ab kisi ne gaadi book karwai. Main apni jagah se hilunga nahin, aur uss software se gaadi aapki location par show karegi. Jo phone no…
— Neha Garg (@gargneha) September 21, 2016
…mera registered hai, usey main flight mode par rakhi dunga. Ab customer bahar nikle toh gaadi nahin, phone kare toh num reachable nahin.”
— Neha Garg (@gargneha) September 21, 2016
“Baithe-baithe humne laakhon kamaaye.” When I asked about the mechanics, he told a much graver story, compared to which this was nothing.
— Neha Garg (@gargneha) September 21, 2016
He tells me that the example he just gave was for ‘genuine duties’, which were just 1/50. In other 49 instances, there never *was* a rider.
— Neha Garg (@gargneha) September 21, 2016
So it worked like this: One cab. Five people. 4 ‘non-calling’ tabs. 500 sims. One Ola ID enabled phone. One phone with registered number.
— Neha Garg (@gargneha) September 21, 2016
All the five people are sitting in one cab, one is the designated driver with the Ola ID, rest four are riders with non-calling tabs.
— Neha Garg (@gargneha) September 21, 2016
The cab moves in a pre-decided closed circle, never crossing a 20km radius. Huda City Center – Artemis (Sector 51) – Sector 56.
— Neha Garg (@gargneha) September 21, 2016
The 500 sims are used to make 500 unique customer ids, on the Ola app. It’s the responsibility of the four ‘riders’ to login & book a ride.
— Neha Garg (@gargneha) September 21, 2016
A special software – Move Navigator (sic) – is installed in the ‘driver’s’ phone. It costs INR 80k. And is available in Rajasthan, Kota.
— Neha Garg (@gargneha) September 21, 2016
This software is used to manipulate the location of the cab. It also helps them mitigate the risk of a pattern emerging out of the route.
— Neha Garg (@gargneha) September 21, 2016
Every day would start with the five people sitting in the cab, making rounds of the same route, booking fake rides, picking up fake riders.
— Neha Garg (@gargneha) September 21, 2016
Dropping fake riders. All this while manipulating the locations with the software, making money on the initiatives pushed by Ola.
— Neha Garg (@gargneha) September 21, 2016
Daily earnings for this team of five was INR 30k. The car, software and labour costs were the only costs. Which got offset in two weeks.
— Neha Garg (@gargneha) September 21, 2016
They continued what he called this ‘fraud’ for 7 months. Without anyone raising any finger on them. In the 7th month, Ola sensed something.
— Neha Garg (@gargneha) September 21, 2016
But no strict action was taken. Only setback this team faced was that the login failed on the four tabs, and the 500 fake customer ids.
— Neha Garg (@gargneha) September 21, 2016
These guys were determined to fight the setback. They bought 1000 new sims this time, making 1000 new ids. Started dropping pins randomly.
— Neha Garg (@gargneha) September 21, 2016
Apparently, Ola knew of this scam. A total of 11,600 cabs were involved in the fraud. All of those IDs were blacklisted from the system.
— Neha Garg (@gargneha) September 21, 2016
But no other action was taken. Most of those 11,600 cabs moved to Uber, a company ‘jiske naam se hi humein allergy si hoti thi’.
— Neha Garg (@gargneha) September 21, 2016
This guy has been with Uber for about 4 months now. And the frustration of not having figured out a way to beat the system yet is palpable.
— Neha Garg (@gargneha) September 21, 2016
The summary of the story is that Ola had a wind of the fact that their systems were being exploited, but they did not do a thing about it for a while. There are of course multiple other stories I’ve heard myself about Ola system being gamed. Here is another story on similar lines.
What I am scratching my head about is, that since Ola anyways tries and copies most of their features from Uber, why don’t they just go ahead and make their Indianised systems gameproof to be able to make a next generation ridesharing company rather than just one that lives for the present. I mean, there are enough risk and fraud control professionals in this country because every business including Banking needs them.
How does this impact you?
I’m sure this company needs to make money someday and not be running losses forever. So, when the day will come to make a profit, we will be paying for a part of the losses incurred in paying these 11000 fake drivers. Also the fake surge pricing that comes along with 11000 drivers being engaged in fraud are something to be wondering about.
Bottomline
I was almost under the impression that OlaCabs got better with time, but does not seem that is the case.
Readers, have you had any similar experiences with OlaCabs?
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true that,, since the uber sell off in chian something has change, 5% discount on using ola money has vanished, availability of drivers has come down and the price has gone up, I am about to go for my own car now as there is no uber in rajahmundry ( daily customer of Ola for last 1 year – to & fro home-office).
Many of the Ola’s driver reject the trip, after you call them and tell drop off point, else say they are very far away, even though on app location is nearby. Reminds me of Rickshaws/ taxis.
Uber is good.
The genesis of such scams is in China. Started with Didi, moved to Uber. Here’s a related story: http://www.bloomberg.com/news/articles/2015-06-28/one-driver-explains-how-he-is-helping-to-rip-off-uber-in-china
I guess its all about valuations of the company and how it works. Its not just ola. Just about all startups allow themselves to be scammed to show higher number of users/customers so that they can bevalued higher.
Last year came across this article where foodpanda allowed itself to be scammed. They didnt even need a gps faker. http://www.livemint.com/Companies/rYKC6HjnShogjE62jO5lpK/The-trouble-with-Foodpanda.html
But I have my own doubts about creating 125 unique ola ids on each non calling tab. 2-3 years ago when I started using ola, The refferal program was generous about 200-250 per referral. I used to register all my family and friends with my referal on my phone. This way I would get both side referall benefits. About 15-17 referals later my login in ola was blocked and neither was I able to register a new id. They tracked multiple ids on same imei. I had to call them and request them to let me use my original id.
Even uber has a limit to the number of ids u can use on one device. Too many logins and logout and they block your account. Had to email them as well to request to enable me to book rides.
What is the difference between flying Spicejet vs Indigo if they both service the same route that you want? No difference at all apart from a different logo.
It’s the same with Ola and Uber. A commoditised business where one rider and one ride in isolation doesn’t mean anything. What options do you have anyway? It’s a duopoly, you can bounce back and forth, eventually there’s no option either way.
I swore off Ola recently after their adamant stance on an obviously overcharged fare. My regular route and distance, with no wait time, no surge pricing, and no traffic. But there was a 30% hike in fare suddenly.
They refused to resolve it — never mind I was a customer since they started operations. Customer service in the past would refund/adjust the cost in a trice, but no more. I even copied the CEO in my emails.
So they lost a regular long time customer to Uber.