Uber is one of the best online taxi companies in Kenya. Many people who want to start the business always want to inquire about the money they can earn before joining the venture. Well, Uber business is very profitable but it depends on the routes you cover and time of the month. Per month the profit is Ksh 30,000 to Ksh 70,000 while in a day, they earn Ksh 1,000 to Ksh 5,000.
Uber charges 18% service charge for every amount earned.
Before we reveal how much they earn, here is the amount of money Uber drivers charge and how it’s calculated:
Example trip from Jacaranda Hotel to Carrefour Mega on Chap Chap on a Saturday afternoon:
Item | Trip details | Rate calculations | Total |
Base Fare | KES 65.00 | KES 65.00 | |
Distance | 5.4 km | KES 29.00/km * 5.4 km = KES 156.60 | KES 156.60 |
Time | 10 mins | KES 4.00/min * 10 mins = KES 40.00 | KES 40.00 |
Route Fare | KES 261.60 |
Amount to Collect
Route Fare | KES 261.60 |
Booking fee | KES 28.80 |
Total for Driver to collect | KES 290.40 |
Distributed as:
Service fee paid to Uber by driver | 18% | 18% * KES 261.60 = KES 47.09 | KES 47.09 |
Driver Earnings | 82% | 82% * KES 261.60 = KES 214.51 | KES 214.51 |
Route Fare | KES 261.60 | ||
Booking fee paid by rider | 11% | 11% * KES 261.60 = KES 28.80 | KES 28.80 |
Total for Driver to collect | KES 290.40 |
Uber drivers in Nairobi make more money than those in other cities and towns because in Nairobi they cover more trips.
In a day, Uber driver in Nairobi covers 10 to 20 trips. If each trip generates a profit of Ksh 150, then it means the driver makes Ksh 1,500 for 10 trips or Ksh 3,000 for 20 trips. On average an Uber driver in Nairobi makes Ksh 60,000 per month. That is net profit. The average profit per day is Ksh 2,000.There are days a driver can make even Ksh 10, 000, there are days he can make Ksh 500 only.
Uber drivers in Mombasa make Ksh 30,000 to Ksh 50,000 per month or an average of Ksh 1,200 per day.
One of the challenges of owning an Uber car is security—you don’t know who you will be carrying. There are people will ill motives, they will pretend to be customers only for them to steal from you.
Another challenge is fuel. You will earn Ksh 400 per trip but Ksh 150 goes to fuel.
Uber business requires the owner to manage the business himself .If possible,be the driver.If you employ someone to manage the business, the profit margins will be low.