Today marks the entry of Canada’s contribution to the ride-hailing market with the launch in Edmonton of TappCar, a technology-enabled service that seeks to bridge the gap between the likes of Uber and traditional taxi companies.
The controversial ride-sharing service ceased operation in Edmonton as of the first of this month, the day after Transportation Minister Brian Mason unveiled plans to regulate Uber and its like. Among the details was the necessity for drivers to be equipped with appropriate insurance – insurance that will not be available until July.
Enter TappCar. The Edmonton start-up markets itself as a hybrid of Uber and traditional taxis.
“What makes us different from Uber is we have full comprehensive insurance for all our drivers,” says TappCar spokesperson Pascal Ryffel. The coverage is supplied by
Intact Insurance and is a standard commercial driver’s policy.
Drivers also “have at least a class 4 drivers licence, so that’s the main difference right there.”
In common with Uber is the new service’s reliance on digital technology. “The taxi system is quite different, a lot of their calls are through their phone dispatch system or street hails, whereas ours are going to be more app-driven. Our technology is above and beyond anything any taxi broker will be offering, that’s certainly quite different.”
Drivers are also given pension and health care benefits, and are unionized. These benefits and other items, such as decaling and advertising are paid for by the drivers out of a subscription. “We put a heavy emphasis on the way we treat our workers which differentiates us both from Uber and from traditional taxi companies; if we have happy drivers we have happy customers.”
“They’re independent contractors. Our model works because pretty much all are drivers are full time professional drivers; the Uber model it doesn’t really work for them to have commercial insurance because their model is based on a lot of amateur, part time drivers, so it’s less financially feasible to buy commercial insurance. We believe it’s important to have full-time, professional drivers, because it’s a matter of safety. If you have someone who drives for a living they know how to drive defensively, they will know how to drive for certain weather conditions and they will know the city as well.”
“There’s a lot of heavy investment in infrastructure if you want to drive for a taxi; we are lighter on our feet.”
As to rate, TappCar is “cheaper than taxis” says Ryffel “but slightly more expensive than Uber.” While the service does not use the surge pricing that Uber is known for, certain times of day and certain days of the week may attract a surcharge.