Less Hassle And More Savings! This is the usual pitch from the Cab service providers in India, especially for the pooling and sharing services they offer. This surely sounds great and rising number of daily commuters are opting for the share-cab services. But how beneficial is it in reality?
According to a study conducted by the Crisil, if one commutes less than 12,000 km every year, it is beneficial to hire a cab from Ola or Uber than to own a car. It is feasible to go for a personal car if the distance driven exceeds 15,000 km per year.
Moreover, the aggregators are adding vehicles at a faster pace to their fleet due to the rising preferences. Even though the fares are higher than the three-wheelers or other tax services, the commuters are preferring to pay for the sake of greater convenience with cabs. Thus, the cabs would clock more driving miles compared to the personal cars, according to Crisil.
Despite the favorable factors associated with the cab services, a person willing to buy a car will go for it if it is one of his aspirational goals. But would surely defer the purchase idea of the second car, and rather opt for cab services for commute needs. With increasing shift towards cab aggregator services, cab-owners tend to use more fuel-efficient vehicles, which leads to lesser emissions. Last but not the least, the convenience of doorstep pick up that comes with hiring Ola and Uber cab services is unbeatable!
In conclusion, it is imperative to make wise money decisions so as to do the best things with your hard earned money. Maximize savings and choose better investment vehicles like mutual funds that allow your money grow. For more personal finance advice, approach ArthaYantra – World’s full-service Robo-Advisory. We guide you make well-informed money decisions.