Companies

The cheapest Uber is going away: UberX bows out in South Africa on 1 September

The budget ride that put Uber on local roads in 2014 is being retired as the app trims its menu and the low-cost fight with Bolt and InDrive heats up.

The cheapest Uber is going away: UberX bows out in South Africa on 1 September

For a decade, UberX was the default way many South Africans priced a night out, and from 1 September it disappears. Uber has told customers by email that it will discontinue UberX, its low-cost mainstay, across South Africa on that date. In the note the company said it is officially saying goodbye to the classic product to make way for a simpler, more tailored lineup.

A shorter menu

UberX launched in Cape Town in June 2014, two years before it became a verb in most Joburg suburbs, offering Toyota Corolla-class cars seating up to four. Its exit follows an earlier notice given to Johannesburg users back in May, and the world's largest ride-hailing platform says the cut is about simplifying its offering. From September, the confirmed entry-level option is Uber Go, a smaller car at a lower price, sitting alongside Comfort, Black and Reserve, the last of which lets riders book up to 90 days ahead with guaranteed pricing. The reshuffle follows a spell in which Uber's local menu, from Moto and Electric to Go, X, Comfort and Black, had arguably grown confusing for riders.

Why now

It also lands in a sharpening price war at the bottom of the market. Uber, which launched locally in 2013 and operates in 24 South African towns and cities, is the biggest player, but rivals are pressing hard on affordability, and both it and Bolt have leaned on middle-income commuters seeking a reliable daily ride beyond public transport. Under new Sub-Saharan Africa GM Deepesh Thomas, Uber has answered with the motorcycle-based Uber Moto and, more recently, Uber Electric for cheaper rides. Bolt has pushed cheaper tiers like Bolt Lite, which uses compact Bajaj Qute quadricycles rather than cars, while InDrive lets passengers name their own fare. It all plays out in a market estimated at about 100,000 e-hailing drivers and more than two million passengers. MyBroadband notes the industry has leaned harder into budget options for lower-income riders, even as driving-skills experts warn the Uber-Bolt rivalry has fuelled a race to the bottom on service and safety.

For riders, the name on the app is changing; the real question is whether the fare does too.

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