Cabify achieved a growth of 500% in 2017, but will face challenges such as security in some Latin American countries.
For Cabify, the year 2017 was full of challenges and opportunities. The death of Mara Fernanda Castilla in the Mexican state of Puebla, allegedly murdered at the hands of her driver, the cancellation of the service in that state, and the establishment of dynamic rates are some of the events that marked the previous year. However, the company seems to have achieved a very positive balance during the past year and, according to data provided in a statement, has grown more than 500% over 2016, in addition to 1,800 employees and more than 13 million users.
One of the biggest bets Cabify has placed since it was founded in Spain was its expansion through Latin America, where it has managed to position itself in markets such as Mexico, Lima and Chile. Its arrival in large cities such as Mexico City has highlighted other challenges for the company, such as putting its service into practice in one of the busiest capitals in the world. The excessive growth of the cities and the few alternatives to mobility are the foundation for the platform, which aims to "use technology to optimize the mobility alternatives that exist," said Ricardo Weder, CEO of Cabify in Latin America, in an interview with Hypertext.
To encourage the necessary measures that can improve the transportation landscape in Latin America, Cabify joined other platforms such as Urbvan, Jetty and Siggo for the creation of the Latin American Association of Mobility Companies as a Service. The main objective is to encourage mobility in cities, although the platforms have joined forces to obtain regulations and policies that give certainty to services and business models.
The challenge of regulating private transport services such as Uber is that they have had to deal with several problems in Mexico, it seems to remain the pending issue for 2018. While some states in Mexico such as Quintana Roo discuss a Mobility Law that regulates these services, the companies question the conditions requested by the authorities. For this, Cabify moves to join the competition to carry out an improvement. The key is to "always collaborate in the search for regulations, to improve the mobility ecosystem in cities and create a level floor for competition, we believe in collaboration with companies," Weder said.
On the other hand, Cabify must face one of the biggest scandals since its arrival in Mexico. Last September, the death of the young Mara Fernanda occurred, and she was allegedly murdered by the platform's driver, which highlighted security challenges. The state of Puebla, where the murder occurred, canceled the transport service's operations until it managed to return months later with the condition of meeting certain conditions on the part of the authorities.
After the scandal, the platform launched new security measures in the application with the implementation of a panic button, which allows direct access to 911 in case of emergency. In addition, it enabled an option to link a contact, which receives all the information about the user's journey through an email or SMS. By 2018, Cabify will continue to implement new methods.
"We are developing a technology that will be able to predict risks ahead of time, with the volume of data and with data science to offer solutions and greater certainty for users and drivers," said the Cabify CEO in Latin America.
The above article was written and published in Spanish and has been translated into English. Click here to read the original article.