12/04/2016 3:51 PM IST | Updated 15/07/2016 8:26 AM IST

Uber Slashes UberGo Prices In 10 Cities

Lucy Nicholson / Reuters
An Uber car is seen parked with the driver's lunch left on the dashboard in Venice, Los Angeles, California, United States July 15, 2015. REUTERS/Lucy Nicholson

Taxi aggregator Uber has slashed the prices of their cheapest option UberGo up to 22 percent in 10 non-metro cities. This will bring the UberGo rates as low as ₹5 per Km in some cities.

The price cut starts at 9 percent in Nagpur to 22 percent in Jodhpur and Udaipur. Other cities included in this price cut are Ahmedabad, Pune, Ajmer, Indore, Vizag, Mangalore and Trivandrum.

"The upside of these price cuts for riders is obvious as your Uber rides become even more affordable. But it’s also important to note that with increased demand drivers get busier as well. More demand increases driver efficiency on the road, resulting in more trips per hour, and less idle time while driving on Uber," the company said in a statement.

“With even more affordable fares, we believe Uber can be a viable alternative to people driving their own cars with all the hassle and cost that parking brings,” it said.

This move is clearly to curb the competition from Ola, that launched Ola Micro at cheaper rates than UberGo. Ola Micro charges as low as ₹6 per km. The service is available in 13 cities including Delhi, Bengaluru, Mumbai, Chennai, Kolkata, Hyderabad, Pune, Jaipur, Ahmedabad, Chandigarh, Bhubaneswar, Coimbatore and Guwahati. Ola Micro fleet will comprise cars like Datsun Go, Maruti Alto, and Hyundai Eon, among other compact cars.

In another announcement, Uber also partnered with today to provide easier rides for the home seekers. This is the part of the feature Uber recently announced where they are allowing other apps to implement a functionality where a user can call an Uber from their app itself.

Contact HuffPost India

Photo gallery Hollande In India See Gallery