Singapore-based TADA to enter Hong Kong market

Singapore-based ride-hailing platform TADA, known for its zero-commission model, will venture into the Hong Kong market by end of year.  

The company will leverage its experience of operating in highly regulated markets to provide riders with fairer fares and offer drivers a higher share of earnings, when it launches its innovative technology platform in the city before the end of 2024.

This comes as TADA sees immense potential in the Hong Kong market, driven by a robust economy, high population density, and strong demand for reliable and efficient technology solutions, according to Sean Kim, CEO of TADA.

“While the environment is extremely competitive, we are confident that our commitment to safety, fairer fares and service quality, along with in-depth experience in regulatory compliance, will immediately differentiate TADA from competitors and help us establish a strong presence in Hong Kong," he added.

TADA believes in creating ride-hailing experiences that are fair and equitable for everyone involved. TADA’s platform offers passengers stable fares and a seamless, user-friendly app without compromising quality.

By taking only a small platform fee instead of a commission, TADA aims to provide drivers with a fair and supportive earnings environment. These strategic commitments are critical to creating more transparent and financially rewarding transportation networks.

Building on its core values and experience in other Asian geographies, the company is tailoring its approach to meet Hong Kong’s unique needs and preferences. That includes developing a deep understanding of the market, and a commitment to integrating seamlessly with the city's dynamic urban environment.

Recognising the importance of local partnerships for a successful entry and seamless integration into the market, TADA is now exploring opportunities to collaborate with key partners. The company is also committed to building close, collaborative relationships with policymakers, relevant government departments and other industry organisations to address potential concerns and enhance the transportation experience.

In the competitive landscape of Hong Kong’s ride-hailing market, TADA will be entering a space currently dominated by several well-established players. Notable competitors include Uber, HKTaxi and Didi Chuxing. However, TADA aims to differentiate itself through its zero-commission business model, transparent pricing, and a commitment to safety and quality service, said TADA's spokesperson. 

As TADA prepares to enter the Hong Kong market, the company is committed to ensuring that its operations are guided by people who truly understand and resonate with the local community. "Consistent with our approach in other markets, our Hong Kong office will be led by locals," said the spokesperson. 

This local team will be further strengthened by the support of an experienced cross-functional team from our regional headquarters in Singapore. "This blend of local expertise and regional experience ensures that our operations in Hong Kong are both locally relevant and regionally informed. "Recruitment for our Hong Kong office will commence shortly," added the spokesperson.

“Expanding into Hong Kong represents a unique opportunity to bring our technology vision and customer-centric services to another dynamic and bustling Asian metropolis, and we welcome the Hong Kong government's plans to regulate the ride-hailing space,” said Kim.

“As established licensed operators in Singapore and Thailand, we understand how a well-managed regulatory environment can help the industry and society to evolve and grow. We look forward to sharing our technical capability and compliance experience, and making a positive contribution to Hong Kong’s mobility future," he added.

The development is the latest step in TADA’s mission to extend its proven formula across Southeast Asia. It follows TADA’s launch in Thailand earlier this year, where it is licensed by the country’s Department of Land Transport. Founded in 2018 in Singapore, TADA is one of the five ride-hailing platforms licensed by the Singapore Land Transport Authority.

TADA's move also comes in line with Hong Kong government’s plan to introduce a new licensing system to regulate ride-hailing platforms such as Uber. 

According to a document submitted by The Transport and Logistics Bureau that was discussed today, the authorities suggested a new licensing system that would require platform companies to apply for operating licences or permits before they run their businesses.  

They also need to ensure that all vehicles and drivers engaged in providing services through their platforms are issued with appropriate licences or permits and covered by relevant insurance policies. 

Moreover, eligible drivers are only allowed to provide pre-arranged services through government-licensed platform companies, or they will commit an offence.  The proposal aims at effectively protecting the platforms, drivers and passengers while ensuring travel safety of the public. 

The authorities also said they were open to ride-hailing services such as Uber, but the platform must comply with the law to protect the safety and interests of passengers.

Photo courtesy: Seam Kim's LinkedIn

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