View From Arada | Feb 19,2022
Ethiopia Taxi (ETTA), one of the first taxi-hailing service providers, has diversified into providing courier services with its latest creation, Zmall, an e-commerce and delivery application.
ETTA Solutions Plc, the tech company behind ETTA and Shekla, the music player and store, is now giving taxi services only to corporate clients and has stopped providing them to the general public. The company started a taxi-hailing service in 2016 with the hope of expanding but paused the business segment five months ago.
"Things didn't go as smooth as we had expected and pushed us to shift our attention to other software services," said Temesgen Gebrehiwot (PhD), founder and managing director of the company.
The company now focuses on Zmall, an online one-stop shop that features supermarkets, beauty supply companies and provides services for DSTV payment, concert tickets and soccer tickets. It charges 60 Br for its shortest delivery distance, one to three kilometres, and 110 Br for its longest journey, nine to 12Km.
The company invested five million Birr for Zmall to procure 75 electric bikes and train unemployed youth near the ETTA office in Kazanchis to become its employees. It plans to feature restaurants, bars and other services like electricity and water payments on its app and aims to have a fleet of 7,800 delivery motorbikes by 2021, according to Temesgen.
ETTA started the taxi service following discussions with the Ministry of Transport, but things did not go as anticipated, according to Temesgen.
"While the taxis were new and modern," Temesgen said, "the drivers weren't aware of how it worked, nor were they given any training or preparation by the government."
Since most of the taxi associations had also started signing exclusivity deals with other service providers the company had to turn to the old blue taxis in the city to deal with the shortage, which was not ideal, according to Temesgen. He believes that those cars with Code-3 license plates should not be used for taxi services but instead for business and rental purposes.
Alazar Yirdaw, director at Addis Abeba Transport Authority Public & Freight Transport Dispatch & Operator License, said that the Transport Proclamation designates Code-3 plate vehicles to be used only for business and rental purposes.
"One of the issues in contention is the legal interpretation of a rental agreement," he added. "The issues will be resolved once the pending court cases have been finalised."
This is new territory for the government, and they have not made the situation clear, according to Birhanu Assefa, general manager for Adika Taxi, another company that has switched to providing taxi services only to corporate clients due to the demand.
"If we get Code-3 taxis and try to operate," said Birhanu, "we'll be shut down while others are working. And I do believe there’s plenty of room for everyone, but we want a fair and level playing ground."
The vintage blue taxis have been operating in the city since the late 1970s, and the city's Transport Bureau has registered 10,000 blue taxis to replace them with better and newer models. But it has yet to acquire financial support.
ETTA has also developed and tested an app called Addis Guzo designed for use by the Addis Abeba Transport Authority. The application is a tracker and controller for taxis that violate rules such as carrying too many customers. Passengers can easily put in the license plate and send in their complaints through there. The Authority can then get the information and track it through a control centre.
The government should encourage innovation by all means necessary, according to Werotaw Bezabih (PhD), an expert on entrepreneurship.
"The one thing that the youth have to offer is ideas, and the government should take all the necessary steps to make sure there is conducive ground for innovators to try and fail and get up again," he said. "At the moment, we are lagging extremely behind in this."
PUBLISHED ON Apr 04,2020 [ VOL 21 , NO 1040]
View From Arada | Feb 19,2022
Fortune News | Dec 19,2021
Fortune News | Mar 28,2020
Fortune News | Jul 18,2020
Radar | Sep 14,2019
Radar | Jul 27,2019
Fortune News | Jun 14,2020
Radar | Jul 27,2019
Radar | Feb 20,2021
Fortune News | Feb 23,2019
November 27 , 2021
Against my will, I have witnessed the most terrible defeat of reason and the most sa...
November 13 , 2021
Plans and reality do not always gel. They rarely do in a fast-moving world. Every act...
October 16 , 2021 . By HAWI DADHI
Residing in a country with no capital market, an organised marketplace for trading se...
August 28 , 2021 . By HAWI DADHI
The streets of Addis Abeba are as varied as they are many, although too many of them have yet to be named. From the narrow alleyways of the...
Leaders of the National Election Board are in a charm offensive mood, of a sort. Last week, they organised a rare tour for members of the me...
When the country’s most senior diplomats and envoys return back to their posts after two-week debriefings, they leave behind a point or tw...
May 14 , 2022
Diana Yohannes is one of those actively engaging in social media platforms with her T...
May 7 , 2022
The Ethiopian Economic Association (EEA) recently proposed the formation of a macroec...
April 30 , 2022
There is no ambiguity in the UNDP's assessment of Ethiopia’s economic performance a...
April 22 , 2022
Most African countries top the list when ranked on the prevalence of conflict, food i...
PM Abiy Ahmed (PhD) at a Gala Dinner Called for the Awarding of the Félix Houphouët-Boigny Peace Prize
May 6 , 2019
It is impossible to talk about life without bringing up death. Death seems distant, something we often try to avoid discussing. We only real...
Or see contact page