GrabTaxi goes head-to-head with Uber with new ride-sharing service

GrabHitch will be launched by the end of the year.

GrabTaxi unveiled a social ride-sharing service for Singapore commuters called GrabHitch.

GrabHitch can be used by anyone with extra space in their vehicle for passengers heading in the same direction. Drivers will be able to offset the cost of their journey while passengers will pay about half the cost of a taxi.

"GrabHitch hits the sweet spot for people who want a door-to-door transport service, but prefer not to pay a premium above public train or bus fares. We think GrabHitch will attract users of public transit options, which will alleviate the crowds on trains and buses,” said GrabTaxi Co-Founder Tan Hooi Ling.

Passengers can pre-book a ride seven days in advance and up to 15 minutes before pick-up. They need only to enter their location and destination, and both the driver and passenger will be notified when a successful route match is made. 

In accordance to Singapore regulations about carpooling, GrabHitch drivers are only allowed to accept a maximum of two rides per day. GrabHitch fares, which are computed based on the ride’s distance, will only cover variable costs such as petrol and car depreciation. Passengers can tell right away if they’re comfortable with the price before confirming their booking as fares are shown upfront.

“GrabHitch users will also have access to the robust safety measures in the GrabTaxi app, including the 'share my ride' feature that allows live tracking of the ride, and the 24-hour customer service hotline,” said GrabTaxi.

GrabTaxi is hoping to grow a ride-sharing community, so it’s requiring that both passengers and drivers log-in to GrabHitch through Facebook. This allows them to check for mutual friends, and indicate if they wish to share their ride with someone of the same gender.

GrabHitch is currently open for its beta driver signup phase from 11 to 30 November. Drivers can download or update to the latest version of the GrabTaxi app, and the early birds are entitled to GrabHitch perks.

Consumers can look forward to the GrabHitch launch at the end of 2015.