Uber has announced a partnership with the Airports Authority of India (AAI) to expand its cab service zone across multiple airports in the country. The cab aggregator company sees the aviation sector as a key growth driver for its business.
Uber India and South Asia President Prabhjeet Singh stated that the company has recorded nearly 100 per cent year-on-year growth in airport trips in January and February 2023, with one in every 10 trips on the Uber platform being an airport trip.
Through the partnership, Uber will provide dedicated pickup and drop points at AAI-managed airports, deploy technology to help users navigate to Uber Zones and provide parking solutions for driver partners. Singh noted that trips to airports tend to be higher-value trips due to the distance between many airports and city centres, and revealed that approximately 17 per cent of Uber's total revenue in India comes from airport trips.
This percentage is expected to increase as the aviation sector continues to grow rapidly, with over 30 lakh (3 million) riders already using Uber to get to airports in the first three months of 2023.
While Uber currently provides ride services to all airports in India, the agreement with AAI will enable the company to build dedicated Uber Zones within airport premises. Singh stated that Uber has partnerships with 12 airports across the country that are managed by private companies and the government, and with the new agreement, the company aims to gradually expand its operations across the majority of AAI-managed airports in the coming months and quarters.
The memorandum of understanding (MoU) covers all AAI-managed airports, but Singh clarified that operations will be rolled out in a phased manner.
Singh further revealed that Uber is in active discussions with AAI for city-by-city plans, taking into account airport traffic projections and capacity expansion plans. The company is conducting joint network mapping with AAI to identify priority locations for expansion. Singh emphasized that Uber is prepared to deploy solutions within a matter of days, including pickup locations, technology, and operational teams on the ground.