Safeboda is well known for its Boda boda (motorcycle or bajaj) services. Ugandans order rides using their phones, the motorcycle drivers call them to ask where exactly they are so that they are picked up and taken to their destinations. That there is convenience. But safeboda not only does that. It supports payments through mobile money for the riders.
Customers can pay for rides through mobile money deposited to their safeboda accounts. In addition to that, just recently, safeboda has also joined the mobile money business and Ugandans can now send and receive money for free. You might think safeboda is a charity organization because the services they are offering are way too good, plus the crazy discounts too. Don’t be deceived, those are all good marketing strategies! Safeboda does make many. How does safeboda make money you ask? Here is how.
Related:
1. How to Buy Airtime via the SafeBoda App
2. Four(4) Ways to Top up your SafeBoda Wallet
3. How to Pay with SafeBoda Cashless at your local restaurant
Contents
How does safeboda make money?
#1. Commissions from rides
Every safeboda rider who uses their services pays a usage fee. An amount for using safeboda services. As you know, it is the safeboda app that connects riders to customers through geo-locating services embedded in the app. Kind of like google maps. If I order a ride, safeboda picks up my location and looks for the nearest safeboda rider closest to my location and matches them to me. The safeboda rider will then get notified to come pick me up. Safeboda charges their riders for continuously using its services.
#2. Registration fees
When joining safeboda, one has to register. There is a registration fee that is paid to safeboda whenever a new rider joins their community. Make no mistake that just because you have enough money to register with safeboda that will be accepted to join its boda riding community. It is not as simple as that. An assessment is done together with background checks before you can join.
Then, after joining as a rider, you have to pay for the smartphone you use to match with the customers. That money is paid to safeboda. Additionally, the two nicely coloured orange helmets with numbers on them, orange vest, all are paid for and they are requirements while joining.
#3. Money transaction charges
Safeboda has a new mobile money service called the Saefboda wallet. Sending money is FREE of charge, however, withdrawing money costs you a certain percentage based on the amount being withdrawn. This is one other way how Safeboda makes money in Uganda.
Those are some of the ways safeboda makes money. I may not have included everything but those are some. In case you know more ways they are making money, let us know in the comments.