Subscription-based Tara ride-hailing app plans to enter PH market 

Updated Sep 12, 2023 | Same topic: Automotive Industry Updates

It promises to be cost-effective but it isn’t out yet. 

A new ride-hailing smartphone app called “Tara,” (Let’s Go in English) is planning to enter the Philippine market. What makes this app worth paying attention to is that it promises to be more affordable compared to market-dominant Grab thanks to a subscription-based system.

A picture of Tara's fares

Tara promises affordable fares

Sole developer and proprietor of Tara Erwin Dee said that there is a gap in the ride-hailing industry, which is what the Tara app aims to eventually fill. 

How it works is that instead of a commission-based business model that current Transportation Network Vehicle Service (TNVS) companies use, Tara will be subscription-based. The main revenue of the new company itself will come from a “modest and affordable fee for access to our service.” 

The subscription plan that users will pay for will form the cornerstone of the said app. According to Tara, there will be three plans that will cost Php 30, Php 300, and Php 3,000, respectively. The most affordable Php 30 plan will have three tokens which equates to three bookings, while the Php 300 plan will offer 30 tokens for 30 bookings. The most expensive plan, in turn, will have 300 tokens for 300 bookings.

The upcoming app's subscription plans

The upcoming app's subscription plans

This, according to Dee, will result in more affordable ride service with zero surcharges while still following the Land Transportation Franchising and Regulatory Board (LTFRB) fare matrix. Dee further claimed that this won’t cut into driver earnings. Instead, one hundred percent of the fare will go to the drivers. This was decided upon by Dee because he wants the drivers to be “independent.”

The app’s founder also claimed that users may save up to Php 300 for long-distance and rush-hour bookings while keeping it sustainable for drivers. Tara will also feature in-app ads. Around 80 percent of the ad revenue will then be used towards user incentives like discounts, promos, etc. 

The upcoming app will also have an invite-only system which means that it will ensure a curated set of drivers. Prospective users are likewise required to secure an invite code from existing users. To this end, there’s an air of exclusivity to this app though it does have a system where it can be easily shared with friends and loved ones. 

The app will feature an invite system for users

The app will feature an invite system for users and drivers

All of this might sound exciting to commuters who rely on TNVS but note that Tara seems to be in its early stages. It still is akin to a concept, though the company says it is coming soon on both the Google Play app store and the Apple App Store. And while Philippine-based Reddit users welcome a “game-changing” challenger to Grab, many remain skeptical. 

Comments about Tara that particularly stood out is whether it is already registered with the LTFRB. Many are likewise concerned about privacy issues, and if a one-man team can really handle the rigors of managing a TNVS operation. 

For now, keep it here on Philkotse for more updates on the Tara ride-hailing app. 

Cesar G.B. Miguel

Cesar G.B. Miguel

Author

Cesar Guiderone B. Miguel was born and raised in Iligan City, Lanao Del Norte. He graduated in 2010 with a Bachelor of Arts in English degree from Mindanao State University - Iligan Institute of Technology. He previously worked as a freelance writer for various websites, as a member of the Iligan City Disaster Risk Reduction Management's training staff, and as a medical sales representative.

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