Speaking on Channels Television, Omokri explained that Uber’s business model was built around providing affordable, mass transportation while competing with traditional taxi services.
“I’m going to give you an example of Lagos. The business model that Uber has is that they come into your country and then they bring about mass, low-ticket transportation, so that they price out the regular taxis. This is what they’ve done successfully in several countries, including the United States and United Kingdom,” he said.
Omokri said Uber initially succeeded in Nigeria but faced increasing competition as transportation infrastructure improved, particularly in Lagos.
“They tried that in this country, and it was succeeding. But look at what was happening in Lagos. The infrastructural development in Lagos has been so wide, has been so extensive, that it’s now possible for you to get from point A to point B in Lagos at a fraction of the cost using the Blue Line, the Red Line, and soon the Green Line is coming up on stream,” he said.
He also pointed to Abuja’s rail connection to the airport as another example of the country’s expanding transportation network.
“In Abuja, you can actually get to the airport by rail. And so Uber could not compete. They could not compete because of the advancement of infrastructure in Nigeria,” Omokri added.
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