Ola has started a new low-cost service that seeks to match rival Uber’s lowest-cost service. Called Ola Micro, the service is being launched in seven cities in India at a per kilometer rate that is Re 1 less than the UberGo service. But UberGo has a lower base fare and a higher minimum fare than Ola Micro. What all of that means is, for a two to four kilometer drive, UberGo would be slightly less expensive than Ola Micro, while for more than four kilometers, it will be the other way around.
In Bengaluru, Ola Micro has a minimum fare of Rs 40, a per km charge of Rs 6, and a per minute charge of Re 1, while UberGo has a base fare of Rs 40, a minimum fare of Rs 50, a per km charge of Rs 7 and a per minute charge of Re 1.