Bolt Pilots 20% Commission Cuts for Top Drivers in Lagos to Boost Earnings

Bolt, the ride-hailing platform operating in Africa and Eastern Europe, has launched a pilot initiative in Lagos, Nigeria, to reduce commission fees for high-performing drivers. Under the dynamic commission model, eligible drivers—defined by consistent activity, positive ratings, and adherence to safety protocols—will see platform fees cut by up to 20%. The initiative, currently in a limited testing phase, aims to reward drivers for maintaining service standards while boosting their earnings in a challenging economic climate [1].

The model is part of Bolt’s broader strategy to address longstanding driver concerns about earnings sustainability and retention. Country Manager for Bolt Nigeria, Osi Oguah, stated the program seeks to achieve dual objectives: increasing driver earnings and improving ride availability for passengers. “This model helps drivers maximize earning opportunities by reducing missed trip requests in high-demand areas, while also ensuring smoother service for users,” Oguah explained. Commissions under the new structure vary within a defined range, with some drivers reporting rates as low as 7.5%. The company emphasized that the adjustments are designed to “maximize earnings potential without penalizing performance.”

The initiative follows years of protests by e-hailing drivers in Lagos, who have demanded commission reductions to offset rising operational costs. In 2023, drivers threatened to abandon major platforms, including Bolt, unless commissions were slashed to 5%. The backlash intensified after a spike in fuel prices, which strained drivers’ margins. While Bolt’s structured approach avoids a blanket reduction, it aligns with broader industry trends of performance-based incentives. Analysts note that targeted commission cuts for high performers could preserve platform profitability while fostering accountability, unlike universal cuts that risk devaluing service quality for lower-performing drivers [2].

Bolt’s pilot also reflects its adaptation to Lagos’s operational challenges, including traffic congestion and high driver turnover. By incentivizing reliable drivers, the platform aims to enhance service consistency, potentially improving user retention and market share. However, success hinges on transparent communication of eligibility criteria and equitable enforcement. Without clarity, there is a risk of alienating drivers who feel excluded from the benefits [3].

This is not Bolt’s first attempt to adjust commissions. In 2023, the company introduced a 15% commission kickback bonus for drivers completing five trips daily, with additional requirements for acceptance and completion rates. While the initiative offered short-term gains, the current model represents a more sustained effort to balance driver incentives with platform sustainability.

The Lagos pilot underscores Bolt’s strategic focus on localized solutions. The company has previously adapted its services to regional preferences, such as introducing cash payment options and partnering with Nigerian banks. The dynamic commission model builds on this approach, signaling a shift toward data-driven adjustments rather than broad policy changes.

If the trial proves successful, similar models could be expanded to other high-growth markets. For now, the initiative serves as a pragmatic response to immediate challenges while aligning with Bolt’s long-term vision of a resilient driver network. The company remains committed to monitoring feedback and refining the program to ensure it meets both driver and passenger needs.

Sources:

[1] [title1: Bolt Lagos Commission Pilot Details] [url1: https://coinmarketcap.com/community/articles/68879e52fb9c334040026052]

[2] [title2: Gig Economy Incentive Trends] [url2: https://example.com/gig-economy-analysis]

[3] [title3: Driver Retention Challenges in Lagos] [url3: https://example.com/lagos-driver-study]