Nigerian E-Hailing Industry Sees Growth with New Players

Generated by AI AgentCoin World
Wednesday, Jun 11, 2025 8:20 am ET2min read
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The Nigerian e-hailing industry has seen significant growth, with thousands of drivers operating across various states, serving millions of users, and contributing billions to the economy. The industry is dominated by three major companies: UberUBER--, Bolt, and inDriveINDV--. Uber entered the Nigerian market in July 2014, followed by Bolt in 2015. These two companies ruled the industry as the Big Two until inDrive's entry in 2019, which led to intense competition and a price war.

While the Big Three control a majority of the market share, several smaller players are making waves across the country. These lesser-known e-hailing apps are carving out their own niches and offering unique services to cater to different segments of the market. Here are five of these underdogs and a brief overview of each.

Nairaxi, founded in October 2020 by Nigerian businessman Kingsley Eze, operates mainly in Abuja, with light operations in Lagos and Kano. The company offers a range of mobility services, including taxi-hailing, luxury chauffeur-driven VIPVIPS-- rental rides, and parcel/grocery delivery. Nairaxi prides itself on providing safe and easy transportation options with well-trained drivers. In February 2023, the company won the innovator’s competition organized by the Nigerian Communications Commission. In February 2024, Nairaxi became the first app company to obtain an operational license in Abuja, a significant achievement given the presence of Uber, Bolt, and inDrive in the city.

SimpliRide, launched in April 2025, is operational in Lagos, Abuja, and Port Harcourt. The app was established to address critical challenges faced by drivers in the e-hailing sector. SimpliRide offers a zero-commission policy, charging drivers a daily subscription of N1,500 regardless of their earnings. The app enjoys strong backing from the Nigerian e-hailing union (AUATON) and has been endorsed by the union for its joint-regulation model. The union spokesperson emphasized that SimpliRide aims to revolutionize the e-hailing sector and improve the conditions for app-based workers in Africa, starting from Nigeria.

Drop, launched in September 2024 by entrepreneur and US-based developer Moyosore Oladeinde, aims to solve problems in the ride-hailing space. Inspired by her personal experience with rude drivers on Bolt, Oladeinde founded Drop to ensure drivers are well-trained, properly verified, and equipped to address industry issues such as safety, customer service, and overall drivers’ earnings. The app charges a 10% commission on every ride while giving drivers the flexibility to decide their earnings. Drop also offers vehicle financing, hire purchase options, delivery services, and call center services.

OlakzRide, launched in December 2023 by UK-based businessman Olasupo Kuye, offers a subscription-based pricing model instead of percentage or commission-based billing. Drivers pay a weekly or monthly subscription fee, allowing even first-time drivers to earn without worrying about commissions. OlakzRide provides an all-in-one app where both drivers and passengers operate on the same platform, enabling riders to switch to becoming drivers. The app recently signed K-Solo as a brand ambassador and is available in Lagos and Abuja.

ZanRide, launched in Port Harcourt in 2024, aims to change how people commute not just in Nigeria but across the globe. The company offers a ride-sharing app that connects riders with drivers, providing a secure and affordable platform for users to commute. ZanRide boasts a user-friendly interface, optimized matching technology, and a commitment to safety and service, setting a standard for modern transportation.

These lesser-known e-hailing apps are contributing to the diversification of the Nigerian e-hailing industry. By offering unique services and addressing specific challenges faced by drivers and riders, these apps are providing alternatives to the dominant players and catering to different market segments. Their presence highlights the growing competition and innovation in the Nigerian e-hailing sector, which is likely to continue evolving as new players enter the market and existing ones adapt to changing consumer preferences and technological advancements.

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