Bolt has implemented a new bidding system allowing drivers to negotiate prices with riders, aiming to incentivize drivers and increase the likelihood of riders securing rides during peak hours. This move mirrors inDrive’s customer-driver negotiation model and seeks to address pricing concerns, which have been a common issue for drivers in the ride-hailing industry.
Femi Adeyemo, Bolt’s communication manager, explained that this system benefits drivers by enabling them to earn more while maintaining the same standard commission on all trips. Bolt traditionally charges a base fee for rides and uses algorithms to set prices, which can lead to price hikes during periods of high demand. Other ride-hailing companies, like Uber, follow a similar model but have faced criticism for not allowing drivers to negotiate prices directly with riders.
The new bidding model, however, introduces the opportunity for drivers to negotiate fair prices, though it also presents challenges in ensuring consistent and fair pricing. Bolt’s entry into the Nigerian market predates inDrive, and it has seen significant growth in popularity. InDrive, which launched in Lagos in 2019, expanded to 15 cities by July 2023.
Before the introduction of the bidding system, Bolt’s driver-partners in Nigeria benefited from fuel and insurance discounts as part of the Bolt Rewards programme, which started in March 2024. This initiative aimed to help drivers manage increased fuel costs, particularly after the removal of fuel subsidies in early 2023.
The rising cost of fuel is a key reason drivers might prefer to charge higher fees, a practice that algorithm-based pricing does not allow. The new bidding system is expected to mitigate these issues by giving drivers more control over their earnings and reducing rider wait times.
Bolt has also upgraded its incentives, including compensation for routes with long pickups. The company stated it would continue to provide flexible earning opportunities for drivers while ensuring riders can access services conveniently.
In December last year, Bolt Nigeria announced a ₦10,000 fuel subsidy bonus campaign for drivers in Lagos and Abuja. This bonus, which ran for the rest of the year, was designed to help drivers offset the impact of rising fuel prices.
Overall, Bolt’s new bidding system reflects an ongoing effort to balance driver earnings with rider accessibility, adapting to the dynamic demands of Nigeria’s ride-hailing market.