Uber contributed Rs.81bn to Sri Lanka’s economy in 2021: Report

5 October 2022 04:04 am Views - 336

Uber officials with report

 

Uber’s 2021 Sri Lanka Economic Impact Report, compiled by Public First, a UK-based policy research firm, which was launched yesterday, has highlighted how Uber and Uber Eats have helped transform the on-demand economy for consumers, drivers and delivery-partners and the wider community by generating Rs.81 billion for the Sri Lankan economy in 2021. 

Uber Senior Director Public Policy and Government Relations Asia Pacific Region Mike Orgill and Uber Director Regional Operations India and South Asia Region Shiva Shailendran along with Uber Sri Lanka’s leadership team members, including Uber Eats Country Manager Bhavna Dadlani Jayawardana and Uber Rides Country Manager Thanushika Sivanathan graced the report launching event. 

Commenting on the report, Orgill said, “Uber has been an important engine of economic growth and opportunity in Sri Lanka since 2015 but we never knew the extent of our contribution. This research shows for the first time the impact on drivers and delivery partners, consumers and the economy as a whole. It reaffirms the importance of flexible work opportunities and spotlights how expanded mobility options and choice as part of the on-demand economy have created critical value for the Sri Lankan economy. It makes our resolve stronger than ever before to continue working for the community and deploying our technology and global expertise to contribute to Sri Lanka’s growth.” 

 

Key findings of report

 

Uber’s contribution to Sri Lankan economy

• Uber and Uber Eats created an estimated Rs.81 billion in economic value for the Sri Lankan economy
• Together, Uber (27 billion) and Uber Eats (25 billion) produced Rs.52 billion in consumer surplus in 2021, which is equivalent to 0.3 percent of the country’s GDP.

On-demand services boosted small business recovery

• Uber Eats encouraged Sri Lankans to support local restaurants and merchants, which they would otherwise not have had access to, leading to Rs.2.1 billion in additional revenue and a gross impact of Rs.51 billion for the Sri Lankan economy as a whole.
• 88 percent of Uber Eats users agree that food delivery apps made it easier to discover new restaurants.
• 74 percent of users have ordered from restaurants they had never tried before.

Drivers and delivery people value flexibility

• In 2021, we estimate that drivers made an additional Rs.775 million a year in earnings through Uber or an average of 27 percent more than their next best alternative.

Consumer behaviour helped to drive innovation

• Consumers are prioritising convenience and reliability, with Uber estimated to save riders in Sri Lanka over 3.7 million hours a year leaving more time for family and friends.
• On average, Uber riders saved nine minutes per trip compared to the next best alternative, leaving more time for family and friends.
• Uber and Uber Eats produced Rs.52 billion in consumer surplus* for Sri Lankans in 2021.
• Uber’s trackable point-to-point transport solutions are helping to fill the inevitable gaps in public transport, with one in seven trips taken with the Uber app connecting with public transport.
• Safety is a top reason for choosing the platform with 96 percent of female riders saying that safety is an important factor in their choice to use the Uber app.
• Having access to sustainable ride-sharing platforms encouraged users to not own a vehicle. 
• According to Sri Lankan riders, ridesharing is the most significant transport innovation they have experienced in the last decade.