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Blu-Jek Joins Ride-Sharing Competition

Prayogo Ryza - 21 September 2015

The ride-sharing competition in Indonesia gets stricter nowadays. After players going in and out, Blu-Jek now comes into the scene, along with its better user privacy and unique payment method. In fact, the newly-introduced service has now been available on Android and iOS platform.

Go-Jek’s fame is considered to be the trigger of ride-sharing hype in Indonesia, regardless on the controversy it causes. Blu-Jek must be aware of the competition, given the fact that its direct competitors, Go-Jek and GrabBike, are imminent with plenty of cash on their hands.

Unlike its predecessors who pick green as their brand’s color, Blu-Jek is confident with going blue. Blu-Jek, which was associated as being a subsidiary of Blue Bird taxi company, is actually a stand-alone entity. The word “Blu” comes from “blusukan”, an Indonesian term for going to rural areas.

Blu-Jek’s Co-Founder Michael Manuhutu tells media that its unique payment method is what makes Blu-Jek different. Blu-Jek goes for cashless concept, as it applies e-money for each payment.

“We’re different, as we go for cashless payment concept. Consumers don’t need to pay with cash, as they only have to use their virtual account from an app called e-cash,” Manuhutu claimed.

The application of virtual money or e-money indeed isn’t that popular in Indonesia. Realizing that this point could actually backfire Blu-Jek, the service still accommodates cash payment as one of its supported methods.

”It’s only a matter of time, consumers can be educated if they try the concept themselves. Practice makes perfect,”  Manuhutu added.

Privacy becomes another uniqueness offered by Blu-Jek. It’s indeed the main issue for ride-sharing services nowadays. There are always drivers who don’t follow the SOP, thus bothering the consumers. This is what makes Blu-Jek concerns more on the matter.

Blu-Jek starts operating with 1000 drivers in Jabodetabek by applying free ride promo for the first 6 km and setting Rp 25,000 flat for the next kilometers. Once the promo period ends, the service’s fare would be Rp 20,000 for the first 5 km and Rp 4,000 for each next kilometer.

Blu-Jek’s fare isn’t that competitive actually, considering that its competitors set flat fare for every order. It’s interesting to find out whether Blu-Jek can survive by promoting its cashless concept and better user privacy.

Bad news is, consumers have yet regarded the service in positive manner so far, as most of Android users post their disappointment on the quality of ordering management system that Blu-Jek possesses. This surely is something that the startup must fix immediately.

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