New Income Stream for Ride-Hailing Drivers

The Lagos State Council of the Amalgamated Union of the App-based Transporters of Nigeria (AUATON) has introduced an LED car roof advertising scheme aimed at e-hailing drivers and fleet owners in the state. This initiative seeks to provide drivers with an additional avenue for income generation.

Comrade Jaiyesimi Azeez, the chairman of the council, explained that participating vehicles will be equipped with high-tech LCD roof displays that will feature advertisements and brand campaigns from various organizations and companies. Drivers will be required to operate their vehicles around the city with these displays active.

The primary objective of this advertising scheme is to help drivers maximize their earning potential, generate passive income, and increase their savings, particularly as the busy and financially demanding Yuletide season approaches. Beyond this period, the scheme is also intended to contribute to drivers achieving a greater degree of financial stability.

“The LED car roof advert display is giving car owners the unique opportunity to turn their vehicles into income-generating assets. By allowing their cars to be fitted with an LCD roof branding display, they can earn between ₦70,000 and ₦150,000 monthly, all while driving their usual routes,” the chairman stated.

Azeez further elaborated that earnings will be flexible and will depend on the amount of display time provided by the driver. However, he assured that the monthly earnings would range from a minimum of ₦70,000 to a maximum of ₦150,000. He also noted that participating drivers will become part of a modern advertising network that is transforming mobility in Lagos, thereby making a citywide impact.

“Your earnings will depend on the number of hours your car is actively displaying advertisements. Whether you’re a full-time driver or part-time operator, this is a simple way to increase your income stream without stress,” he added.

AUATON’s Advert Scheme Amidst Drivers’ Earnings Concerns

The issue of earnings has been a significant point of contention for e-hailing drivers, with many expressing dissatisfaction with their current income levels. In response to these concerns, drivers in various cities across Nigeria have taken independent action, sometimes increasing fares by over 50% compared to app-stipulated prices to achieve a livable income.

For instance, in 2024, e-hailing operators in Abuja, under the umbrella of the Concerned Abuja Pilots, decided to establish their own fixed fare prices, deviating from those set by app companies such as Uber, Bolt, and inDrive. Their new pricing structure included a fare of 450 naira per kilometer for short trips and 400 naira per kilometer for long trips, which was substantially higher than Uber’s rate of 150 naira per kilometer at the time.

More recently, operators in Rivers and Edo states, affiliated with AUATON, implemented a 50% fare increase. This decision was attributed to the need to improve driver earnings amidst declining income from the official ride-hailing applications.

Ride-hailing companies like Bolt and inDrive maintain that their drivers can earn sufficient income. Bolt stated that top drivers on its platform average earnings exceeding ₦1,610,351 monthly, while inDrive reported that its top-performing drivers earn over ₦1.2 million monthly.

However, drivers have contested these figures, asserting that only a small fraction of drivers achieve such high earnings. Furthermore, they point out that even for those who do achieve high gross earnings, the net profit after deducting operational costs such as fuel, internet, repairs, and other expenses, is considerably lower.

In light of these ongoing discussions about earnings, the Lagos AUATON's introduction of the LED car top advert scheme appears to be a strategic effort to provide drivers with an additional means of supplementing their income. The success and adoption rate of this new scheme among drivers remain to be observed.