Which emirate is next?
‘WE AIM TO REPLICATE OUR SUCCESSFUL DUBAI MODEL IN OTHER AREAS’ OF UAE, SAYS CEO ALFALASI
Dubai Taxi Company is mapping out a clear strategy for its future growth — add more vehicles to its fleet and launch add-on services to build on its already dominant position in Dubai.
And then, where possible, launch full-scale operations in some of the other emirates.
“While we are considering several emirates for expansion, our focus is on those with significant growth potential in tourism and urban development,” said Mansoor Rahma Alfalasi, CEO of Dubai Taxi Co.
“Specific emirates will be chosen based on thorough market analysis, the regulatory environment, and alignment with our strategic objectives.
Dubai model
“We aim to replicate our successful Dubai model in other areas, enhancing connectivity and mobility across the UAE.”
In Dubai, DTC has more than 14,000 drivers and 1,000 plus staff. Last year, its vehicles made 114 million trips in the emirate.
Dubai Taxi Co, which had one of the most successful UAE IPOs of 2023, operates one of the bigger workforces in the emirate, and keeps adding as it brings in new related services. “We’re focused on growing all four of our business divisions — taxis, limousines, buses and delivery bikes — with an emphasis on organic growth and carefully selected partnerships,” said Alfalasi.
“For the limousine segment specifically, we plan to expand the fleet over the medium term. This follows a period of optimisation, driven by a desire to meet the needs of affluent riders, including executive travellers and high net worth tourists.
DTC already operates bus services in Ajman, based around a tie up with UAE Ministry of Education. There are also arrangements to offer commercial bus services in Abu Dhabi and Ras Al Khaimah.
DTC is on a roll
In 2023, the company scored with a Dh345 million net profit from Dh1.95 billion in revenues. The CEO says while launching in another emirate is part of the plans, there is no move to launch ‘sub-brands’ for services other than taxi rides under the DTC umbrella.
“At this time, we remain focused on strengthening the core DTC brand and continuing to improve our performance across our four existing segments,” he added.
“Delivery bikes, our newest segment launched in September 2022, is experiencing rapid growth, up a significant 8.6 times year-on-year, as we scale up our fleet and enter into new agreements with the likes of [online marketplace] noon and Smiles from Etisalat by e&.”
With delivery services, we are going for enhanced profitability through strategic route optimisation, technology investments for operational efficiency, and scaling to capitalise on economies of scale.”
Stick with owned vehicles strategy?
After the IPO, there was talk that the company would consider allowing third-party owned fleets to sign up with it. By doing so, it could get DTC move faster on fleet expansion.
Alfalasi doesn’t think much of that. “DTC is proud to own and operate all of our limousines and taxis,” he said.
“This ownership enables us to deliver unparalleled service and reliability across these segments. In terms of fleet expansion, our focus remains on strategic growth and enhancing our service offering...”
Mansoor Rahma Alfalasi | CEO of Dubai Taxi Co.
DTC already operates bus services in Ajman, based around a tie up with UAE Ministry of Education. There are also arrangements to offer commercial bus services in Abu Dhabi and Ras Al Khaimah.