Uber began operating in Punta Cana and Higuey on August, 2020, during the pandemic. Gabriel Gutierrez, general manager of Uber for the Caribbean and Panama, in a press conference stated: “without a doubt we are all feeling the ravages of the pandemic. Given the challenges that this situation presents for the finances of many households, Uber is a viable alternative to help mitigate the circumstances, in an accessible and reliable way.”
Uber began operations in the Dominican Republic much earlier, in 2015, starting in the capital Santo Domingo. Given the great reception from users, the app subsequently made its way in the country, until it also arrived in Punta Cana in 2020. At the beginning, Uber started offering only the UberX service in Punta Cana, but very soon problems emerged for the company.
Till that moment the private transportation system in Punta Cana was controlled mostly by the taxi drivers, who had a kind of monopoly in the sector and could apply pretty expensive (and usually overpriced) fares. The entry of Uber into the market represented a serious threat to the taxi drivers’ business and that is why strong conflicts began. An open clash between Uber drivers and taxi drivers broke out in 2020.
In the first year of service many incidents were reported in the tourist area. Taxi drivers started attacking vehicles, blocking passages, and tried to convince tourists that Uber was illegal in Punta Cana. Several Uber drivers accused taxi drivers of intercepting them and forcing passengers to get out of the vehicles. Some even alleged they were beaten, received death threats or had stones thrown at their cars.
The tense climate that had been created required the intervention of the Dominican Minister of Tourism himself. On April 2022, thanks to the intermediation of the Minister of Tourism, the Dominican Confederation of Tourist Taxi Drivers (CODOTATUR) and associations affiliated with this entity, was reached an agreement that allowed the tourist taxi operators in Punta Cana to register on the Uber platform as driver partners, in a new option called Uber Select.
Uber Select was a new option besides the popular UberX and added the tourist taxis to the app of Uber. Uber Select option represented the local taxis and came with a different pricing, which was at the beginning twice more expensive than the regular Uber fare. For sure you are wondering what was the deal for the taxi drivers then. Well the deal was that inside the all-inclusive resorts and at the airport, only the Uber Select option was made available, so only the taxi drivers could offer the service.
That means those tourists who want to pay the classic UberX fare instead of the (more expensive) taxi driver Uber Select fare, they need to reach the main entrance of the resort (instead waiting at the lobby) or going outside the airport (instead waiting at the terminal).
On the other hand, that’s been a great solution because finally the problems and the conflicts with traditional tourist taxis has been solved and today Uber is widely operative and accepted as a way to get around within the touristic area of Punta Cana.
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