Sri Lanka’s tourism sector is facing a growing challenge as tensions between local taxi mafias and app-based ride-hailing operators escalate. In the past twelve weeks, more than 30 incidents have been reported where local taxi groups allegedly harassed or obstructed app-based drivers for transporting passengers in certain areas. Several of these incidents included not just vandalism and causing damages to vehicles but also physical injuries sustained by app-based ride-hailing drivers. To worsen the situation, many of these incidents involved foreign tourists seeking the convenience of app-based transport solutions during their holiday. These incidents not only put drivers at risk but also threaten the country’s reputation as a safe and welcoming destination for travelers.
Data from PickMe, Sri Lanka’s leading ride-hailing platform, reveals several hotspots across the country where such conflicts have become common. Jiffry Zulfer, CEO of PickMe, has called for urgent action from law enforcement authorities to address these growing safety concerns and ensure the safety of all involved.
“This resistance toward app-operated transport technology services stems from a misguided belief that these platforms are taking business away from traditional operators,” Zulfer explains. “In reality, software-driven solutions help to bring tourists into their areas from far off locations, creating opportunities for local businesses. Traditional operators on the other hand, are most often not in a position to bring in tourists to their areas, due to limited accessibility and higher operational costs. It is therefore necessary to understand that instead of viewing technology driven transport as competition or even a threat, it is actually a system that makes the overall industry more efficient.”
App-based software platforms like PickMe are becoming the preferred choice for tourists due to their affordability, convenience, and transparency. Unlike traditional taxis, which often rely on negotiated, fixed, or meter-based pricing, app-based services use dynamic, data driven pricing resulting from the large efficient marketplaces they’ve created, with the advantage of technology. This ensures that drivers are available when needed while offering cost-effective rates for passengers.
For tourists, this pricing model is a game-changer that provides reliability, and safety in an unknown terrain. Knowing the fare in advance eliminates the need for negotiations or concerns about overcharging—issues frequently reported with local taxis. In Colombo, for example, traditional meter rates average LKR 80–90 per kilometer, but non-metered taxis often charge significantly more, particularly for unfamiliar travelers.
App-based services also excel in reliability and accessibility. Using GPS and sophisticated algorithms, platforms like PickMe ensure quick response times, averaging just three to seven minutes in urban areas. These services operate around the clock, covering both urban and suburban regions. In contrast, local taxis are often limited to specific areas and have lower availability during off-peak hours.
PickMe’s research highlights that budget-conscious tourists increasingly prefer app-based transport solutions for their affordability and transparent pricing. Social media platforms like TikTok and Instagram Reels are amplifying this trend, with travelers sharing their positive experiences and highlighting the cost advantages of using app-based transport services.
Safety is another key factor influencing tourists’ choice of transportation. Zulfer emphasises the advanced safety features built into PickMe’s platform: “Our technology allows passengers to share real-time ride information with family or friends. Additionally, we have a dedicated incident response team to facilitate resolution of issues such as lost items or disputes, providing immediate support when needed.”
Despite the rising popularity of app-based taxis, the CEO stresses the importance of coexistence between traditional taxis and digital platforms. While these two driver groups serve customers with different choices and operate within distinct ecosystems, both have a place in Sri Lanka’s transport landscape. “It must be understood that drivers who opt for app based technology platforms are citizens with the same rights as any other individual. They have the right to move and work freely across the country,” Zulfer asserts.
However, PickMe surveys suggest significant room for improvement within the traditional taxi sector. A fair percentage of passengers using local taxis in Colombo report dissatisfaction with unclear pricing and inconsistent service quality. The growing preference for app-based ride-hailing platforms reflects a broader shift toward efficiency and digital integration in Sri Lanka’s transportation sector. To ensure the continued growth of tourism, it is crucial for stakeholders to collaborate and address safety concerns while fostering an environment of coexistence.
As Zulfer concludes, “A safe and thriving ecosystem benefits everyone—from tourists to drivers to local businesses. By addressing these issues, we can create a transportation system that supports the needs of all parties and strengthens Sri Lanka’s appeal as a tourist destination.”
