Volkswagen subsidiary Moia starts in Hamburg

Little time? At the end of the text there is a summary.

Drive off without thinking - that's what Moia CEO Robert Henrich says about the car. According to Henrich, Volkswagens Fahrdienst Moia should be "as fast, as flexible and comfortable as driving a car". On Monday, the service in Hamburg starts with a hundred electrically powered vehicles, later it should be up to a thousand. In Hanover is already running a first, smaller test.

Germany's number one automaker wants to reinvent itself with Moia. And it will complement or even revolutionize the world of transport as we knew it - at the expense of the car, but possibly also to the detriment of public transport.

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But what are the chances that VW will make it through with Moia? And what do the city dwellers of it have? We explain how the service works - and examine the individual success factors that determine whether Volkswagen actually makes such a significant difference in mobility.

Call a vehicle: do not forget the umbrella

Who wants with Moia from A to B, enters in the app a goal, chooses whether he wants to leave immediately, in five or ten minutes and gets a connection proposed. However, the black and gold van does not bring passengers from their starting point to the front door - unlike a taxi.

The buses instead drive to stops that are not marked in the cityscape. Around 10,000 of them Moia has spread over the urban area north of the Elbe. The Hamburg railway company Hochbahn only runs 1327 bus stops. The invisible Moia stops are up to 300 meters away from the start and finish, but are said to be located on large roads on the side of the finish - making the service almost as comfortable as a private car in this regard.

At which breakpoint starts and where you get off exactly, decides the algorithm - depending on the number of passengers and the bookings of other customers. However, you should be on time - because even the Moia bus is not waiting.

Conclusion: The Moia bus is no taxi and does not spare the way to the stop - brings passengers but without changing quite close to the destination. This facilitates the abandonment of the car, but could also attract public transport passengers who arrive at the destination without a change.

Driving and driving experience: Premiumbus without change

When booking the app calls a binding period for arrival. That is always kept, assures Moia managing director Henrich - "even if customers get on board". As in a bus, other passengers with a route-appropriate destination can get in and out while driving. The premium bus is then shared with up to five other people. In the test area in Hannover, however, passengers usually drive alone. Only in the afternoon and in the evening are carpools formed on more than every second tour. In Hamburg, Moia wants to raise the rate significantly.

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Nevertheless, the buses should provide privacy. Seats shield the passengers from one another and are more reminiscent of the first class of the ICE than a classic bus. The drivers should drive defensively. On a test drive, the golden bus turned out to be quiet and comfortable, but rumbled like all transporters a bit rough over bumps. On board there is space for luggage, child seats and two seats with Isofix.

In addition, the buses provide Wi-Fi and charging options for smartphones. However, this is also the case in many buses of the elevated railway. Unlike the regular bus, the golden Moia van is not suitable for wheelchair users. If they want to use the service, they bring the partner company Caredriver for the same price to the destination.

Conclusion: A ride on the Moia bus is quiet, comfortable and surprisingly private. Wi-Fi and charging facilities are compared to the taxi a plus - as well as the existing child seats. Whether the service relieves traffic, however, remains highly questionable, as long as passengers are partially driven alone.

Prices: quite cheap - but not for couples and groups

Moia is more expensive than public transport - but cheaper than a classic taxi: One kilometer with Moia costs around one euro (taxi Hamburg: 1.50 to 2.45 euros). A basic fee does not exist, is paid by app. The fare is fixed at the time of booking and will not be changed - even with traffic jams or blockages. If you book for several people, only the first passenger pays the full price, the second and third much less. Satisfied passengers may also tip the drivers - but only by app.

Conclusion: The price fits the comfort offered, but is quite high for couples and small groups. The tariffs speak against it, that Moia becomes already at the start a genuine mass traffic means.

The Business Model: Moia Taxis and Public Transport Surpasses?

VW will only change city traffic if the passengers love the concept and ignite Moia's business model. A Wolfsburger encouraging sign: The competition is partly storm against Moia. So the Hamburg taxi industry already protested against Moia.

However, public transport authorities are not very worried, at least publicly. For the public transport Moia is no competition, says the CEO of the Hamburger Hochbahn, Henrik Falk. The service helps to enable a "lossless abandonment of the car". This is also the opinion of traffic researcher Andreas Knie. "In order to get the people out of the car, we need such alternatives, which is not possible with classic public transport alone, but we need individualized offers."

However, Moia must also claim against other new driving services such as the railway subsidiary Clevershuttle. There, customers book a car with a driver via app, which brings them to the exact destination. As with Moia may increase on the way other passengers. Vehicles of the service Ioki (which also belongs to the railway) bring customers in some parts of Hamburg from the front door to stops of public transport.

From when the business for the VW subsidiary is financially worthwhile, betray the responsible managers not. "This business is completely new for both groups, for Volkswagen with Moia and also for the railway with Ioki," says traffic researcher Knie. In order for the service providers to be attractive in the end, the service above all had to work "smoothly".

Conclusion: Who makes Moia in the end off market share and when the service is worth, is open and exciting. Hamburg is the first city in which Volkswagen measures itself with many strong competitors.

Moia as an employer: good drivers are scarce

With dumping wages for taxi and public transport? That is not the goal of Moia. Rather, the company wants (and must) pay drivers properly - to get any at all. "Drivers are a very scarce resource," says Moia CEO Ole Harms. And with every mobility service on the market, more drivers are being sought. The chauffeurs are determined by their driving style, but also by the direct contact with the customer for their satisfaction, so Harms.

The drivers are permanently employed at Moia, the lowest hourly wage is twelve euros. There are surcharges for night and holiday shifts. Meanwhile, Moia has more than the required 300 drivers to start. A few weeks before the start, things looked different: "It's going to be a tight box," Managing Director Harms admitted at the first presentation.

Conclusion: For Moia are permanently employed employees who are paid properly. Thus sets the VW subsidiary other accents as Uber and Co., which have caused a stir, especially in the US by poor working conditions for their drivers. Fair working conditions and a good public reputation are also prerequisites in Germany to be successful.

The vehicles: Converted E-Crafter with 300 kilometers range

The golden vans are based on the VW E-Crafter, are a maximum of 90 km / h fast and have a range of 300 kilometers. The batteries are charged during the shift change in the depots, with green electricity according to the standard of TÜV Nord. With 150kW fast chargers, 80% of the range is available again after 30 minutes.

VW had demanded that the cars drive electrically. According to Robert Henrich, they are also predestined for ridesharing. "We have high mileages of 100,000 kilometers per year, because e-vehicles are worthwhile because of their low operating costs."

Conclusion: Exhaust-free, quickly charged and no long journeys: The drive concept gives the Moia buses a unique selling point, which is helpful in competition with the competition.

Overall impression: Meaningful offer with a weakness

Moia convinces in many categories. Booking and paying for the journey via the app is easy, the journey is comfortable and the price is also reasonable. At the same time, passengers can board the golden bus with a good conscience thanks to the electric drive, green power and permanently employed drivers.

The key to success will be that Moia really gets passengers with different goals in the cars. For this purpose, the car service quickly needs many customers - and must find enough drivers in the further growth. Maybe they drove taxis before?

If Moia does not get rolling quickly, the traffic in Hamburg will hardly change. Therefore, flanking administrative measures would be necessary for a truly sustainable effect, explains Stefan Bratzel from the University of Applied Sciences in Bergisch Gladbach: "In order for people to switch to this model, politicians must create positive as well as negative incentives to leave the car. One possibility would be a city toll or an increase in parking fees in the city center. "

In summary: Moia could convince many road users. Comfort and price fit into the gap between public transport and taxi. There are also child seats and an offer for people with mobility impairments. Passengers already know at the time of booking how much each trip costs and when they arrive - no matter how many others get on the bus. In addition, the drivers are employed differently than services like Uber. It will be interesting to see if Moia really cares for less traffic on the streets.