Taxi Industry in Russia: Prices, Service Quality, and Competition
Recent surveys indicate that Russians are increasingly reluctant to use taxis. Costs are rising, and many report that the quality of service has declined over the past year. The state survey agency VTsIOM commissioned this inquiry to understand the situation, and sociologists conducted a follow‑up study. The results show a range of issues creating frustration for riders across the country.
Key findings reveal that 66 percent of Russians surveyed feel taxi prices rose unjustifiably in the last year, while 60 percent have switched to other forms of transport for financial reasons. It is possible that some observers expect higher fares to reflect improved travel quality, yet consumer confidence remains low. Overall, skepticism dominates the perception of price changes in the taxi market.
The study also shows that 66 percent of taxi passengers experienced problems in the past year. Among the reported issues, 29 percent said a driver did not arrive at the location called for, the same share noted order cancellations by drivers, 25 percent reported reckless driving, and 14 percent reported violations of traffic rules. A further 13 percent described overly intrusive or talkative drivers, and 7 percent observed drivers attempting to inflate the final price. About 11 percent received cars in poor condition, and 10 percent faced long waits for a taxi pickup. These figures reflect widespread dissatisfaction across multiple regions and service providers. These observations come from a mix of rider experiences and official surveys, underscoring persistent reliability and safety concerns in urban and regional markets.
One writer, who did not participate in the survey, adds personal experience to the discussion. They report cancellations, extended waits, and attempts by some drivers to manipulate fares or alter routes. In their view, most problems appear more pronounced outside major cities, suggesting regional disparities in service levels and driver behavior. (Attribution: user-authored commentary distinct from the official data)
In Perm, for example, finding a ride to the station can take a long time. While the writer checked tariffs across different service tiers such as business, comfort, and fastest, relatives tried contacting other services by phone and ultimately faced automated responses about unavailable cars. Even when the app showed nearby vehicles, orders were canceled within minutes, raising questions about app reliability and driver availability in certain markets.
In the Caucasus, inflated pricing appears more common due to various manipulations during the journey. The traveler notes a habit of completing trips independently toward the end to verify any route changes. The sentiment is tempered by the fact that when issues are reported to support, refunds can be processed, though the process adds friction and leaves residual dissatisfaction. (Market observations and user experiences)
Saint Petersburg illustrates another facet of the pricing puzzle. Weather conditions often trigger price increases, with fares rising as soon as rain begins. The operators justify this by pointing to higher demand, yet some readers question whether weather should instantaneously affect the tariff in such a dramatic way. (Industry practice notes)
Analysts point to several factors behind the worsening taxi market. Some emphasize the impact of a new taxi law enacted last year, which tightened requirements for drivers and aggregators, extending to technical and medical checks and even car color standards. (Legislative analysis)
Others argue that immigration policy changes reduced the supply of workers in the taxi sector, as many foreigners exit the industry and local workers appear reluctant to fill these roles due to wages and social protections. (Labor market commentary)
Salary trends add another layer of complexity. For 2023, salary data from the hh.ru service shows a noticeable rise in offers to taxi drivers, with average salaries edging closer to 107 thousand rubles and potentially exceeding 250 thousand rubles in Moscow for specialized drivers. This is in contrast to wages for doctors, engineers, teachers, and IT professionals who may start with lower earnings. (Employment statistics)
Social guarantees remain a critical concern. Most taxi drivers operate as self‑employed workers, which typically excludes sick leave, unemployment benefits, and pension contributions by default. The suggestion to register as an individual entrepreneur and contribute voluntarily to social funds exists, but the practical burden and limited protective coverage remain deterrents for many drivers. This situation often shifts risk and costs to the end consumer. (Policy analysis & worker rights overview)
Beyond regulation and wages, competition—or the lack of it—appears central. The market shows signs of consolidation around a few major aggregators that control the majority share, with the largest player holding more than 60 percent of the market. Smaller firms, sometimes limited to a single neighborhood, struggle to gain traction. For some riders, such as the author in Peterhof, the experience is mixed; fewer delays and less pressure to choose a route may come with higher base costs. (Market structure review)
Ultimately, the picture points to a system where price setting, consumer expectations, regulatory changes, and competitive dynamics all interact. In a market dominated by one major participant, the rules of the game tend to favor that incumbent, with consumers bearing the brunt of inconveniences. The overall outlook remains uncertain as new policies and market pressures continue to unfold. (Synthesis of market observations)
The conclusions drawn reflect the author’s personal perspective within a broader context and are not an editorial statement from the publication.