The rate increase is part of parent company Meituan’s broader profitability push.
Mobike Europe branch is reportedly planning on branching out into e-bike and scooter rentals in the region.
Mobike has started to charge Shanghai users an extra RMB 20 (around $3) if they park a bike outside the company’s ‘area of operation.’
Hellobike’s new prices are more expensive than taking the bus in Beijing, which may be a blow to its business model.
Meituan-owned Mobike also denied that layoffs in Asia are part of a larger exit strategy.
Mobike was added to WeChat Pay’s interface as a third-party service.
Rising costs for Meituan’s core food delivery business drove fourth quarter losses.
Company’s best short-term strategy is to direct users to its profitable services such as travel.
Meituan’s Q1 results show that its more disciplined expansion strategy is paying off.
In May, Meituan Dianping unseated search engine Baidu as China’s third-largest listed internet company by market cap, behind only Alibaba and Tencent.