China's leading taxi-hailing company Didi Kuaidi is set to allocate 1 billion yuan ($161.39 million) on promotions as part of its aggressive expansion to attract customers and riders and stamp out its competitors like U.S. firm Uber Technologies, Inc., according to a report by Reuters.
In a statement released by the company, Didi Kuaidi said that aside from its basic cab calling function, users of the app can also have access to carpooling, premium cars, designated drivers and a service for passengers with special needs.
Cheng Wei, CEO of Didi Kuaidi, said that the aim of the company is to serve 30 million people a day within three years.
The report said that Didi Kuaidi, which is supported by Internet giants Tencent Holdings Ltd. and Alibaba Group Holding Ltd., may be able to edge out its rivals if the strategy succeeds.
These rivals include Uber, a U.S. start-up with $40 billion capital and supported by Chinese search leader Baidu, Inc., as well as Yidao Yongche, a local firm.
Didi Kuaidi, considered as the world's largest smartphone-based transport service, was created in a merger in February, with an estimated value of $6 billion. The firm is a leader in the country's taxi-hailing market.
Didi Kuaidi has expanded its services beyond providing cabs, competing closely with Uber and Yidao Yongche, which use private cars rather than allowing people to call licensed taxis.
The company employs 1.35 million drivers and operates in 360 cities in China. Its 400,000 drivers are employed in premium car service in 61 cities.
Daily calls for taxis have reached 4 million per day, while orders for premium cars hit 1.5 million times a day.