Delivery rates on Lalamove’s platform in Davao City start at P29, with final charges varying according to distance, demand, driver availability, and real-time road conditions.
Lalamove Philippines managing director Djon Nacario said the delivery platform uses dynamic pricing to account for changing conditions, including traffic and weather, as it connects customers with available driver partners.
Rates are not fixed, he said, as the platform considers actual delivery distance and prevailing conditions when calculating charges.
“Because of the power of technology, we're also able to have real-time information on traffic and weather, so all of that also affects our prices,” Nacario said during a press conference at Dusit Thani Davao recently.
He said the company aims to balance affordable delivery services for customers with fair compensation for driver partners, particularly when traffic congestion or hazardous conditions affect a trip.
Nacario said customers can view delivery charges upfront through the app before confirming an order, allowing them to check the cost before proceeding.
The platform also offers discounts and promotional coupons to help customers save on deliveries.
Lalamove serves both individuals and businesses, including micro, small and medium enterprises (MSMEs) that need to transport documents, parcels and products without maintaining their own delivery vehicles.
The company’s Davao operations initially offer motorcycle, sedan, van and L300-type vehicle options for deliveries. Rates depend on the selected service and the details of each booking.
Lalamove said its app is free to download, with no sign-up fee or minimum spending requirement for businesses. Customers pay for deliveries when they need the service.
The company has expanded to Davao as its entry point for a wider Mindanao presence, with plans to gradually extend its coverage to other areas. MLSA