“Boom!” This is the word that LeCab’s President, Yves Weisselberger, used on LinkedIn to announce this unexpected news. This onomatopoeia perfectly encapsulates the impact of this shake-up in the French VTC market. After experiencing significant growth before being disrupted by the COVID-19 crisis, the market is undergoing another transformation. LeCab has announced the acquisition of 100% of the shares of its French competitor, Marcel. Here’s a closer look at the ambitions behind this strategic consolidation…
“18,000 drivers” and “over a million users”
Although the financial details of the deal have not been disclosed, this merger is making waves. Founded in Paris in 2012, LeCab acquired Marcel, which was established in 2014. At the end of 2020, Renault sold Marcel, which it had acquired in 2017, to the holding company Ascom, which owns the BymyCar dealership network. Now operating in more than 65 cities, LeCab significantly strengthens its position by covering 85% of French territory, while benefiting from Marcel’s brand recognition and customer base.
We have always stated that we would continue to be a player in the consolidation of the French VTC market. Our ambition, which has never changed, is to satisfy our clients and driver partners. By growing organically and through acquisitions, we are making this possible.
YVES WEISSELBERGER, PRESIDENT at LECAB
A local and french alternative to Uber
Beyond a simple growth strategy, this operation is a direct response to Uber’s dominance in the French market. In 2023, a Médiamétrie analysis showed that competition has intensified not only between VTC services and traditional taxis but also among various VTC platforms and alternative modes of transport. Despite this, Uber remains the clear leader with a monthly audience of four million people, averaging 373,000 daily connections.
With the acquisition of Marcel, LeCab becomes the only French alternative to Uber and taxis for travelers who demand an impeccable customer experience.
Hervé Fauvin, General manger at LeCab
Thanks to this merger with Marcel, LeCab will now count “major companies such as Air France, Total, and France Télévisions” among its clients. It will also have “a strong presence in the public sector with the Ministry of Justice, SNCF, school boards, and La Poste.”
Emphasis on Proximity for LeCab
As frequently mentioned in the press release, LeCab and Marcel share common values and visions. Their ambitions focus on quality service and proximity to their clients and drivers. Users will soon benefit from a wide range of new services and vehicles.
The integration of teams and applications will be swift, allowing us to offer users an even more efficient and high-quality service at a competitive price
lecab press release
It is important to highlight that LeCab stands out with its pricing policy, described as “more respectful” towards its drivers. The company recently established a guaranteed minimum fare of 10 euros per ride and a minimum hourly income of 35 euros. This praised initiative will be extended to Marcel’s drivers, ensuring fairer compensation in a sector often criticized for job insecurity. This is a significant advantage as the Paris Olympics approach, especially when, according to a survey by Uber, 90% of VTC drivers in Île-de-France plan to remain in their positions during this period, compared to 65% during a normal summer season.
