China's ride-hailing industry expanded rapidly after 2015, attracting millions of workers seeking flexible employment. By 2024, the country had around 7.5 million licensed ride-hailing drivers, making it one of the most common occupations among job seekers, alongside delivery riders and couriers.

However, the market has become increasingly crowded.

In Shenzhen, southern China, the transportation bureau said in a May 25 report that the ride-hailing market was saturated, with nearly 395,000 licensed drivers and more than 142,000 licensed vehicles as of April 30, China Daily reported. Each vehicle completed an average of about 13 orders a day in April, the bureau added.

At the same time, ride-hailing fares have continued to fall. Drivers in Shenzhen reportedly earn about 300 yuan ($45) a day after working 12-hour shifts and deducting expenses such as vehicle rental, charging costs and insurance, according to the South China Morning Post. Many are also the primary income earners for their families.

A busy street in Chongqing, China. Photo from Pexels

To supplement their earnings, some drivers have begun selling products from their vehicles, including handmade accessories, fuse-bead artwork and jade items. Some said these side businesses can generate more income than driving itself.

Others have focused on creating unique experiences for passengers. One driver installed a karaoke machine and disco ball in the back seat, allowing passengers to sing by scanning a QR code. The system also scores performances, with passengers receiving a complimentary drink for achieving a high score.

Another driver converted his vehicle into a mobile café, serving freshly made Americanos and lattes priced between 22 and 29 yuan. Some drivers have installed massage seat cushions, offering passengers a free two-minute trial before charging for longer sessions. In another case, a taxi driver in Jiangsu Province began offering haircuts for 8 yuan while waiting for customers.

The trend has been linked to "neijuan," a Chinese term describing intense competition that yields little additional reward. Under such pressure, some drivers reportedly accept unprofitable trips in hopes of improving their chances of receiving more lucrative orders later.

Public reaction has been mixed. While some passengers welcomed the additional services, others raised concerns about safety and regulatory compliance.

Chinese ride-hailing platforms generally prohibit drivers from selling goods during trips and have reportedly penalized some drivers after their stories gained attention online. Food sales may also require additional licenses.

One social media user warned that storing merchandise inside vehicles could pose safety risks, particularly in cars carrying valuable items such as jade. Another said a karaoke-themed ride sounded like a fun way to relieve stress.

Others remained unconvinced. One online user said they would prefer "a clean and safe car ride" over additional in-car experiences.