UBER. Ride Sharing Service. Dylan Ries, Kevin Little, Michael Esse, & Austin Burke
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1 UBER Ride Sharing Service Dylan Ries, Kevin Little, Michael Esse, & Austin Burke
2 Overview Uber vs. Cabs in Buffalo,NY The Uber Model, Lower Fares, The Uber Side, & Uber s Critics Service Gaps Communication Gap advertising lawsuit Knowledge Gap customer expectations Dylan Ries
3 Transportation Industry: The Buffalo, NY Case Study Uber Services Banned in the New York State Special agreement allows ride-sharing in NYC Buffalo Airport to City Hall About $20 if Uber launches Claims to create jobs Taxi Cab Services Heavily regulated Insurance, Licensing, Registration Buffalo Airport to City Hall About $40 ride 1330 jobs at risk Dispatchers and other back of house 500 in Buffalo area employees 13,000 across the state Kevin Little
4 Uber: By the Numbers Valued over $50 Billion Operating in over 60+ countries 300+ Cities 800+ million users 1 million rides daily Surpassed 1 billion rides in December 2015 Over 4000 New York State residents currently work for Uber Kevin Little
5 The Uber Model Drivers work as independent contractors Drive their own vehicles Incurred expenses 51% work less than 15 hours per week 25% are over the age of 50 Typically keep 75-80% of the fares Educated and diverse workforce Quick, affordable, and painless Kevin Little
6 Lower Fares Prices set after launching New Jersey rate $1.25 rider fee $1.10 per mile $0.18 per minute Business Insider; Taxi or Uber 21 city study Taxi prices range from 1.7 times as expensive to just below Uber s price Surge Pricing (effectively communicated to customer) Ex. 12:00a.m. on NYE in NYC price surged to 9x normal rate Dylan Ries
7 The Uber Side Reduce Drunk Driving It's Simple (driver and rider) Reduce Discrimination Against Passengers Neighborhoods that lack transportation Extensive Background Check Improves Existing Transportation Networks Technology 29% start or end at metro train stations App. to track loved ones One Million Dollar Liability The entire time our app is on, the insurance is in effect Passenger must have app. Austin Burke
8 The Cases Against Uber (critics) Background Check (Customer Gap) Uber vs. Taxi Database (7 years worth) vs. Government (fingerprint) Safety (Customer Gap) Deaths Assaults Disability Access Cash Americans with Disabilities Act Claim to be Technology Co. Only debit and credit cards Austin Burke
9
10 Dylan Ries Communication Gap Industry leading background checks? $1 to $5 safe rides fee launches in April of 2014 Advertised as industry leading Class action lawsuit to be accepted or rejected by March of 2016 $28.5m payout Admit no wrongdoing in advertising/promo Safe ride fee changed to booking fee Uber fails to honor their promise
11 Michael Esse Knowledge Gap What is expected by customers Convenience On time Able to arrive at destination Clean Car Reasonable price Friendly driver Greeting when entering vehicle Safety no texting and driving Not under the influence
12 Michael Esse Uber vs Taxi Uber Ran by a phone app Ability to check driver rating Can choose driver Payment through card, no cash Reasonably priced Drivers use own vehicle Clean cars Welcoming friendly Different sized vehicles available Taxi Unaware of driver rating Do not always have credit card option, usually cash only May take longer route to increase payment Leased car or work for company Sometimes clean Sometimes friendly Different size vehicles available
13 References Freier, A. (2015). Uber usage statistics and revenue - Business of Apps. Retrieved February 16, 2016, from Lorenzetti, L. (2015). 5 surprising numbers from Uber's driver data report. Retrieved February 16, 2016, from surprising-numbers-from-ubers-driver-data-report/ Warner, G. (2016, January 15). Cheap, easy rides vs. safety drive Uber debate - The Buffalo News. Retrieved February 15, 2016, from buffalonews.com/city-region/state/cheap-easy-rides-vs-safety-drive-uber-debate
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