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Uber's Failure in Japan

disruptingjapan.com

71–80 of 139 posts

Re: Uber's Failure in Japan

#71
post #58

The article has a point but didn't get it right. I'm a startup developer and my family runs a taxi business in Japan, and believe me I thought about making Uber for Japan the moment I heard about Uber, but I realized it's not going to work out. Here are my notes I jot down at that time. 1) People don't drive In US everyone drives, in fact you need one. But you see none of my friends in Japan own a car. The only peopl…

How big is smartphone penetration? Is the app based dispatch useful in japan or are they really everywhere? Are there normal taxi dispatch smartphone apps?

Everyone has a smartphone, except a handful of old people who have an app-capable high-end feature-phone.

Taxis are pretty much everywhere, never had to call for one except when it rains and I want to be picked up at my door.

Re: Uber's Failure in Japan

#72
post #24

The advantage of Uber has nothing to do with price and everything to do with grotesque incompetence on the part of the taxi operators. Five-six years ago, when I asked for a receipt for an expense report, I got a hand-scribbled note. Running credit cards often required hand-based crank mechanisms. Autoplaying TV on the back of a seat that was billed unless you explicitly opted out. It was, in short, a scammy operatio…

Totally agreed. I am on a business deal that brought me to the country of Qatar. Many of the yellow cabs here (blue over here) refused to turn on their meters instead trying to negotiate a fare with you -- often starting at 2x or 3x the actual fare and trying to see how much upside they could keep. They would be nice initially and then try to arm-twist you at the end of the ride. Uber arrived and caught on like wildfire. You didn't need to negotiate, they didn't need to pretend not to have change, etc. The no-nonsense system is what makes Uber so remarkable.

Re: Uber's Failure in Japan

#73
post #65

Earlier quoted context omitted.

>if the taxi industry in Japan is honest, competent and well executed I've used Taxis in Japan across the country for 20+ years, can attest to its quality, reliability, and professionalism. It's on the expensive side, with rides usually starting at 700 yen (roughly 7USD) [1], but the drivers are courteous professionals who drive smoothly and know their cities and routes cold (if they don't, they'll apologize for not…

And no tips too. The price on the meter is the price you pay, which avoids a whole set of extra hassle.

Which, for what it's worth, how a lot of the world outside of the US operates.

Taxis are rubbish in Australia, but you also aren't expected to tip.

Re: Uber's Failure in Japan

#74
post #24

The advantage of Uber has nothing to do with price and everything to do with grotesque incompetence on the part of the taxi operators. Five-six years ago, when I asked for a receipt for an expense report, I got a hand-scribbled note. Running credit cards often required hand-based crank mechanisms. Autoplaying TV on the back of a seat that was billed unless you explicitly opted out. It was, in short, a scammy operatio…

> Now, all of what the author said about Uber's flouting of the law is true. And that's not something I'm terribly happy about. But I think there's a certain value in simply ignoring bad law and fixing it on the fly. And this is the problem. Uber is providing superior service for less cost. Clearly the city, which enacts laws on my and other tax payers behalf, isn't actually acting in my favor when it goes after uber…

But regulation also helps in parts. For example, it (tries) to ensure taxis are available everywhere, not just the profitable areas.

Re: Uber's Failure in Japan

#75
post #9

Sounds like Uber's failure in Japan is related to a reasonably honest and effective government. The biggest failure of Uber that I'm familiar with of is ex-NYC New York, and that's essentially because the Feds are tapping every politician's phone at the moment[1], and it's difficult for their lobbyists to do whatever they do to "influence" outcomes. [1][ http://nypost.com/2015/05/04/state-majority-leader-dean-skel...…

"honest and effective government"

Dream on. The Yakuza simply have not been paid off.

Re: Uber's Failure in Japan

#76
post #24

The advantage of Uber has nothing to do with price and everything to do with grotesque incompetence on the part of the taxi operators. Five-six years ago, when I asked for a receipt for an expense report, I got a hand-scribbled note. Running credit cards often required hand-based crank mechanisms. Autoplaying TV on the back of a seat that was billed unless you explicitly opted out. It was, in short, a scammy operatio…

"I had to use a taxi in St Louis, MO last summer. In order to do this I had to call the taxi company. No app, no website, nothing. It took 45 minutes to show up, period. The driver couldn't find me when he got near. " This is almost all true and ride-sharing has totally changed the game in St. Louis. One nitpick: the area's biggest cab company has had an app for a few years [0]. It's not a perfect app, but I used it…

Is calling rather then messing about with an app so much harder?

It takes me 20-30 seconds to call and order a cab in the UK

Re: Uber's Failure in Japan

#77
post #3

The article basically states that Uber's cavalier attitude towards the law was the wrong approach to use in Japan, because the Japanese public does not respect this attitude, and that they should have worked it out with regulators before they started operations. I guess the broader lesson implied is that you need to put in the effort to understand the local culture, and adapt your strategies accordingly, before you t…

I'm not sure that argument really holds up. AirBnB is very popular in Japan (hosting not renting), tons of listings, all of them are breaking the law. (most of them are lying about their listings as well with AirBnB's blessings)

Legal short-term apartment rentals in Japan are kind of broken due to one month plus minimum stay requirements. Airbnb fixes an actual problem here.

I use Uber pretty much exclusively these days, but in Japan it doesn't make sense: in central Tokyo, you can hail a cab in seconds on any major street, and outside it, the nearest train station will have a taxi rank. And if you go out far enough that you need to call a cab, then Uber's unlikely to serve the area either.

Re: Uber's Failure in Japan

#78

Taxis are about 20% (rough estimate) cheaper than Uber in Japan. That, plus the already mentioned abundance and good quality of service of taxis in Japan (as well as the ease of booking one through phone/internet/mobile apps), leaves no real reason for most people to use Uber in my opinion.

Uber in Japan is just a routing service for regular taxis, since UberX is banned.

Re: Uber's Failure in Japan

#79
post #54

Earlier quoted context omitted.

All the points are from the supply side. Maybe Japan will welcome a uber which drives itself?

Preferring cash payments and taxes already being good enough is not supply side. Once self-driving taxis are available, they won't be uber exclusive. More likely all taxis will become self driving. If uber wasn't in the market before, it won't become welcome just because. In addition to that, part of taxis service is human powered. Like helping you get luggage in a trunk and providing local knowledge. A taxi driver i…

As a westerner with incredibly limited Japanese language skills, I've found the interactions with taxi drivers in Japan to be amazing. Showing an address or saying a name of a restaurant / landmark will get you taken directly there. Even sometimes when the taxi doesn't fit down the smaller lanes (in Kyoto) - the driver will get out and show you to the door of your destination.

Re: Uber's Failure in Japan

#80
post #65

Earlier quoted context omitted.

And no tips too. The price on the meter is the price you pay, which avoids a whole set of extra hassle.

Which, for what it's worth, how a lot of the world outside of the US operates. Taxis are rubbish in Australia, but you also aren't expected to tip.

Tips are the most confusing thing by far about the US for me as a European.
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