Uber's current problem is they have run out of things to innovate on. They've pretty much nailed the UX in their app, and all they're left with is cars taking people from Point A to Point B. What is left to improve on there? So now, their only way to grow is to race to the bottom on price and undercut their competitors. And the only way to do that is to light billions of VC dollars on fire in the form of subsidized t…
> They've pretty much nailed the UX in their app ... Ehhhh....I disagree because I have a less than stellar UX every time I use it. However, my situation is more or less an edge case. I rely on Uber to take me from the train station to work every morning. The train station is right by FLL. It's even called the Fort Lauderdale AIRPORT Station at Dania Beach. I have to call the drivers and tell them I'm at the train st…
Why I don't believe in Uber's Success
331–340 of 413 posts
Re: Why I don't believe in Uber's Success
#332Earlier quoted context omitted.
at the very least their drivers will still own cars.. if buying a car is all of a sudden not normal, then it would cost A LOT to become an Uber driver.
Car ownership is already not necessary. Both Uber and Lyft offer a car "rental" or leasing program where you will be given a car to use for the job for a fee which will be waived or reduced if you drive enough and do enough business with the car. They profit off of this or at least recoup money if you fail to hold up your end of the contract or in certain cases, you pay for the mileage you drive outside of work hours…
Re: Why I don't believe in Uber's Success
#333Re: Why I don't believe in Uber's Success
#334Earlier quoted context omitted.
Network effects don't accumulate to a natural monopoly in this case. Yes you need a fleet large enough to get to a sweet price / waiting time optimum, but each new car in your fleet has a diminishing marginal effect. You could say exactly the same for airlines: there's network effect. Each new plane allows your to fly more rotations, have more frequent lines, open new routes... The reality is that most people take de…
Each new car in your fleet has diminishing marginal effect to a passenger, and has negative effect for the other drivers . And you need to compete for both drivers and passengers. This is why Uber and Lyft end up in driver subsidy cost wars.
Re: Why I don't believe in Uber's Success
#335Earlier quoted context omitted.
I lived a short while in Chiang Mai Thailand. At the time Uber was just getting started and Grab was WAY better than Uber. I really wanted to like Uber there, but after about 5 times of the drivers 1. not finding me (yes, even with GPS), 2. not showing up at all after a long time waiting, or 3. not knowing where they were going.. I gave up. It seemed that they lacked training and that they were mostly trying to get t…
I was in Chiang Mai for most of December and I wonder how Uber can be successful there. The songthaews and tuktuks are so cheap that I almost always took those. The only time I took Uber was to go to the airport, since I carefully planned my money so that I wouldn't have any cash left over and Uber would charge my credit card and all the other options would require a variable amount of cash. That said, the Uber was r…
But yes, I loved the songthaews there.
Re: Why I don't believe in Uber's Success
#336The commercial airline industry has lost money over the whole of its existence. If I'm flying from NYC to DAL, I'm flying the cheapest carrier (with a slight nod to Frequent Flyer programs). I'm not sure how Uber, Lyft, etc are any different than Southwest, American, etc. Cab companies (which I hate) and airlines saw this years ago and promoted regulations to protect their fees (and, thereby, wages). Airlines lost th…
TFA and a lot of commenters here don't seem to understand that Uber doesn't want to compete with taxi services, which are a niche business to be disrupted en route to the real prize. It wants to compete with your car - imagine 12 lanes of L.A. traffic composed mostly of Ubers. That's their dream. They even admit this in public. [0] The day they can get cost per mile one penny below what you'd spend owning a Toyota Ca…
Re: Why I don't believe in Uber's Success
#337Earlier quoted context omitted.
The thing is that this is really only true for people in dense urban environments. For instance, parking is not an issue in suburbia. There are use cases, like getting from your home to the train station, but it's not nearly as universal as it is for people who can currently get by with no car at all.
I think you're being too kind to the parent. This is true for a very small subset / archetype of people. The majority of the country has much different situations and desires than just walking to ALDI.
Re: Why I don't believe in Uber's Success
#338Earlier quoted context omitted.
"Uber has more data about traffic patterns in every major city they operate in, than any other entity, including the cities themselves." I imagine Google has approximately two to three orders of magnitude more data from cellphones and maps usage. Pull open your Uber app, zoom out until you see, say, 20 Uber drivers. They make a point here, a point there. The Android phones in cars would just make lines on your displa…
I'm pretty sure uber uses google maps in fact.
Re: Why I don't believe in Uber's Success
#339Earlier quoted context omitted.
TFA and a lot of commenters here don't seem to understand that Uber doesn't want to compete with taxi services, which are a niche business to be disrupted en route to the real prize. It wants to compete with your car - imagine 12 lanes of L.A. traffic composed mostly of Ubers. That's their dream. They even admit this in public. [0] The day they can get cost per mile one penny below what you'd spend owning a Toyota Ca…
I can believe that's their goal: I see little reason to believe they'll succeed in it, beyond making the market a bit bigger than the current taxi/minicab market. Just because they're very good at supplying an unlicensed minicab service (apparently subsidised by VC money in many areas) doesn't mean they can (i) run a minicab business at a profit so much more efficiently than every other minicab business in history th…
Previously I would spend $117 in a monthly metrocard.